Selecting the right mortgage term is a critical financial choice that can significantly impact your long-term economic well-being. Homeowners face a fundamental decision between 15-year and 30-year mortgage options, each presenting distinct advantages and potential challenges.

15-Year Mortgage

A 15-year mortgage offers a compelling approach for financially disciplined individuals. This option provides notably lower interest rates, enabling homeowners to build equity substantially faster and reduce overall interest payments. The accelerated payment structure means substantial long-term savings, with borrowers potentially saving tens of thousands of dollars over the loan’s lifetime[2].

However, this approach is not without its complexities. The higher monthly payments require a more robust financial foundation. Borrowers must carefully assess their income stability and monthly budget to ensure they can consistently meet these more demanding financial obligations[1].

30-Year Mortgage

Conversely, the 30-year mortgage offers greater financial flexibility. Lower monthly payments provide homeowners with increased financial maneuverability, allowing for additional investments, emergency savings or managing other financial priorities[3]. This approach is particularly advantageous for individuals with variable income or those seeking to maintain more liquid financial resources.

The trade-off, however, is a higher total interest payment over the loan’s duration and a slower equity-building process. Borrowers will ultimately pay significantly more in interest compared to the 15-year option.

Making an Informed Decision 

The optimal mortgage term depends on individual financial circumstances, career trajectory, and long-term goals. Factors to consider include:

• Current income and job stability
• Long-term financial objectives
• Existing investment strategies
• Personal risk tolerance

Financial experts recommend a comprehensive evaluation of personal financial health before making this critical decision. Consulting with mortgage professionals can provide tailored insights, helping borrowers make an informed choice that aligns with their unique financial situation.

Ultimately, the right mortgage term is a personal decision that requires careful consideration of individual financial goals, current economic circumstances, and future aspirations.

Contact one of our Mortgage Representatives today to assist you in meeting your homeownership goals!

Opinions expressed above are the personal opinions of the author and meant for generic illustration purposes only. For specific questions regarding your personal lending needs, please call RCB Bank at 855-BANK-RCB. With approved credit. Terms, qualifications and other restrictions apply. Member FDIC, Equal Housing Lender. RCB Bank NMLS #798151.

Sources:

[1] https://www.investopedia.com/articles/personal-finance/042015/comparison-30year-vs-15year-mortgage.asp

[2] https://www.forbes.com/advisor/mortgages/15-year-vs-30-year-mortgage-calculator/

[3] https://www.cnn.com/cnn-underscored/money/15-vs-30-year-mortgage

Just like scheduling a financial health checkup, monthly financial fitness requires consistent effort, discipline and a strategic approach. Think of your money management like a workout plan; it needs regular attention, tracking and commitment to see real results.

Start with a Financial Assessment 

The hardest part of the routine is getting started, in this case it is taking a hard look at your current financial condition. This means reviewing your income, expenses, debts and savings; much like a personal trainer would assess your initial fitness level. Identify your financial strengths and areas that need improvement.

Create a Realistic Budget 

Developing a budget is like designing an exercise regimen. It should be challenging yet achievable. Track every dollar, categorize your spending and set clear limits. Use budgeting apps or spreadsheets to make this process easier and more transparent.

Build Your Financial Muscle: Savings and Investments 

Regular savings is like strength training for your finances. Aim to save at least 10-15% of your income. Start small if needed but be consistent. Explore retirement accounts, emergency funds and diversified investment options to build long-term financial resilience.

Eliminate Debt

High-interest debt is like excess weight; it slows you down and drains your energy. Develop a debt reduction strategy. Consider the debt snowball or avalanche method to systematically reduce what you owe.

Continuous Learning and Adaptation 

Financial fitness, like physical fitness, requires ongoing education. Read financial blogs, attend workshops and stay informed about personal finance strategies. Be willing to adjust your approach as your life circumstances change.

Remember, financial fitness is a journey, not a destination. Stay motivated, track your progress and celebrate small victories along the way. With dedication and the right mindset, you can transform your financial health.

Still have questions? Talk with an RCB Bank Banker or Wealth Advisor today. Visit the website RCBbank.bank or call 855.226.5722.

The opinions expressed above are the personal opinions of the author and meant for generic illustration purposes only. RCB Bank. Member FDIC. 

Sources

[1] https://moneysmartathlete.com/starting-strong-financial-fitness-tips-for-athletes/financial-fitness-routines-habits-to-sustain-a-strong-financial-game/

[2] https://www.greenpath.com/blog/five-part-checklist-to-improve-your-financial-fitness/

Scheduling a monthly financial health check is a practical way to keep your finances in check. Just like a regular medical checkup, it helps you assess your financial situation and identify areas for improvement.

So, what does this checkup look like? First off, you’ll want to take a good look at your budget. Where’s your money coming from and where’s it going? Are you spending more than you’re earning? This is your chance to spot any sneaky expenses that might be draining your bank account.

Next, tackle debt. Make a list of what you owe and the interest rates on each debt. This info is golden when it comes to figuring out which debts to pay off first. Don’t forget about your credit report. It’s a good idea to give it a once-over at least yearly. Your credit score can affect everything from loan approvals to interest rates, so it’s worth keeping an eye on.

