Variable Interest Rate Tips

Series Summary

Don't be broke at the end of every pay period. Many people's paychecks are spent before they even get to the bank. More than half of America's work force is spending more than they make. And the problem is, they aren't blowing it all on foie gras and designer shoes, yet they feel like they can never get ahead. Aside from trying to convince their boss to double their salary, is there a solution to exhausting psychological effects of barely scraping by, month after month, year after year? Tracking your expenses and creating a personal financial budget is a great place to start. In this series of free videos get expert advice on creating a budget for personal finances. Figure out where the money's going and it will be easier to get spending under control. Learn how to divide spending into distinctive categories, like housing, utilities, food, medical expenses, transportation, investments and more. Once you've defined what type of spender you are, you can analyze cash flow, and create and maintain a budget and stick to it. While none of these free videos will help you earn more, the advice offered should help you spend your money more wisely.

Video Transcript

"This is Patrick Munro, Financial Adviser talking about when are fixed home equity lines of credit rates better than variable lines of credit. The word variable by its very nature means up, and then down. If interest rates go up in a long period of time, you can really suffer as a result. Many people got involved in this during the sub-prime mortgage crisis where they had an adjustable rate, and adjustable is another work for variable, whereas other people had fixed rates that they knew what they had going in and it remains the same over time. It's always advisable to have a fixed rate because interest rates do inevitably go up, and it becomes uncomfortable for you to pay them, and that could result in foreclosure, if it's a real estate based interest. So, it's important to always be mindful of the difference fixed home equity line of credit rates, and variable home equity lines of credit. This is Patrick Munro, Financial Adviser."