All persons depicted in this blog are creations of the author. Any resemblance to any person living or dead is strictly because we all do similar dumb things.
Mrs. Betsy Benson, former beauty queen, Clemson class 1994 and wife of Joshua Benson, Attorney-at-Law, Michigan Law School, 1992, was out shopping with her two young children, Jacob aged 6 and Hannah 4. Because Betsy was supposed to meet Gretchen and Sydny for drinks, she was in a hurry and decided to go through the McD drive-through before dropping Jake and Hanna at Grandma's.
Betsy ordered the kids lunch and a small snack and a medium drink for herself. the bill was about $12 which she paid using her Visa card. She and Joshua had agreed to cut back on the use of the cards but since they had decided to roll their increasingly unmanageable debt load into a new 1st mortgage what was an additional $12?
Millions of families have done this very thing. They have taken debt for things they ate, used up or threw away and rolled it into their home loans in the mistaken belief that they paid it off. That is just wrong.
For every $100 that you roll into a new 1st mortgage at 6% for 30 years, you pay back $216. Betsy's $12 lunch costs $25.92 under this senario. By itself that is not a big deal, but most folks roll thousands into these deals.
My advice is to disregard the mortgage guys that tell you this scheme is smart, it isn't.
Tag: Personal Finance
May 26, 2006
I Will Gladly Pay You Someday For A Hamburger Today
All persons depicted in this blog are creations of the author. Any resemblance to any person living or dead is strictly because we all do similar dumb things.
Mrs. Betsy Benson, former beauty queen, Clemson class 1994 and wife of Joshua Benson, Attorney-at-Law, Michigan Law School, 1992, was out shopping with her two young children, Jacob aged 6 and Hannah 4. Because Betsy was supposed to meet Gretchen and Sydny for drinks, she was in a hurry and decided to go through the McD drive-through before dropping Jake and Hanna at Grandma's.
Betsy ordered the kids lunch and a small snack and a medium drink for herself. the bill was about $12 which she paid using her Visa card. She and Joshua had agreed to cut back on the use of the cards but since they had decided to roll their increasingly unmanageable debt load into a new 1st mortgage what was an additional $12?
Millions of families have done this very thing. They have taken debt for things they ate, used up or threw away and rolled it into their home loans in the mistaken belief that they paid it off. That is just wrong.
For every $100 that you roll into a new 1st mortgage at 6% for 30 years, you pay back $216. Betsy's $12 lunch costs $25.92 under this senario. By itself that is not a big deal, but most folks roll thousands into these deals.
My advice is to disregard the mortgage guys that tell you this scheme is smart, it isn't.
Tag: Personal Finance
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