Hi everyone,
I am in the process of setting up direct deposit and auto payments to deposit and pull from Fidelity’s Cash Management Account. I noticed there are two sets of account numbers: one with 7710ABCDEFGHI written on the checks and 39900000ABCDEFGHI on the Fidelity website. Can I use either for direct deposit and autopays or should I use each in specific circumstances? So far I have been using the 7710 number for both direct deposits and autopays.
Thanks!
Search found 192 matches
- Thu Apr 13, 2023 3:32 am
- Forum: Personal Finance (Not Investing)
- Topic: Fidelity as a one stop shop
- Replies: 5973
- Views: 1009042
- Sun Jan 01, 2023 9:15 pm
- Forum: Investing - Theory, News & General
- Topic: REGISTRATION FOR THE 2023 BOGLEHEAD CONTEST
- Replies: 672
- Views: 40248
- Tue Dec 20, 2022 8:49 am
- Forum: Personal Finance (Not Investing)
- Topic: H&R Block 2022 software offer
- Replies: 281
- Views: 33344
Re: H&R Block 2022 software offer
Thanks for the Newegg tips! Grabbed the Premium software for $35.
- Tue Dec 20, 2022 8:48 am
- Forum: Personal Investments
- Topic: Why Vanguard for Active?
- Replies: 6
- Views: 637
Why Vanguard for Active?
“We’re built to deliver superior results for our clients. That’s the Value of Ownership.”
I just saw this Vanguard ad on MarketWatch with the title of this post as the header and the quotation above as the description.
I am sharing this because, as many on this forum have noted, I believe Vanguard is losing the traits it was originally built on. Today, it has poor website/app design, less account features, and now they are promoting active management. This is why I moved away from Vanguard as I am not confident in their ability to best serve the needs of their client base.
I just saw this Vanguard ad on MarketWatch with the title of this post as the header and the quotation above as the description.
I am sharing this because, as many on this forum have noted, I believe Vanguard is losing the traits it was originally built on. Today, it has poor website/app design, less account features, and now they are promoting active management. This is why I moved away from Vanguard as I am not confident in their ability to best serve the needs of their client base.
- Wed Dec 07, 2022 9:57 pm
- Forum: Personal Finance (Not Investing)
- Topic: H&R Block 2022 software offer
- Replies: 281
- Views: 33344
Re: H&R Block 2022 software offer
I need to purchase the Premium H&R Block software; unfortunately I missed the Black Friday deals. Does anyone know if they will launch Christmas sales or any other deals over the next few months? I'm afraid I missed the boat.
- Wed Aug 17, 2022 3:01 pm
- Forum: Personal Finance (Not Investing)
- Topic: Inflation Reduction Act - Clean Energy tax credit for home purchases
- Replies: 82
- Views: 12058
Re: The new passed climate bill: optimizing home purchases for tax savings?
I am not sure I understand the extension of the home energy credit. I had installed a heat pump in January 2022. I keep hearing the 2021 credit limits were extended into 2022, then the new credit limits will go into effect starting in 2023. However, when looking at the bill text, it appears the “new credit limits going into effect in 2023” would only apply to boilers.
Does anyone have clarity on what part of the bill refers to the old credit limits for heat pumps being applicable to 2022? If the new credit rules are applicable to 2022, then it will result in a larger refund for me for 2022 tax year.
Does anyone have clarity on what part of the bill refers to the old credit limits for heat pumps being applicable to 2022? If the new credit rules are applicable to 2022, then it will result in a larger refund for me for 2022 tax year.
- Thu Apr 07, 2022 9:16 am
- Forum: Personal Investments
- Topic: Why hasn’t Ally raised its Online Savings Rates
- Replies: 94
- Views: 14196
Why hasn’t Ally raised its Online Savings Rates
Hey everyone,
Does anyone know why Ally has not raised its rates since the Fed raised theirs? I remember during the rising interest period before COVID, Ally would raise their rates pretty much in lockstep with the Fed. More of a curiosity than anything else.
Does anyone know why Ally has not raised its rates since the Fed raised theirs? I remember during the rising interest period before COVID, Ally would raise their rates pretty much in lockstep with the Fed. More of a curiosity than anything else.
