By: David DeFord
What keeps most people from developing wealth? What is the greatest obstacle to retirement? If you could eliminate one thing to position yourself for financial peace and security, what would be?
The answer to each question above is debt!
Imagine the freedom and peace you would feel with no debt! Imagine the small portion of your paycheck you would need to meet your needs and obligations if the all of your earnings were available to you! Think about the savings, investments, and charitable giving you could enjoy!
The safety of your family may depend upon your attention to your debt. It has been estimated that 89% of all divorces can be traced to quarrels and accusations over money.
What will it take to convince you to finally resolve to become debt free? Will you need to be cornered by a creditor? Will you have to be publicly embarrassed? Or will you respond to a milder stimulus, like the frank advice of a friend, or an article like this one?
It's not the amount of money we earn that brings peace of mind as much as it is having control of our money. Money can be an obedient, productive servant, or a brutal taskmaster.
Success has a way of passing by those who have not the discipline to handle it. Through our healthy respect for money, we can attract wealth.
Compounding interest is your enemy. It robs you of your working funds. Tony Robbins taught about the power of compounding by comparing it to a small , friendly wager on a golf course. Say that your golf partner suggested a small 10 cent bet per hole. You think, "Well, that means that only $1.80 is at stake." So, you agree. Then, he suggest that you double the bet on each subsequent hole. Here's how it would go, if your partner wins each of 18 holes: One the first hole you lose a dime. On the second, you lose twenty cents. When you add the dime from the first hole, you're down only 30 cents. Big deal! The third hole is worth forty cents, the fourth only 80 cents. Not too bad. But now watch what happens: Hole five is worth $1.60, sixth $3.20, seventh $6.40, eighth $12.80, and the ninth $25.60. When you add up your losses on the first nine, you realize you are down $51.11. Once you have finished your game, you will have lost what, maybe $150? Actually, because of compounding you will owe $19,660.80.
Now, your debts probably haven't interest rates that high, but the principle is the same – if you pay only the minimum payments on your debts, you will pay them for years and years. You will pay many times the actual principle you spent in the first place.
So, what will it take to eliminate your debt? First, you will need to determine why you are in debt in the first place. Don't spend time on the external reasons – they are excuses. What inside of you built your debt? Generally, the internal reasons center on the need for immediate gratification. Rather than saving your money for furniture, cars, or vacations, did you borrow for them? Distinguish between need and want. Maybe you wanted to keep up with the living standard of your friends or family. Or you frequently make purchases on impulse.
Search your heart deeply. Discuss your debt situation with your spouse. You can't make the needed changes without his or her help. Maybe he or she sees more clearly than you the internal cause.
Make a Plan After you have identified the internal cause, make a plan to conquer it.
Make a budget, make a goal. Decide how you will reduce your spending enough to attack your debt. Some people think a budget robs them of their freedom. On the contrary, successful people have learned that a budget makes real economic freedom possible.
Think of your debt as a cancer. You must first eliminate it's spreading, and then you must eradicate it. Use invasive treatments to kill it.
Use the snowball technique.
Identify your smallest debt (debt one).
Pour every available cent each payday into paying down that debt. Pay the minimum payment on the other debts.
Once you have paid off that first debt, identify the next smallest one (debt two).
Add the amount you had been paying on debt one to the minimum of debt two, and pay that amount.
Let the snowball grow with each debt you eliminate.
As you continue, your snowball will get huge, and your progress will seem to multiply.
Keep a chart of your progress.
Plan ahead how you will celebrate the successful elimination of each debt along the way. But don't celebrate in ways that would slow your progress. Be tenacious. Don't let anything get in your way.
Once you have achieved your desired end-financial freedom, resolve to never have debt again – keep budgeting.
You can then begin the delightful opportunity to use your excess earnings toward building wealth, enjoying the fruits of your labors, and preparing for your retirement.
Tuesday, September 30, 2008
Are Debt Consolidation Mortgages the Best Solution for You?
