Issue link: https://www.epageflip.net/i/496615
DearMary:Whatdo you think about the idea of refinancing my credit- card debt with a loan from one of the peer-to- peer lenders out there? It seems like a good idea to me, but I don't know that much about it. I'd really like to know what you think of this. Thanks. — Tom Dear Tom: First, I want to make sure you are talk- ing about P2P (peer-to- peer) loans, NOT payday loans (they have NOTH- ING in common other than both start with the letter P). I am a huge fan of the idea you mention using a P2P loan (NOT payday), but with a few very strong cautions! Basically, P2P lending offers a fixed-rate, sim- ple interest, fully amor- tized unsecured loan with which a person can, as you state, refinance their credit-card debt by taking the proceeds and paying off those accounts. The interesting thing is that P2P loans offer rates that are much lower than the variable rates on most credit cards, but only to folks with great credit who can qualify. So far, so good! But it can get tricky. In fact, without know- ing what you're doing, it would be like walking though a minefield blind- folded. There are lots of ways you could blow your- self up! For example, let's say you get a P2P loan, but then don't handle those paid-off accounts well. You could end up with double the trouble if you run your credit-card accounts back up — because you have the P2P loan as well. That's only one of the things that could go wrong. I suggest you not even think about tiptoeing into the world of peer-to-peer borrowing until you get some help. You may want to take a look at a new e-book I have just written and made available at Debt- ProofLiving.com, "The Complete Guide to Refi- nance Your Credit-Card Debt." It will answer all of your questions, help you figure out which P2P lenders are reputable, where all the "land mines" are hiding in that mine- field and how to avoid them. Once you have the right information, I think you will discover that a P2P loan just might be a great way that you can re- pay your credit-card debt cheaper, better and faster. Dear Mary: I recently joined your Debt-Proof Living community, and I am learning a lot from your newsletters and daily emails. I have a question re- garding interest on a stu- dent loan vs. a home-eq- uity line of credit. We currently have a $9,500 Parent Plus Loan, which has an interest rate of 7.650 percent. We have a $25,000 HELOC currently with $21,000 in available funds, which has an inter- est rate of 5.95 percent. Does it make sense to pay off the Parent PLUS loan with the HELOC since the interest is less on that account? Do you know how that will affect any tax deductions we'll be able to take? I appreciate any information you can give me about this. Have a great day! — Carolyn Dear Carolyn: There are several things you need to consider that have to do with unintended conse- quences of moving a PLUS loan to your home's equity. 1) By moving the debt to your home's equity, you are putting your house at risk. If something hap- pens and you fall behind on your HELOC payments, you will be facing foreclo- sure, and that's no small matter. If you fall behind on a parent PLUS loan, the consequences are signifi- cant, but they cannot take your home. 2) If you move the PLUS loan to your HELOC, the entire amount becomes due and payable should you sell the home, at the time of closing. If you have a PLUS loan and sell your home, nothing changes as the PLUS loan would have nothing to do with the sale. 3) The interest on your parent PLUS loan is fixed — it cannot be adjusted, regardless of what hap- pens to the economy. Most HELOC's are subject to variable interest. Should interest rates go up (many experts are predicting this will happen in mid- to late 2015), that triggers an ad- justment to all variable rate loans that are tied to an index, like the prime rate. You could start out at one rate and then watch that interest zoom higher and higher, and you would have no recourse but to pay the balance in full 4). PLUS loan interest is tax-deductible up to a cer- tain limit; however, as of 2010, the most you can de- duct for student loan in- terest in a single year is $2,500. The interest on a HELOC is tax deductible just like traditional mort- gage debt. You have a lot to con- sider. It is important to consult the Internal Rev- enue Service Publication 970, entitled "Tax Benefits for Education." This docu- ment will provide insight into which of your ex- penses are deductible and up to what amount. You should also get some input from your tax advisor be- fore making your decision. EVERYDAYCHEAPSKATE Refinancingcredit-card debt can get tricky Mary Hunt COTTONWOOD Chic Miller and her husband, Bob, run the Bella Vista Farms An- imal Sanctuary, where hundreds of animals of all kinds have found their for- ever home. Since 1989, the Millers have been sheltering ani- mals, first on their prop- erty in Bella Vista and since 1997 on their farm off Lower Gas Point Road. Here, hundreds of animals roam the farm, everything from average household pets—dogs, cats and par- rots—to livestock includ- ing donkeys, goats, chick- ens, pigs, horses. You name it and the Millers have likely sheltered that breed sometime along the way. The animals find their way to the Millers usually with a little help from hu- mans who know about the retired couple's work. Some animals are bequeathed to them, but most have been found abandoned or res- cued from sometimes un- imaginable abuse. "These animals are not all cute and cuddly pets," Chic Miller said. "They're animals that weren't cared for or that couldn't be properly cared