- Sat Jan 15, 2022 8:11 pm
- Forum: Personal Consumer Issues
- Topic: Help Needed: Website Server Capacity Options
- Replies: 6
- Views: 1051
Help Needed: Website Server Capacity Options
Hey everyone, I run a website that is currently using Hostgator’s Business Cloud option. The site receives traffic only in the winter time. When it does, typically hundreds of people try accessing the website at once, then traffic immediately peters out. This happens many times through the winter. Each time this happens, users get error messages saying the site is overloaded because too many individuals are accessing it at once (a good problem). I am itching to upgrade the site to something that can handle the traffic, but I do not want to waste money during the summer months when there is no traffic in it. The business using the site is very small, so it doesn’t have the resources to run a high end server a year. Does anyone have recommend...
- Thu Dec 30, 2021 4:34 pm
- Forum: Personal Consumer Issues
- Topic: Tax Credit for A/C?
- Replies: 3
- Views: 376
Re: Tax Credit for A/C?
Sounds like I am out of luck - hopefully some retroactive legislation is passed. That answers it - thanks everyone.
- Thu Dec 30, 2021 3:51 pm
- Forum: Personal Consumer Issues
- Topic: Tax Credit for A/C?
- Replies: 3
- Views: 376
Tax Credit for A/C?
Hi everyone,
I just signed a contract financially committing to a new energy-efficient A/C system. Unit will be installed on 1/10/2022. I am seeing mixed verbiage on the $300 federal tax credit, which appears to be expiring on 12/31/2021. Some sites say you need to be financially committed by 12/31/2021; others say the unit has to be installed by 12/31/2021.
Any tips or guidance on if I can claim the federal credit for 2021 taxes or am I out of luck? Side note: I do not get an electrical company credit because I live in a townhouse.
I just signed a contract financially committing to a new energy-efficient A/C system. Unit will be installed on 1/10/2022. I am seeing mixed verbiage on the $300 federal tax credit, which appears to be expiring on 12/31/2021. Some sites say you need to be financially committed by 12/31/2021; others say the unit has to be installed by 12/31/2021.
Any tips or guidance on if I can claim the federal credit for 2021 taxes or am I out of luck? Side note: I do not get an electrical company credit because I live in a townhouse.
- Mon Dec 27, 2021 2:15 pm
- Forum: Personal Finance (Not Investing)
- Topic: Where to relocate for remote work and travel?
- Replies: 61
- Views: 7125
Re: Where to relocate for remote work and travel?
To my knowledge, no evacuations. Irma was the latest notable hurricane to hit the area (1 week until power restored for most). Charley was the big one though (out of power 2 weeks).stan1 wrote: ↑Mon Dec 27, 2021 2:08 pmI suppose I could look this up, but historically has Orlando ever had to evacuate due to hurricane, had severe damage from a hurricane, or had large portions of the city inundated by heavy flooding?CPA without a cause wrote: ↑Mon Dec 27, 2021 2:00 pm Early last year (right before pandemic) we moved from the Boston area to Orlando, specifically Thornton Park, a neighborhood in downtown Orlando.
- Mon Dec 27, 2021 2:12 pm
- Forum: Personal Finance (Not Investing)
- Topic: Where to relocate for remote work and travel?
- Replies: 61
- Views: 7125
Re: Where to relocate for remote work and travel?
Would be surprised if there are any non-stops to major European destinations except out of Miami. Tampa and Orlando have direct flights to UK, Germany and Switzerland I believe. Orlando... add Iceland to the list as well. Correct. Orlando is actually the best airport for my needs, I just haven't met anyone who lives there and gives it a good review yet. I live on the north side of Orlando in Seminole County, about 40 minutes to the primary airport (KMCO). There is a other smaller airport (KSFB) that is great for US-flights on Allegiant. Cost of living is rising, but still affordable compared to Miami area. There are Latin cultural spots in the area. The Orlando airport has a lot of connections to Latin America and Europe as others have men...
- Wed Dec 22, 2021 9:47 am
- Forum: Investing - Theory, News & General
- Topic: Locked and merged threads on proposed budget, Roth, etc.
- Replies: 279
- Views: 33750
Re: Backdoor Roth 2022
Continue business as usual unless the law officially changes.
- Mon Nov 01, 2021 5:03 am
- Forum: Personal Consumer Issues
- Topic: Will Porting My Primary Number Disrupt Parents’ Lines?
- Replies: 2
- Views: 460
Will Porting My Primary Number Disrupt Parents’ Lines?
Hello!
