Tuesday, May 20, 2008

Tuesday Musings

This will be a post filled with various realizations and ideas I have had that may or may not make any sense when put together. Here we go…

1) I realized last weekend that one of the problems with our current debt repayment strategy is that although I do put extra money on one credit card every month, it has always been a card that is still being used. For a long time, this gave us a “safety net” in case we needed that money again. Basically our safety net was a credit trap. We will always find a reason to need that money.

So, from now on, I am going to put the extra money towards debt that we will never have access to, beginning with our loans. Also, most of our credit cards have lower rates with the warning that if we ever use the card again, they will go up on us. So, they will be next. I realize that this plan doesn’t necessarily conform to any of the regular plans for debt paydown, but it is my very own idea and we are going to follow it.

2) I opened a checking account with Bank of America today. I did this in response to a mailer I got that offered me some pretty interesting terms:
- A $125 signing bonus with a RED SOX Check Card and Red Sox checks. (They had me at Red Sox.)
- Access to the “Keep the Change” program. Click on the link to find out more about this one especially the fine print on the bottom. I’m not entirely sure how I feel about this. Has anyone else used it?
- No fees if I set up direct deposit. I’m not planning on using this as my main account, so this deposit will be as small as possible.
Obviously, I am mainly doing this for the $125, but I also love the Red Sox stuff. Maybe this is just my emotion getting the better of me.

3) I bought a new (to me anyway) tablesaw at a garage sale last Saturday. Woodworking is a big hobby of mine and I had been looking at some tablesaws last year. The ones I wanted were in the $400 range, but I figured I would pony up that money eventually. Well, this saw is older, but well maintained, and it doesn’t have all the bells and whistles I was looking at, but it was still only $70, so I was pretty happy. It was weird though, spending $70 when I have been trying to get out of debt. I had to convince myself it would be worth it in the long run, and I really think it will be.

That is all I have to say for today. In closing, I want to share an article that is really pretty amazing…Enjoy! http://www.11alive.com/news/article_news.aspx?storyid=115698

1 comment:

Abomidable said...

Hey man. Interesting blog. My wife and I have looked at it in eliminating our own debt. But I've used the Keep the Change program from BoA, and basically for the first three months it was great because they matched 100% of what you put in. After that it's pretty useless and kind of hindering because it messes with your budget. I dunno if that helps or not. Maybe I can be more specific if not.

Himz