I love credit cards so much! v4.0 - 2021 (see first page for add'l details)

[afan]

I'm trying to wrap my head around my "escrow" now that I handle it. If I take my taxes and insurance and add it up, it equals about $500/mo I need to save. So I'm putting aside $500. I got a check for $334 from my balance. My taxes are due September and then December. And I think my insurance is October.

I have the savings to borrow from, so that's not the issue. I guess I'm trying to figure out, how keep track of the accounting. This is the one instance that the CPA ex-husband might be handy. In running a quick spreadsheet, it looks like I'm going to always be borrowing in October and December to cover those bills. I will have enough in the account to pay the September taxes.

Can anyone explain and easy way to collect escrow myself, without having to borrow from my savings? Do I have to play catch up? I mean for now I can borrow from my savings, but I would love for it to balance itself out so I'm not doing that. My mortgage wanted to up my payment by $300/mo to play catch up plus have the extra balance they require.

The only way to not borrow is to play catch up. Escrow will know how much you owe based off the previous year. I had to have them reevaluate my escrow because my taxes went up but they reviewed prior to getting that statement. I sent enough in to catch it up since it was going to be short. It's no different than when they rlevaluate it every year, it's generally short and you either make 1 payment to catch up or spread it out. Think of this as your evaluate statement, do you want that one payment to get you caught up or spread out how much you save each month. I'm guessing if they were 300 short each month that you just savong 500 a month wouldn't be enough unless they were both catching up from last years payments and adjusting for this year.

 

[LilSweetPeaPhoto]

If I were you, I would take it from your savings. You could borrow it from your savings and take 12 months to pay it back.

I have a spreadsheet I could email you, that would help you decide how much you need to save each month.

I'd take the spreadsheet if you have it. But I also just calculated that if I send an extra $200 from now till December of this year, it will balance out the formula, so that starting after this year's bill in Jan, I'll have the money in the account when I need it.

Now that said, if I pay w/ credit cards, I get a months buffer, till I actually have to pay the amount, LOL.

 

[elgerber]

for my escrow, I figured what I needed monthly and when it was due. I then took whatever I needed out of savings, and put it in the account, so that when it was time to pay, I had the full amount. I am never paying catchup now. I up the amount every year when the estimated taxes for the next year come out. I usually have a little extra after I pay the taxes every 6 months. My insurance is auto paid monthly.
The other option is to figure out how short you will be when they are due, divide by the number of months until it's due, and add that to what you put away each month. Then you should be caught up when you pay them, and should be able to have normal amounts put away after that.
I personally, would do a separate account for each, to make it easier to do the math.

 

[WaltsMartini]

Thanks to this group, I applied for and was approved for CSP yesterday evening!

My question: Now that I have CSP, is there any value holding on to my SW card?

I currently have 92k in SW RR, and I assume cancelling the SW visa won’t affect that cache at all.

Plan to use RR for our family of 4 for BWI to MCO in 2022, BWI to LAX in 2023, and HI in 2025.

Thinking it may be best to cancel the card and then reopen when they have a good sign on offer before the 2023 trip?

 

[LilSweetPeaPhoto]

The only way to not borrow is to play catch up. Escrow will know how much you owe based off the previous year. I had to have them reevaluate my escrow because my taxes went up but they reviewed prior to getting that statement. I sent enough in to catch it up since it was going to be short. It's no different than when they rlevaluate it every year, it's generally short and you either make 1 payment to catch up or spread it out. Think of this as your evaluate statement, do you want that one payment to get you caught up or spread out how much you save each month. I'm guessing if they were 300 short each month that you just savong 500 a month wouldn't be enough unless they were both catching up from last years payments and adjusting for this year.

They were taking $450/mo approx before. But they also require $1k "buffer" at all times. So they wanted me to make up the $50+ the $1k, which still doesn't account for why they wanted to raise it $300/mo....I got a check, so I know I wasn't in the negative. My head hurts from all this math, LOL.

I'm getting $1200 "raise" payment tomorrow (or should be). They froze our pay this year, and then come to find out they are sitting on $28 million in savings! Which apparently is like double and then some, the amount the state requires. So needless to say, our union president trashed them for claiming they had to freeze our pay, in this year of all the years. So they agreed to a 1 time 1.5% "raise" payment. It doesn't equal what I would have gotten if I got my last step in the fall. But nonetheless it's $1200 I wasn't expecting. So I think I'll earmark that for this account. Then if I send an extra $50/mo, I should have it balanced out by Jan. And then I can go back to the $500/mo until I need to reevaluate the taxes/whatnot. I'm okay having to pick up the slack of a small amount each year from my budget/savings.

 

[becauseimnew]

I'd take the spreadsheet if you have it. But I also just calculated that if I send an extra $200 from now till December of this year, it will balance out the formula, so that starting after this year's bill in Jan, I'll have the money in the account when I need it.

Now that said, if I pay w/ credit cards, I get a months buffer, till I actually have to pay the amount, LOL.

PM your email address.

 

[afan]

They were taking $450/mo approx before. But they also require $1k "buffer" at all times. So they wanted me to make up the $50+ the $1k, which still doesn't account for why they wanted to raise it $300/mo....I got a check, so I know I wasn't in the negative. My head hurts from all this math, LOL

Oh wow, mine didn't do that but escrow also paid out less than 2k in taxes and insurance.

 

[elgerber]

Oh wow, mine didn't do that but escrow also paid out less than 2k in taxes and insurance.

the $1k buffer is actually normal. We require a 2 month cushion each, for the taxes and insurance. So $1k, would be right, if they are $500 a month. That buffer is in the case of a huge tax/insurance increase that happens. But yes then they have to repay the buffer and still collect enough so they don't have to tap into the buffer the following year. So it sounds evil, but that is just the way it works. I work in mtg, and I haven't escrowed my taxes/insurance in probably 12 years.

