I am holding a high amount of cash due to a special bonus at work and my first rental income received! My investments are up, even though I cashed out a portion of the stock in the ESPP to finance my condo improvements.

I don’t quite know how this happened with my spreadsheets, but my mortgage is up. It’s probably because I run these numbers before the actual statements come with June month end balances, so it’s an estimate based on my payments. Even so, that doesn’t seem quite right.

My credit cards are slightly up, but I expect that to get back on track by the end of July.

I should be celebrating. For the last 3 months, I have consistently hit new net worth highs! That’s worth a pat on the back even though I still feel like I’m struggling. I hope to hit a net worth closer to $70K by the end of the year once I clear off the remaining $12K of credit card debts I have. That would be very good.

My balances are artificially high right now. I got hit with some late construction charges in June, so I didn’t have a chance to pay it down with my latest bonus. I should still be on track at the end of August.

2009 Goal #2
Fill the Save-O-Meter to $4K

I’m marking this a mega fail even though I bought a $1000.00 CD in June. I have to pay interest out to my renter if she stays past 13 months, so I put her security deposit aside in a CD to make sure the money would always be there. CD’s work best for me, so I think when I’m done paying off the credit card debts, I’ll have to create a CD ladder.

The market’s ok, not great. To get me past the hump of condo renovations, I decided to cash out about $2000.00 from my company stock purchase plan. The short-term capital gain tax isn’t enough to for me to cry. It ends up about $200 that I don’t have to pay till I file my taxes next year.

On the upside though I got a bonus with my next paycheck. I’ll be posting up final numbers later, after I’ve gathered up all the good stuff.

Well I’m now wigging out about a large balance transfer request in process. I was borrowing a substantial amount because I had no idea how much to give my family (i.e. what was needed). It was definitely going to effect my credit score by changing my utilization substantially. It costs 3% for a balance transfer fee and the balance transfer check was not yet here. I wasn’t sure what to do, but I decide to call my credit card company and cancel it if possible.

That was all it took was to cancel the check (which had not yet arrived) and that was it. I am supposed to destroy the check and I’ll see a change in my credit card balances in a few days. Nothing crazy at all.

When I asked about the 3% fee, the CSR told me that the transfer charge is not applied until the check is cashed. So flushing the offer costs me nothing. We’ll see what this does to my credit report in a few weeks. I am not certain that my balances will have an accurate high water mark on my report at the end of June. But it should by the end of July.

I was broke and crying so I called my sibling and the next thing I knew, a check was on the way. My sibling has never asked me to repay that loan. And since then, there were a few other bailouts but nothing quite so spectacular, nor as severe. (More like being so impoverished I couldn’t buy the bridesmaid dress and shoes for their wedding.)

On Tuesday, my sibling sent me a tentative email asking for a bridge loan till they could get a rental property sold in a few weeks. I was thrilled to say yes. Just like my dad said to me many years ago, I said, “How much?” It was never a question of yes or no. I have spent the last 5 years getting myself to this point of financial stability. I’m a big girl now and my older sibling is counting on me. It feels good to help out my family.

I wasn’t about to ask my sibling to pay me back either. I am happy to do this for them. It seems karmically the right thing to do. There’s only the two of us, so there isn’t much fighting about mine and yours. That’s where we were as kids, not as adults. To this day, my sibling never mentions anything about money owed or favors done. It just is.

Turns out though they didn’t need the bridge loan from me. There’s another story that goes with this, so keep your eye out tomorrow.

The realtor with whom I spoke was very nice. The next morning I got an email back from the scam artist about being in Africa on mission, etc.

I contacted the realtor once more and let her know that I got this email back and offered to forward it to her. She definitely wanted to see it and I suggested she might want to contact the police since someone was committing fraud/identity theft by misrepresenting themselves as her. They were literally signing the email with her first name and using an email address which was a truncating her first name to one syllable and adding her last name. (Think ‘bethsmith’ for Elizabeth Smith with emails signed ‘Elizabeth’.)

