Can We Reinvent America?

Michael Tchong started an interesting and meaningful conversation by way of his post at Ubercool.com and invites us all to join in.

He speaks about Reinventing America...can we do it? In this time of 'change', can we group together and come up with ideas and solutions to improve this country?

We have so many issues to deal with at once. Our economy, the wars in Iraq and Afghanistan, the outrageous cost of education, global warming, an infrastructure that is crumbling around us and American workers with uncertain futures.

All these issues are being talked about in one place. What are your thoughts? Your opinions on how we can change or reinvent America? Do you think our new President will be able to tackle all these issues and be successful?

FREE PDF Download ~Dispelling The Credit Repair Myths

As with many things, we need help once in a while, but credit repair is certainly something that you can do quite easily on your own with a little elbow grease and time.

There are some myths. Some may shock or even anger you, but it is a message that must be told. For example, you probably think you can't do it yourself and you NEED a professional agency to do it for you. That couldn't be further from the truth.

I am giving you this FREE download, so you can learn some of the credit repair myths. This information is something you shouldn't be without.

Click the link below to receive your free copy:

FREE DOWNLOAD: DISPELLING THE CREDIT REPAIR MYTHS

Go HERE to learn the credit repair agencies top secret methods for removing negative items, inquiries, judgments, and bankruptcies from credit reports.

Join Revenue Sharing Boom

I am sure many of you have read success stories in the entrepreneur business world. Why not become one of these successes?

Now with Giblink, you can. You can promote, advertise and expand your business with the use of a business social networking opportunity also known as Web 2.0. This site will allow entrepreneurs and businesses to connect, share thoughts, ideas and also bring to life a business plan, all while helping each other. This is a new concept in online marketing that will allow you to succeed.

Here's some of the benefits to Giblink:

Everyone that Joins after you will be on YOUR Team.
You will get online continuing education!
Full phone support from two top earners!
You'll get taught a proven "passive marketing"
strategy that works.

Web advertising is growing in astounding numbers. There are millions being made by corporations. Are they sharing their revenue with you? NO

GoDaddy produced $100 million in revenue last year, Google reported a whopping $1.6 billion. What about other sites that you know are generating large sums of money...MySpace, You Tube?

With Giblink being the world's first revenue sharing community, they will be sharing 70% of the revenue back to their community members.

We've all heard the saying...you must be in the right place at the right time. Well, I believe the right time is now.

A Business / Social Networking site such as this, while offering a share in the revenue to it's members, is undoubtedly going to cause a huge global income generating wave.

Catch the wave! Click Here For More Information!

Definitions of Mortgage Terms and Mortgage Loans

Purchasing your first home can be an overwhelming experience. This is the biggest investment you will make and a huge financial commitment.

Once you find the perfect home for you, you will then need to find a mortgage loan. With so many options out there, do you know which loan is right for you?

Is there such a thing as cheap mortgages? It would certainly be in your best interest to take some time and compare mortgages. There are many ways you can search for the mortgage that best suits your needs. Check with your realtor, your attorney, use the Internet, ask your friends or relatives. I have included a mortgage rate widget on the sidebar of this blog,so you can see the latest interest rates for various types of loans.

Understanding mortgage terms and loan types can make this process easier for you:

Fixed Rate Mortgage: (10,15, 20, 40 or 50 yrs)
The interest rate and monthly payment remain the same over the entire life of the loan

10/1 year Adjustable:
The interest rate and monthly payment will remain the same for 10 years. At the beginning of the 11th year, the interest rate will adjust and the payment may change every year for the remainder of the loan

7/1 Adjustable:
Same as the 10/1 year Adjustable, but this mortgage will adjust beginning in the 8th year

Having an adjustable mortgage allows you to enjoy the initial lowest interest possible and the lower payment, but if you want the stability of a 'fixed' payment, this will force you to refinance (also described as remortgages the loan)

5 or 7 Year Balloon:
The interest and monthly payment will remain the same for 7 years, but at the end of that 5th or 7th year, the borrower must refinance into a new loan at the current interest rate.


Amortization Schedule- A month-by-month breakdown of principle and
interest to be paid on a note, as well as the balance after payment is made.

Balloon Payment- A lump sum payment that pays off a note in full.

Debt Ratio- An individual's total debt to relation to their income.

Equity--The difference between what a property is worth and how much is owed on it.

Loan to Value- Referred to as LTV. This is the ratio of the loan amount to
the value of the property.

