No Longer Upside-Down in Truck Payment

It’s now official!  Hubby’s credit union finally processed and applied my nice big payment on the truck note, aka the stupid tax on wheels.  I just looked it up on kbb.com and it lists the value between $14,950 and $14,090 since I would consider it in “very good” condition but not “excellent.”  The loan balance is down to $14,007.89 so either way we finally have a few bucks worth of actual equity in it rather than being upside down with negative equity.  For the record, its value is still dropping “like a rock,” which still irks me.

Hubby finds the dropping value surprising and shocking.  He says he never knew how fast new vehicles drop in value!  In fact, he asked where all of this information was back when he bought the truck in late 2005.  I asked why his father didn’t teach him this, because I knew the car salesman knew this and wasn’t about to tell him!

He also had another unpleasant surprise when I told him about the ongoing problem with his credit union claiming we aren’t carrying insurance on it and tell us we can’t have the deductible over $500 and also that they insist on being listed as “loss payee” which means they get the first check cut if the truck is totalled.  He waited patiently while I called up my insurance agent’s office to have them set the credit union straight…again (2nd time in 8 months, since we switched to State Farm from GEICO, who promptly told them we had dropped it).  My agent’s office is very cool, and the gal promised to read said credit union the riot act about sending us nasty letters when all they had to do is call the office to verify that the insurance policy was still ongoing.  I’ve “only” been with State Farm for 17 years…gee I might swicth insurance companies in the middle of the night!  Yeah, right.

Then we got on the subject of credit cards.  I don’t know…it was late for him in Korea and I hadn’t had my first full cup of coffee yet LOL  I was actually disappointed when hubby said he melted his AmEx and Chase MasterCard.  I had this wonderful plan of taking our credit cards to Franklin, Tennessee and having Dave Ramsey cut them up with his huge pair of scissors on air while broadcasting.  When I asked if he closed the accounts yet, he said the time difference (he’s 14 hours ahead) makes it difficult to get through during the right hours on the right day. 

I asked about the Star card…he replies “I might need it.”  Yes, I was banging my head against the desk.  I’ve been so proud of him listening to the FPU audios that I burned on CD for him…but he is clinging to that Star card still.  He justifies it by saying it is zero interest on purchases in the military clothing store.  He says he might need it if something happens to me and he has to fly home on his own dime.  I can see this will be as hard as getting a security blanket away from a 4 year old.  Maybe he’ll feel he can give that one up after he gets home … I sure hope so.  We don’t need credit cards anymore because we have a solid financial plan that really works.