By: Sherry Frewerd
When faced with stressful credit problems, it’s often all that you can do to just get by from day to day, let alone try to get a loan to keep your house. Credit troubles can cause a family to despair and often simply give up hope. Today, lenders specialize in helping families and individuals find sources to consolidate their debts and save their home.Once you have located a lender that you can work with, they will evaluate your three credit reports, and if the reports show defaults, they may be hesitant to offer you a loan. However, if the reports show that you have made an effort to clear up your outstanding debts, the lender may keep in mind that you had some financial troubles, but you are still making an effort to clear up your debts. Debt consolidation lenders are used to working with people with poor credit and financial issues, that’s their business in the first place. However, the disadvantage of debt consolidation lending is that many lenders will often offer borrowers loans with high interest rates and mortgage repayments.If you are looking to consolidate your bills by using a mortgage loan, then keep in mind that the lenders will require proof of income. They will ask you to provide your recent pay stubs to help the lender determine which loans best suit your needs. Most consolidation loan lenders will require up to three years of stable income to determine if you qualify for a debt consolidation mortgage loan. In addition, if there are bad points against your credit history, but you've shown an effort to clear up the debts, the lender will consider your good repayments, also considering the balance used to clear up the debts.In today’s world, one out of four individuals has credit debt trouble. As a result, debt consolidation mortgages are not unheard of; rather they are becoming part of one of the largest markets in the world. But despite their increased uses, there are still a number of downsides. Not only can they increase your overall debt load, but they also give the debt consolidation company an enormous amount of power, allowing it to increase your interest rates and mortgage payments.Before you take on another loan, make sure that you have evaluated how and why you are in financial trouble in the first place. Find a non-profit organization that provides a free financial guidance course and take advantage of what they have to offer. Until you are aware of your poor money management habits and problems, your financial issues will never go away; you’ll just be putting a bandage on the problem temporarily. A consolidation mortgage loan may be the answer to many people’s trouble. Find out all that you can before you loose your home.
Article by:
Sherry Frewerd publishes ‘How to Consolidate Credit Debt’ howtoconsolidatecreditdebt.com where you will find the free debt consolidation and money saving tips you need to make an informed decision about consolidating your credit debt.
When faced with stressful credit problems, it’s often all that you can do to just get by from day to day, let alone try to get a loan to keep your house. Credit troubles can cause a family to despair and often simply give up hope. Today, lenders specialize in helping families and individuals find sources to consolidate their debts and save their home.Once you have located a lender that you can work with, they will evaluate your three credit reports, and if the reports show defaults, they may be hesitant to offer you a loan. However, if the reports show that you have made an effort to clear up your outstanding debts, the lender may keep in mind that you had some financial troubles, but you are still making an effort to clear up your debts. Debt consolidation lenders are used to working with people with poor credit and financial issues, that’s their business in the first place. However, the disadvantage of debt consolidation lending is that many lenders will often offer borrowers loans with high interest rates and mortgage repayments.If you are looking to consolidate your bills by using a mortgage loan, then keep in mind that the lenders will require proof of income. They will ask you to provide your recent pay stubs to help the lender determine which loans best suit your needs. Most consolidation loan lenders will require up to three years of stable income to determine if you qualify for a debt consolidation mortgage loan. In addition, if there are bad points against your credit history, but you've shown an effort to clear up the debts, the lender will consider your good repayments, also considering the balance used to clear up the debts.In today’s world, one out of four individuals has credit debt trouble. As a result, debt consolidation mortgages are not unheard of; rather they are becoming part of one of the largest markets in the world. But despite their increased uses, there are still a number of downsides. Not only can they increase your overall debt load, but they also give the debt consolidation company an enormous amount of power, allowing it to increase your interest rates and mortgage payments.Before you take on another loan, make sure that you have evaluated how and why you are in financial trouble in the first place. Find a non-profit organization that provides a free financial guidance course and take advantage of what they have to offer. Until you are aware of your poor money management habits and problems, your financial issues will never go away; you’ll just be putting a bandage on the problem temporarily. A consolidation mortgage loan may be the answer to many people’s trouble. Find out all that you can before you loose your home.
Article by:
Sherry Frewerd publishes ‘How to Consolidate Credit Debt’ howtoconsolidatecreditdebt.com where you will find the free debt consolidation and money saving tips you need to make an informed decision about consolidating your credit debt.
Consolidation Loan - A Good Way To Clear Your Debts
By: Arthor Pens
Being bogged down with a large number of high interest debts can become very depressing, and in many cases can be financially crippling leaving you with very little disposable income at the end of each month. In addition to this, dealing with this sort of debt can mean that you will be making repayments to a wide range of creditors, thus making financial management more difficult, and can mean that over the term of the debts you pay an absolute fortune in interest on higher interest debts such as credit and store cards.
There is a way to reduce the hassle associated with managing a high number of debts, reduce the interest that you have to pay overall, reduce your monthly out goings, and even to expedite repayment of your total debt, and this is through a low rate consolidation loan. A consolidation loan is a loan that is designed to pay off your smaller debts, leaving you with just one convenient repayment to make each month, one creditor to deal with, and one creditor to whom you have to pay interest.
