Thursday, July 14, 2005

"Loan" for 2004 Roth Paid Off!

A few days ago I received my credit card statement confirming that the money I borrowed to fund my 2004 Roth is all paid back. w00t! It took me another month to pay off than I had originally planned. I was on target until my intended mid-may payment, but we had some work done on and around the house (foundation pointed, trees trimmed) and I took a Reiki I class so all that ate up the $1500 targeted for that credit card. I didn't have much choice about the timing of any of those expenses, so I chose to see them through and take another month.

I had the credit card down to below $500 as of the beginning of June (I'm not even sure how I did that), then with the mid-June paycheck - poof! At 1.9% it was a very cheap loan. Here's how I did:

Original Amount  -$3000.00
Rebate           +$   3.00
Interest Paid    -$   8.26
Bank Fee         -$  10.00
TOTAL COST        $3015.26

The bank fee was caused by my own stupidity ... I waited to late to mail a check (I'm totally ETF all the way usually) and called in a check payment. They are the only one of my credit cards to CHARGE for that. Despite their awesome promo deal that experience soured me on this card (probably for good). I decided to pay it instead of risk losing my 1.9% rate on about half the balance. Lesson learned.

So borrowing this money could have only cost me $5.26, but even at $15.26 it's not too bad a deal since that money is up about $100 in my Roth account. Sweet.


  1. Congrats :)


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