Share This Episode
MoneyWise Rob West and Steve Moore Logo

Breaking the Plastic Addiction

MoneyWise / Rob West and Steve Moore
The Truth Network Radio
July 12, 2021 8:03 am

Breaking the Plastic Addiction

MoneyWise / Rob West and Steve Moore

On-Demand Podcasts NEW!

This broadcaster has 472 podcast archives available on-demand.

Broadcaster's Links

Keep up-to-date with this broadcaster on social media and their website.


July 12, 2021 8:03 am

With the increased use of plastic to complete transactions these days, it’s now easier than ever to develop the bad habit of over using your credit cards. On the next MoneyWise Live, host Rob West will share that just like with any bad habit or hang up, there’s a way to wean yourself off of your addiction to plastic. Then he’ll answer questions on various financial topics. That’s MoneyWise Live—where biblical wisdom meets today’s finances, weekdays at 4pm Eastern/3pm Central on Moody Radio.

YOU MIGHT ALSO LIKE
Our Daily Bread Ministries
Various Hosts
MoneyWise
Rob West and Steve Moore
MoneyWise
Rob West and Steve Moore
MoneyWise
Rob West and Steve Moore
Our Daily Bread Ministries
Various Hosts

Hey there I'm Jim and Baxter and Iser Moody radio is the director of business development.

Our team's job is to find businesses that love MIDI radio and Jesus Christ and want to support the work we do financially just like you today. I like to introduce you to United States mortgage.

Simply put, they are afraid focus mortgage team serving clients across the United States.

They put together a team with Christian values with faith and family at the core. They know that this is arguably the most important purchase of your life. Check out the top five things you should know about United States mortgage@unitedfaithmortgage.com thanks to you and United for supporting the radio. United faith mortgages, a DBA of United mortgage Corp. 25 Millville Park Rd., Millville, NY license mortgage banker for licensing information, go to an MLS consumer access.org corporate MLS number 1330.

Equal housing lender not licensed in Alaska, Hawaii, Georgia, Massachusetts, North Dakota, South Dakota and Utah.

Moneywise my phone lines are not a bad habit doesn't seem to start that way.

Maybe it's just something fun that you do with others, and only on weekends but before long your doing it every day and hiding developed a credit card by Rob West falling into the grip of plastic and definitely feel like an addiction. But like with any bad habit there's a way to wean yourself off of the will talk about that first. Today we have some great calls lined up taking your life calls today because we're free report.

This is moneywise live wisdom for your financial health. Weekly Bible doesn't cold that sin but neither does it encourage some debt is acceptable if it promises a return. That's greater than the cost that might be for education, perhaps buying a home or starting a business credit card debt is not acceptable because there is no return. It's used to fund a lifestyle that you can't afford in the interest payments are a huge net loss to your finances. Plus, it limits how much God can use you for kingdom work that we mainly talk about two things here in the program God and money. Specifically, managing money to glorify God. You can't do that if you're up to your neck in credit card debt.

So if you're caught in a repeating cycle of using credit cards and you're falling behind each month is your balance and interest payments grow I want to tell you that you're not alone. Even though that's not how God want you to manage his resources.

Remember he owns everything.

He'll never forsake you. First Corinthians 1013 tells us no temptation has overtaken you that is not common to man. God is faithful and he will not let you be tempted beyond your ability, but with the temptation he will also provide the way of escape, that you may be able to endure it.

So the first thing you need to do is pray and ask God to send his Spirit to strengthen you and lead you, pray for wisdom and encouragement as you commit to managing your finances according to biblical principles. Ask and you will receive. Next I want to talk about a simple practical step you can take to start weaning yourself off of credit cards. It was the focus of the study a few years back was several thousand participants, all of whom were in credit card debt. The researchers asked participants to follow something called the $20 rule. They agreed not to use a credit card to purchase anything that cost less than $20. If that resulted in them spending less money they could apply the savings to their credit card balance but that doesn't really sound like much of a restriction because the participants were still free to use their cards for purchases over $20. How effective could it possibly be well.