I gave her the same law enforcement links I put into the post and wished her luck. It’s doubtful that it will get investigated at all, but it’s very interesting.

There was a second scam post that was another ‘I’m in a mission in Africa’ email. But this time what was scary was that they clearly had pulled listings from the local registrar of deeds, set up a false email address in the name of the actual property owner.

In attendance:
Brian of Building Wealth Together
J. Savings from Budgets are Sexy
Craig from BudgetPulse
Mike from CleverDude
Mrs Micah
myself

I had a snack before I went out so all I got was a plate of onion rings to share and a fancy Belgian beer “The Duchesse”. It’s a tasty sour. Mike nailed it on the head when he said it was like balsamic vinegar. THAT IS EXACTLY what it’s like. Almost like a wine, with rich flavor and sour vinegary taste. It’s really great with food.

Total with tip $19. Parking was FREE! The trick in Dupont Circle area is to come right after 6:30pm when the No Parking restrictions end around all the embassies. Or else ride the metro, but I came straight from work.

I had a great time catching up with familiar faces and meeting new ones. If you’re in DC, leave me a comment and I’ll add you to the informal list.

Of course, then I found a way-too-good-to-be-true rental listing for a house in DC. I emailed them from my nifty work address because I thought it’d give me a leg up in the ’steady-job-trustworthy’ department. Very specifically, I asked about when the rental was available because it was missing from the listing and I want out of my boyfriend’s house because of his crazy neighbors. (Last incident = deleted post about my car not being a coloring book.)

I didn’t hear back, but I emailed them rather late in the afternoon (4:30p) so I figured this was nothing. My boyfriend drove by the place about 2 hours later on his way someplace else. There was a realty sign out front, marked ‘under contract’. He gave me the realtor’s number because it looked like a possible investment property that was being sold. I can understand wanting to get a renter into the place ASAP after settlement if it was move-in ready.

I left a polite message for the realtor asking if she could explain the situation before I pursued this any further and I proceeded to veg out on the couch with a book, around 8p. About 8:30p, I get a phone call from the realtor and she tells me that she’s received several calls from interested parties that drove by and saw the sign. She was flagging the post as spam as we talked on the phone.

I apologized for wasting her time, logged into my laptop and also flagged the post as spam.

So unfortunate, but that would have been way cool to rent a small house for $1000/mo with a garage and small yard. It’s also creepy now that someone has my corporate email address. I suspect now that another ad was also part of the same scam practice since I have not heard from them either.

Some tips to avoid being scammed:
1. Is the email address on the ad a direct address or has it been anonymized?
2. Is there a phone number in the ad? If so, it’s less likely to be a scam.
3. Does it ask you to ‘Click Here!!’? If so, mouse over the link and see if it ends in a .com domain. Chances are if it ends in a foreign country domain, it is a scam.
4. Do the pictures on the ad match the listing? I saw an ad with a scanned postcard of waterfront property. That had me and my boyfriend scratching our heads because the neighborhood for the listing is nowhere near the waterfront.
5. Do the pictures make sense? There was one ad that shot a kitchen view in two directions, but the cabinets weren’t the same color in both pictures. (Laminate white vs wood)
6. Is pertinent information missing? The ad I looked at did not have an availability date. A serious landlord wants his property filled as soon as it’s available so they don’t lose any rent for the month. If little things like that are missing, be wary.

What can you do about it?

If like me, you haven’t actually lost anything but an email address, go report it at the Internet Crime Complaint Center.

If you have actually lost money, contact the various agencies that may have jurisdiction:
* Commodities Fraud: Commodity Futures Trading Commission (CFTC)
* Consumer Fraud: Federal Trade Commission
* Securities Fraud: SEC Enforcement Division Complaint Center or your state securities regulators.

