lemons

Oh readers, what a week it's been. Some of you have heard this saga already, but let's review it one more time for the people in the back.

On Thursday morning, there was a large puddle under the Hub's SUV (which I actually didn't notice until that afternoon). It was power steering fluid. We pour another container of fluid in it Thursday night. By Friday morning, it's gone again. At 5 PM on Friday, I get a call saying the truck won't start. Great. I called our mechanic & let him know we were going to tow it over. The Hubs was able to get it started before I called AAA and drove it to the shop. And so began our week as a one-car household.

In a nutshell, the power steering basically exploded. Not literally exploded, but it was kind of like getting a hole in your aorta and spewing blood everywhere. The entire engine was coated in power-steering fluid and driving for two days without fluid had damaged the pump. Both of those parts needed to be replaced. The car wouldn't start because the battery was on it's last leg, so that needed to be replaced. Then, because all that work was going on in the front end, we had to have a wheel alignment done.

But wait, I'm not done yet.

In August, we took the SUV for new brakes. At that time, our mechanic, Chris, let us know we needed new hub bearings. We didn't have the extra money to spare at that time (it would be about $600), but we made a mental note to plan for that service once school started. When Chris called me yesterday to let me know the worst of the repairs were over, he said "but I can't in good conscious let you drive it off my lot with the bearings as they are now."

What was I supposed to do? Those had to get replaced as well. The good news was only the left side needed to be replaced. The right side can hold out a few more months.

Still not done, though.

Last summer, the Hubs' gas sensor stopped working. A bit of googling revealed this was a common problem in Trailblazers, but Chevy would not acknowledge the problem with a recall. In Fall 2011, we received a letter from Chevy indicating they would be willing to cover half the cost of a new fuel sensor as long as we had it fixed at a dealership. Again, not something that was emergent, so we put away the letter for another day. In light of all these repairs, I went digging in my files for this letter. The Hubs and I both thought we had until the end of this year to have the repair done, but, of course, it needs to be completed by 10/31/2012. Yes, that's right, 5 days from today. Nothing like a little last minute action to light a fire under your ass.

We're picking up the truck up tonight and tomorrow morning bringing it back to our local dealer to fix the fuel sensor. They let me know on the phone the part was a little less than $150, so hopefully, they won't kill us on labor and we'll be able to put this epic repair on the books.

In response to this nightmare, we decided we're going to trade in this vehicle (and by we, I mean me, but the Hubs also later agreed). Although most people probably wouldn't bother to fix the car in that case, ultimately, I believe it will help us in the long run because we'll be able to take our time in shopping for a car and won't feel rushed into a decision that might not be the best in the long-term.

I'm a bit miffed that my husband is getting a new car before me, but I'll be so happy the day the Trailblazer is gone. Besides, now is the fun part: Car shopping! We'll definitely be downsizing - right now I'm digging the Kia Soul. The Hubs is a big guy (6'2" - I won't tell you what he weighs ;-) ), so we need something with head & leg room, but that's also fuel efficient. Feel free to send in your endorsement!

what we have here...

... you know the rest.

We had a slight failure to communicate this week regarding our finances this past week. Luckily, it didn't cause any major damage, but I'll get to that momentarily.

Last month, we had to take The Hubs' vehicle to the repair shop. It was making this ridiculous clunking noise. Obviously, not good. If he were a single man, he would have let it go until the car didn't start anymore. But, since he decided to get married, I did my wifely duty and nagged him about it until he agreed to get it looked at. As it turns out, he needed new hub bearings (whatever those are), but more urgently, he needed new brakes (another thing I had nagged about for months, but wasn't as successful at getting replaced). We agreed to have the brakes replaced and once he started bringing home paycheck again, he would take back the car and fix the hub bearings.

Since my hubs is a teacher, we are on a pretty tight summer budget, we tend to blow through our summer budget by the end of July, and have to pinch our pennies until the first paycheck in September (what can I say, we like beer). We agreed to put his car expense on my Chase card and pay it off at the end of this month. Sounds okay, right?