The study went on for six months and those who follow the rule produced some interesting results by using cash for all purchases under $20.

Those folks, on average, reduce their credit card balance by just over $100. That may not seem like much but consider a couple of things.

First, even though the balance reduction was modest.

It was definitely pointed in the right direction downward. The upward trend was reversed. Second, it showed that even small changes in behavior can have a positive effect on your finances.

Remember Zechariah 410.

Do not despise these small beginnings that hundred dollar balance reduction was the average for the whole group. But when the researchers drill down further, they saw even better results. It turns out that the younger credit card users. Those under 40 who typically use their credit cards more than 10 times a month had the biggest reduction they lowered their balances by hundred and $75 over the six months and of course that makes sense. We know the more you use cash.

The less you spend it psychologically more difficult to shell out real dollars than to use a credit card now if you'd like to try the $20 rule. You're far more likely to be successful. If you have a partner someone that you have to report to and who can hold you accountable. Also, if you need help arranging your finances getting and staying on a budget that will help you lower your credit card balances even more. Sign up with one of our volunteer coaches just go to moneywise live.org and click connect with the coach. Finally, if you're overwhelmed by credit card debt and not able to make your monthly minimum payments.

There's hope for you to our friends at Christian credit counselors can get you on a debt management program and lowers your interest rates and helps you pay off your debt up to 80% faster. Folks there take a biblical approach to paying off debt. You can find out more@christiancreditcounselors.org that's Christian credit counselors.org and keep us posted on your progress.

We'd love to hear from you as you pay down your debt and bring your finances in line with God's principles.

You are listening to moneywise live with Rob West. Today's broadcast is prerecorded and that means we're not taking any calls but we got some calls lined up and great information coming your way that we think you'll find helpful. So stick around for more moneywise live in this brief break for joining us today for moneywise live biblical wisdom for your financial journey. Rob West delighted to have you along with us today. Their team is taking some time off today so we're not in the studio, so don't call.

However, we got some wonderful calls questions that we lined up in advance and begin with those. Now Sandy is in Indiana. Thank you for calling Sandy how can help you out dollars now for retirement. I actually like the idea of you prioritizing Sandy the retirement assuming you got an emergency fund, you don't have the consumer debt, like credit cards living on a balanced budget. If you have some margin. I would put it toward retirement before I put it forward toward paying off the house and here's why I like the idea of you paying off the house but not at the expense of missing out of the benefit of the compounding in a tax-deferred environment for the long term because if you could get money working for you over the next 15 years on a compounding basis with tax advantages inside that retirement account while you're paying your mortgage and you know you were to time the payoff of that mortgage with your timing on entering retirement, which I realize may require you to accelerate a little bit but but not a whole lot that would be ideal because then we are building our assets between now and retirement and know all the while were continuing to pay the mortgage payment and by the time we hit retirement were pretty close to having it paid off. If we haven't already done so, and the convergence of those two things you know as much.

As you can save to supplement Social Security and other income sources, combined with a lower lifestyle based on you being debt-free I think is the optimal scenario versus you not contributing to retirement or as much as you should be now and prioritizing the mortgage payoff. I just think that the retirement account will do better for you over the next 15 years than the benefit of you being completely debt-free as long as you don't have an absolute conviction that we just want to be added that as soon as possible via follow that the call.so how to make sure that were doing right right with God. You know I think that's a good thing and you know I applaud what you doing there on living on one income because as you add your income. It's can give you the ability to really dedicate those funds to you know the priorities that you have and the goals that you have been really be able to work on funding you know either debt reduction or long-term savings or additional giving or a combination of them, and I think the priority use of that right now is toward trying to make up for some lost time on the saving for retirement so that's a good decision. All the best in this new field that you have appreciate the service that you're going to bring to many as a nurse and delighted you guys are to be able to fund some of these goals, namely long-term savings so hope that's helpful to you, Sandy, thank you for your call today. John is in Indianapolis.

