Dilemma

Maybe my lovely readers could help me out with this small issue I’m having.  Every payday I place money in an account that is used for my student loans.  And it’s (mostly) strictly for my student loans—a few side purchases such as flea medication for my cat or medicine for me has been pulled from it but that’s been in rare cases.

Remember that student loan I forgot about?  Well, turns out that there was an issue in that too.  I apparently read the student loan summary wrong—or they supplied information on another loan thinking I was going to consolidate them.  Well, that was the plan originally but with the forgetting them issue, this was dropped and I just assumed that all the loans they had sent me were with that company.  This wasn’t true, so again I dropped the ball on my loans.   But I picked it up again a few weeks later when the company who actually owned it, gave me a call.  After numerous emails (I really do need to check my personal email more often….) we were able to set up a time to call each other. The lady I spoke to was very nice and gave me an offer to consolidate that loan plus the ones I had just started paying on.  Sadly, my other loan isn’t able to be included in this consolidation.

After months of waiting…okay, after a month and a half of waiting, it was approved and I’m all set to start paying back on that loan come September.   After 3 months of paying on it, it should wipe all loans out of default status.   I think—I have this written down and if it’s not true, I’ll be calling the company who told me it would.   Now my small issue comes about with August.

Provided that the previous loan holder doesn’t take my money on the 25th as was previously scheduled (this actually happened with my other loan.  It was sold but the previous company took the payment as scheduled.  It worked out in the end because it went through as a overpayment.), I’ll have a time when I can make a partial payment to both student loans that is considered extra.  This would help out with both and would help pay on the accruing interest in the loan that is now in forbearance.

Or I can not put as much money into this account and instead use it for us.  We’ve been cutting back on a lot of things in order to make sure that we pay on our debts, save for several things and one of these areas we’ve cut back a lot is at the grocery store.  We still pay a lot of money every month for groceries/household items but not as much as before.  We’d been eating a lot of stuff that was in the pantry but now we’ve kind of come to the point where this isn’t really a great option.  We’re running low on some stuff and not just in the pantry.  Our household stuff needs to be looked at too.  It wouldn’t affect the payment schedule at all as I know that in September I will have the money to start paying on the one and the other doesn’t have a payment scheduled until February.

Part of me really wants to make an extra payment (even if it will only be partial payments) and another part of me wants to take some of that money and go spend it at the grocery store to give us a little breathing room.   Granted I have about 10 days to find out if either of these will be an option (though I guess I’d be paying on the consolidated student loan at least) but I like to plan ahead.  I get paid on the 24th but can always use this money after it’s been deposited into this account.  Should I even be worrying about this right now?

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18 Comments on “Dilemma”

  1. hey– it really depends on how “tight” things are for you right now.. if you guys are barely squeaking by and on the verge of eating dog food.. then for goodness sakes, go take that extra money and buy yourself some ingredients for a nice pasta or something.

    but if you all are comfortable.. go ahead and toss it against the loans.. extra payments go directly against your loan principal and really can go a huge way towards shaving time.

    • bogofdebt says:

      It’s more of a “please don’t run out of shampoo this week or toilet paper….” though it’s getting there on food. I might do a little extra towards groceries but I really want those loans gone!

  2. Split the difference. Pay half towards the loans and the other half for some groceries =)

  3. I would say put it all on the loans, that’s what you were going to do with it anyway right?

  4. John S says:

    I agree with Holly. I would split the difference. That way you have extra going towards your loans and have some extra money for groceries too.

  5. AverageJoe says:

    Funny, I’m with Jordann. Get it done with. It doesn’t look like readers are agreeing! 😉

  6. Hmm…you need to eat right? Allocate some money for groceries and try to put the rest to your loan.

  7. katiep624 says:

    Been there done that! I would split it in half. That way you get some breathing room but you’re not splurging too much and you’re still being productive with the other half. When you’re working hard to pay off debt, you don’t want to be miserable or you run the risk of losing motivation. Good luck!

  8. Rachel says:

    You have to tell us what you decide! I say make your list of needs and wants. Figure out what you have to get this week. Leave the loan money in the bank until everything smooths over with the transition of consolidation. Then, once that happens, evaluate how much you want to pay extra and how much goes to TP. I’m on my last roll now and I don’t want to buy it, but I have to 🙂

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  10. […] me they were withdrawing money from my account in a few days time.  Which if you remember that dilemma I was having I would have been okay with—except for the fact that I was just told that my […]


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