Setting financial goals is another key part of your checkup. Maybe you’re saving for a house or thinking about retirement. Whatever your goals, make sure they’re realistic and fit your current life situation. If you’re feeling a bit lost, don’t be afraid to chat with a financial advisor. They can offer personalized advice and help you stay on track.

Remember, these regular checkups aren’t just about avoiding money troubles. They’re about giving you the power to make smart choices with your cash. By keeping tabs on your finances monthly, you’re setting yourself up for a healthier financial future. It might take a bit of effort, but it’s worth it in the long run.

Still have questions, talk with an RCB Bank Banker or Wealth Advisor today.

The opinions expressed above are the personal opinions of the author and meant for generic illustration purposes only. RCB Bank. Member FDIC. 

October is Cybersecurity Awareness Month, a time dedicated to educating individuals and organizations about the importance of protecting their digital lives[4]. This initiative encourages everyone to adopt safer online habits, such as using strong passwords, enabling two-factor authentication and being cautious of phishing attempts. By raising awareness, the goal is to reduce the risk of cyber threats and promote a culture of security in our increasingly digital world[4].

Simultaneously, the Medicare Open Enrollment period from October 15 to December 7 sees a rise in Medicare scams. Scammers often pose as Medicare representatives to steal personal information. Common tactics include offering new Medicare cards, cheaper plans or claiming urgent updates are needed. It’s crucial to remember that Medicare will never call unsolicited to request personal information or payment details. Staying informed and vigilant can help protect against these scams and ensure that beneficiaries’ and your information remains secure[1][2][3].

Prompt Reporting: If you feel you have fallen for a scam or suspect your accounts or identity have been compromised, report the incident immediately. RCB Bank customers can contact us at 855-226-5722 during business hours or visit RCB Bank Security Center website for detailed information. Need to contact RCB Bank Fraud Department on the weekend? Contact us at 877-361-0814 Saturday 8:00 a.m. – 4:00 p.m. CST or Sunday 8:00 a.m. – 12:00 p.m. CST (excluding Federal Holidays).

Contact other reliable sources such as the FBI and file a complaint at ic3.gov to contribute to efforts against these fraudulent activities.

Opinions expressed above are the personal opinions of the author and meant for generic illustration purposes only. RCB Bank, Member FDIC.

Sources:

[1] 5 Warning Signs of a Medicare Scam—and How to Protect Yourself | https://www.ncoa.org/article/5-warning-signs-of-a-medicare-scam-and-how-to-protect-yourself/  

[2] October 2023 Scam of the Month | https://encoreministry.org/october-2023-scam-of-the-month-medicare-scams-to-avoid/

[3] Medicare Fraud Prevention Week 2024 | https://acl.gov/MFPW24

[4] Cybersecurity Awareness Month | https://www.cisa.gov/cybersecurity-awareness-month

When you take out a mortgage, you might encounter something called an escrow account. Think of it as a financial safety net that helps manage your property-related expenses like taxes and insurance. Here’s how it works: each month, a portion of your mortgage payment goes into this account, which is managed by your lender[2].

The primary role of an escrow account is to ensure that your property taxes and insurance premiums are paid on time. This not only protects you from potential penalties but also safeguards the lender’s interest in the property. If these bills aren’t paid, you could face fines or even risk losing your home. With an escrow account, the lender takes care of these payments for you, so you don’t have to worry about saving up for them separately[1][3].

For many homeowners, having an escrow account simplifies budgeting. Instead of scrambling to pay large lump sums once or twice a year, you contribute smaller amounts monthly, making it easier to manage your finances[2]. However, it’s essential to note that the amount you pay into the escrow can fluctuate based on changes in your tax assessments or insurance premiums[1].

While some loans require an escrow account, others might give you the option to handle these payments yourself. If you’re disciplined with saving and prefer more control over your finances, managing these expenses independently might be appealing. But for many, the convenience and peace of mind offered by an escrow account make it a valuable part of their mortgage arrangement[2].

Contact one of our Mortgage Representatives today to assist you in meeting your homeownership goals!

Opinions expressed above are the personal opinions of the author and meant for generic illustration purposes only. For specific questions regarding your personal lending needs, please call RCB Bank at 855-BANK-RCB. With approved credit. Terms, qualifications and other restrictions apply. Member FDIC, Equal Housing Lender. RCB Bank NMLS #798151.

Sources:

[1] https://www.forbes.com/advisor/mortgages/mortgage-escrow/

[2] https://www.wsj.com/buyside/personal-finance/mortgage/what-is-escrow

[3] https://www.consumerfinance.gov/ask-cfpb/what-is-an-escrow-or-impound-account-en-140/

Succession planning is crucial for preserving family farms and ranches across generations. It involves creating a strategic roadmap to ensure a smooth transition of assets, responsibilities and decision-making authority from one generation to the next. This process helps safeguard the legacy of the farm while preparing the next generation for leadership roles[2].