My parents and I are currently with Verizon on a family plan and I will soon port my number to a different provider. My parents are staying with Verizon. The one caveat is my number is listed as the primary on the account. If I do not change the primary number settings on the Verizon account, will porting my number away cause service disruptions or issues to my parents’ lines?
Thanks!
My parents and I are currently with Verizon on a family plan and I will soon port my number to a different provider. My parents are staying with Verizon. The one caveat is my number is listed as the primary on the account. If I do not change the primary number settings on the Verizon account, will porting my number away cause service disruptions or issues to my parents’ lines?
Thanks!
- Tue Oct 19, 2021 8:29 pm
- Forum: Investing - Theory, News & General
- Topic: Why Roth conversions always pay off—if you can hold on long enough
- Replies: 413
- Views: 69138
Re: Why Roth conversions always pay off—if you can hold on long enough
Very intriguing thread - thank you for the effort you have put into this.
Sorry if I missed this, but did you perform an analysis on if one of the spouses dies (say, at age 80) and the surviving spouse is pushed into the single tax brackets? I suspect this would be favorable for Roth conversions.
Sorry if I missed this, but did you perform an analysis on if one of the spouses dies (say, at age 80) and the surviving spouse is pushed into the single tax brackets? I suspect this would be favorable for Roth conversions.
- Fri Oct 15, 2021 10:01 am
- Forum: Investing - Theory, News & General
- Topic: I Bonds Mega Thread (I Bond Heads Rejoice!)
- Replies: 6651
- Views: 1204175
Re: I Bonds Mega Thread (I Bond Heads Rejoice!)
Hallelujah! A Mega Thread for I Bonds!
- Wed Oct 13, 2021 8:32 am
- Forum: Investing - Theory, News & General
- Topic: I Bonds Mega Thread (I Bond Heads Rejoice!)
- Replies: 6651
- Views: 1204175
- Wed Oct 13, 2021 8:18 am
- Forum: Investing - Theory, News & General
- Topic: I Bonds Mega Thread (I Bond Heads Rejoice!)
- Replies: 6651
- Views: 1204175
- Sat Sep 25, 2021 10:42 am
- Forum: Personal Finance (Not Investing)
- Topic: I’m Planning to Claim SS @62… Well, Why Not? ►Updated w/Funded Ratio
- Replies: 355
- Views: 40782
Re: I’m Planning to Claim SS @62… Well, Why Not?
It is interesting to me how this is a “take at 62 or 70” argument… why not take at 67 and split the difference, best of both worlds?
- Mon Sep 20, 2021 2:59 pm
- Forum: Investing - Theory, News & General
- Topic: U.S. stocks in free fall
- Replies: 36221
- Views: 4653440
Re: Today is a RBD
A really bad day(s) reminds me of 1987, 2008/09, and 2020; a 2% drop is nothing.
- Tue Sep 14, 2021 7:57 pm
- Forum: Investing - Theory, News & General
- Topic: Stock Bubble? History Argues the Contrary
- Replies: 136
- Views: 15429
Re: Stock Bubble? History Argues the Contrary
I wanted to post an update given recent market gains. According to my calculations, we are around a 45-50% premium above modern historical average. It will be interesting to see if gains continue or if we are due for a retraction; still not changing my investment portfolio (100% stocks, 80% US/20% International).
- Thu Aug 26, 2021 7:11 pm
- Forum: Personal Finance (Not Investing)
- Topic: Refinance Mega Thread
- Replies: 12862
- Views: 1265839
Re: Refinance Mega Thread
Final details from closing (completed today):sapphire96 wrote: ↑Tue Aug 03, 2021 6:57 pm Just refinanced with Better Mortgage...
Old Loan:
2.25% 15 Year, 171 months remaining, $200,000 original loan amount.
Payment: $1,310.17
New Loan:
2% 15 year, $191,520
Payment: $1,232.45
A+B+C+E = $3,120
Lender Credits = $3,448
Was paid $328 to lower my rate to 2%. Will pay mortgage at my original payment rate to accelerate payoff date. This refinance will reduce my payoff date by a couple of months, save $5,000 in interest over the life of the loan, and reduce my emergency fund requirement by $500.
Edits: grammar and punctuation.
2% 15 year, $190,938
Payment: $1,228.70
A+B+C+E = $2,617.52
Lender Credits = $3,424.99
Was paid $807 to lower my rate to 2%.
