Todd Pietzsch from BECU joins us live in studio 04-19-17

Wednesday, April 19th

Todd Pietzsch from BECU joins us live in studio. Caller Jannet is doing a massive remolding and wants to know if she should lock in her interest rate. Texter Shane wants to know how much money he should put down for a new car.


Transcript - Not for consumer use. Robot overlords only. Will not be accurate.

You resist the KI DSW financial advisor appeared. Odds I invented numbers so I know how this stuff word speech. The how did your three. When you talk about yeah. Yeah. Very good Vijay both impressive and I got. Like a lot did you gotta put on your business card that I would not tell us. I've taught a course on his business card has no room because well at acting at 25 years of experience the financial services industry all sorts of positions in both consumer and business lending. Todd is at. Zalmay. For BBC you dot org and because is remember all the credit union Todd is actually my employee income for afraid Todd but today is the last day. We know what you intimidate me with your knowledge that we needed I need to get dumber people working for my company. And then of course outside at this look to tell people about the difference you'd bank and credit union because a lot of folks like myself before I knew. Didn't know the difference in a lot of people not love in the banks ever since the big problems with the housing market and everything and even. Still recently horrible news about banks and what things have done and so what is the different top I write my checks and go to ATMs in all that. But it's not a bank it's a what it. What is this now also pretty union owned by the members right so. Everybody has one share one voice and so all the revenue we bring in goes back to the members in one form or another whether that's a better interest rate on deposit a lower interest alone. Hit no hidden fees free checking more ATM's so it's a full circle verses. And feeding Wall Street basically so when we look at that decision that's what's in the best remembered best interest of the membership. Not how can we make the most money I don't think that's very American I feel like it's really an American that you are about it all of America was that occurred in our co op right you know o'clock and that's what we are we're co op I'm so there's there's other co ops out there as well that's so what do you say only news VE COM PCC will be also except to say yeah yeah REI we're OK there we we got the delivery letters we're just letters and that's always understand that if you got letters W trustee British shopping to Santa finds a letter says your narrative so four letters you got to remember death ECU and then don't forget the dot org go there because if you live work or attend school in Washington State EU could be a member of DE CU pretty sweet -- -- people that. Realize what credit unions are and join a credit union whether it's peace do you or another credit union anywhere yes a lot of good credit unions out there VCU in my opinion one of the best which is why I'm a member. From an I think it's really cool because. A lot of folks are very sour with the way sometimes businesses run and like you said co op credit union that mentality. Boy how I mean we know this in Washington State more so I think and other places from a country. But man it's a nicer world as a net. It yet it would be even better if we had more yeah no doubt about it. So Todd of course one of that one of the great things will be ECU does is a you know we we years ago we got together. And VCU was like hey we have great information that's what we're about we're Craig you wanna help our members help anybody. And so Todd will answer your questions Fo free and if you don't get through on the phone lines a 206421. Rock. And rockets 7625. Or you can Texas 77999. If you don't get through or can't call right now. There's a youth you can go to the banner on KI SW dot com scroll down and you'll see tides smiling face. Click on that banner and you can ask him anything you want he'll do his best to answer via email. Also on that same page is a list of really some cool free resource is. There have been aggregated by BE CU to pretty much answer a lot of questions about what to do with your money and all sorts of financial things will come up in your everyday life and family. It's and it's a kid and it's just what's cool about it credit union is like this is what they do for their members and this whole thing with taught as part of it which is why we're gonna help out Jeanette right now to nets. In Bellevue you are on Iraq. Any any kind unit. Ariel and greet have you. Great come and edit I am I am an act it out every bodily and it should be done within the next three years or we. Archer met my heart goes out to you all need and is that a beam modeling I did that all over the last summer you better you are you doing this with a partner ours is just you. I know I. And already here it am I would it to a fire. All of Tammy so that you had to do this remodeled and it wasn't even volunteer. Yeah yeah are actually wasn't voluntary our man on man my outside Jeanette I think that that's the true. You know I don't think your true American until you go through a re model with a spouse I'm telling your boyfriend girlfriend. Employed and you know you guys should be together after that could stick it. A so what's your questions for Todd. Question is we are pretty good interest rates and I'd wait we didn't eat he remembered that there. And I am sure we mocked and our interest rates now. I don't forty I've bailout or whatever they in the Alley what are. Get our EMI op our credit market is sure a lot of weed are connected and that alone. But should we lock our rate in now or wait and I'm worried about the current. Interest rates going up now. Todd there's a lot of numbers and letters are thrown out there by Jeanette she knows she's talking about kicking you break down what's that like what she means by Elvis in the simple way because my. My brain start hurt and I also got an open. Yes so anytime you put less than 20% down on your home you're gonna pay what's called private mortgage insurance or wins it I'll. PMI so is that in case you are you you you default somebody and so then they get covered because normally they want you to have 20%. And that's geeky good enough but that's how a lot of us have been able buy a house without 20% down is because this PMI that's correct OK so it protects the lender so it's an insurance product it so they did fault that. And the PMI insurance would kick and night on. So Janette how much I'm so where you that like right now with so Helen the own your home for some law. Out of her almost four years OK and so and so why -- I guess what we're to lock in on a conventional mortgage before or. Oh. Okay so will you have to lead had 20% down now when you're gonna remodel. We heard it would add it regards OK okay so now I don't even more. And we don't want any act or anything that is on again like you know 800 bucks I'm not so how long are you planning on staying in your house. I don't snack food group. Does