One of the primary goals of farm succession planning is to minimize conflicts and uncertainties within the family. By addressing these issues proactively, families can maintain harmony and unity, which are essential for the continued success of the farming operation[1]. Additionally, a well-structured succession plan can help manage financial aspects, such as estate taxes and capital gains, thereby optimizing financial resources for future generations[3].

Involving all family members in the planning process is vital. Open communication about the succession plan can help align the expectations and priorities of all parties involved. This includes discussing the roles and responsibilities of each family member and addressing any potential conflicts early on[3].

Legal and financial professionals play a key role in formalizing the succession plan. They can assist in structuring the transfer of assets through trusts or business entities like LLCs, which can provide liability protection and potential tax benefits[3]. Conservation easements are another tool that can ensure the land remains dedicated to agriculture, preserving the family’s farming legacy[4].

Ultimately, farm succession planning is an investment in the future of the family and the agriculture industry. By taking these steps, families can ensure their farm remains a thriving enterprise for generations to come[2].

If you are a ready or have questions about AG succession planning, an RCB Bank Farm and Ranch Representative would be happy to talk with you today on how to get started on your goals.

Opinions expressed above are the personal opinions of the author and meant for generic illustration purposes only. RCB Bank is a community bank with locations across Oklahoma and Kansas. Founded in 1936, RCB Bank is committed to serving its communities with conservative banking practices and progressive banking products. Investment products are not insured by FDIC. Not a deposit or other obligation of or guaranteed by the depository institution. Subject to investment risk, including possible loss of the principal amount invested. Wealth advisors do not provide tax, legal or accounting advice. Seek advice from a professional tax consultant. Learn more at RCBbank.bank or give us a call at 855.BANK.RCB.

Sources:

[1] https://www.hertz.ag/farm-management/succession-planning

[2] https://www.fbfs.com/learning-center/what-you-need-to-know-about-farm-succession-planning

[3] https://legacyassuranceplan.com/articles/beneficiary/how-to-pass-down-family-farm 

[4] https://www.eidebailly.com/insights/articles/2024/8/family-farm-succession

Teaching teenagers about budgeting is essential for their financial literacy and independence. Here are some practical steps parents can take to guide their teens through this important process.

Start with Basics – Introduce the concept of budgeting as a monthly spending plan. Explain what a budget includes—income, necessary expenses and discretionary spending. Keeping it simple at first can help them grasp the fundamentals without feeling overwhelmed[1].

Encourage Earning – Make budgeting a family affair. Discuss household expenses and income openly, allowing your teen to see how financial decisions are made. This involvement can allow for a better understanding of budgeting and help them appreciate the complexities of managing money[3].

Set Up an Allowance – Consider giving your teen an allowance tied to specific responsibilities. This can teach them to manage their own money and understand the value of earning. Encourage them to budget their allowance for both needs and wants, reinforcing the importance of prioritizing spending[2].

Create a Budget Together – Work with your teen to create their own budget. Start by calculating their total income, which may include allowances, gifts or part-time job earnings. Then, help them list their necessary expenses, such as phone bills or transportation costs. This hands-on approach helps them learn to balance income and expenses[3].

Use Budgeting Tools – Introduce your teenager to budgeting apps or templates that can help them track their spending. Visual aids can make budgeting more engaging and easier to manage. Alternatively, they can use simple pen-and-paper methods to write down their budget categories[1].

Encourage Saving – Teach your teen to prioritize savings by incorporating it into their budget. Encourage them to set savings goals for larger purchases or future expenses, emphasizing the importance of “paying themselves first” before spending on discretionary items[3].

By following these steps, parents can equip their teenagers with the skills they need to budget effectively, paving the way for a financially responsible future.

Ready to open an account to help your child get started? For Kids Club Checking* visit RCBbank.bank/Kids-Club/ . For Kids Club Savings* visit RCBbank.bank/Kids-Savings/

The opinions expressed above are the personal opinions of the author and meant for generic illustration purposes only. RCB Bank. Member FDIC. * Kids Club accounts are for individuals under the age of 18, and a parent or guardian is required to be joint owner or custodian on the account. Ask us for details. A monthly fee will be assessed for accounts receiving a paper statement. Member FDIC 

Sources:

[1] https://www.gohenry.com/us/blog/financial-education/how-to-teach-your-teenager-about-budgeting

[2] https://www.knockedupmoney.com/blog/building-financial-literacy-in-teens-in-6-steps

[3] https://parentandteen.com/help-teens-manage-money/

Home appraisals play a crucial role in the home buying process, acting as a safeguard for both buyers and lenders. When you decide to purchase a home, the price agreed upon between you and the seller isn’t always reflective of the property’s true market value. This is where an appraisal comes in.

A home appraisal is an unbiased assessment conducted by a licensed appraiser who evaluates the property based on various factors, including its size, condition and location, as well as recent sales of comparable homes in the area[1]. This process ensures that you, as a buyer, are not overpaying for your new home. If the appraisal comes in lower than the purchase price known as an “Appraisal Gap” it can provide leverage for negotiation or even allow you to walk away from the deal if you’ve included an appraisal contingency in your contract[3].

