Unsecured debt is the one that has no asset as a backing. Whereas secured debt will always have an asset backing up the loan you have taken. Secured loans provide a greater guarantee to the Creditors since if you were to default on payments the asset backing your loan can be liquidated. Credit cards fall under unsecured debt. The card company never secures or takes any assets from you before giving you Credit.
Do you plan to live year round in your getaway at some point? If a vacation house is part of a long range plan for your retirement, it may be the perfect time to pick one up. Prices are low and there are many to choose from.
Just letting your house foreclose will keep you from getting a loan for a house for 5 years at least. If you can afford to keep the house providing your payment is more reasonable, you may qualify to get a better rate and even lower your payment and best of all, not have to move.
Check Craigslist Gigs – The free classified site, Craigslist, offers a “gigs” section for over 400 cities in the United States. Realtors and banks often list jobs to clean foreclosures in this section. The classified will usually list a phone number and an email address that you contact and express your interest. These classified listings will usually garner many responses so it is important to let yourself stand out by listing in prior experience.
In order to earn extra money from your consolidated student click through the up coming post you’ll need to take that extra money each month and invest it into a money market fund that has historically earned more than your current interest rate. For example, if your consolidated interest rate is 6.5%, you’ll want to find a mutual fund that has consistently returned 10-12% or more. Then you’ll earn 4-5% on your extra money every year. And here’s the best part: doing it now will allow compound interest to kick in, so after the life of the loan you’ll have a nice nest egg of profits from the money you were expecting to spend every month anyway.
For the next 12 months I would stay away from risky assets. I would stay away from the stock market. I would stay away from commodities. I would stay away from credit, both high-yield and high-grade. I would stay in cash or cash like instruments such as short-term or longer-term government bonds. It’s better to stay in things with low returns rather than to lose 50% of your wealth.
Have you done the math? Make sure that you add up all expenses of ownership vs. staying in resorts while on vacation. That hotel may seem very expensive when you’re staying there for two weeks, but remember that you’ll be paying for the second home all year long.
You will not want to refinance if you have a prepayment penalty fee either. Nor would you want to refinance if you plan to move from your home within a few years. The fees for refinancing would not be recaptured in the savings in this situation. Is it time to refinance your mortgage? Only you can determine the timing based on the above questions.