Budget Snob

Take Control of Your Home Loan

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Owning a home today is one thing many people strive for but aren’t aware of the burden a mortgage can become.  It is one of those payments that is necessary but you dread making it month after month for years on end.

When homeowners think about reducing their debt they typically do not include a mortgage as part of their bad debt. We are more concerned with the credit cards and personal loans that tend to acquire over a lifetime.

Though seeking a debt consolidation will greatly reduce your debt and the interest you pay by combining your additional debts within your home loan, focusing on reducing your home loan can also save you thousands.… Read the rest

The Beauty of Debt: 3 Steps to Take Back Control

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“A bank is a place that will lend you money if you can prove that you don’t need it.”
– Bob Hope

A lot of people seem to think that credit caused the recent financial mess and that cash is king. While part of that might be true, things are not so simple. Debt can be good. In fact, as long as you’re using it correctly, debt can be used as a tool.

Credit cards can also be a great way to keep track of your spending and get rewarded for making purchases you would make either way. With some offers, what you earn in cash back and loyalty rewards will more than make up for the annual fee!… Read the rest

Lessons in Cash Money

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Cash Money

Forty bucks. Forty bucks burning the proverbial hole in my pocket. I’ve been a debit card guy my entire working life. But not this week. For the first time in more than 10 years, I have a small wad of cash strapped to my wallet.

I’ve been frustrated for just as many years with my inability to sock away much of anything. I don’t have a lot of debt but not much in savings either. In fact, if it weren’t for my company’s generous retirement plan, I would have exactly zero saved.… Read the rest

Life is Change – be Prepared

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I’ve been noticing something lately. Something that’s really had me thinking. Life seems to hit those who are most unprepared…the hardest. Especially those who are financially unprepared. I work with a guy (a very nice guy) who always seems to be flirting on the edge of financial disaster.

If it’s not car trouble it’s trouble with the college where his two oldest kids attend. If it’s not doctor co-payments, it’s air conditioner problems. Here recently, he bought a near brand new car (because his other car was about to disintegrate). Turns out this nearly “new” car had been in an accident.… Read the rest

When you Walk Away from Your Mortgage

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I know I’ve been tempted to walk away from my mortgage. I have renters who are taking care of most of the monthly mortgage (not all though). But I’m having to rent another home as a result. While the net financial result is +$400 per month, there’s still a psychological toll. I don’t like being an absentee landlord. I don’t like not being able to check on my house every few weeks.

But what happens when you make that choice? To abandon your mortgage? According to a recent Miami Herald discussion, walking away from your mortgage isn’t risk free.

Yes, it might take as long as a year before you’re permanently evicted.… Read the rest