Mortgage loan: Rate: 2.1 % Fixed for 10 years, duration of mortgage is 19 years. 1130pm
Car loan: 8400 at 5.1% over 5 years 160pm
Other loan: 25,000 at 5.7% over 10 years , 273pm
I also need to factor in college fees and related costs. One child planned to start in 3 years. Second child planned to start in around 5 or 6 years.
Car loan: 8400 at 5.1% over 5 years 160pm
Other loan: 25,000 at 5.7% over 10 years , 273pm
Or alternatively, would the mortgage lender be prepared to give OP an interest only arrangement on the mortgage for a year or two? Interest only payment on the mortgage is €360pm, freeing up about €770 per month. Put that towards the five year loan and it'll clear it in less than 12 months. At that point, you could put €1200pm towards the ten year loan which would clear it off in under two years.I wonder would it be worth asking your mortgage lender if they would refinance these loans?
€33k @2.1% would be €700 a year interest. At the moment, you are paying about €1,800 a year interest.
You can still pay off the loans over 5 years and 10 years, but it's just that you would get a lower rate.
Brendan
Or alternatively, would the mortgage lender be prepared to give OP an interest only arrangement on the mortgage for a year or two?
You should do your homework in relation to that. Though I expect that divorce may complicate the application. Ultimately, no need to be 'just over' the SUSI threshold as taxable income can be tweaked (via pension contributions, AVC, bike-to-work, unpaid leave etc.).I think we may be above grant amount, but not sure whats taken into account.
9. Interest only may be an option but for now I will keep that at the back of my mind
Which lender are you with?
Some allow borrowers to take two payment breaks during the term of the loan.
Having said that, I probably wouldn't use up one of them to get breathing space to pay off a slightly more expensive loan as you might need it more later.
Brendan
1. Tax review to see if anything further can be claimed
2. VHI review to see if I missed any claims
3. Continue to pay off loans particularly higher interest loan
4. Maintenance. Years back when we went to court I was on FIS and it seemed that could be impacted by maintenance order. Knowing full well that my ex would not pay, and already under extreme stress, we didnt look for maintenance. I have not been in receipt of FIS (Now WFP) For years, so might be worth checking on this.
5. My son is pending ASD assessment and suffering with anxiety, self harming so I dont see him coping with work and college simultaneously. Older child worked pretty much full time to put herself through college, but cant see my son going that path. Once he has diagnosis, I will get him to apply for Disability Allowance . If he got that it would help pay for services that he will need going forward. Ive no idea if he will get that and it could take a long time.
6. Good point about the grant as I may be able to up pension contributions to bring us under amount even to get the fees paid. I think they would look at 2023 year for income for starting college in 2025.
7. Open up credit union accounts for kids so they can start putting small amount away
8. Refinance of larger loan would be great but ive only recently obtained the mortgage and salary has not increased since, so i dont think its likely. I went for 10 year loan instead which isnt ideal.
9. Interest only may be an option but for now I will keep that at the back of my mind
One other thing is that Im going to apply for GP card as I dont have one. This has been.a huge oversight on my behalf as I think we are eligible.
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