John how can help you get years old and I'm retired military and retired civil servant so I got about $72,000 of income coming in every year and our mortgage is paid off and we live on about 65% of our income. We got about $890,000 in the market hundred and 86 that is aggressive ETF and government ETF and then we have liquid savings of about 100,000 making up that 890,000 want to know your opinion about. And we also have term life myself 600,000 by like 500,000. And if I should die in the 2000 go the way that she would have Social Security live on it, age 62 with no debt whatsoever so I guess I'm just concerned about or have an idea about. Is there any thing that I should do at this point my life did maybe be more aggressive maybe look at that second home in Florida. Yes, I just don't think like doing everything right, but now I'm like what you're describing here. First of all thank you for your service or for our country. We were grateful.

Secondly, I would just say that does the term life carry her through age 62 were beyond goals. It expires when revoked 73 okay excellent. I like because you really don't have a need for it.

At that point and so that gives you plenty of time did you mention the second home that something you're thinking about buying or Yorty have no thinking about going with my son and going underneath that vacation we go down in the winter and in the off-season we print that out to vacationers or renters or whatever okay and that would come out of the roughly 900,000 afternoon. My son would go in half a as well okay yes I think that's the only thing to look at is the right timing on that really do your homework because housing prices obviously are very high right now in Florida and so you can be paying top dollar, perhaps above market prices. Just make sure that with any debt service that you can have that you can in fact cover that with the seasonal rentals and just don't take some of his word for it to do a good bit of legwork on that see you know what you're getting into, but otherwise I think everything sounds good. The 600,000 roughly that's not in the aggressive ETF's, or the savings, how did you say that's invested so I have 300 out and keep on me moderately aggressive within the market, with another 300,000. If there okay yeah I think that sounds good. I think the key is if you will have all that you need. There's not any need to take any more risk than you should because you were clearly here. We've come through a incredible bull market here if this thing were to roll over and that aggressive you could wake up one day in the aggressive ETF's could be down 30 or 35%.

So I think you need to cut a check that against.

Would you be comfortable letting that ride and waiting for to come out without kinda making an emotional response of just pulling out altogether and if not, you may want to get a little more conservative with that but just know what you're getting into their based on where the market has been and where it's likely to be over the next several years, but obviously you got plenty of stability here hundred thousand in savings. The G fund is as stable as it gets.

A moderate portion at 300 and this is truly all surplus because your lifestyle is covered and then some with the 72,000. And even if that goes away with her Social Security plus a term life insurance you know in this roughly 900,000 she should have everything you need she needs. I think the last thing I would say John is you know is there additional giving you all want to be doing. I'd be thinking and praying through that and then secondly might you want to consider long-term care insurance. You note. I know you, you probably have some options to the VA but you know that might be something to look at, because if there was gonna be a major cost to corrode assets in a hurry in the season of life that would probably be yet, but other than that, sir, I think you're on the right track. Well, okay, I consider long-term light, you know, let's just the gamble, so I'll look into that 70% of Americans 65 years and older will need it for probably an average of two years, so it's expensive so I would and I appreciate your call today very much.

All the best to you and again thank you very much appreciate the folks were to pause for a brief break, tell me remind you before I do the moneywise app is available for your download. It's in your app store to search for moneywise biblical finance. It's a way to track your spending and manage your money jump into the moneywise community and ask questions or share encouragement with other listeners and our learning tab which has the best content from all the leading content providers Christian finance all in one place for your encouragement and edification moneywise at moneywise biblical fine pause for a brief break, but much more to come.

Just moneywise lives of blood along with us today care team is taking some time off today. This program is prerecorded, so don't call Lynn but we got some great calls all lined up in advance and were going to start today with Altman is an elementary my saying that right very good. How can I help you mentor shall Well but I would like to somehow I laid on that now like to kill each labeled it that you have very good. Do you have a sense of how you'd like this money to be used. I mean, they let me give you some examples. So one option would be you. You see, this is long-term money, meaning 10 years or more before he would take it out. You'd wanted available for any purpose. It could be to buy his first car could be a down payment on or a first last and security for an apartment you know some point it could be your extra expenses at college not college related expenses necessarily but spending money so that would be in a bucket. Number one bucket number two would be specifically for college you want this available to pay qualified educational expenses of tuition and room and board, fees, books that's bucket number two.

