Consolidating graduate loans
Am I supposed to not save for retirement until my mortgage is paid off? Just because it makes sense on paper to take a mortgage doesn’t mean it is the right solution for you & your family. -MJ The Fiduciary Rule is one of the more heavily discussed news topics floating around today’s financial landscape.
Here’s an example of what I’m talking about: Debt is a very emotional thing.
If you are ready, mentally & financially, take the plunge! In stealing from my previous post, you should know by now you are also allowed to write off the interest imputed on your student loan debt as well (up to ,500).
Again, this is not to say all student loans should be created equal!
Put even more plainly, preparing for when life happens. Before I go any further I want to clarify something – It doesn’t escape me that there are some individuals reading this offering who are not in the financial situation to think about purchasing a home – That’s okay! the Federal Government is willing to go to bat for you & make it easier for you to get into a new home by removing or lowering some of the barriers to purchasing a home.
One of the questions I’ve received over the past few days that really stood out was “What wise financial decisions can I make while in college? Aside from the obvious reasons, their compliance costs will no doubt sky rocket. Hopefully this will help you gain a better understanding next time you hear Fox News or CNN arguing over the implementation of this rule, or whether or not President Trump is justified in attempting to delay the rule. ” My answer always revolves around preparing for the unexpected… But I think it gives you a good visual in regards to where your money is going each month spent on rent.
That means, if the sky falls tomorrow & you lost your job, how long could you pay the mortgage like nothing happened? Truthfully speaking, I can’t just give you a magic number to have in your bank account. National mortgage lenders, such as Quicken Loans, as well as local banks/credit unions offer similar options.
In a rental, you’re building your landlord’s net worth. Your interest payment is you paying a premium for that flexibility.
Just remember, by owning a house, you’re building equity…
My point is to remind you to put perspective & reality into whatever financial literacy you read. The financial services industry, generally speaking, is divided into two segments: That means they are allowed to recommend various investments to their clients, so long as the investment is suitable to their client’s needs.
My point today wasn’t to beat up Ramsey or people who read his offerings… Originally passed by the Obama Administration, the rule was constructed to increase the level of care financial professionals must take in their handling of retirement dollars for consumers. It made it a law that financial professionals act in your best interest when handing your retirement accounts.Keep in mind, while this is can be a nice relief, the loan must be a business loan.