This is Part 1, of 7-part series, read the other parts here: Part 1, Part 2, Part 3, Part 4, Part 5, Part 6, Part 7. This article is the first in a series on Medicare, the Federal government insurance program that provides health care to seniors and people with certain disabilities. In this article, I [Learn more…]
Reverse Mortgages, Part 2: Increasing financial flexibility by leveraging the equity in your home
In last month’s newsletter, I discussed reverse mortgages and attempted to clear up some common misconceptions about this product. As I explained, reverse mortgages are loans offered by a commercial lender to an age 62+ homeowner using a portion of their home equity as collateral. As long as the homeowner-borrower adequately maintains the home in [Learn more…]
Reverse Mortgages: Increasing financial flexibility by leveraging the equity in your home
If anyone had told me ten years ago that I would someday write favorably about reverse mortgages, I would have looked at them cross-eyed. Very few financial products have been the source of so much bad press and consumer misunderstanding. Variable annuities hold the top spot in this category. As with variable annuities, some of [Learn more…]
Student Financial Aid: Newer, Faster, Better?
The Federal Student Aid office of the U.S. Department of Education recently published an advisory for parents of college students seeking federal financial aid. Three major changes are coming: * Students attending college in the 2017-2018 school year will be able to submit the Federal Application for Student Aid (FAFSA) as early as October 1, [Learn more…]
Guaranteed Minimum Withdrawal Benefit Annuities – Part 2: The solution to rock solid financial security? Or too good to be true?
In last month’s newsletter, I described a product called a Guaranteed Minimum Withdrawal Benefit (GMWB) annuity, and I gave an example of how it works. A GMWB annuity is one of several types of products that more broadly fall under the name, Guaranteed Minimum Living Benefits. Each type of product in this category works in [Learn more…]
Guaranteed Minimum Withdrawal Benefit Annuities
Suppose a financial advisor told you about a financial product that would enable you to invest in the stock market without ever having to worry about poor investment returns, or losing your principal. Yes, that’s right. Invest in stock and bond mutual funds inside of this product, and, even if they tank, you won’t lose [Learn more…]
How to Improve your FICO® score
As I explained in Sensible Financial®‘s Winter newsletter, your FICO® credit scores influence what credit is available to you and under what terms. Derived directly from each of your credit reports at the three leading credit bureaus (Equifax, Experian, and TransUnion), your FICO® scores summarize your credit risk for lenders who are considering offering you [Learn more…]