For lenders, appraisals are essential as they confirm that the amount they are willing to lend aligns with the home’s actual value, protecting them from potential losses[3]. If the appraisal is too low, it can delay or derail the transaction, making it vital for all parties involved to understand its importance.

Now, let’s talk specifics. Oklahoma and Kansas home appraisals usually costs between $350 and $700 for a single-family home[2][4]. Factors like the size of the property and the type of loan can affect these costs. For example, larger properties or government-backed loans might require more detailed appraisals, which can be pricier.

In essence, home appraisals not only help buyers make informed decisions but also ensure that lenders are making sound investments. This process is a critical step in the journey of homeownership, providing peace of mind and financial security for everyone involved.

Contact one of our Mortgage Representatives today to assist you in meeting your homeownership goals!

Opinions expressed above are the personal opinions of the author and meant for generic illustration purposes only. For specific questions regarding your personal lending needs, please call RCB Bank at 855-BANK-RCB. With approved credit. Terms, qualifications and other restrictions apply. Member FDIC, Equal Housing Lender. RCB Bank NMLS #798151.

Sources:

[1] https://www.amerimacmanagement.com/about/blog/what-is-the-importance-of-the-appraisal-process/

[2] https://www.houzeo.com/blog/how-much-is-a-home-appraisal-in-kansas/

[3] https://www.forbes.com/advisor/mortgages/how-home-appraisals-work/

[4] https://www.houzeo.com/blog/how-much-is-a-home-appraisal-in-oklahoma/

As the holiday season approaches, scammers are gearing up to exploit your generosity through charity fraud. Don’t let these Grinches steal your holiday spirit or your hard-earned money. Here’s how to protect yourself from charity scams this season.

First, be wary of high-pressure tactics. Legitimate charities won’t rush you to donate immediately. Take your time to research before giving. Use trusted resources like BBB’s Wise Giving Alliance or Charity Navigator to verify the organization’s legitimacy[1].

Pay attention to how they ask for donations. Red flags include requests for cash, wire transfers or gift cards[3]. These payment methods are hard to trace and favored by scammers[1].

Second, be cautious of charities with names similar to well-known organizations. Scammers often use this trick to appear credible. Double-check the charity’s name website and contact information carefully[3].

Don’t let emotions cloud your judgment. While heart-warming stories can be compelling, resist the urge to donate on the spot. Legitimate charities will appreciate your donation just as much tomorrow or next week[1].

Third, watch out for unsolicited emails or text messages claiming to be from delivery services about incoming or missed packages. These are often phishing attempts to steal your personal information[2].

Remember you can use the IRS Tax Exempt Organization Search tool to verify if an organization is a legitimate tax-exempt charity[3]. Never share personal information like your Social Security number with someone soliciting donations.

By staying vigilant and doing your homework you can ensure your generosity reaches those truly in need this holiday season. Don’t let scammers dampen your holiday spirit – give wisely and safely.

Prompt Reporting: If you feel you have fallen for a scam or suspect your accounts or identity have been compromised, report the incident immediately. RCB Bank customers can contact us at 855-226-5722 during business hours or visit RCB Bank Security Center website for detailed information. Need to contact RCB Bank Fraud Department on the weekend? Contact us at 877-361-0814 Saturday 8:00 a.m. – 4:00 p.m. CST or Sunday 8:00 a.m. – 12:00 p.m. CST (excluding Federal Holidays).

Contact other reliable sources such as the FBI and file a complaint at ic3.gov to contribute to efforts against these fraudulent activities.

Opinions expressed above are the personal opinions of the author and meant for generic illustration purposes only. RCB Bank, Member FDIC.

Sources:

[1] https://getcarefull.com/articles/how-to-avoid-charity-scams

[2] https://www.fcc.gov/beware-holiday-charity-scams

[3] https://www.irs.gov/newsroom/dirty-dozen-irs-warns-about-fake-charities-exploiting-taxpayer-generosity

Oklahoma – As the year 2024 winds down, RCB Bank Mortgage brings exciting news for prospective homebuyers and homeowners looking to refinance. With a limited time offer of a $500 lender credit, this promotion is designed to ease the financial burden of closing costs.

To take advantage of this incredible deal, your mortgage loan must be locked in between September 1, 2024 and December 31, 2024. This promotion reduces the overall closing costs on your dream home purchase or refinance. Whether you’re a first-time homebuyer or a seasoned homeowner looking to save, RCB Bank Mortgage has you covered.

Whether you’re considering a Conventional, FHA, VA or other mortgage loan type, you may benefit from the $500 lender credit. To qualify, you must meet the program’s underwriting requirements and the minimum loan criteria. This fantastic offer is available to residents of Oklahoma and Kansas who choose RCB Bank Mortgage as their lending partner.

Don’t miss out on this opportunity to unpack into your new home for the holidays. For further details and to take advantage of this promotion, visit RCBbank.bank/Save500.

Come in and talk to one of our mortgage professionals today before this promotion is gone! RCB Bank. That’s my bank!

