Wednesday, September 28, 2005

Lots of Useful Information at Bankrate.com

There is so much useful information available at Bankrate.com . They have wonderful charts showing interest rates on different types of loans. Not only this, but they have terrific down to earth articles. Try this article ' 3 borrowing misconceptions to avoid .' Below is an excerpt.

'Take money out of your home'

The idea of "taking money out of your home" is as much of a misnomer as a misconception. This is usually used in the context of a homeowner with a large share of home equity that is looking to put money into other investments. But let's call it what it is -- borrowing. That borrowing may indeed lead to wealth creation, but only if the rate of return on the investment exceeds the cost of borrowing. Taking money out of the home is not the same as going to the ATM and taking money out of your checking account. Instead, the homeowner is using the lender's money to generate a return and paying interest for the privilege. This loan is secured by the borrower's asset, home equity.

Bankrate is an excellent site. :-) Check it out!

2 comments:

  1. I agree -- it is one of my toolbar buttons and I check it at least once a day. Particularly useful to me are the Top 100 CD rate offerings -- they tend to post the "specials" that disappear almost as fast as the appear, so I can buy in on one at the bank of my choice.

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  2. David, I'd like to invite you to take a poll I've posted on my site: The Boy in the Big Housing Bubble

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