Hi Folks
Three years ago, I secured a business loan to buy an Airbnb and my personal house. I get a monthly statement with my payment due and what is principle and what is interest. I’m at an old school small town bank with the technology available is to look at your checking account or loan balances. You can’t even make a payment online. Old school check or a phone call to transfer money from your checking at that bank to the loan.
To be honest it’s really my fault that I get my statement and make my payments without really looking closing at what is applied. I’m in the process of refinancing my loan. (My initial interest for 3 years was 4.5% and in June it went up to 8.25%) this is on a 400k loan and I currently owe 97k.
I sold my Airbnb in April of this year. And paid down my principle to where it is now.
Here is my issue. I look at my monthly statements that break out principle and interest and I they are never applying those numbers. They are different every money.
For example in June of 2023 my payment was $2,544. The statement said $2,008 of that was principle. I paid $2,600 and they applied $931 to my principle and that to interest.
Fast forward to July
July 1 payment statement says payment due $2489.54 (principle 1945.47 interest 599.35) I made a $3000 payment and they applied $1,676.83 to principle and the rest to interest
Comparing my statements to what is applied, they are never applying what the statement says and it’s never consistent. Every month it’s different. And not by a little, sometimes like 50% yo principle and 50% to interest.
Does that seem normal. I would think if they send a statement and I make the payment at least that amount on the statement would be applied to principle.
Thoughts?
Three years ago, I secured a business loan to buy an Airbnb and my personal house. I get a monthly statement with my payment due and what is principle and what is interest. I’m at an old school small town bank with the technology available is to look at your checking account or loan balances. You can’t even make a payment online. Old school check or a phone call to transfer money from your checking at that bank to the loan.
To be honest it’s really my fault that I get my statement and make my payments without really looking closing at what is applied. I’m in the process of refinancing my loan. (My initial interest for 3 years was 4.5% and in June it went up to 8.25%) this is on a 400k loan and I currently owe 97k.
I sold my Airbnb in April of this year. And paid down my principle to where it is now.
Here is my issue. I look at my monthly statements that break out principle and interest and I they are never applying those numbers. They are different every money.
For example in June of 2023 my payment was $2,544. The statement said $2,008 of that was principle. I paid $2,600 and they applied $931 to my principle and that to interest.
Fast forward to July
July 1 payment statement says payment due $2489.54 (principle 1945.47 interest 599.35) I made a $3000 payment and they applied $1,676.83 to principle and the rest to interest
Comparing my statements to what is applied, they are never applying what the statement says and it’s never consistent. Every month it’s different. And not by a little, sometimes like 50% yo principle and 50% to interest.
Does that seem normal. I would think if they send a statement and I make the payment at least that amount on the statement would be applied to principle.
Thoughts?
Statistics: Posted by Sjane80 — Mon Nov 25, 2024 10:25 pm — Replies 4 — Views 239