Buying a home is one of the biggest financial moves people make, both in lifestyle and long-term financial planning. And one of the most important steps in buying a home is getting the right home loan. Taking these five steps can help ensure you make a great decision.

Know what’s out there

There are many different mortgage options available, and they vary in terms of loan type, interest rate, and the length of the loan.

Conventional loans come directly from a financial institution. Federal Housing Administration loans or FHA loans are available for people with lower credit scores and often require a smaller down payment. There are also loans available through programs like the Veterans Administration or the U.S. Department of Agriculture.

Loans also feature either adjustable interest rate or a fixed interest rate. An adjustable interest rate mortgage can be low initially, but can fluctuate throughout the course of the loan, so your mortgage payment can go up or down regularly. With a fixed rate mortgage, you “lock in” at a specific rate and your payments stay the same for the life of the loan. The life of the loan is known as the loan term, which typically is 15 years or 30 years. A 15-year mortgage allows you to pay the loan off sooner, but your monthly payment will be higher than with a 30-year mortgage. A 30-year mortgage will offer lower monthly payments, but you pay more interest on the loan over time.

Keep in mind that with any loan you choose you will likely have opportunities to refinance as the market interest rates and the value of your home change. Mortgages with adjustable interest rates can be converted to fixed interest rates, and vice versa. The term of the loan can also be changed when you refinance. Interest rates may drop throughout the course of the loan you can refinance to create lower monthly payments, if it makes financial sense.

Assess your own situation

Once you understand your options, the next step is to consider your current situation and what factors will impact your home loan decision, both personally and financially. Where are you in your career path? How long do you plan to be in the home you buy? Are you in a position to make a regular mortgage payment? How much do you have in additional debt, and how is your credit?

These questions can help you determine how much money you want to borrow for a home loan, and how much you will qualify for from lenders.

Compare apples to apples

As you are considering loan options, make sure you look at all parts of the loan holistically. There are obvious things to compare: The type of loan, interest rate, and loan term. But there are other factors that can add to or take away from the overall offer. For example, points are fees that you pay up front when you get your loan to lower the interest rate and decrease payments over the course of the loan.

Loans also come with closing costs, which vary based on your lender and where you live. Closing costs generally are a percentage of your loan amount, and cover costs associated with the loan application or origination fee, loan underwriting fee, home appraisal fee, title insurance, yield-spread premium, and credit report fee.

There is also the cost of private mortgage insurance (known as PMI), which is mandatory on a mortgage unless you have more than 20% of the down payment. Mortgage insurance is required and must paid until you have enough 20% equity in the home. This insurance protects the bank’s portion of the loan if for any reason you are not able to pay the mortgage.

When evaluating your options, it’s important to have a solid understanding of what each bank is offering. Then knowing how it will impact not only what’s due at signing, but also your monthly payment. Mortgage lenders are required to provide a loan estimate after they receive your application, and this form lists details on the interest rate, payments, and monthly closing costs. All lenders must use the same form, which can help. Still, savings in one area can show up as an expense in another area. Reviewing all your loan options carefully is an essential step.

Get excited

Once you decide on the ideal home loan and lender, you can move to next steps on the path to home ownership. This can involve getting pre-approvals on a loan or moving on to accepting a loan offer. From there it can take 30 to 45 days for a loan to close. At that point, you go to the loan closing, where you review and sign all the home loan documents. This can be daunting, but exciting. The loan will be officially in effect, but you can feel confident that you chose a good product from a quality institution. Now it’s time to move in and unpack!

Buying a home or investing in real estate can be a smart financial move. Still it is one of the biggest most important financial decisions people can make. By investing in the right home loan, you can make the most of your money and earn equity that can provide big payoffs down the road.

At Guaranty Bank, we are happy to always answer any questions that you may have about buying a new home and taking out a mortgage. Contact one of our Mortgage Loan Officers to schedule an appointment!

Has your daily life been disrupted by the outbreak of the COVID-19 virus, or are you taking the necessary precautions to slow the spread?

Either way, we can help make this chaotic time a little less stressful…

Guaranty Bank has a full menu of electronic self-service options that allow you to make deposits, transfer money, pay bills, check balances and much more from your phone or computer.

If you would like to talk to a Guaranty Bank team member at your branch, we are available from 8:00 AM to 4:00 PM Monday – Friday.  Our phone number is 800-847-7454.  You can also find additional phone numbers at gbtonline.com/locations

Our automated Telephone Banking is also available 24/7 by calling 800-859-9825. With this service, you can do things such as check balances, transfer funds and verify deposits.

