Say Yes to that New Store Credit Card: Can it Derail Your Dreams of Buying a Home?
Gene Mundt in Illinois is giving borrowers a good "early warning" on shopping between now and the end of the year - and the stores' push to get you to use their cards and the negative impact it could have on a home purchase or refinance.
Saying Yes to that New Store Credit Card:
Can it Derail Your Dreams of Buying a Home?
My wife and mom went shopping together one day this last week. Both have already started thinking about Christmas shopping. Seems they're not alone.
If you've watched much TV over the past few weeks, you've probably caught a commercial or two heralding the approaching holiday retail shopping season. Holiday decorations to put you in a holiday shopping mood have begun to pop up in stores too.
Yep ... the "push" for your holiday shopping dollars has officially begun and we haven't even seen Halloween yet . And boy, do I mean ... push ...
Both my mom and wife related that they'd received the inevitable invitations to open up new credit cards and "save" on their purchases at store registers. One clerk had been particularly relentless. She had gone as far as suggesting to my mom that she open up an additional card at the store to get her "savings". My wife was a bit alarmed at how dogged this clerk's pursuit of my mom (a senior) was.
I've written on the topic of opening up new credit around the holidays before. But the advice and message contained within that older post, as well as this one, is sound and valuable at any point in the year ... especially if you're presently in the process of buying a home or refinancing ... or hoping to buy a home or refinance at some point in the future.
When facing this at a register, you must stop and examine: Is the new account or credit card actually as big a savings to you as the clerk says?
To answer, you must consider this: What other credit obligations or credit cards do you have? Do you know the total amount of your debt? How would opening the new account effect your Credit Scores?
Will you being paying off the new account's balance in full every month or carrying a balance? Do you know what the terms of your new account will be? More ...
It's a bit more complicated than presented at that register, isn't it? That seemingly minor credit card? It might end-up costing you big time. Not only in dollars. But also in your Credit Score and your ability to obtain financing now or in the future.
So stop and think prior to saying "yes" at that register. What are your true priorities? What ultimately means more to you? Saving a minor amount on a retail purchase you're making today ... or being financially and credit capable of buying the home you want now or in the future?Saying Yes to that New Store Credit Card: Can it Derail Your Dreams of Buying a Home? While you're standing at that register, you must decide ...
* Hoping to Buy a Home or Refinance in a Lincoln-Way Community? Will County, DuPage County, or elsewhere in Chicagoland? Contact me! I'll put my 36 years of mortgage experience and expertise hard to work on your behalf. I can be easily found at:
Direct: 815.524.2280Cell/Text: 708.921.6331eFax: 815.524.2281Click HERE for a Free ChicagolandMortgage Consultation!Ready to Apply for your Mortgage?
Gene MundtRegional Manager - Mortgage Lender
American Portfolio Mortgage Corp.
Personal NMLS #216987
NMLS # 175656
Gene Mundt, Mortgage Lender, a Lender with 36 years of mortgage experience, will offer you exemplary mortgage service and advice when seeking: Conventional, FHA, VA, Jumbo, USDA, and Portfolio Loans in Chicago and the greater Chicagoland region, including: The Lincoln-Way Area, Will County, (New Lenox, Frankfort, Mokena, Manhattan, Joliet, Shorewood, Crest Hill, Plainfield, Bolingbrook, Romeoville, Naperville, etc.), DuPage County, the City of Chicago, Cook County, and elsewhere within IL. Gene Mundt, Mortgage Lender can be contacted at: 815.524.2280 or via his email: gmundt@goapmc.com.
Contact Gene Mundt, Mortgage Lender soon!
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