|
U.S. Treasury Bonds |
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Maturity |
Yield |
Last
Week |
Last
Month |
|
5 Year |
4.36 |
4.43 |
4.54 |
|
10 Year |
4.45 |
4.51 |
4.60 |
|
30 Year |
4.65 |
4.71 |
4.79 |
|
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|
Treasury Market Summary:
Market
Extends Gains: Treasuries continue to regain
ground. The data helped a bit & Snow's
repetitive comments on CNBC could not hurt
trade. Yields on the 10-yrs are back near last
week's lows while the 2-yrs are hanging tight.
The curve has resumed the flatter stance, with
the 2-10-yr yield spread narrowing below 9.
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Economic Indicators for this week that could
impact the mortgage or real estate markets
include...
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How
to Improve Your Credit |
If you have had credit problems, be prepared
to discuss them honestly with a mortgage professional. Responsible mortgage
professionals know there can be legitimate reasons for credit problems, such as
unemployment, illness or other financial difficulties. If you had a problem
that's been corrected and your payments have been on time for a year or more,
your credit may be considered satisfactory.
If you are currently in excess debt, there are four ways to control it:
If your credit is not in terrible shape, you can reduce your other expenses,
even if it means making hard choices or changing your lifestyle to fit your
income. Consider selling a second car, taking equity out of your home, applying
for a non secured signature loan, obtaining a loan from a relative, selling your
home and paying off your debts with the proceeds and then renting, cashing out
your 401K/retirement benefits or selling family heirlooms, jewelry, etc.
If your credit is already damaged or one of the above isn't an option, go
through Consumer Credit Counseling Services (CCCS). Check your yellow pages for
the local number. CCCS may be able to help you pay off your debts as if you were
in a Chapter 13 bankruptcy, but you don't actually file for bankruptcy.
If CCCS won't take you, you may want to consider bankruptcy. Claiming Chapter 13
bankruptcy takes longer than a Chapter 7, but your credit will end up in a
little better standing. Chapter 13 bankruptcy gives you up to 5 years to pay off
your debts. The disadvantage is that you're in bankruptcy for up to 5 years plus
your credit report shows your bankruptcy for 7 more years after you have
finished paying off your debts.
If you are so far in debt that you can never repay it, then the best solution
may be a Chapter 7 bankruptcy. A Chapter 7 bankruptcy is the least desirable
from a credit standpoint, but you are typically out of bankruptcy in 6 months
and you don't have to repay any debt. The disadvantage is that this shows on
your credit report for 10 years from the date of filing your bankruptcy.
Creditors are starting to tighten their credit requirements, and you may have a
tough time getting future financing.
If your debts are under control now, but want to improve your bad credit
history, the most important factor is to make your monthly payments on time. Use
pre-addressed envelopes enclosed with your statements to mail your payments and
call the company if you don't receive your usual statement. Also send your
payment as early as possible if you carry a balance. Most companies calculate
interest on a daily basis, so the sooner they receive your payment, the less
interest you'll pay.
Don't procrastinate. It's the day your payment is received that counts, not the
postmark date. Give the post office sufficient time (five business days is a
good guideline) to deliver your mail. Late payments may mean late fees, higher
interest, and/or a negative mark on your credit report.
Never send cash. Open a checking account if you don't have one, or spring for a
money order and keep your receipt. Finally do not forget to tell your creditors
your new address when you move.
If you are worried about making payments, make a list of your debts and when the
payments are due. Contact your lenders immediately if you think you will have
trouble meeting the monthly payments to arrange a payment schedule.
Taking money from your retirement account or tapping the cash value of your life
insurance policy to pay bills or living expenses may have serious implications
you haven't considered, so try to get advice from an expert before you take any
major financial actions.
Credit cards can be invaluable in a crisis, since they allow you to charge items
and pay them off over time. But they can also be dangerous if you aren't careful
and charge more than you can afford. If you do use credit cards, choose those
with the lowest interest rates and pay them back as soon as you can to cut your
costs.
One should consult with a qualified mortgage professional
prior to implementing any mortgage strategies.
If you are a tax, insurance, financial or insurance
planning professional receiving this newsletter, please call our office and
introduce yourself to us. We are always seeking to grow our referral network and
expose more service professionals to our client base. |
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