Let's just say, I've never been so happy to have a car repair before. Had it not been for this charge, I would have never logged into my online account (since I haven't used the card since paying it off a few months ago) and I would have never seen all the other charges he put on it without giving me the heads up. Late fees and general chaos would have ensued.

It's not like this caused a big fight or anything. I was mildly annoyed for about an hour. I may have shot off a sarcastic text. But now it's over and done with - I'm over it.

So consider this a Public Service Announcement/Reminder to let your significant other know when using their credit cards ;-)

P.S.: I'm taking my car in for work this Friday - keep your fingers crossed this doesn't blow up our savings account like Bat Gat.

332.0 - 332.999

I've been reading personal finance books off and on since starting the blog. I get through a few chapters, then put the book down for a week or so before coming back to it. I have David Bach's "Debt Free for Life" by my bed, Carl Richards' "The Behavior Gap" at my desk, and Ben Stein's "What Would Ben Stein Do?"

I haven't picked up Mr. Bach's book in weeks and I'll probably just return it to the library. Like Dave Ramsey and other financial advisors out there, Mr. Bach focuses on paying off all your debt in the fastest amount of time by sacrificing just about everything else. While this approach may work for some, it's just not for me. Full on deprivation just leads me to overdo it later. Plus, I'm not getting another job to help pay off the debt faster. Fact: I'm lazy. I did toy with the idea for a few weeks, but right now, the hubs and I have something going on just about every weekend until June. I'm hopeful I might be able to pick up a nights & weekends gig during the summer when the hubs is off and we don't have to worry about Molly Monster, but we'll see.

I'd rather work with I've got and learn subtle tips and tricks to save more, but still being able to feel like I'm enjoying life. I know, I know, you don't need money to enjoy life, but it sure does help!

Mr. Richards book is more my style. While it's primarily about investing, there are some snippets of wisdom that have stuck with me. Plus, there's pictures! (Diagrams, really.) One phrase I've been carrying around:

"'Personal finance... is more personal than financial.' It's true. Planning for your financial future is personal. It has to be. A good plan will be unique to your situation, and what is right for your situation may be a disaster for your neighbor. So ponder how the advice you encounter applies to you before you make important decisions about your money."

Last month, I embarked on trying to pay down my debt myself. As we saw at the end of the challenge, it didn't work out for me as well as I'd hoped. My overall debt total only went down a smidge and I was a bit dicouraged. And I had barely anything left over at the end of the month to put in our savings account, which frankly, was stressing me out. I decided to go back to another option I had previously shurgged off: getting a personal loan to pay off my credit cards and starting fresh. PNC offered loans with a starting rate of 8.25% if payments were deducted from my checking account. I applied... and was rejected.

Remember back when I reviewed all the componants of my credit report/score on Credit Karma? One of the biggest black marks on my record was my high debt to income ratio (43%). This was the main reason why I was rejected for the personal loan. Fresh off our anniversary conversation, the hubs told me to re-apply, but to to add him on the loan as well, thereby increasing our incomes while keeping the debts relatively the same. I did and this time we were accepted.

On Saturday, we took a trip to the bank to sign all the paperwork. Our rate ended up being 8.99% which is still half of what the lowest interest rate is on one of my credit cards. I took out a $9,000 loan for four years at $225 per month. There is no penalty for pre-payment, either, which means anytime I have some extra money, I can throw it towards the principal and pay it off faster. Plus, now I know I'll be able to contribute more to our savings account (I already increased the automatic transfer to $100 per paycheck, instead of the previous $50). All in all, this feels like a much better fit for my life than the previous attempt.

And for the credit cards? They're still tucked away. I opted not to cancel any of the cards, since another black mark on my credit report was the "length of time accounts have been opened." Instead, I'll just let them hang out for awhile. Maybe in a few months, when I feel like I have more control over my spending, I'll break them out for one necessary purchase per month, like gas or groceries. But until then, I'll recognize my weaknesses and keep temptation out of my grasp.

