What Banking Experts Wish You Knew

What Banking Experts Wish You Knew

You know what it’s like when you’re in a foreign country, say France, and a French guy is talking a blue streak at you? You struggle to comprehend even a bit, and then just figure “what the heck”. How hard can it be to dash off a few French phrases? So you throw yourself into the exchange with great confidence.

This conversational strategy once resulted in me telling my French foreign exchange family that I was pregnant, when I was – in fact – simply full from the festive, French lunch we’d just enjoyed. I think they were relieved the trampy, American high schooler was staying with them for only a week versus an entire semester. (Editor’s note: Just to be clear, I was not pregnant in high school, in France or in any other country. I was just confused about verb conjugation.)     

This is the same feeling I had last night when cocktailing with my friend Audrey. You see Audrey is a banker. She not only balances her check book. She also knows her credit score and all about the intricacies of home equity loans. Many of the phrases that trip off Audrey’s tongue do – in fact – sound like French to me. But I nod sagely and pretend that I am a responsible adult who also balances her checkbook, knows her credit score and – of course – has a home equity loan. (Editor’s note: If I could use it at Sephora I would most definitely have one.)

This exchange led me to think up a new category for the blog: “What Experts Wish You Knew”. This will be an occasional feature where I grill my various friends about their area of expertise and share it with you. Did I write friends? I meant “industry experts”.

So, to kick it off, here’s what my Banking Guru has to say… In a nutshell, home equity loans are the bomb. You apply for one. If you qualify, you get a line of credit that you can use any time within the next several years in case of emergency or in case of immediate need to go on vacation in the tropics. The options are endless. So are the banks out there. You’ve gotta shop around (like shopping’s a chore!), but there are lenders out there who won’t charge you if you don’t end up using the home equity line. They won’t even charge you for the application.

In these recessionary times, it’s like a security blanket. Almost as good as the Snoopy one you had back in the day. Consult your own favorite banker and/or tax advisor for further details.