Mortgagee- The person or investor who receives the payments from a
mortgage.

Mortgagor- The person who owes money (makes payment) on a mortgage.

Title Insurance- Insures that a piece of property is free and clear of any
liens

Advance Your Career or Start a New One

Have you considered going back to school? You can advance your career or start a new one. Although it can be expensive to go back to further your education and enhance your skills, there are ways to curb those costs.

Research scholarships or grants on online, give some thought to online degrees, look into federal aid and ask your employer if they support tuition reimbursement.

Follow your dreams and don't be held back. Be creative and enrich your life.

Cost of Living Calculator

Thinking about moving? Do you know how far your salary will go in another city or state? Even if you are just curious to see how well you can live in another state/city, check this out.

I came across this great calculator that will enable you to see how much you should earn to maintain the same lifestyle.

I entered my information and my state of New Jersey and was curious to compare it to the living expenses in Arizona. I found I could live quite well! Hmmm....maybe I should think about relocating.

Compare your salary to key expenses such as: groceries, housing, utilities, transportation and health care.

Just enter your current city and state, then enter your designation. Click here to try this out.

Data is generated from an average of the past four quarters ending first quarter 2007.

Ecommerce Shopping Cart Software

Are you thinking of starting your own business? Owning your own business is the path to your financial freedom.

As most of you are aware, there are unlimited ways to make money online.
A family member has recently started his own Online Store. He has had positive results and I know someone else who considers this option will also.

Ashop Commerce allows you to manage your entire website and online business from one complete ecommerce shopping cart software.

Whether you are a beginner or an expert, Ashop Commerce allows you to set up your store within hours. Fully omtimized shopping carts, which also provides up to date and relevant advice. You can take advantage of their 10 day free trial to see if this shopping cart software is for you.

If you currently have an online store and spending a fortune to maintain it , why needlessly spend more money than you have to? A small monthly investment is all it takes to have your top notch store up and running.

Some features that are offered are: You will be able to control inventory, feature products, process orders in bulk, offer customer discounts, gift certificates and coupons, personalize your store without templates and use the design creator, html or flash. This complete service is securely hosted, offers free emails, fraud alerts and web promotion services
Your customers can pay with confidence knowing that Ashop Commerce offers SSl protection.

Selling online can't get any easier than this.

Help Wanted

This is not spam. I have recently expanded my business to include Homes Loans: Purchase, Refinance, Home Equity, Debt Consolidation. I am looking for additional quality people to further expand with me...go nationwide. I am taking this opportunity to network with my fellow bloggers and readers to extend this invitation.

This is REAL, PROVEN and FINANCIALLY BENEFICIAL

Do you Dream of Building Your Own Business?

You journey through life working way too many hours for too little pay.

THERE IS A BETTER WAY !

The only way you can achieve financial freedom and control your own destiny is to have a successful business of your own.

I have recently expanded my business and I now want to expand further.

I am offering a risk-free opportunity to join me.
* No major investment
* No franchise fees
* No loss of job security
* No experience required
* No inventory
* Unlimited Territory
* Unlimited Opportunity

The ever growing Real Estate Market. Did you know that 78 BILLION dollars were made in real estate commissions?

We want to create more financially independent families than any other business. We are commited to helping people make their dreams come true. Whether it's controlling their debt, buying their dream home or building tremendous wealth.

Our system gives our leaders a proven, predictable turnkey plan for building and running a successful mortgage business. You run the system and that system runs and helps build your business.

FREE In house training and support system.

We have alliances with the most respected companies and provide the lastest technology to help build and run your business.

Create a business within a business.

REAL ESTATE PROFESSIONALS:
Here's your chance to DOUBLE, TRIPLE your income potential !
Clients already have listed with you. You are showing homes to potential buyers. Mortgage Loans are needed. You can help both the buyer and seller.

For the right person, this is a once in a lifetime opportunity.
* 100% compensation plan
* Part-time or full time
* Lifetime residual income
* Unique Business format system
* Nationwide operation

CONTACT ME: andrea@acassociatesusa.com for additional details.

Business Opportunity

Purchase, Refinance, Home Equity, Dedt Consolidation Loans

Social Networking Sites

If the phrase "Social Networking site" brings to mind only giggly teenagers or finding a date, think again.

Entrepreneurs are using these sites to get advice and recommendations from other business owners. They're also finding employees, meeting potiential clients, investors and attracting customers.

These sites may offer limited marketing tools, but they are worth looking into.
You can create a profile, link to other profiles and networks. Members have a fair amount of control over how much information you want to reveal to other members.