Don’t forget about Online and Mobile Banking.  If you have not taken advantage of this convenient service yet, you can enroll today.

We are also aware of the financial challenges to individuals and the local economy from shutdowns and cancellations. If you are a business customer and need to discuss issues regarding your business loan or checking account, we are here to help. Please call us at 800-847-7454.

As always, the health, safety and well-being of our staff, customers and communities are of top concern for us. If you have flu-like symptoms, please consider using our e-Banking services listed above.   Even if you feel healthy, we encourage you to use our ATMs, ITMs and Drive-Thru for banking transactions. We continue to monitor this quickly evolving situation and will adapt to safely serve you, the customer.

In every crisis, there lies opportunity.  Use this time to plan for the future as life returns to normal.  It always does!  Stay safe, help those in need or who are struggling with the effects of the crisis and wash your hands.

Thank you,

Hue Townsend
Guaranty Bank

BELZONI – Hue Townsend, President & CEO of Guaranty Bank & Trust Company, today announced that the bank has donated $150,000 to eligible and qualifying non-profit schools as part of the Children’s Promise Act of Mississippi. The donation comes on the heels of a $200,000 donation to the Mississippi First Pre-K initiative made just weeks ago by the Belzoni-based bank.

The Children’s Promise Act was passed in 2019 by the Mississippi Legislature to provide much-needed financial support to the state’s foster care systems and to provide educational opportunities to disadvantaged children. According to documents provided by the program, most non-profit schools “should qualify as beneficiaries” under the program.

The Act was designed to provide educational services to children suffering from significant risk of entering foster care as well as children who have chronic illnesses or disabilities, along with children who are entitled to reduced-charge meals programs.

“Our Legislature has been proactive in creating the Children’s Promise Act,” Townsend said. “We are privileged to participate as a significant donor to this program, with the sole intent of assisting children in need in our communities and across the region.”

Press Contact:

Diédre Barret
SVP – Marketing
662.247.5134 Office
210 N. Hayden Street
Belzoni, MS 39038

BELZONI – Huey Townsend, Chairman of the Board of Guaranty Bank & Trust Company, today announced that Hunt Campbell and Tyrone Burroughs have both been elected Directors at the Belzoni-based bank. Campbell was Chairman, President and CEO of First Alliance Bank of Memphis, Tennessee, which Guaranty Bank acquired in 2019, while Burroughs served with Campbell on the First Alliance Bank Board.

Campbell served as the senior officer of First Alliance Bank for more than 20 years. He began his banking career in 1976 at Citizens and Southern National Bank, Atlanta, after having completed his Bachelor of Business Administration at Emory University in Atlanta. He is a graduate of the Tennessee School of Banking and earned a Professional Master of Banking diploma through the Executive Banking Institute sponsored by Sheshunoff Management Services and Louisiana State University.

Campbell has been active in many civic, economic development and church-related endeavors. A 2002 graduate of Leadership Memphis, he is a member of the Memphis Rotary Club and serves on the executive board and is a past president of the Chickasaw Council Boy Scouts of America. Campbell also serves on the Board of Directors of Trezevant Manor, Emmanuel Center, Inc., and is an active member of St. John’s Episcopal Church.  Campbell is a former Board member of the Tennessee Banker’s Association, and currently serves as a member of the Tennessee Banker’s Association Governmental Affairs Committee.

Burroughs is a 1975 graduate of Benedict College with graduate work in Education Administration from the University of South Carolina. Since 2010, he has served as Chairman of MG Capital, LLC. In addition, he is the founder, President and CEO of First Choice Sales & Marketing Group, Inc., Memphis, which is the largest minority-owned consumer products agency in the nation.

Throughout his distinguished career, Burroughs has enjoyed honors, awards and numerous affiliations. He served as Chairman of The Burroughs Foundation and is a Life Member of the Memphis NAACP, where he serves on the Board of Directors. He also serves as Chairman of the Trustee Board at Metropolitan Baptist Church and sits on the Board of the Ronald McDonald House, Memphis, and he formerly served on the West Broad Street YMCA Board in Savannah, Georgia. In addition, he serves as a Board member of the Benedict College Board of Trustees, where he is Chairman of the Finance and Audit Committee. Burroughs holds an Honorary Doctorate of Humane Letters from Benedict College, where in 2017, the School of Business and Economics was renamed to the Tyrone Adams Burroughs School of Business and Entrepreneurship.

Among Burroughs’ many honors is the 2012 Tri State Defender Men of Excellence Award and Associate four-time Member of the Year for AHBAI. He was also the 2005 African American Male Image Award for Business winner, presented by the Memphis chapter of Phi Beta Sigma fraternity, and a 1985 recipient of the Outstanding Young Men of America recognition.