I thought this counted me out because I was in the second highest category. Last year was my first year with the company and most people said it was hard to make the highest rank (A-grade) in the first year. So missing the high mark was expected. What I didn’t know is that by being in the B-grade, I am in is also included in the “highest-rated” ranks. So I’m feeling more than lucky now. I busted my chops last year so I am glad I’m being recognized.

I won’t find out the final amount of the raise till right before my paycheck comes. (That’s two more cycles, so sometime mid-July.)

Totaling everything up, I’m within spitting distance of breaking 6-figures this year. That’s the sum of two bonuses and a raise though. Either way it would be a nice milestone to hit. (Making 6-figures is a secret goal of mine.)

I cleaned up the fridge, kitchen and bathroom, and found my special rice cooker in a cabinet I overlooked before. I would be sad if I left that behind since it was my cooker in college and I love its retractable cord. I vacuumed a bit and lifted up the drop cloth to show off the carpet’s condition.

I showed the place to a woman on Saturday and she loved it. She’s verbally committed to July 1st start. I figured out that daily I lose quite a bit of money each day and that reminder is a motivator. It’s bad when you’re inspired by a TV program but Scott McGillivray on HGTV’s Income Property reminds me that time is money and being on a deadline is important here. July 1 here we come!

The total so far is $1,999.79 on renovations. I just have a few more days of painting and cleaning left. I have bought the insurance I need (basically reducing my coverage on my homeowner’s policy and picking up renter’s insurance) and call the exterminator to spray pre-emptively (free under condo’s contract) and the plumber to fix a slow drain (~$125 out of my pocket).

In Virginia, I have to pay out simple interest on a security deposit if my tenant stays more than 13 months in my rental unit. The renter I have selected wants to stay for two years, though I am only signing a 12-month lease. I fully expect the renewal, but you never know.

So the question is, should I buy a 6-month CD and roll it over in 6 months? Or is there any point in getting a 12-month CD now? Technically this is a money maker for me because the interest rate set by the state is 0% for all of 2009. Therefore any interest I make in the first 6-months is actually mine to keep. But if I get a 12-month CD and the 2010 interest rate is set for higher than the 12-month CD rate, I may be out of luck and paying interest out of pocket.

I’m pretty sure this means I should be buying a 6-month CD and rolling it over to another 6-month CD, then a 12-month one once I get advanced notice from the tenant about renewal or moving out next year. But I’m not sure how to hedge for interest rates here. Are they going up or going down?

Got any ideas?

BTW, I will plug some ING Referrals. If you want one, leave me a comment and I will email you a referral.

EDIT: ps- I may have found my answer in this WSJ Online article from about a week ago.

The question for you is:
Should I snowflake my credit cards or save this money for a car?

Points to consider:
1. My emergency fund has been laid to waste. So I have no savings at all. If I forgo the car for another 6 months, the savings will restart my emergency fund.
2. Once my renter is in my condo, I will easily get back on track to pay off all my credit cards this year and meet my primary goal for 2009.
3. I don’t need a car. I want that car. (And yes Reader Nicole, it is a Subaru WRX STi I have in mind, but I have not ruled out a new VW GTI till I can test drive the 2010’s.)

I’m inclined right now to snowflake and finally kill off all my stupid consumer debt.

HALP! I’m suffering from an embarassment of riches today. (In a good way!)

Now David at MoneyNing has a great post about How Not to Worry About Money. (Hat tip to JD for pointing it out.) He’s got a few good coping strategies, but here’s my take.

1. Save money for nothing. By doing that, you have freedom to deal with an emergency that would create stress and worry. I say ‘nothing’ because it’s money you’re socking away that could be for a splurge or emergency. Either way, saving is a great way to alleviate worries. There’s a study that says people who have $500 saved sleep better at night.

2. Budget and figure out what you’re spending. Having control of your expenses will make you feel like you can handle anything that comes your way when prices fluctuate. Controlling what you can control instead of what you can’t, focuses your energy in a positive way. Spending is a choice and making better choices will help you feel more confident.