When you have an array of different debts going to a wide range of creditors it can be difficult to stay focused, and losing track of your debts - and even missing repayments - becomes an increased risk. This is turn can adversely affect your credit rating and leave you repaying your debts for many years to come and getting pretty much nowhere with them, particularly with debts such as credit and store cards on which you may only be making minimum repayments.
One the other hand, having one loan to repay with a set repayment that you make each month can be far easier to handle. When you have just one repayment to concentrate on you can be far more focussed with your debts, and you will know exactly when the debt will be cleared and what your repayment will be each month. In addition, you can also look at putting more money towards the debt if and when you have spare cash, which becomes more difficult if you have a wide range of debts that you are trying to keep on top of.
When you consolidate your existing debts using a low rate consolidation loan you could find that you are able to get yourself out of debt more quickly. This is because you may find yourself making repayments for twenty or thirty years on a relatively modest balance on a credit or store card if you are simply making the minimum repayment to keep afloat. However, with the set repayments on a consolidation loan you can choose a repayment period to suit you and enjoy the peace of mind that you will be free of your debts at the end of the selected repayment period.
Article Source: http://www.articlesnatch.com
About the Author:
Loans4 provide Homeowner Loans and more. Please visit http://www.Loans4.co.uk for more finance related news.
Being bogged down with a large number of high interest debts can become very depressing, and in many cases can be financially crippling leaving you with very little disposable income at the end of each month. In addition to this, dealing with this sort of debt can mean that you will be making repayments to a wide range of creditors, thus making financial management more difficult, and can mean that over the term of the debts you pay an absolute fortune in interest on higher interest debts such as credit and store cards.
There is a way to reduce the hassle associated with managing a high number of debts, reduce the interest that you have to pay overall, reduce your monthly out goings, and even to expedite repayment of your total debt, and this is through a low rate consolidation loan. A consolidation loan is a loan that is designed to pay off your smaller debts, leaving you with just one convenient repayment to make each month, one creditor to deal with, and one creditor to whom you have to pay interest.
When you have an array of different debts going to a wide range of creditors it can be difficult to stay focused, and losing track of your debts - and even missing repayments - becomes an increased risk. This is turn can adversely affect your credit rating and leave you repaying your debts for many years to come and getting pretty much nowhere with them, particularly with debts such as credit and store cards on which you may only be making minimum repayments.
One the other hand, having one loan to repay with a set repayment that you make each month can be far easier to handle. When you have just one repayment to concentrate on you can be far more focussed with your debts, and you will know exactly when the debt will be cleared and what your repayment will be each month. In addition, you can also look at putting more money towards the debt if and when you have spare cash, which becomes more difficult if you have a wide range of debts that you are trying to keep on top of.
When you consolidate your existing debts using a low rate consolidation loan you could find that you are able to get yourself out of debt more quickly. This is because you may find yourself making repayments for twenty or thirty years on a relatively modest balance on a credit or store card if you are simply making the minimum repayment to keep afloat. However, with the set repayments on a consolidation loan you can choose a repayment period to suit you and enjoy the peace of mind that you will be free of your debts at the end of the selected repayment period.
Article Source: http://www.articlesnatch.com
About the Author:
Loans4 provide Homeowner Loans and more. Please visit http://www.Loans4.co.uk for more finance related news.