RCB Bank is a community bank with locations across Oklahoma and Kansas. Founded in 1936, RCB Bank is committed to serving its communities with conservative banking practices and progressive banking products. Learn more at RCBbank.bank or give us a call at 855.226.5722. Member FDIC, Equal Housing Lender, NMLS #798151.

Offer available for most purchases and refinances. With approved credit on RCB Bank Mortgage secondary market loans locked between September 1, 2024 and December 31, 2024. Must meet minimum loan and program underwriting requirements. Lender credit must be used toward borrower closing costs. Not redeemable for cash or down payment funds. This offer is not valid with any other RCB Bank Mortgage incentives, promotions or discounts. OHFA Bond and 5/5 ARM products are not eligible for promotional credit. This offer is subject to change or termination without notice. Other loan terms and restrictions apply.

Kansas – As the year 2024 winds down, RCB Bank Mortgage brings exciting news for prospective homebuyers and homeowners looking to refinance. With a limited time offer of a $500 lender credit, this promotion is designed to ease the financial burden of closing costs.

To take advantage of this incredible deal, your mortgage loan must be locked in between September 1, 2024 and December 31, 2024. This promotion reduces the overall closing costs on your dream home purchase or refinance. Whether you’re a first-time homebuyer or a seasoned homeowner looking to save, RCB Bank Mortgage has you covered.

Whether you’re considering a Conventional, FHA, VA or other mortgage loan type, you may benefit from the $500 lender credit. To qualify, you must meet the program’s underwriting requirements and the minimum loan criteria. This offer is available to residents of Kansas and Oklahoma who choose RCB Bank Mortgage as their lending partner.

Don’t miss out on this opportunity to unpack into your new home for the holidays. For further details and to take advantage of this promotion, visit RCBbank.bank/Save500.

Come in and talk to one of our mortgage professionals today before this promotion is gone! RCB Bank. That’s my bank!

RCB Bank is a community bank with locations across Kansas and Oklahoma. Founded in 1936, RCB Bank is committed to serving its communities with conservative banking practices and progressive banking products. Learn more at RCBbank.bank or give us a call at 855.226.5722. Member FDIC, Equal Housing Lender, NMLS #798151.

Offer available for most purchases and refinances. With approved credit on RCB Bank Mortgage secondary market loans locked between September 1, 2024 and December 31, 2024. Must meet minimum loan and program underwriting requirements. Lender credit must be used toward borrower closing costs. Not redeemable for cash or down payment funds. This offer is not valid with any other RCB Bank Mortgage incentives, promotions or discounts. OHFA Bond and 5/5 ARM products are not eligible for promotional credit. This offer is subject to change or termination without notice. Other loan terms and restrictions apply.

Broken Arrow, OK – Being drawn to RCB Bank because of its strong values and dedication to customer service and community, Dylan McMahan began his banking career in September 2022 as a teller. He quickly advanced to a lead role that December, and in March 2024 he continued to grow his career by becoming the branch’s CSR, Customer Service Representative. In June 2024, continuing his journey upwards, he was recently promoted to Retail Coordinator at RCB Bank’s Union Branch.

Dylan’s dedication to professional growth is evident. With a degree in business management from RSU, he has a clear understanding of customer needs and effective employee leadership principles. Being passionate about continuous improvement, he views challenges and setbacks as opportunities for growth and stays current with industry trends by listening to podcasts during his commutes.

Balancing his work and personal life; Dylan prioritizes taking time away from devices and spending that time with his family for a healthy balance and maintaining mental health. This balance is evident by his core values—honesty, integrity and discipline—that guide his professional and personal ethos, ensuring his trustworthiness in the financial industry.

Dylan’s personal and professional growth is a testament to his commitment to excellence, driven by a desire to be a role model for his daughter. Looking to the future, Dylan’s goal is to continue progressing and make an impact for RCB Bank and its customers, while striving for excellence and to never stop learning. Customers have often praised his service for reinforcing the quality standards set by RCB Bank.

RCB Bank is a community bank with locations across Oklahoma and Kansas. Founded in 1936, RCB Bank is committed to serving its communities with conservative banking practices and progressive banking products. Learn more at RCBbank.bank or give us a call at 855.226.5722. Member FDIC, Equal Housing Lender, NMLS #798151.

What happens to your life insurance, 401(k), savings and checking accounts if something happens to you? If you have listed payable on death (POD) beneficiaries for all your eligible accounts, it can be a relatively straightforward process for your beneficiaries to receive distributions of these benefits. A POD beneficiary is one or more persons or entities that you designate as the recipient of your account benefits or assets in the event of your death.

When planning a Will, please keep in mind that beneficiary designations will generally override estate plan instructions such as Wills/Trusts. Be sure to talk with your accountant or financial advisor before designating a beneficiary, especially when naming a trust or estate as your beneficiary on an Individual Retirement Account (IRA).

But what happens if you have not designated any beneficiaries? Unfortunately, your family may face the burden of settling your estate through probate court, which can be a complicated, costly and lengthy process. It is important to note that a beneficiary only benefits when all account owners are deceased. Naming one or more beneficiaries ensures that your assets go directly to the charity or person(s) you choose, bypassing the probate process.