“The accomplishments of both Mr. Campbell and Mr. Burroughs speak for themselves,” Townsend said. “We are fortunate to have them on our Board of Directors and their leadership will be significant in the years ahead.”

Press Release – Contact

Diedre Barret
SVP – Marketing
662.247.5134 Office
210 N. Harden Street
Belzoni, MS 39028
dbarret@gbtonline.com

You might have seen a post on social media or read a news article after the first of the year stating that you should avoid abbreviating the year 2020 on all legal documents. At Guaranty Bank, your financial safety is our priority, and we want to give you any information we have on the topic so that you can protect yourself in this new decade.

Be Careful Abbreviating 2020 to 20

When dating any legal documentation, simply writing out the date as you normally would (example 8/31/19), could leave you vulnerable to risk. If you happen to sign and date a document 1/10/20, it becomes very easy for someone with the same color of pen to add a few numbers to it (example: 1/10/2017). So, you see how abbreviating the date this year could leave you open to potential fraud.

What About Dating Checks? Does This Still Apply?

Yes. Even though a bank has a specific time period in which they can stop honoring checks written (normally six months after the written date), it could be easy for additional numbers to be added onto the end of the date. For example, if you write a check to someone and date it 4/5/20 they could deposit it into their account immediately using mobile deposit. A year later, maybe they run across the check, add a 21 to the end of it making the date read 4/5/2021 and take it to a bank branch where they can deposit it again!

Writing 2020 When You Date Anything You Sign is Good Practice

In the best-case scenario, you want to write 2020 in its entirety whenever you are signing anything. It’s hard to get into the practice of doing this since we’ve abbreviated the dates for so long, but it’s very necessary. We are working diligently to remind our customers daily to implement this practice.

If you have any questions about this, or other matters related to financial security, please contact your local bank and we’d be happy to assist.

BELZONI – Hue Townsend, CEO and President of Guaranty Bank & Trust Company, today announced that the Belzoni-based bank has donated $200,000 to participate in the Mississippi First Pre-K initiative. Townsend said the funds would be divided equally to four different Pre-K institutions in Mississippi.

According to documents provided by the program, the costs for providing pre-Kindergarten services to four-year-old children is $4,300 per child enrolled in full-day programs. The State of Mississippi provides funding for half of this cost but requires that the other half be “provided by local matching funds including tax dollars, federal dollars, parent tuition, philanthropic contributions or in-kind donations of facilities, equipment and services.”

“When helping young children gain important skills prior to kindergarten, it becomes easier for them to reach their potential,” Townsend explained. “When they lack pre-school education, problems tend to multiply as a result, including discipline issues, failing grades, and failure to finish high school. It is our goal to invest in Mississippi families to help children properly prepare for school.”

In 2013, the state passed the Early Learning Collaborative Act, establishing a state-funded pre-K program for both private and parochial schools as well as private childcare centers and Head Start centers, allowing each to compete for state funds in their specific community. In its first implementation, 11 collaboratives were funded, marking the first time the state of Mississippi had ever invested in pre-K. State regulations are set to which collaboratives must adhere, as well as requirements to meet nationally recognized quality standards.

Clifton Williams, Guaranty Bank Community Development Officer, presented the checks to representatives of Cleveland, Indianola and Greenwood collaboratives while Lee Murphy, SVP of Special Projects, presented a check to the Grenada collaborative.

“We firmly believe that an investment in young minds is an investment in the future of the communities we serve,” Townsend said. “If we can help propel young children into their formal education with a solid foundation and learning skills, I believe we will find that the years ahead are producing more complete and talented students. Any way you look at it, that’s a very positive thing for our region, state and nation.”

Press Contact:

Diédre Barret
SVP – Marketing
662.247.5134 Office
210 N. Hayden Street
Belzoni, MS 39028
dbarret@gbtonline.com

Here at Guaranty Bank we’ve become aware of some phone scams occurring lately where the caller will impersonate a Guaranty Bank employee and try to collect your personal information. Sometimes they even go as far as mimicking a local phone number so that it will show up on your caller ID and look like it’s coming from your area. As your local bank, we want to inform you of ways you can remain protected if anyone calls you pretending to be someone that they are not and tries to collect information from you.

• Guaranty Bank will never call you at random and ask for your account information.
• We will not send any emails or text messages containing a link that you click and answer questions about your account.

If someone should call you and tell you that they are from your local bank and begin asking you questions about your account, do not give them any information. Please simply disconnect the call and dial your local bank branch to report it.

