Regarding my post yesterday - I ran the numbers on a relatively small loan from the bank, and not paying my aunt's loan off right away versus maxing out the loan from the bank, and paying my aunt off right away.
The difference is $1,210 more paid in interest over 5 years. Or $242 per year. Or $7.95 per month.
To be clear - my aunt is not badgering me for the money. She is not rolling her eyes when we go on a vacation, or buy something for the kids. In fact, she was absolutely thrilled when we borrowed money from her to renovate our family's farm house.
But, my heart tells me that we shouldn't be beholden to her. Now that we have a way to pay her back, we should. It's the right thing to do.
When we borrowed the money from her, our options were limited. Conventional borrowing from a bank was not an option. In fact, I let her know that we would pay back the money as soon as we were able. We will soon be able to pay the money back.
DW and I will discuss. I've made up a handy-dandy color coded spread sheet (DW is a visual person) that outlines each of the options.
More on this later.
I ran the numbers - Barn renovation loan
October 7th, 2015 at 05:01 pm
October 7th, 2015 at 09:16 pm 1444249018
October 8th, 2015 at 01:23 am 1444263802
October 9th, 2015 at 11:00 pm 1444428014