1. Debt solutions exist in a variety of formats.
True
Credit debt solutions are varied in the scope of programs they offer. Perhaps the most popular of the solutions include loan programs, financial management programs, and consolidation counseling programs. Financial problems and issues should be handled by experienced experts in order to achieve the best results with the least amount of time and money spent.
2. Debt solutions will eliminate all debt.
False
While credit debt solutions provide a program and means by which it is possible to eliminate bills and the money that is owed, the individual is the only one who can remedy this situation. Programs that offer assistance are great tools for getting consumers on the right track to financial freedom and prosperity, but it is ultimately the individual's responsibility to carry out the plan. If anything, this situation can bring the relief of providing lower interest rates, consolidation that eases the management of bills, and many other positive solutions to encourage the consumer to become free of the financial burdens that weigh them down.
3. Credit debt solutions are easy to find online.
True
Many debt solutions sites are easily accessible from the convenience of a home or office. Most agencies will often advertise the ability to cut financial strain in half, lower interest rates, and relieve the burden in a specific period of time. However, as always, it is wise to compare companies, programs and services and ask many questions to make sure the best choices are made in order to solve these problems.
4. Debt solutions counselors often charge for a consultation.
False
Credit Debt solutions counselors will typically offer free initial consultations. From here, most programs and services generally charge very low service fees. Their goal is to get the consumer on the right track by utilizing the tools and services. Often, the consumer will benefit by paying very low fees or even no fees when the consolidation process is done through the company that provided the initial consultation.
5. When looking for the best financial management program, it is wise to seek advice.
True
Proverbs 20:18 - Every purpose is established by counsel: and with good advice make war.
Source
Showing posts with label Bad Credit. Show all posts
Showing posts with label Bad Credit. Show all posts
Thursday, October 2, 2008
Thursday, October 18, 2007
Getting a Mortgage with Bad Credit
Having bad credit is not the end of the world and it's not impossible to get a loan. Generally, credit scores below 600 are considered sub-prime and the lower your credit score, the harder it will be for you to secure a mortgage.
A mortgage is a secured loan, meaning you put up your house as collateral. Therefore, if you fail to pay off your loan, the lender has the right to foreclose on your property. So as we said before, it may be more difficult but not impossible to get a mortgage if you have bad credit.
Statistically speaking, those with a lower credit score are more likely to default on their loans. To offset the risk, lenders will charge you a higher interest rate and limit the amount of credit you can borrow (because the higher your interest rate, the higher your payments, which means you have less ability to pay back a higher loan amount). Lenders may also charge higher late payment fees.
What Are Your Options?
If you have bad credit and want to get a mortgage, here's what you can do:
Get a Co-Signer: You can sometimes get a cheaper rate if you can get someone who has better credit to co-sign your loan. The drawback to this is that the co-signer is also responsible for repayment of the loan and may also limit their ability to take out loans in the future since the loan they co-sign is factored into their debt ratio.
Improve Your Credit Before You Get a Loan: If you have the time and can wait on getting a mortgage, then you should think about trying to improve your credit score-the higher your score, the cheaper the interest rate; thus the lower your monthly payments. Click here to get tips on how you can improve your credit. It may also be prudent to seek the advice of a good credit counselor.
Someone Else Gets the Mortgage for You: If your credit is so low that no one will agree to financing you, see if you can convince someone with better credit-perhaps a family member or spouse-to take out a mortgage for you. Obviously, this can have serious consequences on any relationship, so be sure that the person you ask is someone very close to you-someone whom you can trust to handle it.
You could also pay cash by selling your home and using the profits from the home sale to pay for the new, less expensive home, for instance. But you shouldn't forego the chance to re-establish your credit by proving yourself a worthy borrower.
Getting a mortgage may not be as impossible as you think with a low credit score. You'll likely pay more with higher interest rates and you may not be able to get as large a loan amount as someone with good credit, but you still have options, as long as you're not afraid to ask for some help.