3. Live Below Your Means. This isn’t just the obvious statement of spending less than you earn. It also means increasing your means too. Maximize your income by doing what you need to do, whether it’s taking classes or forcing yourself to network even if you’re preternaturally shy.

4. Have a plan. The time to plan for an emergency is when you’re not having one. The combines with #1 and #2. If you can forecast what your expenses are and shift things around when you need it. A plan in place will help you handle a crisis when it happens. You’ll just make a small adjustment rather than drastically alter your life.

5. Enjoy your money. This is kind of hard for me. I am agonizing over getting a new car. I can’t just spend my money without thinking about it. But avoid analysis paralysis and realize that you *can* buy happiness if something makes you joyful. It just helps if you can pay cash for it upfront rather than think about it every month when you send a check out.

So those are the 5 things that help me worry less and enjoy more. From a die-hard worry wart, that’s pretty good advice.

I ordered about $230 in parts, but one of them was the wrong piece and I’ll have to return it. So I spent about $450 on the entire project and the car doesn’t need an alignment after all the work. The steering wheel does not pull at all.

There is a problem though with one tire because the alignment was off so badly there is some serious wear on one edge. However, the tires are about 2 years old and will probably last about another year because there is enough tread left on the rest of the tire that it should be ok.

In the end the dealer trying to tell me that my front and rear strut assemblies needed changing was too much. Only the front right shock needed changing. The rear strut assembly doesn’t include a lower control arm, but that was the main source of my alignment problem. I’m kind of ticked off about this because my friend pointed out how badly it was bent on the rear passenger side. It tells me the dealer shop never actually looked for what was broken. My friend stuck the jack under the bend on the control arm, jacked up the car and bent it back into shape with gravity. (It’s free!)

I was ok with that as a temporary fix, but again, ordering the part from the dealer ended up being a pain in the neck. This time, we called and got one ordered and set aside for me. However, the dealer parts rep neglected to ask me if my car has ABS brakes (Which it does not). Apparently this changes the part I needed. Lucky I sent my friend to get the part because I would have left the dealer without the right one.

In the end my friend gave me the most valuable help of all, but I’m scared that he’s leaving me for grad school and I don’t know where I’m going to find a mechanic quite like him the next time this happens.

PS-I now have experience with about 6 different Nissan dealers in the DC area and I’m not impressed.

1. Koons Nissan Arlington - Closed, but they were ok. They did fail to balance and align my tires after rotating them. Why is that not included when you rotate tires? That’s crazy.
2. Rosenthal Nissan Tysons - Ok but no longer near my office since I moved jobs. They also changed my spark plugs after 17K miles without asking me or telling me why. I would have told them no if they said they were changing them. To be fair they removed the parts charge after I complained.
3. Passport Nissan - Can’t get a call back from their service department rep. But their parts department guys are awesome! (Jeremiah and Lenny) Not sure if I will attempt to use them again as they are inconvenient to my office and my home.
4. Sheehy Nissan Springfield- Did not actually look at the car to fix it. Very distressed about this because my car was actually very unsafe to drive with a bent control arm and they did not advise at how bad the problem was. Although they were very nice and I will probably use them again to check out the car because the run a shuttle to my office park.
5. Chevy Chase Nissan - Parts department failed to ask me if I had ABS when we ordered the new part.
6. Criswell Nissan - Was very cool about my friend picking up the part for me and ensuring I had the non-ABS part I needed. But they are too far away for me to use them regularly.

TJ wrote:
I love how people justify buying new cars over used (how much can a car get “beaten to hell” in a year, for example). The biggest drop in value over the life of a car comes as soon as you drive it off the lot, and that’s a guaranteed loss versus a potential loss of repairs when buying used. I’m all for people buying new cars if they want, as long as they understand why they’re doing so (that new car smell, ick factor of other people having driven it, finding the exact car they want, etc), but I’m highly suspicious of saving money due to less repairs.

zeromoney wrote:
the best bang for your buck is a 1-2 year old car.. they lose so much of their value the minute you drive it off the lot. And not everybody beats up their cars.