for." One such animal was Cody, a newborn calf found tossed away into a dumpster. Chic took him in, bottle-feeding him through infancy. Ulti- mately he became a mag- nificent 1,800-pound icon of the work being done at Bella Vista Farms, where he spent his very long life. All the animals at the licensed animal sanctu- ary have found what ani- mal advocates like to call a "forever home." Once an animal passes through the farm's gates, they will live out their lives in a place that celebrates the diver- sity of animals. "These animals have been through enough," Chic explains when asked why there is no adoption program. "We are not go- ing to risk that happening to them again. This is their home for keeps." For decades they've done virtually all the work, while providing food, med- icine, and the myriad of necessities required just to get through one day with 300 animals to look after. Other than modest col- lection drives and selling calendars to raise funds, the couple's done it all on their own. Chic's now 67 and Bob is 77, and they're spending their retirement the same way they spent their working years: car- ing daily for the hundreds of animals they consider to be family. Now they're getting a lit- tle help from their friends and neighbors. Last year when Bella Vista Farms gained its nonprofit status, the Mill- ers' neighbors pitched in to put on a spaghetti dinner fundraiser. The sold-out event raised funds to as- sist the Millers in buying feed, medicine and sup- plies for the animals. All of the money raised went to the care and feeding of the animals. This year's event will be- gin with a social hour at 5:30 p.m. Friday, May 1 at Win-River Casino in Red- ding. The lasagna dinner is scheduled for 6:30 p.m. The event will feature live music, raffles and si- lent auctions, and infor- mation about Bella Vista Farms. Tickets for the event are $25 per person, and spon- sored tables are available. To purchase tickets online, visit www.bellavistafarm. org or call the Millers at 347-0544. Tickets are also available at the VCA Gate- way Clinic in Anderson, the VCA Asher and VCA Companion clinics in Red- ding. BELLA VISTA FARMS Animal sanctuary to hold annual fundraiser The Tehama Shooters' Round-Up Breast Cancer 3-gun shooting match, part of the 11 Days of the Red Bluff Round-Up, was held Sunday on the Long Ranch east of town. This year Round-Up's James Miller turned out for the event and he was seen shooting a pink rifle and pink shotgun shells to prove he's tough enough to wear pink. The Nor Cal Jr. Clay Busters were on hand to compete as well as help with the food, score keep- ing and clean-up. Tom Brown, vice pres- ident of the clay busters, served a great lunch for a small donation. Proceeds, along with donations by Tehama Shooters, will go towards Mercy Founda- tion North and the radiol- ogy department at St. Eliz- abeth Community Hospi- tal for navigation nurse and improvements to de- tection of the scourge of breast cancer. This year's shoot pro- vided a slight upset with Mark Brown of Brown's Precision taking over- all first place with 55 out of 60, followed by Josh Sutherland taking silver scoring a 54 and Vice Pres- ident Jamie Raglin round- ing out men's with a 52 earning the bronze. Ladies was won again by phenom shooter Lori Raglin, she shot a 54 taking the gold. Lori is a mammographer at St. Elizabeth. Barbra Casteel placed silver with a 45 and Car- rie Patterson earned third with 39. Youth was another close contest between Wes- ley Hambright and Jacob Patterson, Wesley shot a 50 followed by Jacobs 46 and younger brother Chris rounded out for third strik- ing 43 targets. The junior team was won by none other than Wesley and Katie with 70. The mixed team of the Ra- glins fired a 106. Ladies was won by Lori and the Barb and in Men's Jamie and Josh teamed up to shoot a tie to the ladies 106. FUNDRAISER Tehama Shooters' 3-gun shoot results COURTESY These are the various class winners at the Tehama Shooters' 3-gun shoot, held Sunday. DURHAM The Patrick Ranch Museum will host a Family Picnic Day on May 2. Families are invited to have a picnic while partic- ipating in old fashioned games, which will include three-legged races, tug of war, badminton, croquet, water balloons and square dancing. The lunch will begin noon. Box lunches can be purchased for $5 or families can bring their own. For more informa- tion, call 342-4359 or visit www.patrickranch- museum.org. The ranch is located at 10381 Midway between Chico and Durham. DURHAM Pi cn ic d ay a t Pa tr ic k Ra nc h DISCOVER THE LATEST RESEARCH ABOUT TYPE II DIABETES ANYFURTHERQUESTIONS PLEASE CALL 530-527-3733 DISCOVER THE CURE COMEANDJOINUSAT THE ADVENTIST COMPASSION CARE HEALTHY LIFESTYLE WORKSHOP BY IRWIN MAIER MD SATURDAY, APRIL 25 9:30-10:30 AM 720 SOUTH JACKSON, RED BLUFF CA Thurs, April 16 • 4pm-6pm BULL FIGHTER MEET N GREET @TehamaDistricFairgrounds Kerstiens Entertainment Center RedBluff-TehamaCounty CHAMBER OF COMMERCE &CATTLEMEN'SASSOC. ROUND-UP MIXER Big Cowboy fun, Music & More! 5:30pm @ Reynolds Ranch & Farm Supply 501 Madison St. Mustbe21oroldertoattend! TH 94 2015 Thurs,April16 th 100MainStreet,RedBluff "Promotingthegrowthand prosperity of local business" www.redbluffchamberofcommerce.com Find us on Facebook! 2 Bud's BBQ 592AntelopeBlvd.RedBluff (IntheoldProntoMarket) M-F 11am-6pm • Sat. 11am-3pm • Closed Sun. 528-0799 BBQ PORK★ BEEF ★ CHICKEN Onequestionweall love to hate WHAT'S FOR DINNER? Seeusforyourdinner needs, lunch too! WHAT'S FOR DINNER? LIFESTYLES » redbluffdailynews.com Thursday, April 16, 2015 MORE ATFACEBOOK.COM/RBDAILYNEWS AND TWITTER.COM/REDBLUFFNEWS A4