OWEN LOCKWOOD. FAIRFIELD, CONN.
Invest long-term money primarily in stock-owning mutual funds and leave this cache alone to grow. Time is your friend; you can raise a fortune in 40 years. Retirement funds can also be tapped for intermediate needs, says Margaret Gault of Personal Financial Services in San Francisco. For example, if your 401(k) allows loans, you could borrow to buy a house in 10 years or so.
QUESTION: My husband and I own condominiums. We bought them before we were married and have since moved out of state. They are worth much less than their mortgages so we can’t afford to sell. We’ve converted them to rental properties, but they still cost us $3,000 to $7,000 a year. I’ve lost my job and my husband’s turn comes later this year. Is bankruptcy our only option?
C.M.C., SPRINGFIELD, MASS.
QUESTION: Aren’t savers being slightly ripped off this leap year? The banks calculate interest using a 365-day year when actually there are 366 days. So we’re all losing a day of interest.
DONALD SKAMFER, EAU CLAIRE, WIS.
QUESTION: Mobil Oil has a Credit Line service. For $39 a year, you’ll be notified if derogatory information shows up on your credit report. You also get a copy of your credit report in “easy-to-read English. " Is this a good buy?
SARA HOPKINS, BELLEFONTE, PA.
Credit reports are sliced and diced in other ways. For example, CreditComm Services of Fairfax, Va., and First American CREDCO of San Diego will capture your file from each of the three major credit bureaus and merge them into a single report. They charge $32.90 and $30.95, respectively, and their reports are touted as super-easy to read. But the credit bureaus’ own reports are also pretty clear. AU the reports reveal your credit history only; no one discloses the credit scores that evaluate how reliable you are.
Credit reports are always free if you’ve been rejected for credit. TRW (800-682-7654) will also send anyone a free report once a year. Trans Union (316-634-8440) and Equifax (800-685-1111) charge up to $8. In Georgia, Maryland, Massachusetts and Vermont, state law requires that you get a credit report free.
