One out of every three low-income borrower falls behind on bill payments in a typical year, one out of every four now pays more than 40 percent of their income on debt payments and the total debt held by low-income households has soared by 308 percent during the last 15 years. A recent National Foundation for Credit Counseling (NFCC) survey found consumers universally ignore the fundamentals of sound financial management, such as budgeting and tracking expenses, ordering free credit reports, and managing debt. In another study by Bankrate, Inc. researchers found 34 percent of home owners do not know what type of mortgage they own. The study also said 34 percent of homeowners with adjustable rate mortgages (ARMs) do not know what they will do when their loan readjusts. The Loan Officer\'s Practical Guide to Residential Finance

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