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Posts tagged with: first mortgage

Mortgage Ratios…

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I was listening to Dave Ramsey last night while taking Hutch for a run and was flabbergasted as a man told Dave he couldn’t survive on what he was making. The man was pulling in just over $6,000 net each month and was carrying a $2,400 mortgage.

Dave said it was a tight budget but he should be able to survive on it.

‘Are you absolutely kidding me?!?!?’ I shouted as I ran.

I can’t imagine these kinds of outbursts make me popular with the neighbors – nor does it give them any sort of confidence in my sanity… but what else is new?

Without giving away too much about our income or mortgage amount, I’ll just put it this way, my husband and I make less than $6,000 net a month and our payment on the first mortgage alone is more than $2,400 a month. Not only do we survive on this, we reduce debt – and we’ve been doing it for two years.

Forgive me for being callus, but if you can’t survive on $3,600 a month after paying a mortgage, there’s a bigger problem than the mortgage.

BUT, I’m trying to change my paradigm and reduce the judgmental side of my personality. Do you need more than $3,600 to survive after your mortgage is paid? If so, why? (Not counting any medical problems or child care. The guy didn’t have medical problems and didn’t pay for child care)


Recognizing Good Banks…

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Based on my current experience with Bank of America, it’s been easy to rant about bad banks – especially when articles like this surface. Unfairly, I have failed to share the good with the bad and have not adequately praised those who deserve it.

My sister and I were discussing our choices in mortgage lenders last night and were both surprised at how pleased we were with Wells Fargo (Her first mortgage and my home equity line are with Wells Fargo). And yes, we talk about stuff like that. Today’s topic at lunch? The differences between revolving and installment accounts and their impact on credit scores – oh, and the wow factor of that good looking guy from New Moon.

Wells Fargo’s service over the last three years has far exceeded my expectations. As an example, I had a concern about my account a few months ago and wanted to talk to a Wells Fargo representative. The representative, John, resolved my concern kindly and quickly then gave me his phone extension if I ever needed to call again.

I’ve heard about movements to convince consumers to pull money out of big banks and move it to small local banks. It sounds like a good idea… but I’m not planning on removing my Vice Grip clasp from Wells Fargo anytime in the near future. If I could, I’d move my first mortgage to Wells Fargo because I feel a connection with them. I feel valued. Sometimes I pick up the phone to call John to invite him to a summer BBQ before I remember John doesn’t live in California and he’d probably be a little more than creeped out that the lady with the endless questions from San Diego wants to spend time together.

Maybe you love Bank of America. Maybe you hate Wells Fargo. Maybe you hate them both and love your local credit union. It’s not about big or small banking; it’s about where you feel at home.

Banking is about feeling valued. If you don’t feel valued, it’s time to move on.