Silver and Gold Magazine Fall 2015 - Page 24

silvergoldmagazine.ca MONEY MATTERS SCAM PREVENTION TIPS YOUR HOME CAN Why do people get scammed by door-to-door salespersons? Because they continue to open the door for them! If you don’t know the person at the other side of the door, do not open it. Simple as that. You may now be receiving your credit card or bank statements online, but studies have recently revealed that although we’re saving on paper, we’re being scammed more as people tend to check their bank status less when it’s online. Check it, or print it out – for safety’s sake! If your bank phones you, find out what they require and then politely ask to call them back. This is the only sure way to ensure they are who they say they are. Banking email? Ignore it. Banks never (EVER) email with issues. There’s a link? Ignore it, and DO NOT click on it. Ever. When’s the last time you changed your online passwords? This is not only important for banking but also for social media sites, email sites, etc. Go ahead, change them. Need a good password? Don’t select one from online suggestion sites as they can be traced. Instead, pick a favourite song and select its first letters, with amount of words in its title, make every other word a capital letter + add this year (serves as reminder too). For example: “I’ve Got You Under My Skin” = IgYuMs62015  We Canadians have always believed in the value of owning our homes.  We paid our mortgages, utilities, taxes, and upgrades, but when did a house ever pay us back?  This is a vital question, as 59% of today’s baby boomers and seniors declare their two greatest fears are about money and illness.  Other worries pale in comparison, especially since illness also tends to raise costs, and is a major reason why some have had to stop for those who have stopped working sooner than they intended.  Are people afraid they will someday run out of money?  Surveys show that nearly a quarter already believe they’re out of money.  And costs keep rising.  If we die it won’t be a problem but clearly it can get worse the problem rises if we live to 80, 85, 90 and beyond!   Where is the money to help us keep living?  So we see here how valuable it can be to learn… how a house can pay us back!   Would you like to stay in your home but also get a regular income from it? In a discussion website I host, Rob said, “It will certainly be valuable if people and their families can focus on how to unlock home equity to sustain life-long income, desired lifestyle, and eventually the costs of personal care.”  Diane added, “Being house-rich and cash-poor is no way to live a comfortable retirement.”    Clearly we all want to enjoy a vigorous and sustaining income – for life.  To get such an income, many of us will need to tap into the value of our homes.  How do we do that?  What are the options? Income strategies: Good and... not so good HERLC.  Five years ago here in S&G we introduced the HERLC strategy (Home-Equity Reverse Line of Credit).  We purposely named it to contrast with Reverse Mortgages.  HERLC is gained simply by reaching out to your bank about a home equity line of credit, and proving how you will use this to build a strategic income, which can guarantee far more income than the interest on the line of credit.  If your bank balks at this plan or wants to charge inordinate fees for setting this up, by all means contact me to speak privately of a Canada-wide lender who is perhaps the very best in this field. 24 Check out our new website! www.silvergoldmagazine.ca