Date: 2009-02-15 11:33:43
Name: AAA
Message:
City: Thane
Employement Status: Salaried
Date of Birth: 01-06-1977
Earning Members: 2
Dependants: 3
Net Salary: Rs. 20000
Assets
Property: Financed
Vehicle: Financed
Other Assets: Owned
Loan Details
Loan Type: Personal Loan
Loan Amount: Rs. 400000
Tenure: 48
Emi: 16000
ROI: 14
Emi Paid: 12
Loan Type: Property Loan
Loan Amount: Rs. 500000
Tenure: 240
Emi: 5467
ROI: 11.50
Emi Paid: 48
Loan Type: Other Loans
Loan Amount: Rs. 70000
Tenure: 36
Emi: 4000
ROI: 14
Emi Paid: 24
Card Details
Payment Due Status: M A D
Outstanding on Card: 42000
Query: my earning is cumulativly 24000 .earlier i managed somehow . presently i find it difficult . so want only one emi in the ramge of 14000. guide me .
Date: 2009-02-16 21:03:03
Message:
Dear AAA,
Do you have any assets you can leverage / mortgage / liquidate to improve your cash flow situation ?
Please revert with any clarifications on the above answer.
Regards,
Amitoj Sethi
Date: 2009-02-17 21:29:08
Message:
THERE is no asset to improve cash flow situation.
Date: 2009-02-20 21:10:25
Message:
Dear AAA,
Your monthly net take home is Rs. 24000 (including quarterly allowances)
Your monthly EMI commitments is Rs. 27566 (assuming 5 % payment on credit card balance)
Based on the data provided, your eligibility for top-ups is as listed below
Principal Tenure Rate of Interest EMI EMIs Paid Principal Balance Top-up Available
Loan 1 400000 48 36.69% 15999.51952 12 346327.7773 53672.22272
Loan 2 500000 240 11.89% 5467.134796 48 468667.0536 31332.94641
Loan 3 70000 36 54.85% 3999.915643 24 36326.2096 33673.7904
My recommendation to you is as follows
a. Opt for a top-up on loan 1 & 2. This should generate liquid cash to the extent of Rs.42,000 without any change in your monthly outgo, but your tenure will increase.
b. If the loan provider is able to offer a top-up with an enhancement, please take up the offer. There will be an increase in the EMI in this case.
c. Use the Rs. 42000 to pay off card debts as these are typically at 36 %.
d. This should bring down your monthly EMI commitments by about Rs. 25466
e. Use your cards sensibly and pay the full amount due at the end of every billing cycle.
You should ensure that all additional income is ploughed back to ensure that your debt is reduced. Please regulate your expenses and get into a habit of saving a portion of your salary every month. Prudence in expenses is the only trick to stay out of debt traps.
Do get back to me for any clarifications on your personalised debt consolidation plan.
Please revert with any clarifications on the above answer.
Regards,
Amitoj Sethi