Setting a beneficiary to your accounts can be important as it may allow them to cover certain final expenses, such as funeral arrangements. This is a small step that provides peace of mind knowing your assets will be handled according to your wishes.

Protect your assets and help keep the hardship of your passing more manageable for your family members and loved ones.

Simple steps now can help save your family members from additional burdens in the event of your death.  Take care of the people that matter the most and declare or update your beneficiaries today!

The opinions expressed above are the personal opinions of the author and meant for generic illustration purposes only. For specific questions regarding your personal lending needs, please call RCB Bank at 855-BANK-RCB. RCB Bank is a member FDIC.

For many people, homeownership is a significant way to accumulate long-term wealth. As they pay down their mortgages, homeowners build equity in their homes and eventually a majority of them own their homes outright. For many older homeowners, mortgage payments absorb a significant percentage of their income, preventing them from saving enough to fund a decent retirement. In addition, some senior homeowners may require more funds to cover house repairs, medical expenditures or other urgent needs. For these homeowners, a reverse mortgage can be an appealing financial tool that allows them to convert some of the equity in their property into cash without having to sell it.

So, why should a homeowner understand reverse mortgages? When considering taking out a reverse mortgage, the homeowner must understand that the home’s equity is used as security. This loan type allows homeowners 62 years and older access the equity in their homes in one of three ways:

1. By a reverse annuity mortgage or periodic payments from the lender.
2. By taking out a “reverse equity mortgage,” which offers a sizable single payment.
3. By creating a line of credit that can be pulled upon as needed.

An important notation for the homeowner of 62 years old or older with a paid-off or low-balance mortgage that takes out a reverse mortgage, you do not have to make any payments on the loan as long as you live in the house. This is what makes them different from “forward” mortgages. The homeowner repays the reverse mortgage when the house is sold or the homeowner dies.

The benefits of reverse mortgages are accompanied by significant risks, especially when the reverse mortgage is in place for an extended period. To benefit from a reverse mortgage, you must also be willing to bear the associated expenses. These loans may have greater origination, closing charges and annual insurance premiums. A reverse mortgage could also impact how your family will inherit the property.

While such a loan can lower your home equity over time, you could still come out ahead if home prices improve. Before opting to apply for a reverse mortgage, you should consult with an approved reverse mortgage counselor to see which type of reverse mortgage is right for you.

You can contact one of our Mortgage Representatives today to assist you in meeting your homeownership goals!

Opinions expressed above are the personal opinions of the author and meant for generic illustration purposes only. With approved credit. For specific questions regarding your personal lending needs, please call RCB Bank at 855-BANK-RCB. Some restrictions apply. RCB Bank is an Equal Housing Lender NMLS #798151 and Member FDIC.

Sources:

Knaack, P., Miller, M., & Stewart, F. (2020). Reverse mortgages, financial inclusion, and economic development: potential benefits and risks. World Bank Policy Research Working Paper, (9134). https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3528858

Loibl, C. Reverse Mortgage Borrowing and Financial Well-Being of Older Adults. files.consumerfinance.gov. consumerfinance.gov

Lee, Y. T. & Shi, T. (2022). Valuation of reverse mortgages with surrender: A utility approach. The Journal of Real Estate Finance and Economics. https://link.springer.com/article/10.1007/s11146-021-09869-7

Crop insurance is one of the best tools available today to manage financial risk in the agriculture industry due to the unpredictability of mother nature. This type of insurance provides a safety net for protecting farmers from financial loss caused by events beyond their control called “covered perils.” Such events are droughts, floods, storms, fires, pests, disease and even market fluctuations.

Historically, crop farmers only purchased Hail Insurance, then in 1980 the Federal Crop Insurance Act was established. Federal Crop Insurance was designed to protect a guaranteed yield based on historical yields of a farm; this is also called yield based. The industry changed dramatically in 1996 when a product called Crop Revenue Coverage was designed and brought to market.

Crop Revenue Coverage allowed a farmer to protect not only their yield but it placed some protection on the respective commodity prices; this is also called revenue based. The new coverage also gave the farmer the ability to “lock in” a Revenue Guarantee on each acre that is produced. This became a major game changer in U.S. grain production.
When farmers invest in insurance for crops, whether FDA backed or private sector, they have helped mitigate certain risks by providing financial compensation support, which can be the difference between recovery or financial disaster. Furthermore, crop insurance also supports the food industry. By protecting farmers’ incomes and livelihoods, it ensures a more stable food supply. This stability benefits not only farmers, but also consumers by maintaining consistent availability and pricing of food products.

Crop production is a risky business, but with the right crop insurance you have a greater chance of having a more profitable outcome as a landowner. If you are a landowner who is leasing their property for share crop leases, an RCB Bank Farm and Ranch Representative would be happy to talk with you today on how to meet your goals.

Opinions expressed above are the personal opinions of the author and meant for generic illustration purposes only. RCB Bank is a community bank with locations across Oklahoma and Kansas. Founded in 1936, RCB Bank is committed to serving its communities with conservative banking practices and progressive banking products. Investment products are not insured by FDIC. Not a deposit or other obligation of or guaranteed by the depository institution. Subject to investment risk, including possible loss of the principal amount invested. Wealth advisors do not provide tax, legal or accounting advice. Seek advice from a professional tax consultant. Learn more at RCBbank.bank or give us a call at 855.BANK.RCB.

