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2 smart ways to borrow money this summer (and 2 to avoid)
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Do you anticipate a need to borrow money this summer? Maybe you need funding to cope with new summertime expenses or maybe you’re looking for financing for another reason. With inflation stubborn and interest rates high, you may be in need of some extra funding right now. No matter why you need to borrow money, however, you have several options available.
But, the option you choose will play a role in how much time you spend in debt, how much money you pay for that debt on a monthly basis and how much money it costs you over time. After all, some borrowing options will come with better interest rates, fees and terms than others. So, it’s important to choose wisely.
Compare your home equity borrowing options today.
2 smart ways to borrow money this summer (and 2 to avoid)
If you’re interested in borrowing money this summer, it’s important to look for borrowing options that offer low-cost access to the funding you need.
2 smart ways to borrow money this summer
Some of the smartest options for borrowing money are often attached to your home equity. These options use your home as security for the money you borrow, resulting in a lower overall cost of borrowing. Two of these options include:
Home equity loans
Home equity loans are typically fixed rate loans that are secured by the equity in your home. These loans are usually funded in one lump sum and they offer predictable payments since they come with fixed interest rates.
And, the interest rates on home equity loans are impressive compared to other borrowing options. At the moment, the average interest rate on a 10-year home equity loan is just 8.77% while the average interest rate on a 15-year home equity loan is 8.75%. That’s a far cry from the double-digit interest rates you may have experienced with other borrowing options.
With such competitive interest rates and predictable payments, a home equity loan could be a compelling way to get your hands on the funding you need this summer.
Find out how affordable a home equity loan can be now.
HELOCs
Home equity lines of credit (HELOCs) are similar to home equity loans, but they come with a bit more flexibility – and they require you to be more flexible. HELOCs usually start with a draw period that generally lasts from five to 10 years. While the line of credit is in this draw period, you’ll be able to tap into your equity – at least up to your HELOC’s credit line. You’ll also make interest-only payments. That gives you flexibility in terms of how much you borrow and how much you pay for the first several years.
When the draw period is over, your HELOC will enter the repayment period. During this period, you’ll typically make monthly payments toward your balance and interest. Moreover, you’ll be required to be flexible as HELOCs come with variable interest rates. So, your payment may change alongside the overall interest rate environment.
Nonetheless, if you can ebb and flow with changing payments, a HELOC may be a compelling way to meet your summertime financial needs. That’s especially true when considering the average interest rate on a HELOC is just 9.17%. Not to mention, if interest rates fall ahead, your HELOC rate could fall as well.
2 borrowing options to avoid this summer
If you need funding this summer, there are two ways to get it that you should try to avoid.
Personal loans
Personal loans are a type of installment loan. These loans can give you the funding you need and you’ll make monthly payments toward the loan to pay it off. But, these loans tend to come with higher interest rates than you could get if you borrowed against your home equity instead. In fact, according to Bankrate, the average personal loan interest rate is 12.21%. And, if you don’t have excellent credit, your rate could be significantly higher.
Credit cards
You should avoid credit cards this summer, too. According to Bankrate, the average credit card interest rate is 20.68%. That’s more than the average interest rates on home equity loans and HELOCs, combined.
“Credit card debt is expensive primarily due to high interest rates, often exceeding 20%, which accumulate quickly if the balance is not paid in full each month,” explains Justin Stivers, financial advisor at the financial planning firm, Stivers Wealth Management. “Additionally, credit card companies may charge fees for late payments, balance transfers and cash advances, further increasing the cost.”
And that cost can add up. In fact, if you only make minimum payments, it can take decades to pay off credit card debt and cost tens of thousands of dollars over that time, depending on the size of your balance and how your payments are calculated.
Save on borrowing costs with a home equity product now.
The bottom line
There are multiple ways to borrow the money you need this summer. But how you borrow money is an important consideration. Consider taking out a home equity loan or opening a HELOC to keep your borrowing costs low and your payments manageable. And, avoid personal loans and credit cards if at all possible, as these borrowing options typically come with high interest and fees.
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How to watch the Minnesota Vikings vs. Chicago Bears NFL game today: Livestream options, more
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The Minnesota Vikings will take on the Chicago Bears today. The Vikings are currently 8-2, an impressive run so far this season, and will be looking to add a fourth win to their current streak after last Sunday’s 23-13 win against the Tennessee Titans. The Bears, on the other hand, are entering this game on the heels of a four-game losing streak after a tough 20-19 loss against the Green Bay Packers last Sunday.
