Newsletter
Spring 2023
President's Message
Five Ways To Reduce Debt Quickly
As the economic climate continues to shift, it’s wise to evaluate where we can adjust our personal finances to improve our situation. Consider these five strategies to reduce debt and bolster your budget.
Announcement
A Fresh, New Look
The time has come for brighter colors, bigger text and a clearer eagle. Get details on our updated logo.
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Mortgage Payoff Tips and Homebuying Help
It’s still possible to achieve your goal of owning a home. Whether you are looking for unique ways to pay off your home faster or want to explore options to get into a home right now, read our tips to make this goal a reality.
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Do You Have a “Follow Your Dreams” Fund?
If you’re among those seeking to work differently, work less or completely change careers, your plan will become much easier if you have an established financial safety net. Get ready to pursue your dreams by taking these steps.
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Annual Business Meeting
You are invited to attend the Annual Business Meeting on Tuesday, April 18, at 6:00 p.m. at the Mountain America Center.
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Five Ways To Reduce Debt Quickly
Sterling Nielsen, President/CEO
Life is always presenting us with new opportunities, even in our financial lives. As the economic climate shifts, it’s wise to evaluate where we can adjust and improve our personal finances.
Five strategies to strengthen your financial picture
Check your most recent statements for the interest rate on your existing loans. Then evaluate whether your rate is competitive or if you can get a lower rate. Weigh your decision against the costs involved with transferring a balance or refinancing existing loans.
The heartbeat of Mountain America is to provide you with trusted, personalized guidance so you can thrive financially. We encourage you to take advantage of our free debt rescue tool and financial coaching services.
Refinancing loans is a smart way to save money on interest and reduce your monthly payments. Because variable-rate loans have interest rates that change depending on the funds rate set by the Federal Reserve, your loan payment may fluctuate over time. By refinancing into a fixed-rate loan, you can lock in a stable interest rate for the loan term, and your payment won’t change if interest rates rise.
Debt consolidation can provide financial relief and a clear path to a debt-free future. It also simplifies your life with only one payment to think about each month.
Debt consolidation combines multiple loans into one with a longer repayment period and a lower interest rate. This can help reduce the overall interest you pay, while decreasing your monthly payment.
With the prices of vehicles and homes remaining high, you may have an untapped source of equity. Paying off high-interest loans with this equity can offer several benefits. Since home equity and auto loans typically have lower interest rates than unsecured personal loans or credit cards. This may result in lower monthly payments or a shorter loan term, depending on your financial goals.
While it’s easy to pay only the minimum due on your account each month, you’ll save a significant amount on interest charges if you pay more. Use our debt payoff calculator to create a payment plan that works for you.
One way to prioritize debt reduction is to set up automatic payments each payday. Another strategy is to make additional payments whenever you receive extra cash—such as a bonus, tax return or those months with an extra paycheck. Whatever you decide, you’ll be one step closer to reaching your payoff goal.
Moving forward together
We understand that rising interest rates and inflation can be stressful for many members. Mountain America is committed to providing you with practical ways to manage your loans and reduce monthly payments.
Previous logo
New logoMountain America has proudly launched a modernized logo. This update reflects our growth and innovation while maintaining the foundational elements of our brand. Central to this identity is our commitment to guide you forward through every aspect of life’s financial journey.
Mortgage Payoff Tips and Homebuying Help
According to the National Association of Realtors, the average age of first-time homebuyers rose in 2022 to 36—for repeat buyers, it was 59. That means the typical repeat buyer from last year will pay off a 30-year mortgage in their 80s.
Pay off your home faster
Fortunately, there are several ways to pay off your home faster, which will also save money on interest. Some financial institutions charge early-payoff penalties, so confirm your mortgage doesn’t have this limitation before you follow these tips.
Need help getting into a home?
If you would like to buy a home but are hesitant because of the economy or rate environment, these loan options could make it easier to reach your financial goals.
40/15 mortgages
This loan allows first-time homebuyers to have the lower monthly payment of a 40-year loan with the option to pay off the full balance at year 15 or refinance once they have had time to build equity.
The benefits of this loan are:- Lower rates and zero down payment.
- No private mortgage insurance required.
- No prepayment penalty—pay off or refinance any time.
Interest rate buydowns
These mortgages offer reduced interest rates and payments for a fixed period in exchange for prepaid interest, which is paid by the seller.
You may be a good candidate if you:- Need time to adjust to your new payment.
- Are expecting higher income in future years.
- Expect rates to decrease and plan to refinance.
Do You Have a “Follow Your Dreams” Fund?
Make sure you’re ready to pursue your dreams
by taking these steps:
1Start or add to emergency savings
The bedrock of financial preparedness is an emergency savings account, but in this situation, a better name might be a “follow your dreams” fund. This account helps you create a cushion to cover unexpected expenses and keeps you on track toward your long-term goals.
To start building a “follow your dreams” fund, open a secondary savings account that is used only for unforeseen costs—don’t mix that money with your regular savings. Then begin making regular deposits to that account. Start small if you need to. The key is to be consistent and work toward having enough savings to cover six months of expenses. If you need to tap into these savings—for example, to replace the furnace or repair your car—make sure to replenish those funds as soon as possible.
2Open a certificate account (or two)
So far, 2023 has been the year of savings. With the highest rates in over a decade, people are growing their money faster and easier. Certificate accounts are an especially lucrative option right now.
With a certificate, you set aside a lump sum for a fixed period—anywhere from six months to five years. In return, you earn higher dividends than you would with a traditional savings account. There are even certificate options where you can start small and continue depositing funds throughout the term. Certificates are low risk and provide a guaranteed outcome, which makes them ideal for riding out market volatility.
3Don't procrastinate
The longer you wait, the harder it gets to achieve what you want. Act now while saving rates are higher and momentum is on your side.
Mountain America is always here to help—meet with one of our financial guides and prepare to follow your dreams.
Make an appointmentAnnual Business Meeting
The Board of Directors is pleased to invite all Mountain America members to attend the Annual Business Meeting.
Tuesday, April 18, 2023
6:00 p.m.
Mountain America Center
Pinnacle Room
9800 South Monroe Street
Sandy, Utah
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