Sources:
Crop Insurance 101: The Basics | Market Intel | American Farm Bureau Federation (fb.org)
History of the Crop Insurance Program (usda.gov)

Online and payday loan scams prey on individuals seeking financial assistance by promising loans in exchange for up-front fees. These scams are not only unlawful but can also severely damage an individual’s financial well-being.

One of the most common forms of loan scams is in the form of phishing emails, where thousands of fraudulent emails are sent out, urging recipients to confirm their bank account details. Unfortunately, many fall victim to these schemes, inadvertently providing hackers with the means to steal their money.

The criminals behind these scams often entice potential victims by offering loans without considering their credit history or employment status. Once victims respond to these offers, scammers proceed to solicit financial information, putting victims at further risk.

It’s essential to be wary of any requests for up-front fees or payments. Legitimate personal loans do not require payment before disbursement; any fees are typically included within the loan amount upon funding.

Additionally, any directories that list banks may not necessarily be affiliated with them, highlighting the reason for caution and verification. Legitimate personal loan companies and lenders must be registered in the states where they operate. Failure to register suggests illegal lending practices or outright scams. A good place to start your search is checking out the Better Business Bureau.

If you suspect you’ve fallen victim to a loan scam or have inadvertently shared your financial information, it’s crucial to notify your bank immediately. Prompt action can help safeguard your accounts and prevent further financial harm.

Remember: Stop, Think and Don’t Be Fooled. Stay vigilant against loan scams to protect your financial security.

For more information on protecting yourself from fraud, visit RCBBank.bank/Security or contact the Fraud Department at 877.361.0814.

The opinions expressed above are the personal opinions of the author and meant for generic illustration purposes only. For specific questions regarding your personal lending needs, please call RCB Bank at 855-BANK-RCB. RCB Bank, Member FDIC.

Sources:

Using Data Aggregators vs. Actively Managing Local Directory Listings. Using Data Aggregators vs. actively managing local directory listings. (2023). https://www.searchoptics.com/blog/using-data-aggregators-vs-actively-managing-local-directory-listings

Wedell, K. (2022, September 4). “predatory” payday loan scammers thrive with stolen data, BBB says. what to watch out for. USA Today. https://www.usatoday.com/story/money/2022/08/31/payday-loan-scams/7953234001/

What to do if you were scammed. Consumer Advice. (2024, March 5). https://consumer.ftc.gov/articles/what-do-if-you-were-scammed

Private Mortgage Insurance, or PMI, is a term that often swirls around the world of homebuying, leaving many prospective homeowners confused about its purpose and implications. Understanding PMI is crucial for anyone looking to purchase a home, as it can affect the overall cost of homeownership.

PMI is typically required by lenders when a homebuyer makes a down payment of less than 20% of the home’s purchase price. It serves as a protection for the lender in case the borrower defaults on their loan. While PMI benefits the lender, it allows buyers to qualify for a mortgage with a lower down payment, making homeownership more accessible to many.

There are a few ways that you can pay the PMI: monthly payment or single upfront payment. The most common method is a monthly premium. In this case, your lender automatically adds PMI to your monthly mortgage payment. This reduces the large upfront payment though monthly payments will be higher. Once the loan-to-value ratio reaches 80%, homeowners can request cancellation of PMI.

If the monthly premium is not an option then there is the upfront premium where the costs are paid in full. In this case, your lender arranges for you to pay PMI when you close on the loan. While it’s an additional closing cost, your monthly mortgage payment will be lower.

There are several ways to avoid or eliminate PMI altogether. Firstly, saving up for a larger down payment can help buyers avoid PMI requirements entirely. Additionally, some lenders offer piggyback loans or lender-paid PMI options, although these may come with their own set of terms and conditions. Check with your potential lender for more information before proceeding.

Understanding the costs and implications of PMI is crucial for prospective homeowners. While it can increase monthly payments, PMI enables many individuals and families to achieve the dream of homeownership sooner rather than later. However, it’s essential to weigh the long-term costs and benefits and explore all available options before committing to a mortgage with PMI.

In conclusion, PMI plays a significant role in the homebuying process, particularly for those with smaller down payments. By demystifying PMI and understanding its implications, prospective homeowners can make informed decisions when navigating the complexities of mortgage financing.

You can contact one of our Mortgage Representatives now to assist you today with lending and PMI!

Opinions expressed above are the personal opinions of the author and meant for generic illustration purposes only. With approved credit. For specific questions regarding your personal lending needs, please call RCB Bank at 855-BANK-RCB. Some restrictions apply. RCB Bank is an Equal Housing Lender NMLS #798151 and Member FDIC.