- Mon Aug 23, 2021 5:58 pm
- Forum: Personal Finance (Not Investing)
- Topic: Refinance Mega Thread
- Replies: 12862
- Views: 1265839
- Tue Aug 17, 2021 9:57 am
- Forum: Personal Finance (Not Investing)
- Topic: Refinance or Pay Cash for Home Renovations?
- Replies: 9
- Views: 877
Re: Refinance or Pay Cash for Home Renovations?
If you are paying cash for your Master degrees, why not do the same for your renovations? IMO, degrees are more justified to finance than renovations, and the fact you are paying cash for your degrees, inclines me to pay cash for renovations.
- Tue Aug 17, 2021 9:49 am
- Forum: Investing - Theory, News & General
- Topic: Rick Ferri and Larry Swedroe sparring on Twitter.
- Replies: 249
- Views: 26973
Re: Rick Ferri and Larry Swedroe sparring on Twitter.
Debate is okay - I didn’t see anything wrong per se with their discussion. Debate is often a result of sharing ideas.
- Fri Aug 13, 2021 8:44 am
- Forum: Personal Finance (Not Investing)
- Topic: Refinance Mega Thread
- Replies: 12862
- Views: 1265839
Re: Refinance Mega Thread
Hello: Fairly new member of the forum here and first time poster on this thread. It has come to my attention that I should be looking to refinance my home mortgage. I am new to the process and, to be honest, fairly ignorant about what I need to be considering when doing this. I was hoping someone here could help me work through this (if this would be better off as a separate thread, let me know and I can start that). Current mortgage: $386,500 (home value likely >$700,000) Rate: 3.625 30 year fixed originated October 2017 Current P&I: $1,932/month Goals: 1) lower rate 2) pay off mortgage in ~10-15 yrs In theory, we have enough funds to pay off the mortgage today but I am not excited about the loss of that much liquidity and the impact ...
- Thu Aug 12, 2021 7:58 am
- Forum: Personal Investments
- Topic: “ If the variable rate for U.S. Series I Savings Bonds reset today, it would go to 6.14%.”
- Replies: 5
- Views: 1365
Re: “ If the variable rate for U.S. Series I Savings Bonds reset today, it would go to 6.14%.”
I think this is the link you are referring to.anon_investor wrote: ↑Thu Aug 12, 2021 7:50 amI think Tipswatch explained on his blog how the fixed interest rate for I Bonds has been determined historically (it has something to do with real yields in relation to the current yields on certain nominal treasury securities), and based on that the chances of the fixed rate increasing from 0% is basically 0.
https://tipswatch.com/2021/05/03/i-bon ... s-to-3-54/
- Thu Aug 12, 2021 7:19 am
- Forum: Personal Investments
- Topic: “ If the variable rate for U.S. Series I Savings Bonds reset today, it would go to 6.14%.”
- Replies: 5
- Views: 1365
“ If the variable rate for U.S. Series I Savings Bonds reset today, it would go to 6.14%.”
Who says you can’t have a bond with a good rate of return.
https://tipswatch.com/2021/08/11/july- ... ssion=true
https://tipswatch.com/2021/08/11/july- ... ssion=true
- Sun Aug 08, 2021 5:18 pm
- Forum: Personal Finance (Not Investing)
- Topic: Refinance Mega Thread
- Replies: 12862
- Views: 1265839
Re: Refinance Mega Thread
Pick the interest rate that has enough lender credits (which should be displayed as a negative cost) which match or exceed the total third party lender costs (which is usually A + B + C + E on a loan estimate). This is a no-cost refinance; you are in essence lowering your interest rate for free. If you spend points, there is typically a 7-9 year breakeven period... unless you plan on not refinancing in the next 7 to 9 years, it's better to have the credits today. The best offer that I have found so far, I think is NASB - offering 2.375% with $700 cash needed from me to close; payment would decrease from $2,200 to $1,650. If I choose to have my taxes escrowed, then there is no cash needed to close (the lender credit increases by $700). Bett...
