Using rebates to pay down student loan – update #2
Last night we were able to take a couple more steps in the process of ridding ourselves of the burden of student loan #2 which is one of our 2006 financial goals.
Two weeks ago we requested $525 in checks payable to Wells Fargo, the lender of student loan #2, by redeeming the reward points that were offered with the Simplicity card promotion and the points that we had accumulated by using the Citi Driver’s Edge card.
Much to our delight, we received all of the checks in the mail last night. This was an unexpected surprise because we thought it would take the full 4-6 weeks as others had experienced.
Afterward, we called Citi to request a balance transfer check for $2,500 (roughly the remaining amount needed to pay off the loan). Because this amount would be more than 50% of the wife’s credit line on this card we also requested to transfer $3,900 in available credit from the wife’s Citi Dividend card which we are not currently using. Keeping the wife’s credit utilization ratio low will help her to avoid any negative impacts on her FICO score.
The check should arrive within 7-10 business days at which time we’ll finally be able to close out the student loan #2 account. As previously mentioned, we’ll have a full 12 months to pay off the balance on the card ($2,500), but our goal is to have it done by the end of 2006 making this one less liability to worry about.
Two weeks ago we requested $525 in checks payable to Wells Fargo, the lender of student loan #2, by redeeming the reward points that were offered with the Simplicity card promotion and the points that we had accumulated by using the Citi Driver’s Edge card.
Much to our delight, we received all of the checks in the mail last night. This was an unexpected surprise because we thought it would take the full 4-6 weeks as others had experienced.
Afterward, we called Citi to request a balance transfer check for $2,500 (roughly the remaining amount needed to pay off the loan). Because this amount would be more than 50% of the wife’s credit line on this card we also requested to transfer $3,900 in available credit from the wife’s Citi Dividend card which we are not currently using. Keeping the wife’s credit utilization ratio low will help her to avoid any negative impacts on her FICO score.
The check should arrive within 7-10 business days at which time we’ll finally be able to close out the student loan #2 account. As previously mentioned, we’ll have a full 12 months to pay off the balance on the card ($2,500), but our goal is to have it done by the end of 2006 making this one less liability to worry about.
posted by Brian at
11:29 AM
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