I am at work and running a macro on my system right now, so it seems like the perfect opportunity to write a blog entry. Yay!
I originally planned to write about my experiences with my Discover Card. I got the Discover Card in December for a balance transfer at 15 months no interest. I really had no intention of using the card for actual purchases, but then I started looking into their 5% cash back bonus rewards and thought I would try it out for the month of May. From April through June, the card pays 5% cash back on restaurants and movies, and for the month of May, there was an additional cash back bonus of 5% for grocery store purchases. Additionally, they have a promotion through 2012 where you get 2% cash back on telecommunications purchases (phone, internet, cable, satellite radio) that you have automatically paid with your Discover Card.
Now, I know I'm supposed to be watching our spending, but we go out to eat. We usually go out at least once on the weekend, and I go out sometimes during the week - usually on Friday's, but sometimes more often than that. It just depends on what my coworkers do for lunch. Knowing I'd be getting 5% back on each purchase that I made, and knowing that I was going to be making the purchases anyway, made me question why I wasn't taking advantage of this rewards program. I was already using my credit union card for their 1% cash back on most purchases, and it's actually worked out pretty well for me, except that I can't stop spending money.
What I decided to do in May was use my Discover Card for purchases at restaurants and grocery stores (we don't go to the movies), and my credit union card for other purchases. I was guaranteed 5% back on the Discover purchases, and 1% back on the credit union card. The 5% can be redeemed in multiple ways, and the 1% is paid out yearly into a high interest savings account (greater than 10%).
Throughout my first billing cycle (first 27 days of May), I earned more than $15 in rewards, but I'd only made about $60 in purchases at a grocery store.
Now, I should have put more thought into this, but I was trying to act quickly since the transaction had to clear by the end of the month and it was the 28th by time I saw my May statement. I went to my local grocery store with a gas station and bought their gift cards to use for gas and groceries to get the 5% cash back. If I had done more research, I would have realized that the gift cards did not earn me any fuel rewards, however if I had bought cards that earned me fuel rewards, I would not have likely paid more in activation fees than I got back, so it was a toss up. As it is, I earned $10 in cash back and will be able to pay for my gas and groceries with the gift cards. The maximum you can earn this year from the 5% cash back bonus is $315, based on current promtions, plus whatever you earn from regular purchases. My plan is to cash out the cash back rewards at the end of the year to apply towards Christmas. If I redeem my rewards for their partner gift cards, I can increase my rewards and save myself a little more.
Anyway, I planned to write more but it's time to go home. Later.
Wednesday, May 30, 2012
Wednesday, May 23, 2012
Annoyed
We're in the process of refinancing our house. I'm glad that we are, don't get me wrong, but I'm starting to see what others have complained about as far as the harp refinancing process goes.
I applied at the end of April and received the application the following week. I completed the paperwork and collected their list of documents and returned everything.
This past weekend, I received an envelope from US Bank with a new good faith estimate. It, of course, was more - to the tune of $1056 more. They said instead of a two month deposit towards escrow, I have to deposit five months worth.
Now, today, I received an email from the underwriter saying that I need to send my last two years tax returns. My problems with this are multiple.
One, why was this not included on my initial checklist of required documents? We could have returned them at the same time as everything else. Two, US Bank had us sign authorization forms for them to pull our tax transcripts. The information should be exactly the same on the transcript as on the tax return because, you know, the transcript is created based on the return. Three, they want a signed and dated copy of the return. Who do you know that files tax returns by paper? What is the purpose of a signed and dated return?
And finally, why am I jumping through so many hoops to refinance with my current lender? They know I've paid my mortgage for the past five years; every month, on time, in full. Does it matter what my tax return looks like? Has my financial position impacted my ability to pay my mortgage in this time of financial instability? As all of my neighbors have walked away from their homes, leaving mine completely worthless, have I even been late on a payment? It's not like I'm refinancing to a shorter term loan or that my payments are going up. I meet the requirements for refinancing under HARP, so what is the deal???