- Sun Aug 08, 2021 9:11 am
- Forum: Personal Finance (Not Investing)
- Topic: Refinance Mega Thread
- Replies: 12862
- Views: 1265839
Re: Refinance Mega Thread
Pick the interest rate that has enough lender credits (which should be displayed as a negative cost) which match or exceed the total third party lender costs (which is usually A + B + C + E on a loan estimate). This is a no-cost refinance; you are in essence lowering your interest rate for free. If you spend points, there is typically a 7-9 year breakeven period... unless you plan on not refinancing in the next 7 to 9 years, it's better to have the credits today. What a great thread - finding out about all of these direct lenders is great. Currently on a 15 year mortgage with 135 payments left @ 3.25%, so looking at 15 year rates. The new loan is approx. $250K and loan offers are recommending paying the mortgage tax again vs. going for a C...
- Sun Aug 08, 2021 9:02 am
- Forum: Personal Finance (Not Investing)
- Topic: Refinance Mega Thread
- Replies: 12862
- Views: 1265839
Re: Refinance Mega Thread
The difference is you did a cash out - they would probably do a refi again now, but it would be priced as a cash out refi again - have to typically wait 6 months in that situation (Fannie/freddie requirement?) If it was a regular refi you could refi imediately Welp, it turns out that the six-month waiting period after doing a cash-out refi is not only NOT an industry standard thing, it's not even a Better.com standard! After getting told no by the first Better agent, I checked with Rocket and they said it was no problem, as long as I wasn't doing another cash out. So on a whim I checked with a different Better agent, and she said it was no problem with Better as well. So, I locked yesterday with Better at 2.625 with $1044 credit + AmEx 2k ...
- Sat Aug 07, 2021 9:07 am
- Forum: Personal Finance (Not Investing)
- Topic: Refinance Mega Thread
- Replies: 12862
- Views: 1265839
Re: Refinance Mega Thread
Dear wise Boglehead'ers, This is my first post on BH, so pardon me for anything I'm missing. I'm about to refinance my mortgage. Can you please guide if this refi is worth going for? Current Mortgage: 30 years @ 3%, Original Loan amount = 1.389M remaining loan balance: 1089000 Monthly principal + interest = 5858 total monthly payment = 7605 loan year 2020 remaining term = 28 yrs, 3 months funds in escrow = 10K Proposed Refi Mortgage: 30 years @ 2.75%, Loan amount: 1087000 Monthly principal + interest = 4438 Estimated total monthly payment = 6445 Closing Cost = 6970 ($4,432.25 in Loan Costs + $14,276.45 in Other Costs - $11,739.60 in Lender Credits) Cash to Close (to the borrower) = 472.19 Many thanks in advance. - Bodhitree Is "Loan C...
- Thu Aug 05, 2021 9:53 pm
- Forum: Personal Finance (Not Investing)
- Topic: Refinance Mega Thread
- Replies: 12862
- Views: 1265839
Re: Refinance Mega Thread
Hey all, thanks for all the help so far. I have another quick question. Our rate is 2.375% with $2400 back at closing but the APR is 2.406%. Why would the APR go up, we're not buying it down? What am I missing? We could've done 2.25% and paid $300 in points and had an APR of 2.258% but decided the credit would be nice to offset some of the closing costs. 20 yr term. Any insight would be appreciated. Thanks -S Ignore APR. APR, by regulatory definition, does *not* include lender credits. A+B+C+E-Lender Credits is the only number that matters. This. And to further, what can/cannot be included in APR is flexible and varies by lender. So it’s pretty flawed vs. comparing the real cost to refinance (A + B + C + E - lender credits). This needs to ...
- Thu Aug 05, 2021 9:54 am
- Forum: Personal Finance (Not Investing)
- Topic: Refinance Mega Thread
- Replies: 12862
- Views: 1265839
Re: Refinance Mega Thread
Lucky that your ABCE is only $1,100. Florida refinances are expensive; mine was $3,121.BrandonBogle wrote: ↑Thu Aug 05, 2021 9:09 am So for those keeping track, my closing for refi # 5 with Better was earlier this week. I was ready to close in 15 days, but then had to wait out the six months since my prior Better refi.
2.5% 15 year cash out loan $275k
- waived escrow
- appraisal paid by Better
- A + B + C + E = $1,100
- Lender Credits = $4,950
- Amex Credits = $2,000
- Profit = $5,850
At this point, I’m over $17k in profit above my closing costs through these refis. I await refi # 6 as a rate-and-term refi vs. the current cash out.
And for those wondering, my loan balance was $130k previously. I took out $145k to invest.