Do not ever give anyone who calls you your social security number or account information over the phone unless you trust that they are who they say they are.

If you have accidentally given out your information to someone you suspect as being a part of a phone, text, or email scam, please contact your bank immediately and they will help you to change your pin, passwords, and important information. Consumer fraud can also be reported to the Federal Trade Commission at 1-877-FTC-HELP or visiting their website.

BELZONI, MS: Guaranty Capital Corporation, the holding company for Guaranty Bank & Trust Company, announced today the completion of its agreement to acquire First Alliance Bancshares, Inc. and its banking subsidiary, First Alliance Bank.

Hue Townsend, President and CEO of Guaranty Bank, commented, “We are extremely pleased to partner with First Alliance Bank as they share our strong commitment to both the community and to our customers. This union will allow us to provide more robust products and services to the greater Memphis community.”

Guaranty Bank was advised in the transaction by The Bank Advisory Group, L.L.C. and the law firm of Hunton Andrews Kurth LLP. Olsen Palmer LLC served as First Alliance’s financial advisor while the firm of Daniel W. Small & Company served as First Alliance’s legal advisor.

About Guaranty Bank & Trust Company

Guaranty Bank’s mission is to set the standard in our communities for excellence in financial service products and their delivery, to strengthen the communities we serve, and to help improve the quality of life in those areas while realizing the greatest benefit for our shareholders, employees, and customers. Guaranty Bank was named “Best Place to Work” in 2018 and 2019 by the Mississippi Business Journal. Locally owned and operated since 1943, Guaranty Bank delivers top-notch services and products to Mississippi and the surrounding areas.

Website: https://gbtonline.com

About First Alliance Bank

Founded in 1999, First Alliance Bank, a wholly owned subsidiary of First Alliance Bancshares, Inc., is a locally-owned community bank that provides a premier level of banking services to the greater Memphis community through 4 full-service locations including in Uptown, Clark Tower, Cordova, and Oakland. First Alliance was named “Best Bank” by The Commercial Appeal’s “Memphis Most” in 2019, the third year in a row, and was listed among The Commercial Appeal’s Top Workplaces in 2016 and 2017 as well as Memphis Business Journal’s Best Places to work in 2016, 2017, and 2018.

Buying a home can be one of the most important purchase decisions of your life. From choosing a structure with a well-built foundation, to selecting a neighborhood where you will feel safe and comfortable, there are many factors that should be considered before you make such a purchase. Luckily, your local bank is on your side to help you out!

Factors to Consider When Buying a Home

Property Taxes

Knowing how much money you’ll be charged in property taxes each year can help you budget for how much you should spend on your home. For instance, if you find a great, initial deal on your home and are ready to put in an offer, but didn’t know you’d be spending well over what you are used to spending per year in taxes, it can come as a shock! Property taxes are figured based on the value of the property (including the land), and are paid to your local county government for items such as water, sewer, and improvements to the local schools. The good news is that this tax can also be figured into your monthly house payment collected by the bank through a service called escrow. The bank will collect the amount of your approximate taxes over time, and then pay them out to the state when they are due. Talk to your mortgage lender about this service when you are ready to discuss your home loan.

The Neighborhood

The neighborhood surrounding you could also be a large factor in where you decide to set down your roots. Are you a young couple and want to be in an area with other young families and small kids all close in age? Do you want to live in the country with a few acres of land and enjoy the sound of nature? Would you rather live in the city for the convenience of being closer to restaurants and stores? Don’t be afraid to drive by, or ask around when researching your neighborhood. If you have children, see what it’s like after school lets out, or on the weekends. Since a home is a large purchase, you’ll want to make sure you are living in an area where you are happy.

Job Market

If your career isn’t already in the location you will be buying a home in, how easy will it be to find another one if you need to? What’s the current job market like in your new town (or surrounding areas within driving distance)? Knowing a bit about the job market can also give you insight into if your property tax will rise over time. If you’re moving to an area where a lot of people want to be, then it will be great for your property value, but also mean that you’ll be paying more to live there.

Consider your Commute

Alongside checking out the local job market, also keep in mind what your commute times will be. How long will it take you to get to work in the morning, how many miles away is your job located, and how far of a drive is the local school? If you don’t already work from home, is this something you could do if you’d need to pick your kids up from school early and it’s a long drive? Commute times also give you an idea how much additional you’ll spend on fuel and vehicle maintenance each year, which is important to your overall budget. Airport commute times might be important as well if you travel a lot for your career.