I think a bucket number three would be because he has earned income. He has the ability to start a Roth IRA.

So this would be really long-term money and we were talking. Enough for 40 or 50 years down the road, but if he could understand the importance of starting a Roth IRA today.

You know with the money he's making for McDonald's and he contributes to it. You know, systematically, over the years.

He could be in. I can have a lot of money built up in that retirement account if he were to stay in a disciplined and and diligent in contributing to it. So which one do you think sounds like what you're looking for.

Thinking about how college will be climbing clear to the main thing I like to try it Will help, but I cannot somehow you're saying. Specifically, you don't the money you're calling in about today that I think you said you had 500 start with.

You don't want that your mark for college you like it for one of the other two purposes is a right okay so I probably use one of the Robo advisors will there's one called wealth front that you know there's no minimums will exit the minimum is $500, but the first $5000 is managed free and it's very low cost. After that, as long as you go through nerd wallet see go to nerd wallet.com search for wealth front and then connect to it through their but basically you'd set up two accounts, one would just be a taxable account in your name and then you could give it to them at some point down the road and the second would be a Roth IRA in his name and the Roth would be the money that you want to be for retirement. Remember, this is way down the road beyond the age of 59 and then the other portion would be long-term money meeting you know 10 years, but it could be used for anything and then I think as you do that you could systematically contribute.

Starting with a minimum of $500 to each of those accounts and it would invest it for you in ETF's exchange traded funds that are indexes so you have a broad cross-section of the market, then you just capture the long-term trends of the market with that that portfolio that they would build for you without the difference here is how manager is you're not buying an individual company. I realize there's something kind of fun and novel about Sangamon about one share of Amazon one share of Apple and he can track those companies. But the problem with that is were just not promoting the right type of investing because although it's fun to watch. It's not properly diversified, and he would be at the risk of two companies and they happen to be in the same sector of the economy and technology, and if technologies out of favor those companies have a bad quarter. It could be down significantly and that's why he should be broadly diversified, capturing the long-term market trends of the overall market as opposed to just two individual companies which might be more fun, but it's just not the right way to invest because there's not enough diversification. So do you follow all that alright so here's what I would do I head over to nerd wallet.com and I would search for wealth front if you go through your wallet to wealth front of the first $5000 free to be managed beyond that 1/4 of a percent a year minimum is $500 get started. Set it up.

They have a great app a great website and I think you can open the Roth and the taxable account and start making all right.

Hope that helps.

All the best, you pause for a brief break we come back much more just around this moneywise were delighted with us today and moneywise lives were taking some time off, so I team is not here so don't call Lynn. However, we have some wonderful calls lined up in advance that I know you'll enjoy and benefit from beginning today in Texas with Lee Lee. How can we help you. Thank you.34 dating a young man hit 38 and that she it's her second marriage and he's never been married. They are both God-fearing and wonderful Christian young people that he that much more unstructured about money and lifestyle than she is. She has a sales job on that from Israel and that she does in her shorts remotely and then he is more of freelancing.

He's very knowledgeable about plants and he grows and sells plants and at some landscaping, but it just seems like he you know when he had enough money.

He did he say Janice Hayes. Practically, can he drop something to go on a weekend mission trip when he actually should be taking care of some other avid on business chance until I keep he structured to you know talking about providing for their future before he's very generously give away what he doesn't have control our advice before they can go to get some counseling or something like yeah very good and so she sees this as a concern.

