Memorial Day 2013 - Remember.....

“If you live in bigger cities like Los Angeles, New York City or Chicago, it’s actually cheaper to own a home than to rent,”

If you’re in the market for buying a new house to call your humble abode, now may be the best time to get in. With rates as low as 3.5% for first time home buyers  coupled with other programs which can assist in offsetting the cost of a down payment, buyers can find their way towards the American dream.

According to a recent survey conducted by the MacArthur Foundation, surprisingly 57% of respondents felt that buying a home is not as popular as renting. With that being said, the path to homeownership can still save you more money when looking at the long-term outlook.

In a regular housing market, a homeowner can expect to build equity over time as they invest money into their house. “For first time home buyers there are a lot of programs out there to help them. The best program out right now is the NACA (Neighborhood Assistance Corporation of America) purchase program that is better than any bank because it’s doubling back so they get lower rates than what banks can offer.”“Ninety percent of the time owning a home is cheaper than renting when you look at the amount of money you’re spending,” said Jaron, an employee for Bank of America who works in the mortgage/foreclosure department. “Right now we’re in a down market and one of the reasons home ownership is better is because of the tax write off,” he adds.

NACA is a non-profit organization committed to building strong communities through affordable housing. There is no down payment, closing costs, fees and no requirement for perfect credit. “If you live in bigger cities like Los Angeles, New York City or Chicago, it’s actually cheaper to own a home than to rent,” he concludes.

There are other industry experts in the real estate sector who strongly believe and push for the idea of homeownership. “If you want to see your money work for you, I would definitely recommend buying a home,” said Mike Jones, licensed real estate salesperson for Rapid Realty.

“Let’s look at it like this; if it’s a 2-bedroom apartment for $2,400 that you don’t own, in twelve months you’re looking at spending at least $27,000 a year which you will never get back. In five years that’s about $100,000, and times that by another five years, that’s almost $500,000. That amount will go into someone else’s pockets, that could go towards your mortgage.

“Down the line you could own your own home and have some assets.”  he continued.

Even though renting is still the bottom line for many consumers, many still opt out of idea of owning a home for several reasons. “The reason why  renting is so popular is because people are too scared to take the risk of getting loans from banks or they feel they might not be qualified due to credit or income issues. Buyers should get in now because in a couple of years it may be harder to buy a house

Steven Banass

Director of Quality Control

truerate partners

350 Pfingsten Suite 103 l Northbrook, IL l 60062

DIRECT:  (224)-374-1470

www.trueratepartners.com

Truerate Partners Northbrook, Illinois and Chicago B.B.B. Shred it and Forget it day

BETTER BUSINESS BUREAU®
NEWS RELEASE
FOR FURTHER INFORMATION CONTACT: Tom Joyce, Better Business Bureau Serving Chicago & Northern Illinois, 312.245.2643; tjoyce@chicago.bbb.org

Better Business Bureau Free 'Shred It & Forget It' Event in Rockford and Chicago

Chicago, IL - April 11, 2013 - The Better Business Bureau serving Chicago and Northern Illinois (BBB), in conjunction with various government agencies, invites consumers and businesses to protect their identities by shredding unwanted personal, financial or confidential documents for FREE at the annual "Shred It and Forget It" Shredder Day.

Chicago Event:

Saturday, June 22, 2013,

United Center

1901 W. Madison Street Lot E
Chicago, IL 60612
NEW TIME!!! 9:00am- 1:00pm (Gates close at 12:45pm)

Hosts of the annual event include the Better Business Bureau along with the City of Chicago, Chicago Police Department, FBI, FTC, Illinois Attorney General's Office, and United States Postal Inspection Service. Shredding and recycling services will be provided by Acme Document Destruction, Beaver Shredding Inc., Chicago Shred Authority, Cintas Document Management, Shred-It, Inc., and Vintage Tech Recyclers.

As of January 1, 2012 the Electronic Products Recycling & Reuse Act requires people to recycle their electronic devices including televisions, monitors, printers and computers, rather than allow them to be disposed of in a landfill.

TVs, monitors, laptops, PCs, servers, data storage devices, printers, fax/copy machines, cell phones, VCRs, DVD players, video cameras and game consoles are among the types of electronic equipment that will be collected for recycling at the event. To learn more about the electronics you can recycle at this event, visit www.chicagoshreds.com      

Participants are asked to limit the material they want shred to 10 boxes of documents per vehicle. There will also be free home shredders given away during the event every 30 minutes. You can register online to win a free shredder at www.chicagoshreds.com

 

Representatives from the participating organizations will be available at "Shred It and Forget It" on June 22rd to offer guidelines for shredding documents and to answer questions about how to keep your personal information safe.     