Here’s how and when you can watch the Vikings vs. Bears game today, whether or not you have cable.
How and when to watch the Minnesota Vikings vs. Chicago Bears
The Vikings vs. Bears game will be played on Sunday, November 24, 2024 at 1:00 p.m. ET (11:00 a.m. PT). The game will air on Fox and stream on Fubo and the platforms featured below.
How and when to watch the Minnesota Vikings vs. Chicago Bears game without cable
You can watch this week’s NFL game on Fox via several streaming services. All you need is an internet connection and one of the top options outlined below.
Fubo offers you an easy, user-friendly way to watch NFL games on CBS, Fox, NBC, ABC, ESPN, and NFL Network, plus NCAA football channels. The Pro tier includes 200+ channels and unlimited DVR, while the Elite with Sports Plus tier adds NFL RedZone and 4K resolution. New subscribers get a seven-day free trial and all plans allow streaming on up to 10 screens simultaneously.
You can watch today’s game with a subscription to Sling’s Orange + Blue tier, which includes ESPN, ABC, NBC, and Fox. The plan offers 46 channels with local NFL games, nationally broadcast games and 50 hours of DVR storage. For complete NFL coverage, add Paramount+ to get CBS games, or upgrade with the Sports Extra add-on for additional sports channels like Golf Channel, NBA TV and NFL RedZone.
Watching NFL games, including Fox broadcasts, is simple with Hulu + Live TV, which includes 90 channels, unlimited DVR storage, and access to NFL preseason games, live regular season games and studio shows. The service includes ESPN+ and Disney+ in the subscription.
Want to watch today’s game live on your smartphone? If so, NFL+ streaming service is the solution you’re looking for. It lets you watch NFL Network and out-of-market games on mobile devices, with an upgrade option to NFL+ Premium that includes NFL RedZone for watching up to eight games simultaneously. Note that NFL+ only works on phones and tablets, not TVs.
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How to watch the Detroit Lions vs. Indianapolis Colts NFL game today: Livestream options, more
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The Detroit Lions will face off against the Indianapolis Colts today. The Lions enter this game as top contenders with a near-perfect record of 9-1 so far this season. The Colts, who are 5-6 this season, could have a tough game on their hands against the Lions but will be looking to rack up another win after prevailing over the New York Jets in a tight game last Sunday.
Here’s how and when you can watch the Colts vs. Lions game today, whether or not you have cable.
Here’s how and when to watch the Detroit Lions vs. Indianapolis Colts
The Lions vs. Colts game will be played on Sunday, November 24, 2024 at 1:00 p.m. ET (11:00 a.m. PT). The game will air on Fox and stream on Fubo and the platforms featured below.
How and when to watch the Detroit Lions vs. Indianapolis Colts game without cable
You can watch this week’s NFL game on Fox via several streaming services. All you need is an internet connection and one of the top options outlined below.
Experience NFL action like never before with Fubo’s comprehensive sports streaming platform. From Sunday showdowns to primetime matchups, catch every NFL game across major networks including CBS, Fox, NBC, ABC, ESPN and NFL Network. Choose the Pro package to unlock 200+ channels and limitless DVR storage, or elevate your game-day experience with the Elite with Sports Plus package, featuring NFL RedZone’s commercial-free scoring highlights and stunning 4K quality.
Test drive the service with a no-commitment seven-day free trial, and share the excitement with family and friends — Fubo supports simultaneous streaming on up to 10 devices, so everyone can watch their favorite teams.
You can watch today’s game with a subscription to Sling’s Orange + Blue tier, which includes ESPN, ABC, NBC, and Fox. The plan offers 46 channels with local NFL games, nationally broadcast games, and 50 hours of DVR storage. For complete NFL coverage, add Paramount+ to get CBS games, or upgrade with the Sports Extra add-on for additional sports channels like Golf Channel, NBA TV and NFL RedZone.
Watching NFL games, including Fox broadcasts, is simple with Hulu + Live TV, which includes 90 channels, unlimited DVR storage, and access to NFL preseason games, live regular season games and studio shows. The service includes ESPN+ and Disney+ in the subscription.
Want to watch today’s game live on your smartphone? If so, NFL+ streaming service is the solution you’re looking for. It lets you watch NFL Network and out-of-market games on mobile devices, with an upgrade option to NFL+ Premium that includes NFL RedZone for watching up to eight games simultaneously. Note that NFL+ only works on phones and tablets, not TVs.