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Didn't see any Money or Business Thread so here it is
Going to be some specific questions.. thanks for any Money expert that can help
- I'm still rebuilding my Credit from COVID, so score isn't the best
BUT- I'm in the middle of getting a Collateral/Secured Loan from a bank, as it would serve as a Business Startup (Drone business), $ for New Auto (just going to pay cash for it), and Debt Consolidation.
Let's say:
(1) Debt Consolidation: My first step would be to get my Personal Credit utilization under 30%, easy. For instance, I would put $5,000 towards my Credit card so then my utilization would be under 30%. Right now it's like 75%.
---Unless a better play would be to get a $5,000 secured credit card, which would increase my credit line, and I could split my balance between the two, as long as (Credit Card 2) is close to an APR as (Credit Card 1) would be.
(2) $ for a New Car: I'd just pay cash for it. It'll be under $10K, which means I could get it for less than $8K cash.
Unless there is any benefit to paying half down, and then finance another loan for auto, for $5k, because this helps credit.
(The new car won't be a business vehicle, but will be used for business).
(3) Business Line of Credit: A completely new can of worms. Don't know where to start here. I'm assuming after I do Step 1 and 2, is when I start thinking business line of credit. Unless... which I've seen a possibility for.... is to transfer most of my debt to my new business line of credit? How would that work?
Thanks for anyone who has any knowledge, recommendations, what they've done in the past or their 2 cents
-W
Going to be some specific questions.. thanks for any Money expert that can help
- I'm still rebuilding my Credit from COVID, so score isn't the best
BUT- I'm in the middle of getting a Collateral/Secured Loan from a bank, as it would serve as a Business Startup (Drone business), $ for New Auto (just going to pay cash for it), and Debt Consolidation.
Let's say:
(1) Debt Consolidation: My first step would be to get my Personal Credit utilization under 30%, easy. For instance, I would put $5,000 towards my Credit card so then my utilization would be under 30%. Right now it's like 75%.
---Unless a better play would be to get a $5,000 secured credit card, which would increase my credit line, and I could split my balance between the two, as long as (Credit Card 2) is close to an APR as (Credit Card 1) would be.
(2) $ for a New Car: I'd just pay cash for it. It'll be under $10K, which means I could get it for less than $8K cash.
Unless there is any benefit to paying half down, and then finance another loan for auto, for $5k, because this helps credit.
(The new car won't be a business vehicle, but will be used for business).
(3) Business Line of Credit: A completely new can of worms. Don't know where to start here. I'm assuming after I do Step 1 and 2, is when I start thinking business line of credit. Unless... which I've seen a possibility for.... is to transfer most of my debt to my new business line of credit? How would that work?
Thanks for anyone who has any knowledge, recommendations, what they've done in the past or their 2 cents
-W