- Thu Aug 05, 2021 7:16 am
- Forum: Personal Finance (Not Investing)
- Topic: Refinance Mega Thread
- Replies: 12862
- Views: 1265839
Re: Refinance Mega Thread
- do I put some money (e.g. $100,000) to the loan to lower the balance/payment? That is known as a loan recast, where you put a lumpsum payment in exchange for a lower rate. You can ask your lender about it, and it may be cheaper than a refinance, but you did express concerns about losing liquidity. Thanks very much for your response. I will start the process tomorrow. Regarding the question I copied above, would it be an option to refinance and pay down an amount like the 100,000 at the same time? This would essentially be that middle ground you were referring to? I keep some liquidity by not paying down the whole amount, I reduce the loan duration to 15 years, and the monthly payment remains the same due to the lower loan amount? Sounds ...
- Wed Aug 04, 2021 8:38 pm
- Forum: Personal Finance (Not Investing)
- Topic: Refinance Mega Thread
- Replies: 12862
- Views: 1265839
Re: Refinance Mega Thread
Please help: -I refinanced a little over a year ago to a 15 year 2.625% loan with no closing costs -Currently owe $198,000 with Zillow listing the property worth $604,000 Am looking for a better rate that will save me on interest. What is my best option right now? Thanks in advance! See my post above - got it by screenshotting Better's advertised rate on Bankrate, then having Better match their advertised rate. I see 1.75 percent for 15 yrs with upfront cost of $1,990 with 1.oo5 points. Are the points worth it with the upfront costs? Does Better adjust where i can get a 14 year loan? Points usually take 7 to 9 years to breakeven. Unless you plan on not refinancing for the next 7 to 9 year, it is better to have enough lender credits to cove...
- Wed Aug 04, 2021 8:32 pm
- Forum: Personal Finance (Not Investing)
- Topic: Refinance Mega Thread
- Replies: 12862
- Views: 1265839
Re: Refinance Mega Thread
Hello: Fairly new member of the forum here and first time poster on this thread. It has come to my attention that I should be looking to refinance my home mortgage. I am new to the process and, to be honest, fairly ignorant about what I need to be considering when doing this. I was hoping someone here could help me work through this (if this would be better off as a separate thread, let me know and I can start that). Current mortgage: $386,500 (home value likely >$700,000) Rate: 3.625 30 year fixed originated October 2017 Current P&I: $1,932/month Goals: 1) lower rate 2) pay off mortgage in ~10-15 yrs In theory, we have enough funds to pay off the mortgage today but I am not excited about the loss of that much liquidity and the impact ...
- Tue Aug 03, 2021 7:02 pm
- Forum: Personal Finance (Not Investing)
- Topic: Refinance Mega Thread
- Replies: 12862
- Views: 1265839
Re: Refinance Mega Thread
See my post above - got it by screenshotting Better's advertised rate on Bankrate, then having Better match their advertised rate.dodgersummer wrote: ↑Tue Aug 03, 2021 4:26 pm Please help:
-I refinanced a little over a year ago to a 15 year 2.625% loan with no closing costs
-Currently owe $198,000 with Zillow listing the property worth $604,000
Am looking for a better rate that will save me on interest. What is my best option right now? Thanks in advance!
- Tue Aug 03, 2021 6:57 pm
- Forum: Personal Finance (Not Investing)
- Topic: Refinance Mega Thread
- Replies: 12862
- Views: 1265839
Re: Refinance Mega Thread
Just refinanced with Better Mortgage...
Old Loan:
2.25% 15 Year, 171 months remaining, $200,000 original loan amount.
Payment: $1,310.17
New Loan:
2% 15 year, $191,520
Payment: $1,232.45
A+B+C+E = $3,120
Lender Credits = $3,448
Was paid $328 to lower my rate to 2%. Will pay mortgage at my original payment rate to accelerate payoff date. This refinance will reduce my payoff date by a couple of months, save $5,000 in interest over the life of the loan, and reduce my emergency fund requirement by $500.
Edits: grammar and punctuation.
Old Loan:
2.25% 15 Year, 171 months remaining, $200,000 original loan amount.
Payment: $1,310.17
New Loan:
2% 15 year, $191,520
Payment: $1,232.45
A+B+C+E = $3,120
Lender Credits = $3,448
Was paid $328 to lower my rate to 2%. Will pay mortgage at my original payment rate to accelerate payoff date. This refinance will reduce my payoff date by a couple of months, save $5,000 in interest over the life of the loan, and reduce my emergency fund requirement by $500.
