| Show Tuesday January 19 1988 PC- - The Salt Lake Tribune Refinancing EW YORK — Here’s a question th I’m getting over and over: If you debt is it e a lot of credit-car- d :rt to refinance it with a home-eq- f lty loan? £ight off I can think of two reasons to say yes — and two to say no Fiijfit the positives: Credit cards usually charge 15 toJ9 percent interest while equity loans might be advertised at 10 or 1 1 percent So refinancing can lower ycir monthly costs - Interest on the equity loan In cotild still be fully under the fa law passed by Congress in Decould be even cember your write-of- f mBre liberal for 1988 than for 1987 (details below) By contrast the interest is be-i- n for credit-carout phased there’s a big risk to refinanc-on- e that borrowers ought to wngh Unless you’re incredibly disloan ciplined your home-equit- y conld wind up costing more than yijii’d have paid on your credit-car- d dej)t Here's why: home-equitloan is a second ntjrtgage in modern dress Instead oKaking out one big loan secured by yaiir house you get a revolving line ofjcredit )epending on the bank and your v own creditworthiness you can 70 to 90 percent of the home’s current value (minus any existing mortgages) But you don’t take that ntjney all at once Instead it becomes a reservoir of cash available over five years There’s one other risk for undisciplined spenders You might borrow against your home to clean up your credit-car- d debt then run up your credit card all over again You’d wind up with two loans instead of the one you started with Debts Could Be Costly Credit-Car- d whenever you need it and repayable on a flexible schedule There’s the rub The schedule is too flexible With a credit card any particular charge is paid off within an average of 15 months according to Spenser Nilson of the Nilson Report But the loan tempts you typical home-equitinto stretching your repayments over a longer period of time You might be able to pay only the interest for five to ten years which pares your monthly payments to a minimum After that the whole principal falls due which may force you you’re carrying it for such a long time it will cost you far more than a credit-car- d loan that you pay off Staying Ahead faster Furthermore rate on the By Jane Bryant Quinn y to refinance Many borrowers will simply carry their loans until the house is sold and repay the principal then The low monthly payments make the loan seem cheap But because E PERSONAL the true interest Refinancing your debt with a loan is fine if: (1) Youj find a loan with a low interest rate costs (2) You pay it and low off fast (3) You resist new debt Oth- erwise forget it -- home-equity up-fro- nt © 1988 Washington Post Write Groutf COMPUTER THAT CA nationally known marketing firm needs a limited number of people to run and operate a telecommunications computer system from your home or office in the greater Salt Lake City area A home-equit- y loan may not be as low as it seems Most lenders charge closing costs just as they would on any other mortgage although that varies by state There may be origination fees of 1 to 3 percent and annual fees of $15 to $100 All these charges run up the effective interest rate says Professor Richard Morse of Kansas State University A loan advertised at 10 percent could actually cost 15 percent People who qualify will be trained on how to use the computer system and will be provided with work The system operates unattended developing extra income while you continue working at your present job So if you have been thinking about getting a personal computer and have been waiting for a way to justify the cost or if you own a computer and could use some extra income you must ACT NOW To receive more information please at contact Mr Greene Ext 19 - (TOLL FREE NUMBER) d People are investing in our new CD nt nrt a OlIlllVJLl Me r y 8-mo- bor-n!ty- 'eminar to Cover Tax Reform Act The University of Utah Small Business Development Center will hold a seminar on “Tax Tools That Survived lheL'986 Tax Reform Act’’ Wednesday 'from 6:30 pm to 9:30 pm in Parlor lA of the Qlpin Union Gary Bi Marfch founder and president of Retirement America Corp and Del- - B- - 'Rowe a Salt Lake City attorney pnd! former assistant Utah attorney ‘general will conduct the seminar which will focus on estate planning! ! i Karen