 

[amcc]

I just went to apply and those links are dead, ugh... Why did I wait?

That was quick. Hopefully they come back soon.

 

[CyndiLouWho]

Bonvoy FNC extended to 1/3/22, as long as it didn't originally expire before 2020. I got an e-mail too.

https://onemileatatime.com/marriott-extends-free-nights-points-validity/

Is there an easy way to tell original expiration? Mine have been updated so much I don't recall, but it sure would take the sting out of canceling Disneyland again. Right now I have it booked with 3 FNC.
ETA: actually it won't help that much since I'll have to reschedule DLR to 6/2022 but will still give a chance to maybe use the FNC.

 

[CyndiLouWho]

Yeah sign me up.....Marvel experience and Star Wars bar....bring it on.

I'm not even gonna watch. Less temptation. I'm sure I can't afford the $$$$

 

[palhockeymomof2]

Thanks to this group, I applied for and was approved for CSP yesterday evening!

My question: Now that I have CSP, is there any value holding on to my SW card?

I currently have 92k in SW RR, and I assume cancelling the SW visa won’t affect that cache at all.

Plan to use RR for our family of 4 for BWI to MCO in 2022, BWI to LAX in 2023, and HI in 2025.

Thinking it may be best to cancel the card and then reopen when they have a good sign on offer before the 2023 trip?

Congrats On the CSP
I wouldn’t cancel the SW card until your yearly RR bonus points post...after they do then cancel it

 

[WaltsMartini]

Congrats On the CSP
I wouldn’t cancel the SW card until your yearly RR bonus points post...after they do then cancel it

Thank you! Just got the point influx and paid the annual fee. Looks like there is a 20% bonus offer if you spend at least $7k between 3/1/21 - 5/31/21, so I’ll end it on June 1.

LOVE everything I am learning on this board!

 

[platamama]

Been going thru a similar exercise with DD - pretty much decided it is just cheaper to fly between cities than it is to rent a car for the trip - esp with SW and companion pass.

Oh yeah, we are flying SW, utilizing change windows, and using CP to PIT and from BWI. Using FNC at most of the hotels along the way. The car rental is the most expensive part of the trip. Every school is 1-2 hrs away from the next school stop, and there are 12 schools on the itinerary so far. Since I've never been out to that part of the country before, it will be an adventure.

 

[georgina]

Oh yeah, we are flying SW, utilizing change windows, and using CP to PIT and from BWI. Using FNC at most of the hotels along the way. The car rental is the most expensive part of the trip. Every school is 1-2 hrs away from the next school stop, and there are 12 schools on the itinerary so far. Since I've never been out to that part of the country before, it will be an adventure.

Good luck! Native Clevelander here (went to CWRU), just moved out of Pittsburgh area after 35 years there. Sounds like a lot on the itinerary!

 

[Alexle2007]

Oh yeah, we are flying SW, utilizing change windows, and using CP to PIT and from BWI. Using FNC at most of the hotels along the way. The car rental is the most expensive part of the trip. Every school is 1-2 hrs away from the next school stop, and there are 12 schools on the itinerary so far. Since I've never been out to that part of the country before, it will be an adventure.

Oh, wow! What grade is your DD in? I feel like we need to get moving with DS.

 

[happ]

Thank you! Just got the point influx and paid the annual fee. Looks like there is a 20% bonus offer if you spend at least $7k between 3/1/21 - 5/31/21, so I’ll end it on June 1.

LOVE everything I am learning on this board!

If you've already paid the annual fee, then you might as well leave it open unless you think you'll be applying for another SW card soon.

 

[platamama]

Good luck! Native Clevelander here (went to CWRU), just moved out of Pittsburgh area after 35 years there. Sounds like a lot on the itinerary!

Thanks! That's one on our list! That's why I was checking out the car rental from Cleveland to BWI, but at over $2000 for that, I quickly went back to flying into PIT. We'll just drive from Pittsburgh for a night in Cleveland. Any recommendations for places to eat with outdoor seating (either Cleveland near CWRU or Pittsburgh near CMU/UPitt)? Hope you're enjoying your new surroundings!

Oh, wow! What grade is your DD in? I feel like we need to get moving with DS.

She's at the end of junior year. Funny thing is that we did our first school tours two years ago when she was a freshman...and those might be the only real tours she's going to get, since a lot of campuses are still closed to visitors (that is something I need to check for all the schools still). Last year I was planning a similar trip over spring break but obviously that got canceled. I was hoping to avoid putting all the school visits in a compressed period of time, but that's what's ending up happening anyway. Oh well, that is a small thing to complain about given what we've all gone through.

 

[wanderlust7]

Is there an easy way to tell original expiration? Mine have been updated so much I don't recall, but it sure would take the sting out of canceling Disneyland again. Right now I have it booked with 3 FNC.
ETA: actually it won't help that much since I'll have to reschedule DLR to 6/2022 but will still give a chance to maybe use the FNC.

I'm not sure. I kind of backtracked it. My card was opened in February 2019, so must have gotten the FNC around May 2020, which means it originally expired in May 2021 and so would qualify.

 

[havaneselover]

Oh, wow! What grade is your DD in? I feel like we need to get moving with DS.

I somehow skipped the whole school visit thing. I think because of the pandemic and because I thought dd would end up at my alma mater.

I managed to lose the $300 Kroger gift card I bought at Lowe’s. Figured I should go through the kitchen trash just in case. And that’s where I found it.