$80,000 Debt Consolidation – Toledo Ohio
This is an interesting application. Basically this applicant could arrange for a mortgage through his own company that he works for, however he wants to compare interest rates that mortgage brokers can find for him on the open market. As an employee he will likely qualify for a discounted interest rate from his company and it will be difficult to compete with that rate. Is he doing a little competitive research or is he actually serious and needs to have a debt consolidation loan?
While our lenders are very competitive it is at the retail level and not at the discounted level. They will be prepared to provide the standard quotations for interest rates that most people can find online without any negotiation and discounting for excellent credit ratings etc. There is just too low a probability that this client will follow through with a debt consolidation loan with one of our lenders.
At the same time, this client is probably an excellent applicant since he has a great credit rating, has an existing mortgage and several credit cards all of which will be consolidated into one single loan. He will qualify for the best rates and terms for his new debt consolidation loan. His income is at a level that will easily support a debt consolidation loan of this size.
In addition he did not state what length of amortization he would like to be approved for. We included amortizations of 15, 20 and 30 years for comparison purposes using typical market level interest rates for the best customers. These calculations can be reviewed at the bottom of this post.
We will be interested to see how this loan application evolves and whether it will be approved and accepted by this client.
Debt Consolidation Loan Amount :: $80,000
Debt Consolidation Loan Application and Processing Speed (when do you need the funds):: My mortgage is coming up for renewal in 2 months time and I want to consolidate all my debt at that time
Do you currently have a mortgage? :: yes, it is currently $50,000
Bank Name and Branch :: First Merit Bank, Adams Street
What City/Town, State and County do you live in? :: Toledo Ohio
Zip :: 43604
What is your employment field? :: Financial Consultant
Employment Position :: Financial advisor
When are you paid? (monthly/weekly/biweekly):: Monthly
Your credit rating to be – excellent, fair, or bad? :: excellent
How did you find us? :: decided to do a competitive search online for the best interest rates and terms
How are you paid? (direct deposit/paper check):: Direct Deposit
Gross Amount Per Paycheck :: $6,600
Do you agree to have this information published online, without your PRIVATE information of course? :: Not really, since I work for a a financial institution I do not want them knowing I am going outside the company for a mortgage
Extra information here please (some detail):: this may seem a little different kind of application. Basically I am looking for a debt consolidation loan so that I can consolidate my current mortgage and some other credit card debt that I have incurred. That is the normal part. The abnormal part is that I am a financial advisor for a major company and I could apply to them and probably get a preferred rate for my loan; however I want to apply outside the company to get a more competitive interest rate.
I have been told by many clients that our interest rates are not that competitive and so many of them go elsewhere. I actually have to renew my mortgage in two months and decided to find out if their clams’ are actually true or not. I am assuming that mortgage brokers are used by your team to find the best rates and I would like to see if the rates are actually better or not. If my own company offers a better rate, then I guess I will use them, but I somehow doubt it.
Note to Lender:: regarding my financial situation, I am in good shape, have an excellent credit rating and wish to consolidate a mortgage which matures in two months along with the debt on several credit cards. I work as a financial advisor for a large company here in Toledo, Ohio and counsel all kinds of clients every day about debt consolidation and how much money they can save in interest payments and lower their monthly payments at the same time.
I am just trying to follow my own advice. I would like to get the best interest rate with terms that are very competitive. I figure that I will be able reduce my monthly payments significantly and increase my free monthly cash flow which we can put to other uses.
I have worked as an advisor for many years and understand the cost of money and the value of paying off a mortgage quickly. Unfortunately with the cost of raising kids, sending them to school etc we have not been able to pay off the mortgage as quickly as I would have liked.
Can you provide several quotes from several lenders to compare rates and terms? I would appreciate a response within the next week so that I can compare rates offered by my own company.
|Category: Home Mortgage Loan||APR 3.02%||APR 3.825%||APR 3.725%|
|Length of Term||15||25||30|
|Amount to be paid||$98,219.42||$110,725.87||$124,822.47|
|Total interest paid||$18,219.42||$30,725.87||$44,872.47|
|Paid per installment||$538.19||$455.04||$341.98|