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I am re-listing at a different amount to include some medical bills in my loan before they get behind.
Explanation of credit: Prior to illness, my late payments and public records were years old. I was on the track to improving my credit score which is low from over extension. In September 2005, I refinanced rental property from an open line of credit at $108K (to a conventional loan) which lowered my score as well as 3 vehicle payments, 2 solely in my name and 1 joint (neither of which have been delinquent). One of the vehicles was purchased for my father, who makes all payments each month. Although I considered it to be a mortgage payment, the line of credit appeared on my credit like an available balance at the max, which caused my score to stay low because the balance was not adjusting in the first 2 years of having the mortgage payment. The line of credit and the vehicles along with credit card balances all contributed to my score struggling towards improving. But the late payments didn't begin until this summer, with the illness.
Monthly Budget
[B]Bi-weekly pay dates
[/B]1st of the month - $2600
Mortgage - $1550
Car Note #1 - $435
Living expenses (gas & groceries) ? $250
Surplus - $365
2nd of the month - $2600
Auto Insurance - $155
Prosper repayment - $258
Utilities - $800
Car Note #2 - $611
IRS - $150
Living expenses (gas & groceries) - $250
Savings - $100
Surplus ? $276
Prosper Loan Breakdown
1550 - mortgage
3500 - furniture payoff
1300 ? medical bill
In the past, my public records came from an old IRS debt that I had of $646 before I purchased my first house in 2001. As soon as I purchased the house in February 2001, the lean was placed in April. It was paid off in June 2001, but the record will stay on my credit until 2008. I also co-signed for a vehicle that was repossessed in December 1998. The initial signer did not make the payments to close the loan, so I had to do it. I fell behind and they placed a suit on me in January 2000, but it was paid off in full by June 2000. Both of these public records are paid completely off. I am in the process of trying to sell the rental property with tenants in it through February. It is valued at $128K, and the loan balance is $117K. There is not enough equity in that home to refinance (90% loan to value) because we refinanced it to make a down-payment on our current home. The GMAC agent came by Friday to list the home at $125K. By the time we pay agents, there will barely be any leftover to go towards bills. The furnace also went out last week on the rental which was an incidental that wasn't expected. The $5000 from Prosper will go to catch up the mortgage, pay medical bills & payoff the furniture bill ($277/month). This will free up an additional $277 which can go towards early payment of the Prosper loan as well as rebuilding our savings account. Also, not included in this income breakdown is the money that I receive from a side business. Before the illness, I was generating $200-$500 per month after being in business since February. I am now refocusing on this business again, which will increase our monthly income. The surplus will also cover incidentals (car & home repairs). I hope this gives a clearer picture of my true situation. Please consider me for bid. Thanks sincerely. Please let me know if there are other questions that I can answer.
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