You can post to various discussion groups, bringing attention to your company. Reconnect with past clients, business associates, or former contacts.

Thinking of starting a new company? Check out JumpUp. Created by Intuit, it offers many tools, including templates for business planning and financial calculators

If you have a business plan and looking for investors. Look at Go Big Network, which aims to connect start-ups, investors and job seekers.

Entrepreneurs wanting to broadcast their business might want to check out iKarma. Customers can rate and review services.

LinkedIn is the largest social networking site for business. Reconnect with former clients/colleagues, forge partnerships, hire new employees or attract customers.

Ryze's strength is probably as a source of advice from other business owners. It has 19 groups for entrepreneurs and 10 for small businesses which include those specifically for women entrepreneurs, start ups and even entrepreneurs with attention deficit disorder.

Refinancing Do's and Don'ts

How many of you receive those "special offers" in the mail...the ones suggesting you've been pre-approved for a mortgage loan, refinance or streamline? I receive at least 5 each week.

Remember my prior post on "pre-approval and "pre-qualified"?
Review that post to know there are differences between those two terms.

When you are wondering how you are going to pay your mortgage and other bills, it may appear very attractive to borrow against your house. But consider this: if you cannot make your current payments, increasing your debt, even if you get some temporary cash, will make it harder to keep your home.

Refinancing your home may be one of the most important and complex financial decisions you'll ever make.
Below is the top ten list of advice to consider before you sign that loan document.

Use your home's equity carefully. Remember, building equity in your home is a key way to build wealth and financial stability. It builds slowly over time. Homeowners may be able to get some cash by repeatedly refinancing their homes but they will lose equity in their homes. A loss of equity also occurs each time homeowners finance new points and fees.

Never borrow more than you really need. When refinancing, borrow only for items that are needed to protect the home’s equity, such as a lower interest rate, home improvement or other asset building expenditures. Don’t throw away your long term financial security on short term indulgences like vacations or other temporary luxuries.

Think twice before using up equity on unsecured credit. Many solicitations lure borrowers with ideas that they can wipe out their credit card debt with a home equity loan or refinancing their current mortgage. Those debts are unsecured but your home loan isn’t – defaulting on that payment could lose you your house, not just affect your credit rating.

Shop around. Borrowers should talk to several lenders to find the best loan for which they qualify. Understand the best loan terms available in the marketplace and compare the APR (annual percentage rate) of loans from different lenders. The APR takes into account both the interest rate and the points and fees of the loan.

Say NO to "easy money." Borrowers should beware if someone claims "their credit problems won't affect the interest rate." If it sounds too good to be true, it probably is. If a solicitation is really interesting, get it in writing!

Understand the loan terms. Borrowers should compare loan terms from different lenders. Ask for written estimates that include all points and fees.

Find out about prepayment penalties. Borrowers should know if the loan offered to them has a prepayment penalty. Prepayment penalty should be a choice, not a requirement.

Make sure all the loan documents are complete. A borrower should not sign documents that have incorrect dates or blank fields. Be wary of promises that a lender will "fix it later" or "fill it in later."

Ask about additional fees. Borrowers should question any items they didn't ask for. Borrowers should also beware if they are told that single premium credit insurance is required to get a loan, or that purchasing it will help loan approval. Review every fee and compare different lenders' fees to ensure the most competitive loan terms.

If not sure, don't sign. Seek advice from a trusted financial adviser or local NeighborWorks or other homeownership counseling organization.

Source: Neighborworks

Are You Stuck in a RUT?

After speaking to some potential clients, I realized many people are "stuck in a rut" with outdated thinking when it comes to selling their homes. People are so accustomed to traditional or outdated thinking. Why?

Because it's comfortable, doesn't take a lot of effort, you know what to expect and there might not be a chance of making a mistake.

They think the only option they have when selling their property is using a realtor. Some are fearful of learning about a sales method they never heard of.....afraid to learn something new...or think outside their own"box".

In keeping an open mind you allow yourself to learn, grow and become a successful individual.

Change the way you think...

It's common that a lot of people feel nervous before learning or trying something new, myself included at times.

Have you ever talked yourself out of something because you felt that way? I'm sure some people have. Feeling uncomfortable out of the comfort zone...who likes that feeling...but, it's usually only for a little while. Over time, the new becomes familiar. I remember years ago when starting a new job, I felt that way, but that feeling only lasted a short time and then I became very confident.