Source
A mortgage is a secured loan, meaning you put up your house as collateral. Therefore, if you fail to pay off your loan, the lender has the right to foreclose on your property. So as we said before, it may be more difficult but not impossible to get a mortgage if you have bad credit.
Statistically speaking, those with a lower credit score are more likely to default on their loans. To offset the risk, lenders will charge you a higher interest rate and limit the amount of credit you can borrow (because the higher your interest rate, the higher your payments, which means you have less ability to pay back a higher loan amount). Lenders may also charge higher late payment fees.
What Are Your Options?
If you have bad credit and want to get a mortgage, here's what you can do:
Get a Co-Signer: You can sometimes get a cheaper rate if you can get someone who has better credit to co-sign your loan. The drawback to this is that the co-signer is also responsible for repayment of the loan and may also limit their ability to take out loans in the future since the loan they co-sign is factored into their debt ratio.
Improve Your Credit Before You Get a Loan: If you have the time and can wait on getting a mortgage, then you should think about trying to improve your credit score-the higher your score, the cheaper the interest rate; thus the lower your monthly payments. Click here to get tips on how you can improve your credit. It may also be prudent to seek the advice of a good credit counselor.
Someone Else Gets the Mortgage for You: If your credit is so low that no one will agree to financing you, see if you can convince someone with better credit-perhaps a family member or spouse-to take out a mortgage for you. Obviously, this can have serious consequences on any relationship, so be sure that the person you ask is someone very close to you-someone whom you can trust to handle it.
You could also pay cash by selling your home and using the profits from the home sale to pay for the new, less expensive home, for instance. But you shouldn't forego the chance to re-establish your credit by proving yourself a worthy borrower.
Getting a mortgage may not be as impossible as you think with a low credit score. You'll likely pay more with higher interest rates and you may not be able to get as large a loan amount as someone with good credit, but you still have options, as long as you're not afraid to ask for some help.
Source
Tuesday, October 16, 2007
Bad Credit Loans
When it comes to loans there are plenty of choices available for consumers these days, from secured and unsecured loans to short term loans and more. One type of loan that has become more and more popular over recent years is the bad credit loan, and this is because many people have found themselves in difficulties when it comes to managing debts, and this has led to a poor credit scoring.
With the increase in the number of people with poor credit over recent years, more and more lenders have started to cater to those with adverse credit with bad credit loans. The availability of bad credit loans has made it possible for even those with a low credit score and a bad credit history to get the money they need when they need it, and you can actually get some very competitive rates on bad credit loans these days thanks to the range of financial products and lenders available.
One thing to remember when looking for bad credit loans is that although you can get some very competitive rates you will not get rates as low as those available for those with good credit. With bad credit loans, lenders have to take a bigger chance on lending money, because your poor credit rating indicates that you have already had problems in repaying finance and debt. The lender therefore has to raise the interest charged on bad credit loans in order to provide more security for the company in the event that you do default again.
In most cases you will find that bad credit loans are secured ones, and are usually available to homeowners. Again, this is because the loan is a high risk to the lender because of the borrower’s past credit history and therefore the lender needs some form of security in case the borrower fails to make repayments.
Source: lendance.com
With the increase in the number of people with poor credit over recent years, more and more lenders have started to cater to those with adverse credit with bad credit loans. The availability of bad credit loans has made it possible for even those with a low credit score and a bad credit history to get the money they need when they need it, and you can actually get some very competitive rates on bad credit loans these days thanks to the range of financial products and lenders available.
One thing to remember when looking for bad credit loans is that although you can get some very competitive rates you will not get rates as low as those available for those with good credit. With bad credit loans, lenders have to take a bigger chance on lending money, because your poor credit rating indicates that you have already had problems in repaying finance and debt. The lender therefore has to raise the interest charged on bad credit loans in order to provide more security for the company in the event that you do default again.
In most cases you will find that bad credit loans are secured ones, and are usually available to homeowners. Again, this is because the loan is a high risk to the lender because of the borrower’s past credit history and therefore the lender needs some form of security in case the borrower fails to make repayments.
Source: lendance.com
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