If I didn't think it's be a bigger hassle to find another lender, I'd scrap this refi and go elsewhere. I thought this would be the path of least resistance.
I applied at the end of April and received the application the following week. I completed the paperwork and collected their list of documents and returned everything.
This past weekend, I received an envelope from US Bank with a new good faith estimate. It, of course, was more - to the tune of $1056 more. They said instead of a two month deposit towards escrow, I have to deposit five months worth.
Now, today, I received an email from the underwriter saying that I need to send my last two years tax returns. My problems with this are multiple.
One, why was this not included on my initial checklist of required documents? We could have returned them at the same time as everything else. Two, US Bank had us sign authorization forms for them to pull our tax transcripts. The information should be exactly the same on the transcript as on the tax return because, you know, the transcript is created based on the return. Three, they want a signed and dated copy of the return. Who do you know that files tax returns by paper? What is the purpose of a signed and dated return?
And finally, why am I jumping through so many hoops to refinance with my current lender? They know I've paid my mortgage for the past five years; every month, on time, in full. Does it matter what my tax return looks like? Has my financial position impacted my ability to pay my mortgage in this time of financial instability? As all of my neighbors have walked away from their homes, leaving mine completely worthless, have I even been late on a payment? It's not like I'm refinancing to a shorter term loan or that my payments are going up. I meet the requirements for refinancing under HARP, so what is the deal???
If I didn't think it's be a bigger hassle to find another lender, I'd scrap this refi and go elsewhere. I thought this would be the path of least resistance.
Tuesday, May 8, 2012
Another day, Another Dollar
Another day, another dollar. Things are continuing down the same path they have been. We got our refinance paperwork last week and I set to work collecting the paperwork they needed to complete our loan. Of course, last Monday my credit union sent me a message on Facebook telling me that they may be able to help me after all and that somebody would call me within a week. Yesterday was a week and I still haven't heard, so I may give another call today. If our credit union is able to do better than our current lender, then I may scrap our current loan application and eat the application and credit report cost.
I also decided to start using my Discover card for automatic payment of some of our bills. They are offering 2% cash back on automatic payments of Cable, Satellite TV, Phone, Internet, and Satellite Radio with the Discover card. I currently pay these bills manually with another rewards card and then pay them off at the end of each month so that they don't incur interest charges. My other rewards card offers 1% cash back, which is deposited into a high interest savings account, which I haven't touched in the past three years, but I thought that earning double the rewards with my Discover card would be a better financial decision. I can cash those rewards in on gift cards for places that we frequent and do more with my money, so it's a win/win for me.
It amazes me that Discover is quickly becoming my second favorite credit card (behind my credit union rewards card). Discover is the company that sued me for a defaulted credit card back in 2001 and I never thought that they would approve me for another card, as I'd always heard that they blacklist those that have previously defaulted on an account. But here I am, with a $10500 credit limit and using it effectively and to my benefit.
Anyway, it's just more of the same in our financial world. Things are slowly but surely getting better and we are making progress. That is the best we can hope for.
I also decided to start using my Discover card for automatic payment of some of our bills. They are offering 2% cash back on automatic payments of Cable, Satellite TV, Phone, Internet, and Satellite Radio with the Discover card. I currently pay these bills manually with another rewards card and then pay them off at the end of each month so that they don't incur interest charges. My other rewards card offers 1% cash back, which is deposited into a high interest savings account, which I haven't touched in the past three years, but I thought that earning double the rewards with my Discover card would be a better financial decision. I can cash those rewards in on gift cards for places that we frequent and do more with my money, so it's a win/win for me.
It amazes me that Discover is quickly becoming my second favorite credit card (behind my credit union rewards card). Discover is the company that sued me for a defaulted credit card back in 2001 and I never thought that they would approve me for another card, as I'd always heard that they blacklist those that have previously defaulted on an account. But here I am, with a $10500 credit limit and using it effectively and to my benefit.
Anyway, it's just more of the same in our financial world. Things are slowly but surely getting better and we are making progress. That is the best we can hope for.
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