Almost in foreclosure...my last resort
Find a Conversation
| Wed, 11-26-2008 - 10:33am |
So...the last few months have obviously been hard. I first came here a few months ago and it really helped me to get back on track with my budget and to realistically look at my spending. We have made great strides and I have very positive thoughts for the future, but first I have to get through these next few months. We have been paying our mortgage a month late for the past 5-6 months. We got behind and just couldn't catch up. In October we had a huge setback with 7 bounced checks and the bank took away almost 300 dollars which is what I save every week for my mortgage. So I knew that we wouldn't be able to pay the mortgage that month. Then in November I was hopefull that we would be able to come up with two payments (2440.00). That's a huge amount for us to come up with and it is so hard. So in November we had another setback because we have to register both cars that month. So needless to say, I do not have the money for both payments. I looked at our budget and realized this about 2 weeks ago, so we had no choice but to cash out a 401K. I feel so guilty about this because I know that we are costing ourselves money but I have no choice. I'm in a bind! I called the mortgage company and they told me that if I don't get them $3,957.81 by December 15th, then we will be in foreclosure. We should be getting a check for $3000 dollars from this 401K (It was from a company we worked for for 3 years and we actually didn't put a dime in it, the company did it all). And with that check and what I have in savings we will be current with our mortgage. I know I really had no other choice but I guess I just need some reassurance that it's OK in certain situations to take out a 401K. And we couldn't do a hardship

Abbie,
You are working to keep your home with whatever means you have. Take a deep sigh and sleep knowing you are current on your mortgage.
Let's look towards the future. What steps can you take to make sure you have that mortgage money ON TIME each month? Extra income possible for you or your DH?
Hugs to you.
I say do it because it is free money. You don't have anything in it right. Will this catch you up with everything now and have you guys got a budget in place that will get you to that 0 each month now.
Oh by the way if you had to chose between the cars and the mortgage I would have done one car and paid the mortgage and then did the other car the next month.
If you keep this in mind that mortgage and condo fees always come first no matter what then you will be ok always.
I remember when we were really short when we first married as soon as the mortgage payments were caught up and they were 69.00 a month lol
We will be caught up on everything I believe once we get up to date on the mortgage. I think our cycle started going bad when one month we would pay almost 2500 dollars to the mortgage but in order to do that we had to skip bills that month and then the next month we tried to catch up on those bills and therefore couldn't afford the mortgage. So it was this awful cycle of trying to keep things from getting turned off or reposessed. It's strange because on paper we should be able to afford all of our bills with money left over so we have been trying to figure out where we are leaking and I think the eating out and entertainment were big ones and we have gotten those
I guess I didn't even realize you could do that. It only costs a total of 290 dollars to get them registered, we have old cars, but it was enough to throw me off. AND now we have to get them inspected and who knows what's going to be wrong with them. Luckily though, we have a good mechanic who understands our needs.
Abbie
Abbie,
Don't beat yourself up. You need a roof over your head. If that meant taking out 401K, then be it.
Hang in there, girl.
MYM
I made the 401K sacrifice a two years ago when our business failed.
Norma
"Patience is the best remedy for every trouble"- Plautus
It's strange because on paper we should be able to afford all of our bills with money left over so we have been trying to figure out where we are leaking and I think the eating out and entertainment were big ones and we have gotten those