The other day, while driving, I heard an alarming ad on the radio. The dialogue went something like this:
Male Voice #1: This is the "happiest time of the year".
Male Voice #2: What do you mean? The holidays are over.
Male Voice #1: Yes, but I have all my credit card debt paid off.
Male Voice #2: Wow… that is a happy thought. How did you do that so fast?
Male Voice #1: I refinanced my house and paid them all off immediately.
Then the ad goes on to tout how easy it is to refinance with Blah Blah Blah Mortgage Company.
* * * * * *
Oh my gosh! Does anyone else see what’s wrong with this picture? This company is trying to make us think they are helping us pay off our card debt, when all we would be doing is refinancing them. Under a typical fixed rate mortgage, we’d be creating a 30 year debt instead of a short term debt. The only good thing about it is that mortgage interest rates are lower than almost any credit card. But, the only way it’s going to be an overall advantage is by paying enough extra on the mortgage payment to bring down the principal in the short term.
Carol@TopPropertiesWenatchee.com
Search Properties on my primary website
source: A Scary Trend