I already feel like a burden has been lifted. Even though I know the debt is still there, being able to see zero balances on the cards AND being able to save for any unexpected expenses, instead of having to whip out a card to pay for them, makes a world of difference. And if I ever get tempted to buy something unnecessary on credit, all I have to do is read my own blog.

Anyone else have any similar experiences lately - either with money or something else?

For Richer, For Poorer

Today, I thought it would be interesting to see how my peers handle finances within their relationships. You already know I'm not the best when it comes to communicating with the hubs about money. I was curious to see if anyone else had the same difficulties or if I was the only one with my head in the sand. I gave everyone the same three questions to answer, but all the respondents have been together for varying amounts of time (names have been changed).

1. How did you view money before you were in a committed relationship/engaged/married?

• "I would say my husband and I have always been "loose" with our money" - Gloria, married 1.5 years, together 7 years
• "I was actually a better saver before...but I was also working two jobs" - Julie, married 6 months, together 5 years
• "I didn't think about money that much, I would spend it like hot cakes. I didn't save much, or if I did, it was because I wanted something expensive." - Wes, married to Julie
• "Back in the day I was probably the consumer who bought things without researching and double checking. I just did stuff without thinking about the future." - Sophia, getting married in August, together 1.5 years
• "Prior to being in a committed relationship, I viewed money as something to spend on clothes, gadgets, going out, or vacations." - Dan, in a relationship 2 years

2. How has being in a relationship/engaged/married changed the way you view your money?

• " When we first opened the joint account, it took a little getting used to, because we were both so used to just doing what we wanted all the time, and not having to worry about what anyone else was spending...But with the joint account, you have to know what the other person is doing so you don't overdraft. If we are running low in the checking account, I just give my husband a heads up so he can watch his spending until the next direct deposit is put in.  Neither one of us spends too frivolously... With big purchases, he usually just goes by my opinion since I handle the finances." - Aubrey, married 3.5 years, together 9 years 
• "Before we got married, we settled a lot of debt and refuse to use credit cards except for 1 small one to build our credit- less than $500 limit... We have made a point to try to make all big purchases in cash... Overall, our relationship with money has been the same- what's mine is his and vice versa." - Gloria
• "I think of everything WE need, for example if I want to buy a Coke for work, I think is there anything we need at home...Now-a-days money is the third thing I think about everyday!" - Wes
• "As much as I make fun of him for making pie charts and talking in percentages... I have found myself looking at the charts and making sure that whatever I want is #1: necessary; #2: affordable... I used to spend money on crap that I really did not need- only because I didnt have a goal." - Sophia
• "I've always been a saver, so if anything, I've influence my husband to be better with money." - Bridget, married 28 years

3. Do you find it difficult to talk with your significant other/spouse about money?

• "Some times it's difficult to talk about money with my husband, especially after I splurged on something for the house or myself or even when the grocery bill gets a little higher than usual." - Claire
• "It's very difficult because I never had to explain to anyone how I spent my money... We both have a love/hate relationship with payday because we know we have money but at the same time we know we need to sit down and talk bills..." - Wes
• "No. We often have discussions about money." - Bridget
• "There are no difficulties talking about money with my partner, we talk about it all the time, our goals, and how to spend and save." - Dan

It wouldn't be fair for me to ask others about their personal lives without discussing our own, so I sat down with the hubs tonight and made him talk about these topics (spoiler: he wasn't very interested).

1. Prior to dating, we were both spenders and we didn't think about what we were spending our money on.
2. The hubs said "it's easier to save now, but only because I make more money." He thinks he spends money on the same kinds of things he did before we were dating. Obviously, you all know I am trying not to spend the way I used to and (attempting) to save more money.
3. We both think it's difficult to talk with each other about money. He says it's because I "have my own ideas about a situation." I can admit I have trouble listening and/or seeing a different perspective other than my own. I feel it's difficult to talk to him about money because he can be very dismissive about what I see as a problem (for example, how much money should we have in savings).

Feel free to respond in the comments with your answers to the questions as well! I think it's so interesting to hear about others relationships. Must be the sociologist in me. Or I'm nosy. Probably both.

Day Thirty Spent: $0.00
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Day Thirty Saved: $0.00