Tuesday, October 28, 2008

Duit Duit di Mana Kau Duit

i was watching Oprah at 8pm and was struck at how similar i am to the 1st couple on air. NOt 3 cars or big house like that..but at how crazy similar i am to her shopping addiction. yes sir!! i am a shoppaholic. But im not THAT crazy to buy and sell all my clothes just so i can buy more.

nonetheless, the point in writing this is just another reminder to me that i could end up like her due to my spending habits.

Truthfully, i think my financial situation is bad. I should be having more money saved and some health insurance for the kids (like what the what-so-great-and-mighty Suze Ormon said). But in my situation, the medical for the family is paid by the company. I am not thinking far ahead of having to actually pay for my kids medical. What do you think? Should i start thinking of some health insurance or education insurance or just continue saving rm100 for each kid like what im doing now. Any idea?

On spending on cards..well..this is truly our problems as a family. Apart from having to use the cards for petrol, i have urges (very similar to that of choc-craving during period) to shop. Hence..the use of cards.

Apart from that, there are (yes.. ARE) also personal loans i have 'accumulated' over the years for some cash emergencies required.

in total i have about RM40K on me. Alarming? Yes. SO the best way out is to have more loan. NI kira kes gali lubang tutup lubang la ni.

I have applied for a personal loan to settle all my cards, my 1 car, my 2 personal loans and to purchase a 2nd house. The loan will also settle husband's 2 personal loans and maybe reduce some of his card. By paying all these with that specific personal loan, i still have to pay for a monthly instalment of my current house, astro, phones, and utilities. In a total, i reduces about Rm1K of the total payments i have to made pre-personal loan.

But i have conflicting advice on this. 1 friend told me these;

1. should have apply for a different housing loan for my 2nd house;

2. should continue with current car loan reason 1. i have only until dec 09 for the tenure. reason no. 2 the rate of car loan is lower than personal loan. (all a matter of calculation, which causes me headache to understand let alone writing it down)

3. the extra from personal loan (if i opted for no. 1 and no. 2) should be put to 1/2 saving and 1/2 unit trust since the units are selling very cheap now.

But my justification of sticking to my plan, is for me to not worry about paying this and that. in a long run (talking interest rate and tenure and all) i may be at losing end, but at least until the next 5 years, i would be in a safe zone, with extra for saving and alesha's school - i hope.

I am also thinking of refinancing my house to Islamic loan. Part because of the increasing rate of conventional banking and part because im pissed at the Officer who slammed the phone on me the other day. Well, it was entirely another story but i am determine to write to the Bank and stating this as part of my reason for changing financier.

Any of you good at restructuring your finances? Care to advice me? And the medical insurance? Should i be thinking about it?