It should be obvious that few people are excited about lending us money and receiving no interest on the loan. Parents may do this, or friends, but money almost always costs money.



So−what happens when a retailer or other lender offers a certain amount of money for a certain period of time at no interest? What we have here is a glaring need to read the fine print! You may even find a homeseller who advertises that he or she will carry a certain amount of the purchase price of a home for, say, six months without charging you any interest.



What problem could arise? Whether it's a private individual or department store, the offer of money at no interest obviously means they want to make the purchase of what they're selling all the more enticing. It's a bit like the TV ad that promises special bonuses if we act immediately and call their eagerly-waiting telephone operators to place our orders.

Here's the fine-print question: What happens if we don't get the full payment to them precisely on time at the end of the introductory period? The answer, all too often, is that all of the interest that was going to be "free" suddenly comes due. Read the loan documents−always−and get the help of trusted real estate and mortgage advisors. For more information call Beth at 450-5208.