Here are some suggestions for deciding how long to keep personal financial information:  

• A good rule of thumb is to keep all tax returns and supporting documentation for seven years. The IRS has three years from your tax-filing date to audit, and has six years to challenge a claim.
• Keep credit card statements for seven years if tax related expenses are documented.
• Keep paycheck stubs for one year. Be sure to cross reference the paycheck stub to the W-2 form.
• Be sure to keep bank statements and canceled checks for at least one year.
• Bills should be kept for one year or until the canceled check has been returned. Receipts for large ticket items should be kept for insurance purposes.
• Home improvement receipts should be kept for six years or permanently.
• Items such as birth certificates, social security cards, insurance policies, titles or wills should be kept permanently in a safety deposit box.
• If you are going to dispose of documents with sensitive information, be sure to SHRED!

More information about the "Shred It and Forget It" Shredder Day event can be found at www.chicagoshreds.com 

For more information on how to protect your identity, visit www.bbb.org

UNDERSTANDING HOW CREDIT CARDS WORK AGAINST YOU

Understanding How Credit Cards Work Against You

To first review how credit cards can negatively affect your life is to understand why paying off credit card balances should be a priority. When you are late paying your credit card bills or miss payments entirely, you are setting the stage for a vicious cycle to begin. Interest rates on your cards will likely rise, so you will need to come up with even more money for a final pay off. If you are already experiencing money issues that cause you to make late payments, the extra interest charges can greatly hinder the repayment process.

Zero Balance is Important

When you are able to successfully navigate your debt issues and have achieved zero balances on your credit cards, it is time to plan ahead for the short-term future as well as for your long-term financial stability.

Zeroing out your credit cards is a good thing to achieve and many credit card holders may be tempted to close down their accounts and do away with plastic completely. While each person’s situation is different, keep in mind there are plenty of useful miles, gifts and cash back rewards that you can reap from using credit cards.

In order for consumers to have a solid credit rating on a consistent basis, there needs to be a mix of credit accounts maintained. Accounts that will strengthen your credit rating include your mortgage loan, personal loans, auto loans, and credit cards. Each account you maintain will need to be paid on time each month to keep your credit score satisfactory. By keeping your credit card accounts open and using them responsibly, you can re-strengthen your credit rating after dealing with debt problems.

Since your credit rating is partly based on the length of time your accounts have been opened, closing your account can shorten your credit history, which causes a drop in your credit score. Even if you feel you have no need to get a loan or have another credit card for the rest of your life, you will be doing yourself a disservice.

Your Credit Score, Beyond Loans and Credit Cards

Credit scores are not just used to qualify for a loan or credit card. There are many industries that now rely on a person’s credit history report to make decisions. The auto insurance industry is one; lower credit scores translate to higher instances of claims. Their theory is that low credit score holders are a bigger risk and as a result, they are charged more in premiums for coverage.

Landlords are another group that will likely ask for a credit check before you are approved for a rental place. You may think you don’t need good credit because you never plan to buy a home, but it can become quite difficult to find an apartment or a house with a limited or poor credit score.

Finally, you need to consider your employment opportunities. More and more employers are requiring credit checks on candidates before hiring is considered. Specifically, those working for the government or finance sector should count on having their credit checked.

If you are thinking about closing an account with a zero balance, consider how long you’ve had the card and how it can affect your overall credit score. Sometimes credit card companies will close a cardholder’s account if there is no activity for a certain amount of time. In order to keep this from happening, it may be a good idea to link your card to a monthly subscription, like your cable or Netflix bill.

What to Stash in the Deposit Box

Safe deposit boxes are often shown in movies as a tool to hide precious jewelry or cash from getting into the wrong hands.

But in real life, safe deposit boxes are used for a variety of reasons, and the process of opening one is worth considering, especially when you have valuables to protect.

There can be a huge variety of personal items people place in their own safe deposit box but there are also some key items that should be kept there as well. It’s always good to regularly review what is in your home and what is better off being kept in your safe deposit box.

Here is a list of things to consider if you have not yet secured a safe deposit box at your bank:

• Safety and Security Does Matter: By utilizing a safe deposit box you are able to protect your valuables and important documents from a wide range of situations. If your valuables are housed safely at the bank in the case of a fire or break-in, you will have peace of mind your belongings are safe. It is recommended that you check with your insurance company about coverage for your safe deposit box, as the FDIC coverage provided for your money in the bank does not extend to the box.
• You Have a Backup Plan: In the event of an emergency, your loved ones will know exactly where to look for the important information. It is a good idea to draw up a power of attorney agreement with your spouse, parent, or your child so that if something should happen, someone will have the ability to retrieve your information.
• Affordable Security: While there are some people that can utilize a full-size safe in their home, most people do not need to make such an investment. The safe deposit boxes available through banks are an affordable option for when you only have a small amount of valuables to protect.

