Stinky Mortgage FAQ
What is Stinky Mortgage?
Stinky Mortgage is a free service provided by
America's Lending Partners,
which helps you determine how good your current mortgage is. There are
lots of mortgage calculators out there. While they are good for detailed
mathematical analysis, they don't answer the question everyone has: how
good is my mortgage? Stinky Mortgage is designed to easily identify
whether you've got a good mortgage or a bad one. It also tells you some
key factors which influence the calculation of your "Stink Factor".
Who or what is "Stinky the Skunk"?
Stinky the Skunk is the official mascot of Stinky Mortgage! He's a
skunk with a nose for smelly mortgages, and can help you evaluate
your home loan.
What is a "Stink Factor"?
The Stink Factor is the scale used to measure your mortgage.
The Stink Factor ranges from 1 (smells good) to 5 (reeks!). The
lower your Stink Factor, the better your mortgage is for your
specific situation.
How do I find out what my Stink Factor is?
To discover your Stink Factor simply complete the form on the
Stinky Mortgage home
page. No personal information is required, the process is secure,
and it only takes a minute.
Will you sell my information?
We will not distribute your information to any other parties
unless you decide to apply for a new mortgage with America's Lending
Partners. If you just want to find out your Stink Factor you
can rest assured that we will not disseminate any of your information.
And even if you do apply for a new mortgage, only carefully selected
lenders who might be able to get you a great new deal will receive
your information. They will then contact you directly to work with
you. For more information see the America's
Lending Partners' privacy policy.
How is the "Stink Factor" calculated?
Stink Factors are calculated using a proprietary algorithm, which
takes into account several metrics and indicators relating to your
mortgage. These include: credit rating, debt-to-income ration,
front-end loan-to-value ratio, mortgage interest rates, estimated
property value, and your mortgage balances.
What is a "front-end ratio"?
The front-end ratio, or front-end debt-to-income (DTI) ratio, refers
to the percentage of your gross monthly income which goes towards
the principal and interest payment of your mortgage(s). So if you
earn $3,000 gross per month, and you send $1,000 on your mortgage,
your front-end DTI will be 33%.
What does "loan-to-value" mean?
Loan-to-value, or LTV, is a ratio which tells you how much debt you
have as a percentage of the current property value. It's calculated by
combining your current mortgage balances and dividing by the estimated
value of your property.
My Stink Factor was very high. Should I do something about it?
It's up to you whether you act on your high Stink Factor. If you
are comfortable in your current mortgage, or feel you won't find a
better one, then that's fine. But you might be wasting money by sticking
with a stinky mortgage. So it would probably benefit you to talk to
a mortgage
professional.
My Stink Factor was very low. So I'm fine, right?
The Stink Factor is a broad indicator of whether you've got the best
mortgage for your situation. If your Stink Factor is low (1 or 2) then
chances are you have a mortgage that will be hard to beat. However,
it might still be a good idea to talk to a mortgage
professional and get expert advice.
