SLIDE 5: using the BLOC to fund needs

Let's Use Your BLOC Instead

Let's take the same example and use your BLOC to finance home improvement. Total cost: $10,000.

Your BLOC account would look like this:

BLOC Account Starting Credit Line Balance: $60,000
Date	From	To	Advance from BLOC	Payment to BLOC	Balance Owned
Aug Beginning Balance					$2500
Aug	BLOC	Pay Contractor	$10,000		$12,500
Aug	BLOC	Living Expenses	$4000		$16,500
Aug	Pay	Paychecks		$5000	$11,500
Total BLOC			$14,000	$5,000	$11,500

 

What Does This Show

	Balance Forward from July:	- $2,500 (slide3)
	An Advance from your BLOC	- $10,000
	Pay Living Expenses	- $4,000
	Balance Owned	- $16,500
	Deposit Payment	+ $5,000
	Ending Balance Owned	- $11,500

• your starting balance was $2,500
• your ending balance was $11,500
  
• you financed the windows,
• which saved you from taking on other debt
• you never made a schedule payment to the BLOC;
• your income represented your monthly payment
• you borrowed $14,000 from the BLOC
• you only pay interest on the $11,500 balance,
• which included a credit card payoff of $3,500
• (in this example, your avg. daily balance for the month would approximate around $13,000, which included the credit card payoff. Interest charges would be about $80-85 per month at 8%.
  
  Without the credit card payoff charges, your avg. daily balance for the month approximate around $9,000. Interest charges would be about $60 per month at 8%).
  
  let's review this further in the next slide