Monday, September 29, 2008
Advantages and disadvantages of payday loan
By: Alexander Maletin
A payday loan or cash advance is a small, short-term financial instrument that allows a borrower to cover his or her expenses until the next paycheck.Typically, the amounts of such loans range of $100 to $1500, on 10-14 days term and have enough high interest rates (APR) from 390 to 900 percent.Payday lending is regulated at the state level - each state has its own laws regarding payday loans. Meanwhile, the U.S. Congress passed a law in October 2006 that limits lending to military personnel at 36% APR. The Defense Department was concerned that payday lenders could cause financial challenges for soldiers and even jeopardize security clearances. Some federal banking regulators are trying to limit or prohibit payday loans not just for military personnel, but for all customers. The high interest rates are considered as a hard financial blow to the lower and middle class people who are the primary borrowers.Lenders prove that payday loans are often the only available way to get money for customers with bad credit history or who can not obtain another lower-interest alternative, such as a bank loan or a credit card. In their turn, critics say that the most of borrowers find themselves in a worse financial situation when they have to repay their loan. Many of them get trapped into a cycle of unsecured debt.Statistics compiled by the Center for Responsible Lending show that the large part of the payday lending's profit comes from repeat consumers who can not repay prior loans on the due date and instead prolong their loans, paying extra fees each time.Retail lending.Customers come to a payday lending store and qualify for a small cash advance in the range of $100 to $500 with payment on the borrower's next paycheck.As loan charges, the customer will pay from $15 to $30 per $100 borrowed for 14 days period, which translates to interest rates of 390 to 780 percent (APR). On the due date the borrower returns to payday lending store and writes a check to his lender in the full amount of the cash advance plus charges.If the borrower does not repay the loan, the lender may process the check traditionally or through electronic withdrawal from the borrower's bank account.If there is not enough money to cover the check at the checking account, the customer will face extra fees from his bank in addition to the costs of the loan. Meanwhile, the most of payday lenders offer an extended payment plan with no additional fees for customers who can not pay out their loan at the due date. In several states like Washington, extended payment plans are required by state law.Internet lending.You can get a payday loan not only from payday lending store, but online through special lending websites. Typically, a customer fills out a simple online application form, where he or she indicates required personal and bank account information, Social Security number and employer information. Some lenders require fax copies of a check, a recent bank statement, and signed paperwork. After instant approving the loan amount is direct deposited into the borrower's checking account. On the due date loan payment with fees is electronically withdrawn from borrower's account.Examples.For example, a borrower wants to get a payday loan. The borrower will write a post-dated personal check for $500 to borrow $570 for up to two weeks. The payday lender agrees to hold the check until the borrower's next paycheck date. At that time, the borrower has the option to redeem the check by paying $570 in cash, or renew his loan by paying off the $570 and then immediately applying for an additional loan of $500, in result prolonging the loan for another 14 days period. However, in many states extending of payday loans is not allowed by state law. In states where there is an extended payment plan, the borrower could choose to opt into a payment plan. The Consumer Federation of America has conducted a survey of one hundred internet payday loan websites recently. The results showed that these lenders offer loans from $100 to $1,500, with $500 the most frequently offered. Finance fees ranged from $10 per $100 up to $30 per $100 borrowed. The most frequent rate was $25 per $100, or 650% annual interest rate (APR) if the payday loan is repaid within 14 days.Exploiting financial emergencies for profit.Critics say that payday lenders are exploiting consumer's temporary financial difficulties to make high profit. Often payday lenders are targeting their services to young or poor people with low-income. Borrowers simply may not understand that the high APR can trap them into a debt-cycle, where they will have to repeatedly extend the loan and pay growing extra fees every 14 days until they can save enough money to pay off the loan amount and get out of this dangerous cycle. There is an opinion that payday lenders disadvantage the poor people, compared to the middle class who pay moderate interest on their credit cards.Meanwhile, supporters say that many people that apply for payday loans have already ruined any other available alternatives. They are not able to get a bank loan or a credit card because of serious problems with credit history. Costs of payday loans.Supporters of payday loans argue that the processing costs for these loans do not differ from other loans. They say that moderate interest rates for low borrowed amounts and short terms would not be profitable. For example, a $200 one-week loan, at a 20% interest rate would give the lender only 72 cents of interest, which would not cover even processing costs.Defenders say that payday lenders processing costs are much lower than costs for home loans and other usual loans. Besides payday lenders require only the proof of borrower's income and employment, while traditional loan lenders do full credit checks and value the borrower's ability to pay out the loan.