It's not just you correct that you okay and how close are they to marriage me know they actively talking about engagement. I cannot and we have and they are planning to see a wonderful marriage counselor Creek payment counselor, but they are well. Clearly this is something that needs to be addressed in the candy. You know, because this is a part of what needs to happen is no part of godly premarital counseling. They need to really lean in to this area of finances. Especially given the concerns that she has, beginning with just a lot of dialogue around how was money handled growing up and what are their thoughts on the way money should be handled and what lifestyle do they think God is calling us them to you as a married couple. If that's the way the Lord ends up bleeding and what about giving and generosity and what is that spending plan to look like me. I think that conversation is going to be key for them getting on the same page then second, I would encourage you once they decide they are going to move to engagement. I would have them connect with one of our moneywise coaches that moneywise live.org just click connect with the coach and have 1/3 party that can walk with them and not only teaching. Some of these biblical principles we talk about here on the program but actually helping them develop their budget, their spending plan and talk about how they're going to control the flow on the flow of money.

You know on a monthly basis and some of the decision-making processes that are going to take place. That's gonna be really key. Making sure that they're on the same page with regard to transparency as well as a oneness that they're going to combine their finances and develop a shared vision even if there's one bookkeeper for where they're going. Moving forward, and then I think the last pieces you know if they would be willing to have a mentor financial couple from their church. So perhaps you know, pray and think about who might be an older couple that would walk with them for the first year financially just to help them deal with Canada.

The issues that will come along and I think if they're willing to take those steps a good bit of talking and dialogue really unpacking a lot of the things that that you don't lead to how they both handle money and then there can be different you know each bring our money personalities to the table but it's her, it's about recognizing each other's strengths and weaknesses and then developing a shared vision moving forward, then working with the coach to get the actual plan. It's one thing to have a plan, then you have to stick to it and that's where the mentor couple will come in if they would be willing to do those things. I would feel a lot better.

The last thing I would say liaison to send you a copy of our Dean's book money and marriage God's way and I want you to ask them to. Perhaps you know go through that.

Maybe wax it will send you two copies and they can each read a chapter in the maybe they come together on a date night once a week and talk about it.

I think if they do those things. They'll be in a in a real good place to at least identify where there's going to be a real conflict to moving forward that needs to be addressed or whether not they can come to a shared vision, moving forward, to some extent so that couch again. Yeah, just go to our website moneywise live.org and click connect with the coach and these are volunteers that are specially trained in all of this that would be willing to walk with them for six weeks or more to not only teach these principles, but to set up their spending plan debt repayment plan giving plan and and work all of that out in advance with them okay wonderful hold on a line yes ma'am you hold the line, my producer, Deb will get your information will get those books out to you today.

We appreciate your call to Chicago, Illinois Maria, thank you for your patience. I can help you know how a 40141 plan. 19. The employer okay very good so what you have saved up in retirement assets. Maria, I want okay and going home right now will pray that about 348 out okay and is not the rental property okay enter you give good cash flow coming off of that $100 on okay after all of the expenses are paid right okay and do you plan on collecting Social Security when you retire in a couple years while no okay I didn't realize how old you were very good. Yeah, you need to wait until at least 62 and I probably wait till full retirement age.

If you can Maria have you put a budget together. Do you know what it's gonna take to fund your lifestyle. Once the house is well.

The home is Artie paid off. So given the rental income that you have coming in without taking Social Security what you think you need either monthly or annually. In order to fund your expenses. Do you think it's more than 6000 a month okay great. Because here's the thing you know, not counting the rental income and not counting Social Security and with 1.8 million in whatever that grows to over the next couple years. You should easily be able to pull off 70,000 a year out of that without ever touching the principal and so because you kept your lifestyle modest.

You paid off your debt. Your you're working toward it. You know I think you're in a really good spot here and then when you begin to collect Social Security sometime down the road that'll just be additional funds that you have available. So I think you're a great spot to really ask the Lord to give you vision for this next season of life I would connect with a financial professional. If you don't have somebody managing that money. It's can be really critical.

That's a lot of money. The Lord has allowed you to put away to fund your needs moving forward.