T’POl wrote:
It looks like you will have to give up a lot of fun and important things if you buy a new car. If I were you, I would buy a gently used car and not get into too much debt just for a car.

Finance Junkie wrote:
You should buy a new or 1-2yr old car if:
(1.) You live or transit through a high crime area.

Sun wrote:
Somehow I think you have attached too much to the new car purchase.

A.M. Postscript wrote:
What about leasing?

Dear TJ, et al,

The problem with buying the car new is that the particular trim package is also a well-known for being a track racer. So I won’t know if someone’s been driving it down the freeway like an insane maniac, taking advantage of the full horsepower in the engine. Or if they modded it out like crazy raced it every weekend, then took the mods out and traded the car back in. Crazier things have happened.

So finding a ‘gently used’ one is a huge risk here. And when I say ‘huge’ I am not joking. This is an extremely powerful car with a lot of torque. Someone getting rid of one in a year with only 10K miles on it has probably ‘beaten it to hell’. Sure I’d love to have something with a ‘gently used’ 30K on it than with 10K ‘beaten to hell’. But you’ll never actually know right?

I considered a used one but every single car forum I have read for this specialty vehicle has counseled away from buying it used. And if I’m going to keep the car for a decade, I figure it’s ok to take the first year’s depreciation hit for having the car to myself and no one else to blame for ‘beating it to hell’.

Even when someone buys it off of me later, I fully expect them to be suspicious of me driving it gently. No one gets a 300+hp engine to drive it gently. No one. This car doesn’t even come in an automatic. It’s a 6-speed manual and is race ready when you drive it off the lot. I know what this car is and the specs on it. I want it because I’m going to love driving it. (The interior leaves something to be desired which is why I’m still considering a different car.)

I want to get exactly the car I want from the factory because the most popular wheels in dealer stock inventory sicken me. New car smell sickens me. But I’ll get over the smell. I can’t sell the ugly premium stock wheels for the $2K the dealer will charge me for them. Sun is probably right, I have attached too much to the new car purchase, but unlike most people, driving is very important to me. Therefore, T’Pol’s remark, “It looks like you will have to give up a lot of fun and important things if you buy a new car.” is very wrong. I am really going to love this car and it’s going to be the source of a lot of fun.

I have actually considered leasing since I may not actually get rid of my Altima, but even then I will take a depreciation hit as car dealers push that onto the leaseholder anyway. In the long run, because I believe I’ll keep the car for a long time, I think I’m better off trading in my Altima for what little the dealer will give me, handing the dealer some cash as a downpayment, and paying off a car loan as quickly as possible.

As far as Finance Junkie’s comment about high crime or traffic area, I wonder how he will feel about this next statement. Someone was killed on the front sidewalk of the house last year. How high crime can you get? Homicide is an anomaly for the neighborhood for sure, but every morning I seem to have a ding on my car because of the a$$hole guests of my neighbors. (They lean on the car with their studded belts or generally just throw food and trash around. The dog lives for chicken bones carelessly tossed into the yard.) Even though I am slightly worried about dings and scratches, all it means is that I don’t park directly in front of the house but across the street where the kids don’t congregate. Frankly it wouldn’t even occur to me about ‘breaking down in a bad neighborhood’. That’s what cellphones and AAA are for, and lately living in the ‘hood has changed my perception of it a lot. Most people are actually pretty nice and will help if you ask. You just have to sniff out the crazy first.

I appreciate all the comments. I’ve considered all these things before deciding what to do. The question now is, will I really pull the trigger and put a car payment into my monthly budget? It’s been really nice not having one. I’ve been thinking a lot about this and if I can get a renter into my apartment soon, I won’t have to feel too guilty about taking on car payment.