27 Apr Create Your Own Line of Credit Scenario
There’s nothing like creating your own scenario to understand a new concept. A picture may be worth a thousand words but creating your own picture is even better. I was asked to create a user friendly excel calculator that would enable users to create their own personalized line of credit scenario and visualize their savings. I followed the same format that I used in the video series, ‘A Picture is Worth A Thousand Words’.
So, I just completed ‘Create Your Own Line of Credit Solution’. Here are the key features you’ll enjoy.
• Your personalized scenario is created over a twelve-month period.
• Enter the date and the amount of your income and expenses. The results are automatically copied over the subsequent eleven months. If a subsequent month needs changing, make the necessary adjustment in any of the other months.
• Enter your line of credit information. You’ll have the following choices.
1. The average daily balance or the daily interest charge methodology for calculating the interest you’ll be charged;
2. The beginning date of your line of credit’s billing cycle;
3. Select if your line of credit allows you to carry a credit balance;
4. If your line of credit allows credit balances, enter your previous month’s positive cash flow and see the impact on your automated withdrawals and interest charges.
• Override the calculator default and create your own withdrawal amounts for your additional loan payments.
• Spread your initial withdrawal amount to coincide with two payroll dates.
• See how your loan interest savings grow month after month and;
• Choose your solution date and see your interest savings change based on the age of your loan.
Each of these options will enable you to quickly see the impact a particular line of credit feature will have on your loan interest savings. If you don’t yet have a line of credit, this can assist you in selecting a line of credit that best meets your needs. You’ll also see the impact that scheduling your payment dates relative to your line of credit’s billing cycle can have on your interest cost.
My goal is to enable you understand the impact your decision will have before you move forward.
‘Create Your Line of Credit Solution’ costs just $29.99. Click on the link and take a sneak peak.
Ready to start your journey towards financial freedom? Get started today!
Thanks for joining me. I’d love to hear from you. Please send your questions, topics or suggestions to dennis@cashmapconsulting.com. You can also follow me on twitter at cash_map.
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