The inspiration for this, is I have a long time client who has been with the same bank for years, and in the past had always gotten her mortgages through that same bank, so a majority of her bills could be paid directly with a teller. Upon reviewing her situation, there have been some issues that are now showing on the credit report, that regardless of having money to pay the bills, are showing negatively, and either create a hassle to fix, or if you can't fix it, will hurt you in the long run.
Here are some tips, I hope you enjoy.
Paying multiple mortgages: If you are an investor, and have many properties, often times it is difficult to track which property has which mortgage, what are the statement amounts, payments, are they adjusting...the list could go on. I feel the easiest way to track payments is online. Setting up online payment of your bills can be done in a couple ways. Either in a lump sum type of way through your banking institution, or by visiting the lenders site directly. Personally, I like to pay my monthly bills online, setting up the payments I would like made to each, and clicking send. The payments get there in about 4 days, but more importantly, I have an electronic record of the payment amount, and the time the payment was made (Less Paper). You can also visit the lenders website and pay the bill there. I think sending out electronic payments is the easiest way, but everyone has different preferences.
So how do you know which mortgages have been paid, which are still due, how much to pay. As a statement comes in, keep a file for "Bills Due". As you pay the mortgage that is due, either online or via check, take the bill out of the "Bills Due" file and mark the date paid and how it was paid, and place it into a new file you have created for each property that also includes other files with your Loan Documents, your Insurance and Property Tax Info, the list could go on.... So in this file, you will have a record of all bills paid for that property. This works for a single property or many many properties. You will always know what bills need to be paid, because if they are still in the "Bills Due" folder, they need to be paid.
You should always keep a routine with paying bills. Often times people pay bills on the 1st and the 15th. You should do what works for you as long as everything is paid ontime. With Credit Cards and things like that, see if you can arrange the due dates so that it is convenient for you with your cash-flow. Make sure you can effectly pay as much as possible, because credit card debt can lead to future problems and part of the problem could be when it is due during the month.
If possible, try to keep all of your mortgages with the same company. For instance, if you can get financing through your local branch of your bank, do that, or use a broker that is approved to offer you financing through that bank, so that as many of your mortgages are with that same lender. Lenders are more likely to help out someone that is loyal to them, and this can benefit you long term. Often times that just isn't possible, but if it is, it can makes things easier on you month to month.
Anyone, please ad any tips you may have come across through the years. Any advice can help someone.
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