$800 new debt

iVillage Member
Registered: 03-26-2003
$800 new debt
2
Tue, 04-01-2003 - 8:44am
But yet, I'm not upset about it. We bought our new refrigerator. I wanted to pay cash for it, but the money we have in savings, dh put up a fight saying he wants accessories for the boat. SO... I put the fridge on a credit card. A low interest one of course. I plan on having it paid off in three months. So knowing I'm not the moron that I used to be, I know I can do that. So we shouldn't pay too much interest. I'm happy to have the new fridge though.

Sharon

 

iVillage Member
Registered: 03-26-2003
In reply to: sharonb2002
Thu, 04-03-2003 - 2:02pm
Oh, you are absolutely right. And I knew that going in to this mess. But for the amount of interest I'll pay, sometimes it's worth it to shut dh up. Meanwhile, I'm pounding the heck out of a higher rate card to the tune of $500 a month without him even realizing it. (Or we'd have all kinds of cool useless toys.)

In a nutshell, I could have probably managed to pay cash for both, but at this time my priority is to get that high rate card out of my life forever. And a small balance on a low rate card isn't going to hurt too much in the meantime.

:-)

Sharon

 

iVillage Member
Registered: 03-28-2003
In reply to: sharonb2002
Thu, 04-03-2003 - 9:05am
Mmmm, Sharon, I am not at all judging your decision (we put a $1,500 couch on the CC last November), but I just want to point out for future reference a little idea:

You've put the fridge on the card now. So the interest starts NOW. Meanwhile your husband wants to buy boat accessories soon, so he'll use savings for that. But he hasn't bought them yet, so the cash is just sitting in your account meanwhile the interest is accruing daily on the card... instead, it might be a good idea to have paid cash for the fridge and then whenever hubby is ready to get his "boat accessories" (which doesn't sound necessary, but then I'm not a boat person, and I recognize that to each his own!), if he HAS to put them on the credit card, then the interest only accrues from that point.

Does that make any sense at all?