“World's Most Complete Neighborpedia”
Sponsor a Community — What is Localism? | Register or Sign In
Explore:   What's happening in your neck of the woods?
Home Eric McGowan

Eric McGowan

Blog_tag

Credit Cards--The Good, The Bad, The Ugly

10-02-08
Eric McGowan

Thursday, October 2, 2008

Credit Cards--"The Good, The Bad, The Ugly"

Credit cards maybe about to become a better product for the average American consumer. Typically, if one paid even a day late guess what a consequential "rate hike" occurred. Also, should one carry a higher balance then "those good ole boy's" tended to jack our rates up even more while lowering the limits in the process. Credit card companies pushed for tighter bankruptcy regulations and made the new laws enacted in 2005 even harsher should one find themselves in the unfortunate position to need to file for bankruptcy protection.

Most consumers pay an average of 19.9% and even in excess of 29.9% for the privilege of carrying credit card debt. This is both a privilege and becomes a curse as the issuers increase the rates and lower the limits at whim.
As a measure to help consumers, and good news for us, the Credit Cardholders Bill of Rights will be considered by the Senate in January. This will not be a "cure all"; however it does allow for the following provisions:


"eliminating predatory lending practices like retroactively applying interest rate hikes to balances, and implementing new requirements such as a 45-day notice before raising interest rates."


This in turn, would hopefully allow the consumer, Joe Public, to act and possibly avoid the new rate being imposed.
http://www.smartmoney.com/

Posted by Eric McGowan at 8:57 AM Labels: , , , , , ,

4 Comments
Blog_tag

Debts Our Children May Have to Pay!

09-24-08
Eric McGowan

Wednesday, September 24, 2008

See Full article at www.stclairlender.blogspot.com

STOP THE Bleeding!


The U.S. Government is trying to save the financial sectors but at what cost? ... The plan entails purchasing troubled assets from financial firms at a price based on the expected value over the life of the asset. This should pump additional cash into the financial sector enabling them to purchase new loans. The expectation is the new loans will perform much better than the troubled assets.

It is everywhere---the banking industry is disintegrating as we speak.


The days of when one's name is good enough just does not work anymore. Many people are used to getting "wiwiwig" (what I want is what I get). Calling a lender, stating only minor information, and expecting that to be what you get is not the way this industry works now. It is thanks to the pitfalls of a few that the majority of the U.S. population now suffers. Band-aids are a great thing but how we heal from this crisis will be another.

Posted by Eric McGowan at 1:37 PM

1 Comment
Blog_tag

102% Financing with NO MI

08-20-08
Eric McGowan

Fortunuately, for the average consumer, we still have 100% mortgage financing products. USDA products allow for no mortgage insurance and is available in more areas than you think. There is no monthly mortgage insurance and income limits are not that restrictive. As down payment assistance programs become non-existent it will be quite interesting to see what plays out within the next year to year-and-a-half. People are often amazed at what is asked and now required from them to obtain mortgage financing.

Thankfully, and as mentioned above, I have programs to fit most of the customers in this changing market. If you have a customer that needs help give me a ring.

Your lending neighbor for over 8 years.

0 Comments