Daily Dupaco

Monday, March 30, 2009

Real Stories: Mom/Son Team Lower Payments, Boost Credit Score

By Dupaco Money Makeover Artist Cindy Hilkin

I had a 21 year old come in with his mom inquiring on paying off a credit card from another financial institution.

From his credit report, I was able to see he also had an auto loan there. But, his credit score was a 582 and mom was concerned with his high rate.

After talking with mom, I found out that mom was considering buying a empty lot next to their current home and planned on taking out an unsecured loan to pay for this. I spotted a way to help them both!

I was able to do a home equity loan for mom, who then put the son's credit card and auto loan on (mom loves and trusts son).

The son now has his paycheck directly deposited into his Dupaco account--and has payroll deduction effortlessly pay part of his balance on the Home Equity loan.

Meanwhile, mom also purchased the vacant lot and included that in the balance.

Then, to help the son's credit score, we opened a Visa card with a limit of $1,000. In less than four months, his credit score has gone from a 582 to 645. And the icing on tke cake was that the son opened a Roth IRA and puts $15 a week into it.

I think that is HUGE for someone of his age!
Comments (0)

Post a Comment

Please provide your information. Name and email address are required. Email address will not be displayed with the comment.
Comment Title:
Please enter the code shown in the image

Thank you. Your comment is being reviewed and if approved, will be posted shortly.

Related Content
Daily Dupaco Archive
For a limited time, get $600 off closing costs with a Dupaco mortgage loan
For a limited time, earn 10,000 bonus points* when you open and use a Dupaco Rewards Visa credit card