As you move into this exciting chapter. I would encourage you to connect with a couple of certified kingdom advisors and find the one that's the best fit for you. If you don't Artie have that covered. If you do that's great but if not, go to moneywise live.org click find a CK search using your ZIP Code. Apart from that, I think you got a great plan here, you've obviously been a diligent saver and it sounds like you're right on track so all the best to you. God bless you to take a quick break and come back much more on moneywise live for God's word intersects finances stay with her back to moneywise live so long with us today.

Their team is taking some time off today so don't: this is prerecorded, but we have some calls lined up that I know you enjoy. Talk to Lori and Arizona. Just a moment the first Howards in Chicago and Howard. How can we help user yes I have about 58 and I have 50 more years of working, but I'm wondering where I should be focusing in terms of whether I should be paying off my home, which is about 250,000 left or whether I should focus more on 401(k) retirement savings yeah well it's a great question because it only think about the use of God's money. It's all about priorities right and we want to start with.

What are our values.

What's most important to us and realize that the way we allocate God's money says where we placed our trust in you know really what we believe God wants us to do with his resources because it's a tool to accomplish his purposes, and clearly part of that is to become debt-free over time and to save for the future you assuming were providing for a family. Assuming were giving systematically I would say even sacrificially and we brought some planning to your ultimate savings goals are not just you know accumulating for accumulation sake. But we know where were headed and we established a financial finish line. So all these things are good. So it is long Howard is you have that emergency fund and place your giving at the level you feel like the Lord is leading you you taking care of any consumer dad and you're on track with your retirement savings.

Then I think you know as you look at your allocating beyond that I would do this you know the benefit of compound returns is you invest systematically over time for the long haul. As you dollar cost averaging you're buying into the market at high points and low points and no, you continue to put that money in and yell over a long period of time. It grows and builds wealth. In fact, the stock market is been the very best place to build wealth over the last hundred years with systematic investments and with the least amount of risk, but we also want to be moving toward being debt-free. So the way I would strike that balance is to at a minimum, make sure that you're on track to have the home paid off by the time you reach retirement age so if you think that's seven years from now the question I would ask is your based on the current term of the mortgage.

Could you add enough to it each year. In terms of adding to your minimum payment so that you align the payoff of the mortgage with your expected retirement which we know could change one way or the other and then any additional surplus you would continue to plow into that 401(k) so it's growing on a tax-deferred basis. Now your financial situation may or may not allow you to do that. But that would be kind of my starting point.

Give me your thoughts.

Yeah so you kind of described exactly where I'm at in terms of all my other yell I don't have any other debt I I'm tithing as my number one priority and then obviously taking care of the rest. My you know monthly expenses so that parts yell out of the way. Yeah, I mean if I just went to the house right now that the mortgage isn't due till I don't know exactly what year it is. But it's like 20 eighths for the year 2035 or something. So it's I can't just play that out. So I guess what I was also thinking was to take advantage.

I think I was planning on taking advantage of the 401(k) match that my company was doing at the minimum just to make sure that I get that and then focus on the house and then whatever's left. I can do for 401(k) yeah I do you feel like you're on track with your retirement savings. Do you have a sense of what your ultimate goal is to be able to continue to fund your lifestyle once you retire you off of the just based on the income you could produce from those retirement savings.

I feel like I'm in pretty good position but you know that's a big? For everybody right, what is the right number and then there's a level of you know, trust in the Lord and providing that when that time comes so hard to talk about.

Let's get into all the details so I best yeah question, but some well so here is my thought on that. I think you're exactly right.

Here we need to have a plan. We need to consider that plan prayerfully. As I said, I think it's important to know your your finish line beyond which you will continue to accelerate your giving and allow the Lord to change those plans over time. So what I would recommend is you connect with a certified kingdom advisor there in Chicago.

