U.S. CitiesCity-Data Forum Index
Go Back   City-Data Forum > General Forums > Economics
 [Register]
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
View detailed profile (Advanced) or search
site with Google Custom Search

Search Forums  (Advanced)
Closed Thread Start New Thread
 
Old 01-20-2018, 10:41 AM
 
4,543 posts, read 11,547,065 times
Reputation: 3063

Advertisements

Quote:
Originally Posted by hitpausebutton2 View Post
Back the bus up. Be nice if we all could pay early, but unlike the 1% most live check to check and only pay bills when they get paid. Heck it be nice if i can get my light bill in a timely matter, or water bill. When i get my water bill, i have 5 days to pay it, light bill comes in and its nearly 2 days before "late fees" kick in. Dont setup auto pay because i like to see what i am getting charged for vs just hoping its right. What if you mailed it 2 weeks prior to due date and still get hit with being late, because the worker didnt put it in the system in time. What you do, take the hit and dispute it, meanwhile your score takes a dump because of human error beyond YOUR control.
and i don't buy for a second that you light bill has late charges that hit two days after the bill is received. or 5 days for your water bill either. btw-is is extremely rare for utilities to report to the bureaus. btw II-credit reporting only docs you if you are at least 30 days on your payment.

 
Old 01-20-2018, 11:04 AM
 
4,543 posts, read 11,547,065 times
Reputation: 3063
Quote:
Originally Posted by hitpausebutton2 View Post
I get it, i really do. But why pay interest first prior to principle. If the principle is paid off first, then rest is interest, then if people bail on you, least you did get your money back is what im say'in...
completely flawed argument. please go study some finance 101 before you post anymore.
 
Old 01-20-2018, 11:11 AM
 
7,192 posts, read 5,262,976 times
Reputation: 7838
Quote:
Originally Posted by TimtheGuy View Post
Your score could drop a lot more than 20 points for a missed payment. Question is....WHY WOULD YOU MISS A PAYMENT???
Because things happen. I missed one because I was in the hospital, for example.

That said, companies are generally pretty forgiving if you have a good history and will let it slide on rare occasion.
 
Old 01-20-2018, 11:39 AM
 
Location: North Idaho
21,001 posts, read 25,765,271 times
Reputation: 39390
Quote:
Originally Posted by hitpausebutton2 View Post
I get it, i really do. But why pay interest first prior to principle. If the principle is paid off first, then rest is interest, then if people bail on you, least you did get your money back is what im say'in...
Oh, I get it. You are making a joke. Haha, very funny.

*
*
*

With the almost unbelievable possibility that you are actually serious, no, you do not pay all the interest first. With each payment, you pay the interest that is owed for the balance of your debt. You pay all the interest and a few dollars toward the balance of what you owe. At that moment, you do not owe any more interest. You could pay off the balance of the debt at that moment and you would just pay the balance with no more interest.

But, you let the debt ride until the next payment is owed and by that time, more interest has accrued. So you make your payment and all of the interest you owe is paid and a few dollars come off the balance of your debt. At that moment, all the interest you owe has been paid completely off.

Because you paid a few dollars of the balance, the interest you owe is slightly less and your payment towards you balance is slightly higher.

You let it ride until the next payment ups due, and by that time, more interest has accrued and you pay all that interest plus a bit towards the debt.

Each time you make a payment, you pay the interest you owe down to zero. Each time you make a payment, the balance of what you owe goes down a bit, so with each payment there is slightly less interest and slightly more paid on your principle (the amount you borrowed.)

You are just going to have to accept that is the way it is done.
 
Old 01-20-2018, 03:22 PM
 
64,629 posts, read 66,129,695 times
Reputation: 43046
Quote:
Originally Posted by TimtheGuy View Post
completely flawed argument. please go study some finance 101 before you post anymore.
i agree , the lack of understanding is huge here
 
Old 01-20-2018, 04:19 PM
 
15,616 posts, read 9,160,753 times
Reputation: 67792
Quote:
Originally Posted by mathjak107 View Post
it is amazing how little understanding of personal finance there is out there .

for some life will always be about wanting the bar lowered rather than them elevating themselves
This is Economics not Personal Finance. All of you - especially regular posters here who should know better - need to stop engaging posters about their personal financial woes.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.

Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.


Closed Thread

Over $104,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > General Forums > Economics
Follow City-Data.com founder on our Forum or

All times are GMT -6.

2005-2018, Advameg, Inc.

City-Data.com - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35 - Top