New ideas and new ways of doing things can challenge you and bring change in your way of thinking.
Learning something new can be beneficial and the rewards can be satisfying. It can also be exciting and boost your confidence.

If you restrict your way of thinking, you are working against yourself. By learning something new you change yourself to be better, stronger, smarter.

In my business, as I see more and more For Sale By Owner signs going up and offering Owner Financing, I smile....Whether it's due to homeowners wanting to save money, receive more money or having more tools available by way of the Internet.... I'd like to think that more and more people are willing to learn something new, change their outdated and old patterns of thinking and realize they can be successful doing things on their own. It might mean having more patience and doing a little more work, but the rewards are gratifying.

"Change the way you look at things, and the things you look at change"
Dr Wayne Dyer

"It is in your moments of decision that your destiny is shaped"
Anthony Robbins

Managing Your Money for Homeownership

For many people, home is more than shelter: it is their biggest investment and a considerable financial asset. The difference between what your house is worth and the amount you owe is called your equity.

The first and most important way to protect your investment is to make sure you have enough money budgeted each month to make the PITI (principal, interest, taxes and insurance) payments on your mortgage loan and set money aside for home maintenance. You made a family spending plan when you were saving for a home. Now it is time to make a new spending plan to include all the expenses of homeownership.


To make a spending plan, meet with your family to budget your normal expenses, plus the new costs of homeownership, including:

Mortgage Payments: monthly principal, interest, taxes and homeowners insurance payments, as well as homeowners association fees and mortgage insurance if required.
Utilities: average monthly costs for electricity, gas, water and sewage, and trash collection
Routine Maintenance and Repairs: monthly savings for preventive maintenance and repairs (1 percent of the purchase price of the house for annual maintenance and repairs divided by 12 months)
Reserves: monthly savings for emergencies and/or goals (at least one month’s mortgage payment divided by 12 months)
*Note: Consider signing up for a “budget” or “average payment” plan with your gas and electric companies. Based on the history of gas and electric use in your home, the company will estimate the annual cost and divide it by 12 months. Once a year, the company will adjust the monthly payment up or down to reflect actual use. Then you pay the new amount for another year.

Paying a set amount each month for some of your utilities helps with budgeting since it spreads the high cost of winter heating or summer air conditioning throughout the year.

Developing a Savings Plan
Put money in savings on a regular basis. Ideally, you want enough savings to cover emergencies, routine maintenance and repairs, and your goals. Financial experts recommend building an annual emergency fund that is equal to one percent of your home’s purchase price. The amount of money you need to set aside to reach your goals depends on what your goals are and when you want to reach them.

Remember the Credit Trap
New homebuyers should not take on any new debt for car loans, credit cards or revolving credit for at least one year after closing. It will take that long to get used to making the new mortgage payments and to really understand how much it costs to take care of your home.

How To Shop for a Loan

There are hundreds of mortgage lenders that will pre-qualify and pre-approve you for a mortgage loan. Don't let these two terms confuse you. See my prior post on pre-qualify/pre-approval for clarification.



Major categories of mortgage lenders include:

Savings & loans: Also called thrift institutions, savings and loan associations (S&Ls) are the largest traditional lenders of residential home mortgages.

A government cleanup of bad loans at S&Ls that ended in the 1990s left behind the stronger S&Ls. These institutions remain a major source of funding for home mortgage loans. S&Ls are often called savings banks in the eastern U.S.

Commercial banks: Commercial banks offer attractive loan terms, particularly if they evaluate their entire banking relationship with you. Some commercial banks have their own real estate departments and will service your mortgage loan.

Other commercial banks sell their mortgages to Fannie Mae and Freddie Mac, two major government-sponsored enterprises that specialize in buying residential mortgages from lenders.

Mortgage bankers: Mortgage bankers borrow money from banks or pools of investors, underwrite the loans, and sell them to investors for a profit. They often receive a fee from these investors for servicing your mortgage. Mortgage servicing includes collecting monthly payments, sending out loan statements, and collecting on late payments. For more information, see the Web site of the Mortgage Bankers Association of America (MBAA).

Mortgage brokers: Mortgage brokers circulate, or "shop," a loan application among lenders to find the most attractive terms for the borrower. In exchange, a lender pays the broker a fee.

