Current Mortgage Rates

Thursday, December 04, 2008



As you probably know, in a traditional joint back account, the bank considers both account signers to jointly own the account. In other words, even if you deposit all the money, your friend could clean out the account for her own benefit, without much risk of being prosecuted. And if you died, any balance remaining in the account would belong to your friend, not to your beneficiaries.

There is a new type of account that you should look into. It's called a "Limited Access Deposit Account" and not all banks offer it, so if yours doesn't, shop around for it. This account allows you and your friend to sign a declaration of intent with the bank which spells out what you've authorized your friend to do. She will need to keep accurate records of what she does, and if she misappropriates your money, she could be civilly or criminally prosecuted. The declaration clearly states that the account assets belong to you. There is no right of survivorship, so if you die, the assets would remain in your estate, and would not go to your friend.

I need to warn you that limited access deposit accounts aren't a perfect answer. Even if you create a limited access deposit account, your bank is not required to monitor it any differently than it monitors other checking or savings accounts. So, you must continue to take practical steps to protect yourself: carefully read your bank statements every month, and immediately notify your bank if there are problems.

A final caution - - NEVER put all your money into an account that someone else has access to. Just deposit enough funds to pay expenses for a few months, and transfer more money into the account when you need to.




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Current Mortgage Rates*

Loan Type
National Average
30-yr. fixed5.62%
30-yr. fixed jumbo7.50%
15-yr. fixed5.38%
15-yr. fixed jumbo7.25%
7/1 ARM6.12%
5/1 ARM5.88%
3/1 ARM5.88%
1-yr. ARM6.62%
1-yr. LIBOR ARM6.12%
10/1 ARM6.25%
40-yr. fixed6.88%
*Mortgage Rates Updated: 12/04/2008