How do YOU answer the credit card question?

Avatar for cmpat
iVillage Member
Registered: 02-21-2003
How do YOU answer the credit card question?
1432
Fri, 11-05-2010 - 3:30pm

Why can’t you just use your credit card?



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Avatar for savcal2011
iVillage Member
Registered: 10-06-2010
Wed, 11-10-2010 - 8:15pm
<< I am well aware of what escrow is >>

Obviously not. It is illegal for them to keep any interest earned on it. A point you clearly do not understand.

"I don’t mind a banshee, that’s fine. 2 banshees? I HATE you. I actually wish bad things upon you." -- Day[9] Daily #459 P1

iVillage Member
Registered: 10-01-2010
Wed, 11-10-2010 - 8:17pm

http://www.mtgprofessor.com/A%20-%20Escrows/Should_I_Escrow.htm

When you establish an escrow account with the lender, in most states the lender gets to keep the interest earnings on the account.

Avatar for savcal2011
iVillage Member
Registered: 10-06-2010
Wed, 11-10-2010 - 8:18pm
That doesn't dispute anything any of us have said.

"I don’t mind a banshee, that’s fine. 2 banshees? I HATE you. I actually wish bad things upon you." -- Day[9] Daily #459 P1

iVillage Member
Registered: 10-01-2010
Wed, 11-10-2010 - 8:18pm

I think so too. I never had PMI as we put down more than the amount needed to would require PMI.

iVillage Member
Registered: 10-01-2010
Wed, 11-10-2010 - 8:19pm

I never paid a fee either.

iVillage Member
Registered: 10-22-2009
Wed, 11-10-2010 - 8:19pm
Yes...really... i dont pay PMI and i earn a small amount of interest on my escrow account...it is the way my loan is set up and laws vary from state to state..
iVillage Member
Registered: 10-01-2010
Wed, 11-10-2010 - 8:27pm

And I see no reason to have to give someone a "cushion" amount to basically protect me if I don't pay my mortgage.

iVillage Member
Registered: 10-22-2009
Wed, 11-10-2010 - 8:31pm

My bank does not earn money off my escrow account... its not their money.

Avatar for savcal2011
iVillage Member
Registered: 10-06-2010
Wed, 11-10-2010 - 8:33pm
And my sources say:

Can escrow agents keep bank interest?
No. All interest that's earned on an escrow deposit should be paid out in accordance with the escrow agreement, or to the party whose money generated the interest. It would be a conflict of interest for an escrow agent, as a fiduciary, to require that bank interest be treated as compensation for services rendered.

____________


However, I could be wrong. I do know that MY escrow account earns me interest.

"I don’t mind a banshee, that’s fine. 2 banshees? I HATE you. I actually wish bad things upon you." -- Day[9] Daily #459 P1

Avatar for savcal2011
iVillage Member
Registered: 10-06-2010
Wed, 11-10-2010 - 8:36pm
I, in most cases, agree with you. I don't like the idea - in general - of having an escrow on my mortgage. However, in my particular situation, i come out significantly better by going with this lender; I'm not going to pay more money in the long run, just to avoid escrow.

"I don’t mind a banshee, that’s fine. 2 banshees? I HATE you. I actually wish bad things upon you." -- Day[9] Daily #459 P1

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