Alexander Maletin is a writer and online publisher. Visit his site at Payday loan
Article Source: http://greatarticlesformoms.com
A payday loan or cash advance is a small, short-term financial instrument that allows a borrower to cover his or her expenses until the next paycheck.Typically, the amounts of such loans range of $100 to $1500, on 10-14 days term and have enough high interest rates (APR) from 390 to 900 percent.Payday lending is regulated at the state level - each state has its own laws regarding payday loans. Meanwhile, the U.S. Congress passed a law in October 2006 that limits lending to military personnel at 36% APR. The Defense Department was concerned that payday lenders could cause financial challenges for soldiers and even jeopardize security clearances. Some federal banking regulators are trying to limit or prohibit payday loans not just for military personnel, but for all customers. The high interest rates are considered as a hard financial blow to the lower and middle class people who are the primary borrowers.Lenders prove that payday loans are often the only available way to get money for customers with bad credit history or who can not obtain another lower-interest alternative, such as a bank loan or a credit card. In their turn, critics say that the most of borrowers find themselves in a worse financial situation when they have to repay their loan. Many of them get trapped into a cycle of unsecured debt.Statistics compiled by the Center for Responsible Lending show that the large part of the payday lending's profit comes from repeat consumers who can not repay prior loans on the due date and instead prolong their loans, paying extra fees each time.Retail lending.Customers come to a payday lending store and qualify for a small cash advance in the range of $100 to $500 with payment on the borrower's next paycheck.As loan charges, the customer will pay from $15 to $30 per $100 borrowed for 14 days period, which translates to interest rates of 390 to 780 percent (APR). On the due date the borrower returns to payday lending store and writes a check to his lender in the full amount of the cash advance plus charges.If the borrower does not repay the loan, the lender may process the check traditionally or through electronic withdrawal from the borrower's bank account.If there is not enough money to cover the check at the checking account, the customer will face extra fees from his bank in addition to the costs of the loan. Meanwhile, the most of payday lenders offer an extended payment plan with no additional fees for customers who can not pay out their loan at the due date. In several states like Washington, extended payment plans are required by state law.Internet lending.You can get a payday loan not only from payday lending store, but online through special lending websites. Typically, a customer fills out a simple online application form, where he or she indicates required personal and bank account information, Social Security number and employer information. Some lenders require fax copies of a check, a recent bank statement, and signed paperwork. After instant approving the loan amount is direct deposited into the borrower's checking account. On the due date loan payment with fees is electronically withdrawn from borrower's account.Examples.For example, a borrower wants to get a payday loan. The borrower will write a post-dated personal check for $500 to borrow $570 for up to two weeks. The payday lender agrees to hold the check until the borrower's next paycheck date. At that time, the borrower has the option to redeem the check by paying $570 in cash, or renew his loan by paying off the $570 and then immediately applying for an additional loan of $500, in result prolonging the loan for another 14 days period. However, in many states extending of payday loans is not allowed by state law. In states where there is an extended payment plan, the borrower could choose to opt into a payment plan. The Consumer Federation of America has conducted a survey of one hundred internet payday loan websites recently. The results showed that these lenders offer loans from $100 to $1,500, with $500 the most frequently offered. Finance fees ranged from $10 per $100 up to $30 per $100 borrowed. The most frequent rate was $25 per $100, or 650% annual interest rate (APR) if the payday loan is repaid within 14 days.Exploiting financial emergencies for profit.Critics say that payday lenders are exploiting consumer's temporary financial difficulties to make high profit. Often payday lenders are targeting their services to young or poor people with low-income. Borrowers simply may not understand that the high APR can trap them into a debt-cycle, where they will have to repeatedly extend the loan and pay growing extra fees every 14 days until they can save enough money to pay off the loan amount and get out of this dangerous cycle. There is an opinion that payday lenders disadvantage the poor people, compared to the middle class who pay moderate interest on their credit cards.Meanwhile, supporters say that many people that apply for payday loans have already ruined any other available alternatives. They are not able to get a bank loan or a credit card because of serious problems with credit history. Costs of payday loans.Supporters of payday loans argue that the processing costs for these loans do not differ from other loans. They say that moderate interest rates for low borrowed amounts and short terms would not be profitable. For example, a $200 one-week loan, at a 20% interest rate would give the lender only 72 cents of interest, which would not cover even processing costs.Defenders say that payday lenders processing costs are much lower than costs for home loans and other usual loans. Besides payday lenders require only the proof of borrower's income and employment, while traditional loan lenders do full credit checks and value the borrower's ability to pay out the loan.
Alexander Maletin is a writer and online publisher. Visit his site at Payday loan
Article Source: http://greatarticlesformoms.com
Want To Loose Your Debt?
By: Nocita Carter
I’m sure your answer is yes to this question. Yeah, you may want to loose your debt, but aren’t sure exactly how to do this. Did you know that there are a lot of people in the United States who are in more debt today than we’ve ever been? We’re also saving much less! That’s right. Even though we make more money we’re saving a lot less than our grandparents did! I know you’re saying, things cost much more these days. Yes, I know, but we’re still spending more, which keeps us from saving the money we should for a rainy day.
In fact, the interest rates that are currently being charged on credit cards average eighteen percent and upward. Ouch! That’s a lot of interest to pay for a credit card especially if you don’t pay off your balance each month. Of course, your credit card company would like you to keep a balance on your credit card so they can collect interest from you!
Remember you’re charged interest on your unpaid balance, that’s how the credit card companies make lots of money. You say to yourself, what can I do to reduce or eliminate my debt? Well, here are some tips to help you begin your path to financial freedom by reducing and eventually eliminating your debt:
1) Review all of your current billing statements to determine how much you owe your creditors.
By doing this, you’ll know exactly where you stand with your bills and exactly how much you owe.