Even if you don't use that individual for investment management just to do some straight planning to really have 1/3 party who understand God's heart related to money who can really help you determine based on what you expect your lifestyle needs to be in retirement. Subtracting any guaranteed income sources you might expect, like Social Security, and then projecting out based on your current trajectory, where your 401(k) will be and what can income that could throw off on a using let's say 4% a year where you're not drawing out of the principal you just living off of the income with a largely fixed income portfolio, but with a smaller growth allocation to stocks you would that meet your needs. Based on your current trajectory, or are you behind or maybe you're ahead of the game you know and just put all of that into the equation so that you at least know where you're headed and you've got somebody else looking at it from that perspective.

So that's the direction I would head, but just generally. I love what you're hearing you're trusting the Lord your prioritizing your giving living within your means you want to focus on debt reduction and you want to save for the future. That's all good but I thinking of bringing that finer point of planning to the equation so you know where you're headed.

And you have some peace of mind that you're on track to get there. I think will that will really help and you can connect with the CK there in chicago@ourwebsitemoneywiselive.org just click find the CK.

We appreciate your call but sent to Yuma Arizona Lori what's on your mind today. Thank you for taking my call where home and I'm very abundantly clear to lender that interest rate with huge and important, so much so that I have another home that we team wanted to a rate and so I took out the loan in my name only that I could get it as a primary residence. Tell without care.

I where q. week away from closing and she just sent me a letter that my interest rate. My choices were to lock it in at 4.375 was with no point. When contract at 3.5 and I thought he had not my click is there anything I can do now that they did not lock it in. Well, I think the question is going to come down to and you need to escalate this, perhaps beyond the person you're talking to you know whether or not they should have locked it in. Based on the communication you had and whether they're willing to take responsibility for that. I suspect if it wasn't locked. Unfortunately are knocking to be able to get the rate that was promised to you and you know you could go back and trace your communications to determine what the expectations were based on the instructions you provided and if they failed to comply or act on those instructions and clearly you know if there a reputable company. I would hope they would make that right to you in the form of reduced closing costs or discount points that you don't have to pay for to get that rate back down to what it was but I suspect there was some sort of miscommunication and therefore the other to say just wasn't locked, and this is the prevailing rate today. Now keep in mind Lori and I know you probably don't want to start this process over your rates are lower than that.

If you have your good credit, you should not be paying that high of a rate right now so it may be worth just going to bank rate.com to see what other programs are out there because you don't want to start buying that rate down that's going to get pretty expensive pretty quickly goes can be typically about 1% of the mortgage amount for each percentage point you want to buy it down so you one point on a 300,000 mortgages like three grand.

So that's can add up quickly and so you know I would start with where you're at. Tell them listen you been in this process, you had certain expectations that haven't been met and see what they can do for you at the same time, I would probably start seeing what else is out there get on it started bank rate.com to see what loan programs you might be able to find it could do a lot better because keep in mind you want to try to find you know the best current prevailing rate today and you want to not really spend more than 1 to 2% of the mortgage on the costs of the refinance because we go much over that it's going to take too long to pay it back settle make sense to you in writing the commitment to 3.5 and he told me that way. The best rate now with my credit really good so bank rate.com to see if they have a better interest rate.

But when you change the interest rate is there anything they can do besides maybe offering take some point on himself. No, probably not, because the rates are moving around all the time. It is that rate wasn't locked in guaranteed for you for a period of time, usually 30 or 60 days to give you enough time to get it closed. Then feel they have the ability to move that around. So just depends on how that rate was promised to you and whether there was any kind of lock meal for a fixed period of time that would allow you to get them to make good on what they had offered to you. So I go back to the company have all your documents in place.

Look at it and then you don't understand exactly what was said, so that you can get to the bottom but I know this is frustrating. I think your best bet is to try to get somebody on the phone as a manager who can walk you through exactly stand. We appreciate your call today will ask him what he was like praying for you as you sort this out.

Well folks, that's good to do it for us today.

Something along with us today moneywise live is a partnership between Moody radio and moneywise media and so thankful for my team every day that supports me in this great work. Jim Henry Rios Stan Anderson thank you for being here will be back next time with another edition of moneywise live for God's word intersection. In the meantime they got


Get The Truth Mobile App and Listen to your Favorite Station Anytime