Dealing with debt can be overwhelming and straining on your finances. Is it your goal to be debt free in 2021? Take a look at our top tips!
Set a Firm Budget
First and foremost, evaluate your income, debt and expenses. Then, set a firm budget using those numbers. This is a great way to figure out exactly how you’re currently spending your money and where you are being frivolous. Once you’ve crunched the numbers, you can begin to make adjustments. If your income doesn’t cover your expenses, it may be time to consider asking for a raise, taking a second job, or adjusting your lifestyle to focus on paying off debt.
Use the “Debt Snowball” Method
The debt snowball method presented by money management expert, Dave Ramsey, provides a plan to pay off debts in order of smallest to largest. Then, as debts are paid, you “roll” your money into the next smallest balance. Here’s Ramsey’s process:
Step 1: List your debts from smallest to largest.
Step 2: Make minimum payments on all your debts except the smallest.
Step 3: Pay as much as possible on your smallest debt.
Step 4: Repeat until each debt is paid in full.
Streamline & Simplify
Create an “automated budget” by setting up auto-payments for each paycheck to cover your bills and add to your savings account. This helps avoid spending income on non-essentials because you’ve spent the money before it even gets into your “spending” account. You can also simplify your lifestyle by cutting out unnecessary spending and putting daily practices into place, like making your coffee at home or packing your lunch for work. While this step can be one the hardest of all – we all love our Starbucks – remember that this is only a temporary adjustment that will help you achieve financial freedom in the future.
Consider a Refi
If you’re a homeowner, there’s a chance you’re paying a higher interest rate than today’s rates. By refinancing to lower your interest rate, you can save money on your monthly mortgage payments which helps free up cash to help pay down debt. Or, depending on how much equity you have, you could even do a cash-out refinance to pay off credit card debt, car loans, personal loans, school loans, etc.
To learn how the right mortgage can help you reduce debt, click here to contact your local Inlanta officer today!
Buying a house is one of the largest investments most of us will ever make. In our efforts to help you acheive your home financing goals we review a number of factors during the mortgage application process. Are you ready to buy a house? Review the following information to learn what we need to successfully process your mortgage loan application.
Verification of Income & Employment
- Do you have a reliable, continuing source of income?
- Income can come from a variety of sources but must be verified if you want them considered for payment – provided they can be verified as stable, reliable, and likely to continue for at least three years.
Reviewing Your Debt & Credit History
- Do you pay your bills, loans, credit cards and other debts on time?
- We examine your payment habits before deciding to loan you money.
- Your credit history and credit score are also examined prior to deciding to loan you money.
- What is the market value of the property you want to purchase? We will order a property appraisal to make sure your property’s value meets our underwriting requirements.
Assets and Available Funds
- Do you have enough funds for a down payment and closing costs?
- You may use funds from a savings account, certificate of deposit (CD), investments, and retirement fund.
- In some cases, you may be able to use gift funds toward closing costs and all or part of the down payment. This depends on the loan program you elect you use for your home financing needs.
- In many cases you will also have to demonstrate that you have additional funds in your accounts to cover several months of mortgage, tax, and insurance payments.
Apply for a Mortgage Today
Are you ready to begin the application process? Use our branch locator to select a licensed mortgage loan originator near you and utilize their online application portal to securely submit your mortgage application online. Or if you are not currently working with a loan officer and would like to apply now, click here.
About Inlanta Mortgage
Inlanta Mortgage is proudly celebrating twenty years in business. Learn more about Inlanta’s twenty year history here.
Inlanta Mortgage offers Fannie Mae/Freddie Mac agency products, as well as a full suite of jumbo and portfolio programs. The company is fully delegated HUD-FHA including FHA 203K, VA, and USDA approved. Inlanta Mortgage also offers numerous state bond agency programs. Review Inlanta’s mortgage loan programs here.
Inlanta Mortgage is a multi-state mortgage banker based out of Brookfield, Wisconsin. NMLS #1016.