XlQliaher SBDC coordinator of training said the session will cover such topics as evaluating major tax planning probate keeping the estate in the family and developing theChriee'vital sources of income needed in retirement The registration fee is $35 per person- - Bgi$tration at the door will be $40SfeOsds may attend the semi-naifcharge nth Annual Percentage Rate Why wait a year for your investment to mature when you can earn high market interest in just eight months? Put your money in a hardCD at any First Federal office today working insured hard-earne- d 8-Mo- $8000 minimum deposit Penalty for early withdrawal Offering rates subject to change without notice FIRST FEDERAL SAVINGS kt 1 The Human Touch r Plaza Inter-te- l Systems by ' X 505 Focus & 531-780- EHQTeL Toll Free in Utah 485-110- East 200 South 0 Eagle Gate 60 East South Temple Foothill 1442 Foothill Dr 533-860- 583-500- 0 Fashion Place 6123 South Murray— 5 7 Price State 531-781- 308 East Main Price— 637-344- 1 i 8 Member FSLIC i i 1 U 'Joining the Pennies Benz line as l()88 models u ill be (left to right) the JOOSEL Sedan the iOOTt Station agon and the fOOCt Coupe Each is powered Credit Corporation Ask about the advantages of purchasing or leasing your neu Mercedes Benz from your authorized dealer thnmgb Mercedes-Ben- by a 6 cylinder J liter gasoline engine Only recently placed in limited production the JOOTE and 0)CE will be more widely available beginning early in 1988 THE ONLY SURE WAY TO STAY IN FRONT IS TO KEEP ADVANCING: MERCEDES-BEN- Z INTRODUCES 3 NEW MODELS FOR 1988 Ask us about our special prices on remaining 1987 Mercedes- - Benz You will be pleasantly surprised Year after year place as the most admired and most desired automobile in America by resisting the temptation to coast By recognizing that only stant advancement can keep it ahead of a confast-movi- automotive world from the rest of the autoseparate Mercedes-Ben- z the most motive world And keep Mercedes-Ben- z coveted name in it The first is the 300 CE— a Mercedes-Ben- z four-plac- limited-producti- e coupe that seems almost too civilized to lx the k 137-mp- h athlete that it is Next is the fastest cargo-carryin- earth maximum: 129 mph) and by far (test-trac- k the most exotic piece of technology ever to he called a station wagon: the new gasol me-- p we red 300 TE Station Wagon And third is the new 300 SEL Sedan bringing For 1988 three major advances will further test-trac- Enjrineeivd like no oilier ear in the world has retained its Mercedes-Ben- z gasoline performance to the Mercedes-Ben- z your emotional craving to own a Mercedes-Ben- z deep any one of these or the nine other 1988 models shown in the chart at was already right may finally make it irresistible But should you momentarily suppress your feelings and approach the matter with icy logic you z may move even closer to owning a Because logic is overwhelmingly on your side Mercedes-Ben- g vehicle on The logic of owning the automobile proven the years to have retained the highest percentage of original value of any car sold in America Tlie logic of living with an automobile and a service that have triexperience umphed in the acid test of owner satisfaction: owner loy- alty By impartial survey more Mercedes-Ben- z owners would buy again than would owners of any other make tive world Integrity in engineering In quality In concern for reliability durability occupant and other MERCEDES-BENfundamentals safety— THE 12 Z MODELS FOR 1988 560SEC Coupr 560SL CouprRusdstrr 560SEL Sedan 420SEL Sedan 300SEL Sedan 227-h- 8 238-h- p Mercedes-Ben- 575 S State gasoline gasoline gasoline gasoline p 158-h- p 6rvl 158-h130-h- 521-660- the z: most alluring and the most 177-h- assuring new Mercedes-Ben- 8:00 4 8:00 z am-6:0- 0 c auto- one hundred and one years See and the gasoline gasoline diesel Mercedes-Ben- place in the re- motive world to put your money In 1988 as for the previous The 190 Class 190E 2 6 Sedan 190E 2 3 Sedan I90D Wedan insists z gasoline The 300 Class 300CE Coupe 3O0TE Slalion Wagon 3O0E Sedan 260 E Sedan Mercedes-Ben- on building even into luxury automobiles 238-h- p of driving the most widely recognized symbol of integrity in the automo- - i that The The logic Ken Garff Imports I test-dri- models at your authorized z dealer today am-6:3- 0 pm Monday-Frida- pm Saturday t y |