2) Look at the highest interest rates you are paying and the balances of these particular credit cards. Based on those balances, attempt to start paying off the credit cards with the highest interest rates first. This will assist you in reducing the amount of interest you are paying to your creditors sooner.
3) Pay more than the minimum amount due on your credit cards! You want to get your debt reduced and eventually eliminated by paying over the minimum balance that the credit card company is requiring you to pay. Remember debt elimination is your goal, so this will help you to work towards that!
4) Make sure to pay your bill on time in order to avoid late fees and extra interest charges added to your credit balances. You definitely don’t want to pay your credit card company any more money than you need to! Remember, the more money you keep for yourself, the more you have to save.
5) Don’t use your credit cards! That’s right, you’re trying to become debt free, so you’ll need to eliminate or reduce your spending on your credit cards. Yes, I know you’ll need one for emergencies. But, that’s just it, emergencies only! So don’t use your credit card for anything else other that a true legitimate emergency. Your goal is to stay out of debt and to become debt free.
6) You may want to take money from your savings or money market account to pay off your credit cards so you can become debt free or reduce your debt. If you decide to do this, make sure you keep some money in your savings for an emergency or a rainy day!
7) If you think you need debt counseling, then you may want to seek professional help to assist you with reducing or eliminating your debt. Just do some research via the internet to locate a company that specializes in this.
These tips should help you get started on your way to becoming debt free for the future. You’ll be glad that you decided to take this crucial step in taking control of your personal finances by losing your debt! Remember, it’s important for your future.
About The Author
Nocita Carter is a writer and web designer that creates websites providing informative tips on various subject matter including personal finance tips on your personal finances at http://www.personal-finance-tips-for-you.com/ ; dating tips at http://www.mydating-tips.com/ and your choice of ebooks at http://www.ebook-corner-for-you.com/.
I’m sure your answer is yes to this question. Yeah, you may want to loose your debt, but aren’t sure exactly how to do this. Did you know that there are a lot of people in the United States who are in more debt today than we’ve ever been? We’re also saving much less! That’s right. Even though we make more money we’re saving a lot less than our grandparents did! I know you’re saying, things cost much more these days. Yes, I know, but we’re still spending more, which keeps us from saving the money we should for a rainy day.
In fact, the interest rates that are currently being charged on credit cards average eighteen percent and upward. Ouch! That’s a lot of interest to pay for a credit card especially if you don’t pay off your balance each month. Of course, your credit card company would like you to keep a balance on your credit card so they can collect interest from you!
Remember you’re charged interest on your unpaid balance, that’s how the credit card companies make lots of money. You say to yourself, what can I do to reduce or eliminate my debt? Well, here are some tips to help you begin your path to financial freedom by reducing and eventually eliminating your debt:
1) Review all of your current billing statements to determine how much you owe your creditors.
By doing this, you’ll know exactly where you stand with your bills and exactly how much you owe.
2) Look at the highest interest rates you are paying and the balances of these particular credit cards. Based on those balances, attempt to start paying off the credit cards with the highest interest rates first. This will assist you in reducing the amount of interest you are paying to your creditors sooner.
3) Pay more than the minimum amount due on your credit cards! You want to get your debt reduced and eventually eliminated by paying over the minimum balance that the credit card company is requiring you to pay. Remember debt elimination is your goal, so this will help you to work towards that!
4) Make sure to pay your bill on time in order to avoid late fees and extra interest charges added to your credit balances. You definitely don’t want to pay your credit card company any more money than you need to! Remember, the more money you keep for yourself, the more you have to save.
5) Don’t use your credit cards! That’s right, you’re trying to become debt free, so you’ll need to eliminate or reduce your spending on your credit cards. Yes, I know you’ll need one for emergencies. But, that’s just it, emergencies only! So don’t use your credit card for anything else other that a true legitimate emergency. Your goal is to stay out of debt and to become debt free.
6) You may want to take money from your savings or money market account to pay off your credit cards so you can become debt free or reduce your debt. If you decide to do this, make sure you keep some money in your savings for an emergency or a rainy day!
7) If you think you need debt counseling, then you may want to seek professional help to assist you with reducing or eliminating your debt. Just do some research via the internet to locate a company that specializes in this.
These tips should help you get started on your way to becoming debt free for the future. You’ll be glad that you decided to take this crucial step in taking control of your personal finances by losing your debt! Remember, it’s important for your future.
About The Author
Nocita Carter is a writer and web designer that creates websites providing informative tips on various subject matter including personal finance tips on your personal finances at http://www.personal-finance-tips-for-you.com/ ; dating tips at http://www.mydating-tips.com/ and your choice of ebooks at http://www.ebook-corner-for-you.com/.
My Debit Card was Stolen: Here’s What to Do
By: Justin Lukasavige
It's true; I never thought I would let it happen, but it happened without me having any knowledge of it. While you can minimize your risk of having your number stolen, if it does happen, you need to be on top of it. Just a few weeks ago, I discovered that I needed to make some calls.
Normally, I log on to our bank account, just to double-check our recent activity, about every 2 or 3 days. As I logged on a few weeks ago, I noticed a charge to Apple iTunes for $67.33. While I initially thought I did not make a purchase with Apple, I did recently get an iPod and have not quite figured out iTunes yet. There was also a pending charge of $33 made the day prior, so I wanted to get to the bottom of this. Frankly, I did not even think about card theft because my card was in my wallet and had not been out of my sight. I was more worried that I had signed up for iTunes without knowing it, and they were charging me on a recurring basis.
My research started with a phone call to the number listed on my bank's website next to the charge. The recorded message sent me to a page on Apple's website and that set off the alarms. The page suggested changing my account password and calling my bank to cancel the card because of expected theft. I opened iTunes, and realized that not only did I not have an account, but I have never given my card number to them.
A phone call to my bank cleared it up and I began to realize what had happened. Most of the time when a card number is stolen, the thief begins with small purchases to see if they will clear. Once that is apparent, the real purchases begin. After just a few minutes on the phone with a bank representative, my card was canceled and I was issued a new one.
Many people fear theft of a debit card because it is linked to an account with money in it, as opposed to a credit card that you pay at the end of the month. If you have a debit card, you have the exact same protection as a credit card offers.
My bank issued a refund, which posted to my account within 24 hours. I am not liable for any charges I did not make myself, regardless of whether my card is designated as credit or debit.
The only thing that remains to be done is to complete a few pages of paperwork and return it to the bank. I already have a new debit card in my possession, and a daily eye on my bank account shows no more charges that I do not recognize.
As for how the card got stolen, I really have no idea. There are a lot of opportunities for thieves to obtain your data, but I cannot think of how it happened. If you purchase items online or anytime you give your card for someone to swipe, your information is out there for someone. Restaurants really scare me because the card is out of site when the server takes it to process a meal. That is just one more reason tp pay with cash.
Article Source: http://www.articlesnatch.com
About the Author:
Justin Lukasavige is a Personal & Business Coach and owner of Lukas Coaching. Visit www.lukascoaching.com/resources.htm for a ton of free tools to help you improve your health, finances, business, career & life! For more free columns and articles, visit www.lukascoaching.com/articles.htm
It's true; I never thought I would let it happen, but it happened without me having any knowledge of it. While you can minimize your risk of having your number stolen, if it does happen, you need to be on top of it. Just a few weeks ago, I discovered that I needed to make some calls.
Normally, I log on to our bank account, just to double-check our recent activity, about every 2 or 3 days. As I logged on a few weeks ago, I noticed a charge to Apple iTunes for $67.33. While I initially thought I did not make a purchase with Apple, I did recently get an iPod and have not quite figured out iTunes yet. There was also a pending charge of $33 made the day prior, so I wanted to get to the bottom of this. Frankly, I did not even think about card theft because my card was in my wallet and had not been out of my sight. I was more worried that I had signed up for iTunes without knowing it, and they were charging me on a recurring basis.
My research started with a phone call to the number listed on my bank's website next to the charge. The recorded message sent me to a page on Apple's website and that set off the alarms. The page suggested changing my account password and calling my bank to cancel the card because of expected theft. I opened iTunes, and realized that not only did I not have an account, but I have never given my card number to them.
A phone call to my bank cleared it up and I began to realize what had happened. Most of the time when a card number is stolen, the thief begins with small purchases to see if they will clear. Once that is apparent, the real purchases begin. After just a few minutes on the phone with a bank representative, my card was canceled and I was issued a new one.
Many people fear theft of a debit card because it is linked to an account with money in it, as opposed to a credit card that you pay at the end of the month. If you have a debit card, you have the exact same protection as a credit card offers.
My bank issued a refund, which posted to my account within 24 hours. I am not liable for any charges I did not make myself, regardless of whether my card is designated as credit or debit.
The only thing that remains to be done is to complete a few pages of paperwork and return it to the bank. I already have a new debit card in my possession, and a daily eye on my bank account shows no more charges that I do not recognize.