Edits: grammar and punctuation.
- Mon Aug 02, 2021 10:05 pm
- Forum: Personal Consumer Issues
- Topic: I really want a car but don't need one: Please help
- Replies: 64
- Views: 7824
Re: I really want a car but don't need one: Please help
It sounds like you are in good shape financially. If you do decide to get a newish vehicle (3 or 4 years old, when the biggest year-over-year depreciation has past), a good rule of thumb is 20/3/8 (from the Money Guy show)...
20% downpayment.
No more than 3 year financing term.
Monthly payment no more than 8% of your monthly income.
Your monthly investment contributions (IRAs, 401(k)s, etc.) is more than your car payment.
20% downpayment.
No more than 3 year financing term.
Monthly payment no more than 8% of your monthly income.
Your monthly investment contributions (IRAs, 401(k)s, etc.) is more than your car payment.
- Sun Aug 01, 2021 8:39 pm
- Forum: Personal Finance (Not Investing)
- Topic: Refinance Mega Thread
- Replies: 12862
- Views: 1265839
Re: Refinance Mega Thread
For those that are using a no-cost refinance strategy (where you get enough credits to zero out your closing costs (A + B + C + E) and therefore immediately break-even), how often do you refinance when interest rates drop? For example, do you refinance when a no-cost refi would result in a 0.125% rate reduction, 0.25%, 0.5%, etc.? Do you wait a certain number of months between refis?
- Wed Jul 21, 2021 9:33 pm
- Forum: Personal Investments
- Topic: Refinance to do Mega Backdoor 401(k)?
- Replies: 23
- Views: 1416
Re: Refinance to do Mega Backdoor 401(k)?
Thanks everyone for the replies! Excellent points were made. It sounds like either choice has it’s pros and cons. After consideration and talking with Better, I am leaning towards refinancing to a 15 year at 2%. The key is if I can get enough lender credits to cover costs (A+B+C+E on the loan estimate). If I really wanted to, I could take the (small) difference in payment and start the Mega Backdoor. I agree with the earlier comment regarding I committed to a 15 year for a reason; refinancing to a 30 year temps me to increase my lifestyle (expenses!) due to increased flexibility. Plus it ensures I stay on track for paying off the house by 50/55… the 30 year pushes that envelope. Additionally, with a potential raise in the works, that extra...
- Wed Jul 21, 2021 9:30 pm
- Forum: Personal Investments
- Topic: Refinance to do Mega Backdoor 401(k)?
- Replies: 23
- Views: 1416
Re: Refinance to do Mega Backdoor 401(k)?
Thanks everyone for the replies! Excellent points were made. It sounds like either choice has it’s pros and cons. After consideration and talking with Better, I am leaning towards refinancing to a 15 year at 2%. The key is if I can get enough lender credits to cover costs (A+B+C+E on the loan estimate). If I really wanted to, I could take the (small) difference in payment and start the Mega Backdoor. I agree with the earlier comment regarding I committed to a 15 year for a reason; refinancing to a 30 year temps me to increase my lifestyle (expenses!) due to increased flexibility. Plus it ensures I stay on track for paying off the house by 50/55… the 30 year pushes that envelope. Additionally, with a potential raise in the works, that extra...
- Wed Jul 21, 2021 6:23 pm
- Forum: Personal Investments
- Topic: Refinance to do Mega Backdoor 401(k)?
- Replies: 23
- Views: 1416
Re: Refinance to do Mega Backdoor 401(k)?
Thanks everyone for the replies! Excellent points were made. It sounds like either choice has it’s pros and cons. After consideration and talking with Better, I am leaning towards refinancing to a 15 year at 2%. The key is if I can get enough lender credits to cover costs (A+B+C+E on the loan estimate). If I really wanted to, I could take the (small) difference in payment and start the Mega Backdoor. I agree with the earlier comment regarding I committed to a 15 year for a reason; refinancing to a 30 year temps me to increase my lifestyle (expenses!) due to increased flexibility. Plus it ensures I stay on track for paying off the house by 50/55… the 30 year pushes that envelope. Additionally, with a potential raise in the works, that extra ...
- Wed Jul 21, 2021 3:35 pm
- Forum: Personal Investments
- Topic: Refinance to do Mega Backdoor 401(k)?
- Replies: 23
- Views: 1416
Re: Refinance to do Mega Backdoor 401(k)?
