The Magic 8 Ball to Debt Optimization
Market Updates
01/16/25If you have any type of debt, mortgage, student loans, car loans, personal loans, etc., you might wonder if you have a competitive interest rate. Or maybe you wonder if it is worth the hassle of refinancing. On the other hand, maybe you’re in the process of buying a car and do not know if the rate you are quoted is the best you can get. With Sora Finance, a debt optimization tool available to THOR clients, these ‘wonders’ become ‘knows.’
How Sora Works
Sora is an “always on” software tool that actively scans the nation’s lenders for the lowest interest rates. When you become a client, the software performs a soft credit pull so they can begin monitoring your current rates. If one of their lenders has a better rate, Sora will reach out to your advisor with refinancing opportunities. As rates are slowly dropping, Sora will communicate with THOR about these opportunities to help save our clients’ money.
You could be saying to yourself, “That all sounds great, but I don’t have any debt, so I don’t have a need for Sora.” Sora also alerts us if your credit score drops drastically. This could help you be one step ahead if you are experiencing any fraudulent activity.
Example
A client wanted to look at refinancing their mortgage that has a 7.50% interest rate. Sora surveyed their lenders and found a 5.88% rate they were eligible for. If they kept their current rate over the term of the loan, they would be paying a total of $376,106 in interest (shaded in green below). By refinancing, their overall interest payment would decrease to $284,090 (shaded in blue). Without having to lift a finger, this client is able to save $92,016 in interest over the term of the mortgage.
Conclusion
Sora is a great tool to easily access refinancing opportunities. It also can provide a sense of relief when getting a new loan because you do not have to wonder if you are getting the lowest interest rate possible. At THOR, we monitor our clients’ liabilities and Sora simplifies this task by staying on top of the ever-changing market.
If you have questions and would like to talk with us further, please call us at 513-271-6777. For more THOR reading, click here to go to the Blogs and Market Updates section on our website. Follow us on social media: