Can I claim these when filing my taxes

[suzie02]

Originally Posted by sweetana3

The question was NOT about sales tax directly and no one knows the date purchased. However, it does point out why learning about taxes is a good idea.

He says his car loan began April 2009. It seems to me he wants to know what he can deduct.

[JoulesMSU]

Originally Posted by DavieJ89

I'm 20 yrs old and this will be my 2nd time filing a tax return. Last year was relatively simple as I had virtually nothing to claim except the income I took in at my job. This year is different

I now own a car which is financed and am paying for. My payment is $190 a month at 6.5% interest, I have been paying it since April 2009

I also have 3 credit cards which carry a balance and am paying interest on those as well. One is 18% interest, another is 11.9% and another is 10.9%

I also recieved a letter from Bank of America stating that I earned $65.28 in interest income. Do I have to report that in spite of it being such a minuscule amount?

My father told me I can claim the interest Im paying on my car and credit cards and get more of a refund, is this true?

I randomly came across this thread, and it's old and dead so it doesn't really matter, but I just wanted to point out all the fail here....

You are paying interest on 4 different things, and yet you apparently have money just sitting around in the bank too. WAT?

That money would be better spent paying off the other things you are losing tons of money on, such as the 18% interest card, rather than sitting in the bank only earning 0.5% interest or whatever rate you are getting. The more you pay on the higher rates, the quicker they go away and the less they end up costing overall.

For example, if you owe $200 on an 18% card and have $50 sitting in the bank earning 0.05%, every month you are getting just $0.25 (25 cents) from your money in the bank and you are racking up $36 of interest on the credit card for a net loss of $35.75. If you had put the $50 on the card, you would only owe $150 on the card at 18% and have $0 in the bank... meaning you would only be racking up $27 of interest while earning nothing from the bank, for an overall net loss of $27... aka it's much cheaper to have nothing in the bank and pay your card down than it is to have something in the bank and even more on your card.

Also why are you using Bank of America? They are consistently rated one of the "worst companies in America" and I'm sure they are charging you all kinds of fees for their "service". Go find a local credit union and get away from those "too big to fail" banks as quick as possible.

Finally, get out of the mong cycle. Credit card debt is the worst kind of debt possible because a) it is ridiculously expensive and b) it is almost always unnecessary. Unless you had some kind of horrible event where you *had to* run up the cards to pay for emergency medical or repair bills or something like that, then there is no reason at all for you to have a balance or credit card debt. Especially if it's just for stupid stuff like buying fast food or electronics at Best Buy or whatever.

Identify the Mong Cycle: "I am being an idiot and wasting tons of money on interest rates"

Reject the Mong Cycle: Stop buying things you can't afford, pay off your cards ASAP, and *then* start saving money in your credit union account.

Profit.

[ukrkoz]

Actually, I averaged around $50 000 last year in savings account balance. I received income form from the bank for only $ 31.15. If he had $68 in savings interest income, he has about 2.5 times more cash stashed.
True question is, why in the world is a sane person carrying loan and THREE cards with ridiculous interest rate, but like it was pointed out, it's dead thread and you can not beat on a dead thread. Or horse.