Homeowners: The most overlooked and a financially beneficial method. You may find that the current homeowner is willing to offer financing in exchange for selling the home sooner. This means that the seller becomes your lender. A common means of financing is for the seller to accept a mortgage note. A mortgage note requires you to make monthly payments to the seller instead of a bank or other lender. See my website for add'l info: AC Associates

Credit unions: Since credit unions are owned by their members, they are called cooperative financial institutions. Since they are nonprofit institutions, credit unions may offer attractive mortgage loan rates to their members. Like commercial mortgage lenders, credit unions sell their loans to Fannie Mae and Freddie Mac to maintain access to new sources of funds. The National Credit Union Administration (NCUA) regulates the credit union industry.

Nonprofit community development and housing organizations: Throughout the United States, there are hundreds of nonprofit community-based organizations that work to rebuild neighborhoods that have fallen into disrepair, or to help low-and moderate-income families buy homes. Often, these organizations have money available from government or private grants to loan for home purchases or for home improvement loans. The interest rates are often less than the cost of bank loans and the repayment terms are easier for new homebuyers. Check with your city housing agency and ask for the names of non-profit housing groups in your area or search for local organizations that are part of national nonprofit networks, such as these:

NeighborWorks organizations: These local nonprofit housing advocates provide many services to low-income homebuyers, including homeownership training, financial counseling, foreclosure intervention, loans for rehabilitation and repair of existing properties, and, sometimes, home loans. There are hundreds of these local nonprofits nationwide. Visit www.nw.org for more information.

HUD-Approved Housing Counseling Agencies: These local nonprofit and public agencies offer rental, homeownership and foreclosure prevention counseling. They can also help you obtain mortgage financing directly from them or through referrals to local lenders. Visit HUD's website for more information.

Government Agencies:

State or Local Housing Finance Agencies: Almost every state has a housing finance agency (HFA) that works with state and local groups to revitalize neighborhoods and promote homeownership. They also provide financing for special uses, including rehabilitation of existing home. HFAs may have financing available at lower interest rates or require lower down payments and closing costs for low-and moderate-income or first-time homebuyers. City and county agencies generally perform the same function as state HFAs. Ask your local lender, real estate agent or a nonprofit housing organization about state and local government agencies. You can also visit www.ncsha.org for more information on state housing finance agencies.

Test Your Financial Fitness

Answer the following questions to the best of your ability. Once completed, tabulate your answers to find out about your financial educational needs.
Questions:
1) Late payments on bills are a major problem and can lead to a denial of credit when seeking a loan.

True False Not Sure

2) You should keep enough in your savings account to cover three months of living expenses.

True False Not Sure

3) No more than 25 percent of your income should be used to pay off debts that require at least 10 months of payment before the debt is fully repaid.

True False Not Sure

4) If you don’t have enough money to pay your bills, you should call your creditors right away and tell them.

True False Not Sure

5) A bankruptcy will stay on your credit report for 7 to 10 years.

True False Not Sure

6) The lowest interest rate on a loan doesn’t always mean the best loan.

True False Not Sure

7) Banks are not required to provide customers the best, most competitive rate based on their credit score and financial means.

True False Not Sure

8) When you use a credit card, you are borrowing money from a bank.

True False Not Sure

9) The practice of keeping your ATM receipts is not a sufficient means of financial management.

True False Not Sure

10) Your credit history has an effect on your ability to get a job or rent an apartment.

True False Not Sure

Get the answers here:

http://www.keystomyhome.org/ready/testfitness/indexform.asp?type=results

Another Important Figure You Should Know

When applying for a loan, mortgage loan or other types of credit, Lenders use your debt-to-income ratio (how much you owe on credit cards and loans compared with how much you earn) to help evaluate your creditworthiness.

How You Can Figure Your Debt To Income Ratio:

1) Add up your total net monthly income. This includes your monthly wages and any overtime, commissions or bonuses that are guaranteed; plus alimony payment received, if applicable. If your income varies, figure the monthly average for the past two years. Include any monies earned from rentals or any other additional income.

2) Add up your monthly debt obligations. This includes all of your credit card bills, loan and mortgage payments. Make sure to include your monthly rent payments if you rent.

3) Divide your total monthly debt obligations by your total monthly income. This is your total debt-to-income ratio.

4) Take action if your ratio is higher than 0.36, which industry professionals would call a score of 36. The lower the better. Any score higher than 36 may cause an increase in the interest rate or the down payment on a loan you apply for.

Tips :
When you total your monthly debts, use the minimum payment on your statements.
When calculating your income, a lender will only consider money from a job that you've been at for at least two years.
Unreported earned income cannot be used in the calculation.