Can You Actually Save Money Using Coupons?
This is an unusual set of questions from a potential client. although it does not fit really into our line of business, we always enjoy these kinds of questions from readers since it brings a different perspective to the financial business and specifically that of finding loans and mortgages for consumers. This particular potential client has stated that he is not looking for a mortgage or a loan. What he wants to know is whether you can actually save money using coupons or not and also whether you can use these savings to help you qualify for a larger mortgage.
The answer to the first questions is obviously yes. You can save money by clipping coupons and using them or presenting them for specific goods that you may be purchasing at various stores. The amount that you save really depends on the type of goods that you are purchasing and also the coupons that you collect along with how much effort that you put into finding the right coupons for the things you want to purchase. Some consumers can certainly save hundreds of dollars by focusing on collecting coupons and purchasing the right products.
The second question of whether they can qualify for a larger mortgage based on recognition that they are coupon collectors and savers. The answer unfortunately is no to this question. There has to be a recognized form of income to support mortgage payments and there has to be an adequate credit score along with an adequate cash flow associated with the application to support the mortgage that is being applied for. How you spend your money and how you save money is not something that is considered by the lenders. There is also no guarantee that the task of coupon collection will continue or that the client will continue to be as successful every month or week as well.
We wish this client well in terms of collecting coupons and yes they will save money collecting and using coupons!
DEFAULT LOAN APPLICATION FOR BORROWER’S INFORMATION
Home/Mortgage Loan Amount :: $75,000
Home Loan Application and Processing Speed (when do you need the funds):: I do not really need a loan. What I want to know is whether you can actually save money using coupons or not.
Do you currently have a mortgage? :: yes
Bank Name and Branch :: Chase Bank, Vista Chino
What City/Town, State and County do you live in? :: Cathedral city, California
What is your employment field? :: Mechanic
Employment Position :: mechanic for a Nissan dealer
When are you paid? (monthly/weekly/biweekly):: biweekly
Your credit rating to be – excellent, fair, or bad? :: ok I guess, it does not really manner
How did you find us? ::Just searching online for information about collecting coupons and wondering if you can save much money by using coupons
How are you paid? (direct deposit/paper check):: direct deposit
Gross Amount Per Paycheck :: $1520
Do you agree to have this information published online, without your PRIVATE information of course? :: sure no problem
Extra information here please (some detail):: Hi, we really do not need a mortgage even though we have filled out all of the information as if we are applying for a mortgage. This was the only way that the form would let us actually submit our question.
What we really want to know is how much money a consumer can save by using coupons? We also want to know if a mortgage company would even take this into account if someone was clipping a lot of coupons, saving money with them and reducing their overall living cost substantially?
We have just discovered that there are a lot of coupons available to be used for various products and we are going to start using them, but we are unsure just how far to take this. We have seen TV programs about extreme coupon clipping and about shoppers buying a thousand dollars of stuff and only paying ten or twenty dollars after all of the coupons have been clipped and scanned. This is really amazing to us and we want to try it. We think that these people are really doing well and could even start their own business buying stuff, using the coupons and then reselling it at a discount and making even more money. Can consumers do this as well?
Note to Lender :: I work as a mechanic for a local dealer and make enough money to support the family, but if we can clip and use coupons like this, then it could really make my salary go a much further. We have a home and we have a small mortgage which we are paying on. Our credit rating is fine as far as we know and we do not owe anything on any of our credit cards, so we are in pretty good shape financially.
If we could save a lot of money by clipping these coupons and using them to buy groceries, it would really help a lot. If we decided to move and needed a mortgage would a lender take this expense reduction into account. Technically coupon clipping does not increase your income, but it sure makes what you have go much further .
|Category: Home Mortgage Loan||APR 3%||APR 4%||APR 5%|
|Length of Term||15||25||30|
|Amount to be paid||$91,967.59||$105,123.40||$122,029.18|
|Total interest paid||$16,967.59||$30,123.40||$47,029.18|
|Paid per installment||$503.93||$432.01||$401.19|