Exactly.cashheavy18 wrote: ↑Wed Jul 21, 2021 3:35 pmMy guess would be the lower monthly payments frees up those dollars to do the mega backdoor Roth.tomsense76 wrote: ↑Wed Jul 21, 2021 3:32 pm Mega Backdoor contributions come out of payroll. Not sure that your employer will let you contribute a lump sum outside of your paychecks into the plan (I asked mine this question before and they said no). Given this, I'm not entirely following what the refinance accomplishes.
- Wed Jul 21, 2021 3:35 pm
- Forum: Personal Investments
- Topic: Refinance to do Mega Backdoor 401(k)?
- Replies: 23
- Views: 1416
Re: Refinance to do Mega Backdoor 401(k)?
The refinance would adjust future cash flows, no lump sum investing or cash outs. Instead of $550 going to a mortgage debt, it would go into a Roth 401(k) via Mega Backdoor through payroll deductions.tomsense76 wrote: ↑Wed Jul 21, 2021 3:32 pm Mega Backdoor contributions come out of payroll. Not sure that your employer will let you contribute a lump sum outside of your paychecks into the plan (I asked mine this question before and they said no). Given this, I'm not entirely following what the refinance accomplishes.
- Wed Jul 21, 2021 3:26 pm
- Forum: Personal Investments
- Topic: Refinance to do Mega Backdoor 401(k)?
- Replies: 23
- Views: 1416
Refinance to do Mega Backdoor 401(k)?
Hi folks, I am considering refinancing my 15 year mortgage to a 30 year, take the difference, and invest in my employer’s mega backdoor Roth account. Below are my details. Age: 24 State: FL Single, but in serious relationship. Marginal Tax Bracket: 22% Retirement Age Goal: 50-55 at 3.5% initial withdraw rate. Balances: Cash: $10,000 I Bonds (2nd Tier Emergency Fund): $15,000 ($5,000 of which was invested last month) 401k + Roth Balance: 110,000. HSA: $4,200 Taxable: $3,000 Annual Contributions: 401k: $19,500 Roth: $6,000 HSA: $3,600 Current Mortgage: Original Balance: $200,000 Current Balance: $191,500 Rate: 2.25% at 15 Years, 9 months in. Payment: $1,310 Proposed Mortgage at Better: $191,500 (73% LTV) 2.625% (credits offset costs) at 30 ye...
- Tue Jul 20, 2021 7:17 am
- Forum: Personal Finance (Not Investing)
- Topic: Refinance Mega Thread
- Replies: 12862
- Views: 1265839
Re: Refinance Mega Thread
Just got Better to give me 1.75% 15-year with no points... but with about $2,000 in closing costs. This would be offset by the Amex credit. Any thoughts on waiting for lender credits on that rate? I just locked a 15year with Better at 1.75%, almost $3000 lender credit plus the Amex credit. On Friday it was $9 lender credit. I couldn't resist those numbers. Oh man. What state and loan balance? How did you get so much credit??? Colorado, loan balance $335000, value $700000. Appraisal waived. No escrow. Not sure why the credit changed so significantly between Friday and Monday, I didn't do anything different or ask for anything additional. I had asked prior to match bankrate which they did last week. Rates have been dropping over the last few...
- Tue Jul 13, 2021 7:53 am
- Forum: Investing - Theory, News & General
- Topic: What's the catch with I Bonds?
- Replies: 356
- Views: 73984
Re: What's the catch with I Bonds?
June non seasonally adjusted CPI came in at 0.9% MoM, 271.10. Comparing this to Mar 2021’s 264.877, we are up 2.35%. If I Bonds were to “reset” their rate today, it would be annualized to 9.4% (2.3 times 4).
- Thu Jul 08, 2021 6:19 pm
- Forum: Personal Finance (Not Investing)
- Topic: Disappointed in Fidelity 2% Cash Back credit card
- Replies: 221
- Views: 23453
Re: Disappointed in Fidelity 2% Cash Back credit card
Sorry for resurrecting an old thread, but what did you decide to do?CFM300 wrote: ↑Sat Jun 20, 2020 10:24 amOr she can keep the card, not open another Fidelity account, and still get cash back. It's just that it will then be a 1% cash back card, not 2%.Ferdinand2014 wrote: ↑Sat Jun 20, 2020 8:40 am You have the choice to cancel the card or open Fidelity account.