Wednesday, April 25, 2007

Does paying down your debt, make you less attractive?

Yesterday, I transferred money and paid off both our business and our personal lines of credits. Before you get to excited, the personal line transfer is only temporary, the money is the businesses, but I thought I would save a week or 2 of interest as it waits for it's bills to come in. Meaning, it isn't mine. The company isn't losing money though, while I am saving cause it's accounts don't earn interest.

Anyway, I make the transfers and then receive an email. Unlike the personal line, when you make a payment to a commercial business line, a real human gets involved. So, this email tells me I over paid the account, do to an interest overlap period - sweet. This part I like. The processor will only transfer the amount needed to hit zero.

The next part, says that our account is NOW CLOSED. I felt my blood pressure rise and the hair on my neck stand up. We NEVER close this account. It is constantly revolving as our business does. Prior to the pay-off we had $79k out on this line. Due to a stellar billing of $120k, I was able to kiss the interest good-bye. But, noooo...it should still be sitting there waiting for my future cash loans.

I quickly email my business banker, to question. Funny, she didn't re-up it automatically, like we have done for the last up-teen years.

Anyway, good thing we had such a huge billable amount, because it looks like it may be a couple days until we get the new line up and running. Why they don't run these on 5 year increments, I don't know.

Thankfully, we have our personal line to get us through, should anything pop up. I like to pay bills asap.

I'm thinking with my huge movements to rid our self of debt and interest to them, they are not liking me much anymore. Evidently, I'm only important when I'm padding their pockets - instead of my own.

0 comments:

 
ss_blog_claim=61e5bdeae150afb54cab70016e9ad8dc