Scope out the School District

If you have children, or are thinking of having them some day, you’ll want to scope out the local schools that your children will attend. How far away are the schools? What type of rating do they have for academics? What extracurricular events do they offer? You’ll want to make a list of everything that is important to you and your family when it comes to your child’s education, and make sure that the new school district is one you’ll be happy with before you relocate there.

HOA

HOA stands for Homeowners Association, and is typically a group of people in your neighborhood who work together to make sure that a group of rules set for the neighborhood are enforced. Individuals who move into the neighborhood are required to pay dues, which go toward helping to maintain upkeep of the area. As a new homeowner, you’ll want to find out if you are moving into a neighborhood with an active HOA and how much yearly dues will cost, along with what the specific rules for the property owners area. To learn more about what an HOA is and what it can do for you, click here.

Lifestyle

Lifestyle also often plays a large role in where you relocate. If you are someone who enjoys golfing in your spare time and are used to playing weekly, you’ll naturally want to look for an area with a golf course within a reasonable driving distance. Quick and easy access to grocery stores, restaurants, and shopping might also be important to you. Create a list of what you’d like convenient access to so that you can make sure that your new home is located within driving distance.

At Guaranty Bank we know that buying a home is a very important decision, and we’d like to be there to help you every step of the way. If you have questions, please feel free to reach out to one of our local mortgage officers for assistance.

We get it–life can sometimes be hectic, but managing your money doesn’t have to be. We’re fortunate to have such advanced technology available and be able to have access to our bank balance at the click of a button. Online banking, mobile banking, eStatements, and ATMs all help us access our balances quicker and easier so that we can know, in real time, how much money we have in our accounts. We also have immediate access to what has cleared already, and what is pending, all without having to wait for our next statement to come in the mail.

In addition to some of the features we’ve listed above, there are also many more you already have access to as a current Guaranty Bank and Trust customer. Taking advantage of the features that already come with your account will save you time and help keep you on track to managing your money more efficiently!

Online Banking

Online banking is a feature offered with every Guaranty Bank checking account. It gives you access to your current account data in real time–allowing you to check balances, view pending or cleared transactions, and set up special notification alerts to help you avoid overdrafts. With online banking you’re able to access your bank statements for up to 12 months in case you should need to download and print them for any reason.

Bill Pay

Bill Pay is a feature within the online banking system that allows you to pay your bills directly from one place, rather than having to remember the login information for several websites, or having to write checks. This tool is currently offered on all personal checking accounts but the student checking. With Bill Pay you’re able to set up recurring payments for bills you pay monthly, save contact information, and easily enter your payment amounts to schedule your bills according to your budget. Save stamps, envelopes, and the hassle of having to remember to login to multiple systems on different dates to pay your bills.

Identity Protection

Did you know that if you have a Freedom or Secure Guaranty Bank checking account, you also have access to free Identity Protection features? ID Protect offers monitoring services for you and joint account holders to ensure you have no surprises when it comes to your credit! Some of the features of this protection include: theft reimbursement coverage, daily credit file monitoring with alerts when there is suspicious activity, and monitoring of over 1,000 databases that house your personal information online. Are you signed up? If not, access ID Protect here.

eStatements

Save time, paper, and waiting on the mail to deliver your bank statement with eStatements. This handy feature will deliver email notifications that your statements have been posted and you can securely access them online. eStatements ensure that you’ll never have to keep a box of statements sitting around your house waiting to be shredded, or dig through it looking for one particular statement. With eStatements you can easily login to your account, search for the date range of the statement that you need, and access it with ease.

Account Sweeps

Part of managing your money is often trying to save back some of your paycheck to put toward your emergency fund, or to pay for something special. Account sweeps can help you do just that! You’re able to transfer money between accounts easily through online banking, and even set up recurring sweeps if you want to set up a certain amount to transfer from your checking to your savings each month. Account sweeps can also be helpful if you are away, but need to make a transfer between your savings to your checking to make a purchase. These can be done within the online and mobile banking platforms with ease.

Mobile Banking

Guaranty Bank offers Mobile Banking to all checking account holders (just search for GuarantyBank in the Apple App Store, or Google Play Store). With Mobile Banking you have all of the features and benefits of online banking, plus the ability to deposit checks into your bank account straight from your phone. If you’re out of the house and are thinking of making a larger purchase, mobile banking allows you to check your balance while on the go, which makes it both simple and convenient to be able to make decisions on the spot. On vacation and forget to make a payment before you left? No worries! With mobile banking you can also make payments on the go, giving you peace of mind while you are away.

At Guaranty Bank, we want managing your money to be as simple as possible. Please reach out to your local banker if you haven’t taken advantage of any of these services that we offer yet and would like more information.