Friday, January 23, 2015

An unexpected windfall...

sort of.  I should have paid closer attention over a year ago when I refinanced my car loan.  Grrr!  When I originally purchased the car, I bought GAP insurance and wrapped it in to the loan.  Well, I refinanced the car loan 6 months after my purchase and significantly reduced my APR.  I did this through State Farm Bank and didn't realize that at the time, my insurance coverage also had loan/lease payoff on it.  I have been double paying for this same coverage.  Anyway, after researching it earlier this week I have come to find out that I can cancel the GAP insurance that is tied in to my loan and while I won't actually see the cash, it will be applied to my loan, therefore decreasing my total balance owed on the loan by about $800.  And because my car is still covered by the manufacturer's warranty, I am cancelling the extended warranty as well. I don't plan on keeping the car for too much longer, it's not a good fit for our family now, so that will also reduce my loan balance significantly.  All told, it should take about $4000 off my loan balance putting me in a much better position to be able to trade the car off.  Woohoo! This time when I purchase a new car I will not let the salesman and finance person bully me in to buying more than I want or can afford.  I'm not usually a pushover in situations like this and I have excellent credit, so I need to stand up for myself and not let them push me around.  I will be filing my tax return this weekend as well and I should be getting a small refund, nothing excessive, but again, every bit helps.  I also received a bonus at work yesterday and have sold several things on eBay that I've been wanting to get rid of.  Yay!  Let's hear it for extra income coming in. 

Hope you are all having a GREAT January! 

Current debt total:  $221,157.88  (I'm going to be under $220K in no time!) 

No comments: