Privacy guaranteed - Your email is not shared with anyone.

Need Some Brain Power

Discussion in 'The Powder Keg' started by TNPIRATE, Oct 11, 2017.

  1. Cyrano

    Cyrano Resident Curmudgeon Forum Contributor

    New York
    So go back to ncnascarlady's fallback plan. Pay the monthly payment on one check, and a second check to be applied directly to the principle, and noted on the remarks line as such. Make the second check whatever you can afford each month. Even if it is only $100, over the course of a year that extra hundred bucks a month would trim almost three monthly payments off the repayment schedule.

    You might not make your one year goal, but cutting down the number of payments would help.

    TNPIRATE Yo Ho Ho And A Bottle Of Rum Forum Contributor

    Well spinnin this in my head and just taking the calculator and putting in an amount that I can afford. Then multiplying by 12, I think I may have figured a way to get it down to 15 months with a last and final payment of 15 bucks. Wait, spin somepin else.
    If I were to up my payment to 512.68x15=7,690.20 that would be at the end of the 15 month an over payment of 14.71.
    It doesn't have to be an exact 12 months. It would be nice but with income, and an imperfect world, the 12 month or instant payoff, ain't gonna happen unless I win the lottery. With life I have to look at what and WHO (me) I'm dealing with.

    When it comes to the lottery and luck, I have a record of winning the lottery every 10 years, and that has held steady 3 times so far of 50 bucks each time on scratch offs:confused: I'm about due:cool:

    Forget Vegas and the penny slots. I came this close to winning 19 million pennies, one time and one time only:D It was Evil Knievel's fault. It was one of his penny slots. I made 2 successful jumps and Evil is in the background callin me a sissy, and a coward, and tellin me I couldn't make the jump. I had to twist that throttle, uumm I mean push that button:D And 19 million pennies went by by, right then and there. When you're 2 deep, and feeling froggy ya gotta jump:D It only cost me 100 pennies to almost win the 19 million pennies:D

    What makes it, and this, difficult is that you never see the interest drop off. It is dropping but only 2 bucks or so a month. So the interest is gonna be with you until the end. As far as the house note goes. There is no penalty for early payoff, or paying more in the way of the payment. As for the 8% interest that was pretty good for me at the time I purchased the house. When I bought this house (with no credit) it was right after the GREAT obozo housing market crash. And mortgage companies were not jumping in to loan money on a home. They were running scared. Here we are 6 years later and the same thing is happening again. You don't think so, just look at the price of houses in California. That bubble can't last forever.

    I made every payment on this house. Some were while I was driving a truck. I would tuck a post card in the envelope from where ever the payment was being mailed from and mail it off. Only one time I was late on the payment from the truck, and that was because I was running behind and trying to get as many runs as I could before the week ended. Here we go back to the logs and fudging again:D
    And one time late by a couple days because it was the short month of February and I thought I had a couple more days in the month. This payment was mailed from the house.

    And I was looking at the papers that I posted on here. They say my first payment was due on 11-01-2011. Strange, because I stopped driving in June of 2011. Now my mind ain't so far gone that I do not remember making payments while on the truck. And before I purchased the house I was renting an apartment in Winchester. I got out of that and lost my deposit because I broke the contract 1 month early, Feb-2010. Oh yeah gotta look into that. The house just might be paid off due to a glitch:D But again I know how my luck goes:eek:

    Anyhow I'm gonna get this figured out. I will post the reason for the rush in another thread. That thread may take me a minute to get to, but it will get there.
    neophyte and ncnascarlady like this.

  3. M14man

    M14man I don't take prisoners... Forum Contributor

    I am lost as to where the $7690 came from. When your balance is $8057 (Jan 1) it will take $566.79 to pay it off in 15 months. It would be $533 for 16 months.
    Remember there is an interest charge that gets added each month. That $512 payment appears to leave out interest of about $400 that would accrue in the year you are making payments. You could pay $503 and finish about the 15 month mark. (bal $8057)
    Last edited: Oct 12, 2017

    TNPIRATE Yo Ho Ho And A Bottle Of Rum Forum Contributor

    The way I did that was in Jan-1-2018 my payoff would be 7,675.49. Now what I calculated was 512.68x15=7,690.20. That means at the end of the 15th month I would have paid 7,690.20 which would be an over payment of 14.71.
    From what I am seeing and understanding on this paperwork is that the interest has already been calculated into the payment. At least that is the way I am understanding it.
  5. Yup, you understand it correctly. That's why you pay any extra to the principle only. The faster you get your principle down, the less interest they can charge you.

    One of my reenactor buddies is a banking and finance wiz, and he taught me that trick. He pays $100 over his monthly car payment, indicating on the check that it's to go to the principle ONLY. In a year, he's shaved off 2 payments. At the final payoff point, he actually pays it off 10 months early and saves a ton on the interest.
    TNPIRATE and neophyte like this.
  6. M14man

    M14man I don't take prisoners... Forum Contributor

    That $7675 is after you make your Nov, Dec, and Jan payment. Thats 3 payments right there and then you figured 15 more. That is 18 payments...They tell you what interest is that is why amount applied reflects the interest subtracted from payment.Thus when you have a $8057 balance they add the interest for that month. That is why your $435 is not going fully towads the pricipal.
    That balance shown for each month is the PAYOFF amount. That amount then has interest added to it the next month. Thus when you have $7675 owed you will pay an interst charge for each month as the balance lessons.
    TNPIRATE likes this.

    TNPIRATE Yo Ho Ho And A Bottle Of Rum Forum Contributor

    Do you see why I said I needed brain power.
    M14man likes this.

    TNPIRATE Yo Ho Ho And A Bottle Of Rum Forum Contributor

    Since the original payments started at 335.68 and 2 years ago I started paying 435.28 wouldn't that do the same thing? Or if I made 2 checks out one for 435.68 and write principle, and then on the second check make that out for the interest only, and write interest on the check. What would that do? Maybe one of two things. Either screw them up beyond repair, or put the whole ball of wax in my favor.
    Remember a snafu is easy to get out of, but a FUBAR is gonna take ya a few days or longer:D
    ncnascarlady and PAPA G like this.
  9. M14man

    M14man I don't take prisoners... Forum Contributor

    annoy them and they may "lose" your payment.
    Ten Man and PAPA G like this.
  10. Ten Man

    Ten Man G&G Evangelist

    neophyte likes this.
  11. Make your base payment of $335, then pay the extra $100 in a separate check with Apply to Principle ONLY in the message line. That way they can't say you're not making your monthly payment (and you know they'll try!) and try to screw you out of your house.
    Cyrano likes this.

    TNPIRATE Yo Ho Ho And A Bottle Of Rum Forum Contributor

    OH YEAH, you're really tryin to fry my noodle:D
    ncnascarlady likes this.

    TNPIRATE Yo Ho Ho And A Bottle Of Rum Forum Contributor

    I don't think they'll try and screw me. It's just I want out from under the payment. The papers that I posted I get them at my request. I have gotten about 3 so far. The first 2 were with the 335.68 payment calculations, and this latest one with the 435.68 payment. They have carried it over to show from the 335.68 payment, and then 2 years ago started showing the 435.68 payment.
    neophyte and ncnascarlady like this.
  14. Wicked109

    Wicked109 G&G Evangelist

    You are doing the wise thing to get your home paid off as quick as possible. The $733 does not factor in property tax and insurance. So, unless you have more available funds, factor in those amounts and if you have to decrease your monthly payment a bit to cover those items, do so but continue on with paying on time and it will get paid off very soon.
    neophyte, Ten Man and TNPIRATE like this.
  15. Palladin8

    Palladin8 G&G Evangelist

    Are you able to split your monthly payment in two? If they are compounding your interest monthly, making two payments a month would decrease the principal amount and shorten your loan time. People do this all the time with 30 year fixed loans and are able to pay off their loans in 15 to 20 years rather than the full 30 year term.
    neophyte, TNPIRATE and ncnascarlady like this.

    TNPIRATE Yo Ho Ho And A Bottle Of Rum Forum Contributor

    Remember I started this thread about paperwork I received from the people holding the note on my house. Well I noticed something strange about it. I know I started making payments in 2010. But the pics of the paperwork I posted here say the date of my first payment is 11/01/2011. I says something ain't right, I was on the truck and I would tuck in a postcard with the payment from where I was at mailing the payment from. Don't ask me why I tucked in a postcard. Just trying to brighten someone life up.
    Well still thinking something is wrong I got in the wayback machine and made a phone call to the bank I was dealing with when my first payments on the house were made. I was still using the old bank in California. OH CRAP, they changed owners this past July. Ok this might be a problem. With all my moving around I lost a lot of paperwork. Well I made the call and spoke with the same branch that handled my account in 2010. It just so happens they were able to pull up canceled checks. The farthest they could go back and pull up was July/01/2010. The sweet little gal was able to pull up July, August, and September. Could probably pull up more.
    So what this is telling me is that there was a mistake made on the paperwork I was sent when the first payment was made. So I just might owe less on the house than what was thought. Could be less than a year that I owe on it.

    The little gal in California is sending copies of the canceled checks for July, August, and September.

    One more note. The date the paperwork was written up with my folks signing for me under power of attorney, and my folks signature. All dates show 2009.
    So if all that paperwork was signed in 2009, then why would my first payment be 10/01/2011? I don't think that they would sit on someone purchasing/signing for a home in 2009 and not making a payment until 2011.
    Cyrano and neophyte like this.
  17. M14man

    M14man I don't take prisoners... Forum Contributor

    They say 109 original number of payments, with their start with 94. That to me means there are 15 payments recorded previously. Principle paid off would be small back then, but what was the amount your mortgage contract for?
    My calculations show that for 109 months at 8% interest, a payment of $336.35 is needed. In that your last payment is different, all looks OK
    Last edited: Oct 20, 2017

    TNPIRATE Yo Ho Ho And A Bottle Of Rum Forum Contributor

    Well come the first of the month I am giving the folks carrying the note on my house a call. Going to hand deliver 2 checks to them (one for 335.68 and the other for 100.00 to go toward the principle), and sit down and have a POW WOW with them.

    Pulled out the deed and started looking it over. A few things I forgot about while faithfully making the payment on the house.

    First, when I purchased the house I put down more than the required 10%. Dad remembered this yesterday, because I was not here to sign paperwork. My folks were on a Power of Attorney on my behalf. That POA is still in effect as they were not taken off. On the purchase price of 37,000.00 I was only required to put down 10%. I put down 6,000.00. Which also covered the closing cost. Dad reminded me of this yesterday.

    Second, when I purchased the house it was agreed that the owner/seller would carry the note for 24 months. After the 24 months I would have to find a mortgage company to pick up the rest (or take over and refinance). No mortgage company wanted to pick it up and refinance it with my credit. STILL running on fears from the housing market obozo fail. So doing the only thing I knew to do. I kept making payments to the person carrying the note. After the 24 months (like the 35th or 48th months) I was contacted by the people holding the note, asking me if I was able to find someone to carry the mortgage (refinance). Which I replied no, and it was what you would call a gentleman's agreement for me to continue making the payments to the person carrying the note. What's sad is I am not dealing with now, the person I was dealing with then. AND there was NO new contract written up, nor signed by me. I just kept making the payment faithfully.
    Ok on the copies of the paperwork I posted, I only posted the last couple of pages. The loan amount was (and you can see it on those copies posted at the top) was 25,000.00. It shows my first payment being on Nov-1-2011. Remember me saying on here that I know I started making payments in 2010. Well I called the bank I was dealing with at the time and they were able to pull up canceled checks from 2010. They sent me 3 copies of 3 different checks, July, August, and September of 2010, in the amount of 335.68 on each check. But the paperwork I posted on here does not reflect those first payments for 24 months in 2010. We are talking 8,000.00 not accounted for. IF those, or there were missed payments in that first 24 months the owner would have stepped in and taken back the house. I am still in the house so it is obvious that, that did not, nor has happened.

    Third, and final is. When I purchased the house, the only thing I got from obozo was that first time home buyers program. YES that was going on when I purchased the house and since I was a first time buyer I did get in on the first time buyers program. We are talking to the tune of 8,000.00. Ok it was agreed by myself over the phone (remember my folks are POA for me), and my folks, was that I agreed to sign that 8,000.00 government check over to the people carrying the note. That 8,000.00 also is NOT accounted for. The realtor told me that when that check comes in from the first time home buyers program, be sure to send it off. It is in the contract.

    Now I don't like getting my hopes up on/in issues such as this. Because I know how my luck is. I call it Ducketts luck. If it weren't for bad luck, I'd have no luck at all. And I usually end up gettin kicked in the azz on issues such as this. We are talking a bit over 16,000.00 that is not accounted for.
    My folks came over yesterday and dad asked me if I wanted to go get some coffee. I agreed and grabbed all the papers I have. We went up to the mountain to a McDonalds and I showed dad everything I had. Dad said the same thing my head is tellin me, There is 16,000.00 not accounted for. 16,056.32 to be exact.
    I am going to be going to the realtor today and see if they might have any paperwork I might be missing. LOOK I was moving around a lot. Living on a truck, went thru a divorce, just broke up with Rose, the mind was almost shot, spending time in strip clubs, on dating sites, lookin for women who wanted to have a good time, in Ocala Florida when paperwork was signed by dad/mom on a POA. So yeah things got misplaced.
    Remember hind sight is always better than foresight. So I'm looking back now sayin WTF:D
    ncnascarlady likes this.
  19. Is the original owner still living? If so, you might want to give them a call to see if they have any paperwork showing those missing payments plus the First Time Homebuyers check being received by them and deposited. If they've passed away, it might be worth the effort to track down the heir(s) or their attorney / executor of their estate to see if the paperwork exists.

    Remember...asking is usually free, and the more people you ask about the missing paperwork, the more likely it is it'll jog somebody's memory and the paperwork or a signed and notarized statement might be forthcoming.
    TNPIRATE and Cyrano like this.

    TNPIRATE Yo Ho Ho And A Bottle Of Rum Forum Contributor

    The original owner passed away. The house went into foreclosure by the bank. The original owner had this place mortgaged to the hilt. More than what the house was worth. She built a deck, front porch, laid a cement driveway, turned the carport into an enclosed room. Her son tried continuing the payments and get it out of foreclosure. The bank said no and would not work with him. As he did not have enough income to pay the past due amount, and keep up with the payments.
    This is where the people I am purchasing the house from steps in. Which is a law firm and the dad of the person heading up the firm now. The dad dabbled in real state, would purchase homes on foreclosure to fix up and flip. The day the paperwork was signed he had to call his workers off. By the time the call was made to his workers the porch had been pressure washed and painted, the ceiling and rooms had been painted. So when I saw it after the paperwork was signed I was real happy.
    The dad of the person heading up the law firm now is probably dead. I never met him, but my dad did. Dad said he was up there in years when he met him.
    The person I was always dealing with when I had questions was somehow related to the dad of the firm. Either daughter or maybe wife. I don't know, the only contact that we have ever had was over the phone.
    But now it is someone else who I am dealing with. The name of the firm is still the same. And the son who is a Jr. carries the same last name as the dad with a III behind it.

    Now the original owner of the home had it built in 69. I have heard a few stories about her. She lived here with her son. I heard that when she died that her son was in jail and they would not let him attend the funeral. I heard that she was married and murdered her husband for insurance money. Don't think I believe that story, because I have talked to people who worked with her at a local factory here in town before it packed up and moved to mexico.
    When I moved in there was a very short fence between my property and the neighbors property. I found out that the woman who lived here could NOT stand the woman who lived next door. Had the partial fence built so she didn't have to look at her neighbor. I heard this from the neighbor who was still next door when I moved in. She has since moved and boy I am glad.
    neophyte likes this.