Sources:

What is Private Mortgage Insurance?. Consumer Financial Protection Bureau. (n.d.). https://www.consumerfinance.gov/ask-cfpb/what-is-private-mortgage-insurance-en-122/

Elem, O. (2023, September 13). PMI Calculator: Mortgage Insurance Calculator. Omni Calculator. https://www.omnicalculator.com/finance/pmi

Making a plan to pay off credit card debt is essential for anyone facing financial strain due to outstanding balances. The first step is to gather all credit card statements to understand the full scope of the debt. This includes noting the outstanding balances, interest rates and minimum monthly payments for each card.

Next, prioritize the debts based on interest rates. In general, the higher-interest cards should be paid off first to minimize the amount of interest accrued over time. While paying the minimum on all cards, allocate extra funds towards the highest interest debt. This approach, known as the avalanche method, can save money in the long run.

Alternatively, some may prefer the snowball method, which involves paying off the smallest debts first to gain momentum and motivation. Regardless of the method chosen, consistency is key. Stick to the plan by setting realistic monthly payments and avoiding accumulating additional debt. Utilize any extra income, windfalls or bonuses to accelerate debt repayment.

Creating a budget can help identify areas where expenses can be reduced to free up more funds for debt repayment. Cut back on unnecessary expenses and allocate the savings towards paying off credit card debt.

Finally, monitor progress regularly and adjust the plan as needed. Celebrate milestones along the way to stay motivated and committed to becoming debt-free. By making a plan and sticking to it, individuals can take control of their finances and achieve financial freedom. With discipline and determination, paying off credit card debt is achievable, leading to a more secure financial future.

The opinions expressed above are the personal opinions of the author and meant for generic illustration purposes only. For specific questions regarding your personal lending needs, please call RCB Bank at 855-BANK-RCB. RCB Bank is a member FDIC.

Sources:

Egan, J., & Strohm, M. (2021, July 30). The Debt Avalanche Method: How It Works and how to use it. Forbes. https://www.forbes.com/advisor/debt-relief/debt-avalanche-method-how-it-works/

Egan, J., & Strohm, M. (2021a, July 28). The debt snowball method: How it works and how to use it. Forbes. https://www.forbes.com/advisor/debt-relief/debt-snowball-method-how-it-works/

Broken Arrow, OK – Rene Hill is a seasoned professional with a rich history in the banking industry. Starting as a Teller at First National Bank Broken Arrow, her journey led her to RCB Bank in 2001, where she’s been instrumental in customer service and team leadership.

Her professional journey is a testament to her dedication and drive for growth within the banking sector. Her commitment to staff and customers aligns with her goal of providing stable and reliable service. “I’m dedicated to building a team of like-minded CSRs & tellers, fostering loyalty to RCB Bank and its valued customers,” says Rene.

Known for her adept problem-solving skills and efficient work ethic, Rene is highly regarded by her customers for her professionalism and extensive knowledge of financial services.

Outside work, Rene finds balance through hobbies like traveling, reading, gardening and church activities, reflecting her dedication to personal well-being and community involvement. “Good morals, integrity and gratefulness guide my decisions,” she affirms, emphasizing the importance of values in both personal and professional realms.

Looking ahead, Rene remains steadfast in her commitment to ensuring stability with customers and employees by adapting and evolving alongside the ever-changing financial landscape, maintaining RCB Bank’s reputation for reliability and innovation.

With her leadership style characterized by a democratic approach and a focus on mentorship, Rene’s influence extends far beyond her immediate team. Her guiding principles of “take action” and “be responsive” serve as pillars of success, driving excellence in every aspect of her professional journey.

RCB Bank is a community bank with locations across Oklahoma and Kansas. Founded in 1936, RCB Bank is committed to serving its communities with conservative banking practices and progressive banking products. Learn more at RCBbank.bank or give us a call at 855.226.5722. Member FDIC, Equal Housing Lender, NMLS #798151.

There has been a drastic increase in mobile device fraud. Do NOT click on anything that you’re not expecting to receive. Learn about the hazards of falling victim to cell phone fraud and how to mitigate the risks below.

How mobile device fraud works: The fraudster will send a text message directing you to “click here.” This action may or may not download malware to your cellular device. The link can also forward your phone and its information. The information the fraudster gains could allow them to imitate you by accessing your data.

How can I stop it? If your cell phone has been compromised or stops working, please visit your cell phone provider. Explain that you may be experiencing a SIM swap and need your SIM turned off immediately and replaced.

How to minimize phone fraud risks: Do NOT click on any links that you are not expecting to receive. Questions you need to always ask yourself about links in emails or texts:

• Were you expecting this message and link?
• Is it from someone you trust?
• Does the email/phone number match the contact information that you have for that person?

If any of your answers to the above questions are no, then you need to contact that person using a separate method from how you received the notification to verify whether the message is legitimate.

By following these simple steps, you may navigate safely through texts and emails while protecting your personal information from potential risks. In case you have already fallen victim to a scam, steps can be taken to mitigate further harm. Victims should contact the FBI through ic3.gov to report identity theft, reach out to their bank’s fraud department and remain vigilant against future scam attempts. You can call RCB Bank Fraud at 855-226-5722 or visit our Security Center.

Opinions expressed above are the personal opinions of the author and meant for generic illustration purposes only. RCB Bank, Member FDIC.