I don't know that you cannot Janet but I would think with a remodel you guys gonna stay there for awhile in your house like over ten years maybe. Share. Yeah so I mean in the long term whether you know whether interest rates fluctuate a little bit between now and next month or two months it's probably not gonna make that big of a difference though. If it's peace of mind to make you feel good went out lock in now and get it done. On emanates you know Whitley interest rates you know at a thirty year and a thirty year mortgage rates and that's what you're looking at. You know I can vary a little bit but it's not gonna go up half a point a point in a week or two or three. A as I gotta go down that much either so. You know I I it's I think you could do it either way and really what makes you feel more comfortable at it. Waiting to right away when your toll Jeanette she has to make roe decision what kind of an American yeah. I mean I just get interest rates don't move that fast that quickly so. You know whether you wait a few weeks but now wouldn't wait six months or a year. And that's the story yet. Wait to let thank you so much for the call good luck man and are also course if you don't get through the fall once it's not make you go to KI SW dot com scroll down you'll see the they do the banner with Todd smiling face he will answer your questions. You know does the best he can via email. Now we had tanks and Shane insane stuff when a man after my own party says hey Todd in three years the new Ford Bronco comes out. And I'm toll some buying one in the looking to start putting away money for down payment. It's going to be more than likely to be around forty to 45000 dollars for it what's a good percentage to put down for a new car. 100%. Yeah. I don't know that necessarily be at our once that's Torres icy ties absolutely he's right he's absolute telegram pop Manny goes to the Cardoza when he was alive with heart like actual cash salute when he found out dollars in cash music and if the dealer was giving them a hard time. A trial like you know screwing over whatever may be. He pulled money out of his pocket just my money's good elsewhere in the walk off as a gun dealers and no back I'm back. Obviously taught if you get interest free financing. Without any sort of penalty and in don't have to put in my I mean then of course that's the way to go if you dead and then you get to keep your own money in your own bank then you don't give you don't pay all that money up front because it's it's AME unless you feel like there's a reason you should do well a lot of times though give your rebate area gives you some other incentive instead of the industry. So if they're give off Wednesday's personal and there are a month here ethnic. There's so did do the OK so this disincentive to give me upfront. The year to multiply that by what you would cost in the like would she get by save you money up bankers CD there now maybe 15100 dollars or 2000 dollars cash back or whatever. And instead of interest free I'd take the 15102000. Dollars cash back and announce get a low interest rates down or if you can't pay cash and take that money in and ran right. On that but as far as how much to put down as much as you can and you know I instead at the separate savings account for it on cohesive unit and bare minimum time. Well I mean what what happens is let them if you eat your your car's gonna treat depreciate and down 10% when you drive off a lot of committee set and again and then you're gonna be upside down so if you can get you know at least ten or 20% down commented that would be good a good number. On the at a at a minimum. And I'll follow up question this time because I I wonder about leasing and buying. And you know ebb and what does that what does that what is the though the good rule of thought because. You know you buy a car it does depreciated. And then of course you know you've got the repairs and you know after five years some with all the computerization and everything and in just to bring it into a shopper went all that all that digital stuff. It's not like he used to be you spend a lot of money just you know to just get a light turned off in your dashboard because of all the stuff that they have to do digitally. What do what is your school of thought on leasing. And owning a vehicle. I'm well I'm obviously on the preferred day owning known for a long time person. Non but they can with with leasing on your paying easier paying the interest in the depreciation on the car on your you're not paying anything to principal. I'm on the loan so if you're person that I have to have a new car every two to three years may immediately see as a way to go for it. And you know carefree but if you're gonna keep something for a long time you're going to be better off owning it and him and what you're saying and this is a good to know is that no matter what my repair bills are content it's always going to be better than after I get done even if I pay my car for five years and vikings keep the car for you know. Five more years or beyond that is gonna be less expensive than leasing no matter what my repairs are. Okay that's that's what's Albion a lot of wonder yeah along could your neck you know that your cars RD depreciated you're not paying that you're owning it in the long term. I'm owning your card is is a better option then leasing can hear with leasing here you're continually buying New Year's continuing adding Mort Mort appreciation. So if you're paying for 500 dollars a month. And you know for. You know two or three years always Wear vs your owning it after 45 years and 45 now I don't have 45 and I have a house a car payment can save up for Newman and in England it's it's an interesting thing because with my phone I haven't on the leasing program but. We know that our Smartphones pretty much after two years. They're done and you know so you you kind of really know you're gonna have to upgrade your phone every two years if if you really want to work well. And be able to run the apps do all the fancy stuff. So I sometimes leasing a phone that makes sense that's where my brain gets as well at least my phone maybe I should really see my car but in this instance. No you don't need to get a new car every first though he's 200000. Miles plus vanity. But in the long run your most likely can be better off owning a car. Right person leasing but I'm not saying anything is not right for that for some people. And this is why we have taught him because these are questions that can be answered and their only answer for free if he can do he will. If you can get through feel free just go to KI SW dot com that's we can find out about Todd see the demo with a smiling face. You wanna join PE CU will be part of a credit union be a member and be treated awesome and still get to do all the stuff that you can do at a regular bank. Well you can do it at a credit union. And all the info beat ECU dot org he's got to live work or attend school here in Washington State and you get to be part of it. Tied it as usual you're awesome thanks Vijay. The next morning it's. A yeah. I just helps you.