What to Stash in the Deposit Box

One thing to consider when putting items in your safe deposit box will be the hours the bank is open for business. Any item you may need at a moment’s notice should not be stored at the bank.

Some things that are probably fit for the safe deposit box include collectibles, expensive jewelry, the deed to your home/property, the title to your vehicles, stocks, bonds, CDs, copies of video completed for insurance purposes, and any other vital document or belonging you want protected.

How to Open a Safe Deposit Box

Safe deposit boxes can be found at your bank, although not all branch locations will have them. You can use your current bank but you do not have to be a customer of a particular bank to open a safe deposit box. You may be eligible for discounts from your current bank if you are already a customer.

Most banks offer different sized boxes ranging from small (good for documents) to large sizes. Check with the bank for current rates. Banks will charge a one time annual fee. It is very important to note the due date of the fee to be paid, or  you can set up automated payments. If you fail to pay your fee for a year, the contents can be sold by the bank!

When you need to access the box, remember to bring your key. The bank will have you sign a log book with your name and date before you will be allowed to access your box. The bank associate will also have a key, as both are needed to open the box. If you opened the safe deposit box account with another person, they will also be able to gain access to the box and its contents, provided they have the key.

It is wise to keep an inventory list of what you are putting in the safe deposit box so you can remember where your possessions are located. Many people store items they don’t want to lose in their box but then forget they did so. It may also be wise to take pictures of the contents of the box for insurance purposes. Keep those pictures in another location.

How long should my mortgage term be?

How long should my mortgage term be? Mortgages typically have a term of 15 years or 30 years -- other durations may be available depending on the lender. A mortgage with a shorter term tends to come with higher monthly payments, but you’ll end up paying less interest over the life of the loan. A longer term mortgage (such as a 30-year mortgage) will have smaller monthly payments while you’ll pay more in total interest. The main factors that will go into the decision of choosing a mortgage term include income, total cost, effect on other financial goals and whether or not you plan to stay in this home.

Truly, the Truerate Difference 

Truerate is different from the typical mortgage broker in a number of ways.  Don't take our word for it.  Go see for yourself.  In fact, that is part of the Truerate pledge.  We never use scare tactics or say things like, "other brokers can't service your needs the way we can" or "you'll never find a better rate".  We encourage you to shop around and find out for yourself.  We actually encourage you to get at least two or three competitive quotes... especially if you have done business with that mortgage broker before, as repeat providers often assume you will not shop for better rates.  At Truerate, we believe talk is cheap and performance is what counts.

Truerate has tried to create a better business model by making the mortgage process less intimidating, confusing, and experience.

People often ask:  If Truerate is able to provide such low rates, how does it make money?  The answer is we depend on technology, efficiency, and volume to remain profitable while still providing you deals at the best rates.  In fact, unlike most other brokers, we tell you upfront exactly how much we make on your loan, so you can see for yourself.

Shining light on the mortgage industry:  why customers have suffered and why Truerate is different.

At Truerate, we understand the state of the mortgage business and what now goes into obtaining a mortgage.  In the aftermath of the housing crisis, the mortgage process is more challenging than ever, irrespective of your ability to repay your mortgage.  Never before has more bureaucracy and arbitrariness dominated the process.  Government regulators and underwriters are now more concerned about preventing losses to lenders than making it easy and seamless for you to obtain a mortgage.  That is where Truerate can help.

Ok Maybe He is a little too excited, but this looks like a GREAT COMPANY!!!

First, we strive to make the process as simple and streamlined as possible for you.  That is why we provide you with information about the market and rates available to you before you are ever required to commit or provide reams of information to us.

We also aim to provide you with the LOWEST mortgage rates possible.  First, we utilize technology, efficiency and volume to offer you low prices and still run a profitable company.  Second, our loan coordinators have no incentive to charge you higher rates, because they are always paid the same amount.  In the aftermath of the housing crisis, Congress passed into law the Dodd Frank Act, which amended portions of the Truth in Lending Act.  Companies are not permitted to alter their compensation to loan officers depending on the rate charged to the customer. That doesn't mean it still doesn't happen.  We promise you that it NEVER happens at Truerate.

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www.trueratepartners.com

Thank You,

Steve Banass

Director of Quality Control

DIRECT:  (224)-374-1470

Toll Free (877) 278-9558 xt 7007

TrueRate Partners

350 Pfingsten Road Suite 103

Northbrook,  Illinois   60062

www.trueratepartners.com