— Slide 8: Your BLOC is an Income Management Tool —
|Let's Summarize These Facts
if you are living from check-to-check, you will not benefit from this program. It is your excess monthly income that allows your BLOC to function like a bank.
|Never Let Your Income Sit Idle
Never let your income sit idle in your checking or money market accounts.
- All income and savings should be deposited into the BLOC account;
- all living expenses (including your mortgage payment) should be paid from the BLOC account.
Any excess income will be automatically applied to the BLOC balance, thus working instantly to reduce any related debt costs.
|The more discretionary income, the faster the payoff
The more discretionary income that you generate (by budgeting and savings), the faster the payoff. We have suggestions on building more discretionary income in another section.
You need to budget your spending to maximize benefits. Having an equity line can be tempting for purchases that are not needed., which can defeat the BLOC program. Budgeting helps you to say NO to unnecessary costs.
|Payoff your all current debts using your BLOC
- all credit card debt
- all auto loan debt
- all existing home equity loan debt
- all personal loan debt
Note: The money used to pay the monthly debt payments will now be added as discretionary income for the BLOC program.
|Do Not Payoff:
mortgage loan debt:
we have a slide presentation how you can use your BLOC to payoff mortgage debt
we will show this later
student loan debt:
if you have federal student loan debt that has not been previously consolidated, you should consider consolidating that debt under the federal student loan program. It offers attractive consolidation features: see our student loan consolidation center for information
go to the next slice
- [view] SL1: Summary Review
- [view] SL2: Use as Money Acct
- [view] SL3: Deposits In
- [view] SL4: How to Be Used
- [view] SL5: Use to Fund Needs
- [view] SL6: About Interest
- [view] SL7: Emergency Income
- [view] SL8: Get the Facts
- [view] SL9: Become a Bank
- [view] SL10: Conclusion