As for how the card got stolen, I really have no idea. There are a lot of opportunities for thieves to obtain your data, but I cannot think of how it happened. If you purchase items online or anytime you give your card for someone to swipe, your information is out there for someone. Restaurants really scare me because the card is out of site when the server takes it to process a meal. That is just one more reason tp pay with cash.
Article Source: http://www.articlesnatch.com
About the Author:
Justin Lukasavige is a Personal & Business Coach and owner of Lukas Coaching. Visit www.lukascoaching.com/resources.htm for a ton of free tools to help you improve your health, finances, business, career & life! For more free columns and articles, visit www.lukascoaching.com/articles.htm
Sunday, September 28, 2008
Do You Want An Ideal Debt Consolidation Management Solution To Get Out Of Debt?
By: David James
If you suddenly find yourself in the position where you think, “Help! I need advice managing my debt!” Best Debt Solutions are here for you. Contact us for a full and impartial counselling debt management solution to your problems, whatever they may be.
Best Debt Solutions is a debt consolidation company that offers a professional debt specialist's overview of your problems and will be able to offer you a debt finance solution that is both impartial and based on good practice and experience. We offer clients a range of services which range from a Debt Reduction Programme to Trust Deeds and - if necessary - an IVA.
As part of our comprehensive service to our clients, all of our counselling debt management solutions are implemented by fully trained advisors who offer the best advice at the time, every time. All our advice is given for free and on a “no obligation” basis so that you can rest assured your personal debt solution is based on the most accurate legal information available when you speak to us. One of our staff can happily arrange a meeting for you with one of our advisors in a location of your choice so that you can feel as comfortable as possible discussing what can be a very stressful situation.
Debt is currently the second most searched term on the Internet, proving that you are not alone in having this problem. All of our advisors are very approachable and want to help you get the right solution. There are many ways to contact us including our ring back service or a free phone 24-hour answer phone service if you don't want to give your details over the Internet.
Call now on 0800 933 6666 and speak to one of our specialist debt counsellors in total confidence and without obligation. Your debt free future could start today!
Article Source: http://www.articlesnatch.com
About the Author:
David is a financial advisor and has been associated with Best Debt Solutions (bestdebtsolutions.co.uk), company offering debt solutions, loan debt consolidation and debt consolidation management, for last few years.
If you suddenly find yourself in the position where you think, “Help! I need advice managing my debt!” Best Debt Solutions are here for you. Contact us for a full and impartial counselling debt management solution to your problems, whatever they may be.
Best Debt Solutions is a debt consolidation company that offers a professional debt specialist's overview of your problems and will be able to offer you a debt finance solution that is both impartial and based on good practice and experience. We offer clients a range of services which range from a Debt Reduction Programme to Trust Deeds and - if necessary - an IVA.
As part of our comprehensive service to our clients, all of our counselling debt management solutions are implemented by fully trained advisors who offer the best advice at the time, every time. All our advice is given for free and on a “no obligation” basis so that you can rest assured your personal debt solution is based on the most accurate legal information available when you speak to us. One of our staff can happily arrange a meeting for you with one of our advisors in a location of your choice so that you can feel as comfortable as possible discussing what can be a very stressful situation.
Debt is currently the second most searched term on the Internet, proving that you are not alone in having this problem. All of our advisors are very approachable and want to help you get the right solution. There are many ways to contact us including our ring back service or a free phone 24-hour answer phone service if you don't want to give your details over the Internet.
Call now on 0800 933 6666 and speak to one of our specialist debt counsellors in total confidence and without obligation. Your debt free future could start today!
Article Source: http://www.articlesnatch.com
About the Author:
David is a financial advisor and has been associated with Best Debt Solutions (bestdebtsolutions.co.uk), company offering debt solutions, loan debt consolidation and debt consolidation management, for last few years.
Saturday, September 27, 2008
Debt Management Plan: Handle Debts With Utmost Care
By: Roger John
At the time you are tired of your unmanageable debts and have decided to sort these obstacles, then debt management may assist you in getting rid of your this tension.
Debt management is done either directly by the borrower or by a hired third party. In this method you or your hired third party may negotiate with your creditor to allow you to repay your debts with a lower interest rate or freezed charges. This loan merges your various debts into a single monthly payment.
Through a debt management program a borrower is entailed to make monthly installments to a single lender. This new loan is taken at lower interest rates and allows the borrower to save lot of money.
While you decide to manage your debts, the first step should be planning out things and framing a debt management plan. This plan is nothing but a record of your expenses and savings. The basic motive of a debt management plan is to keep debts at affordable level and simultaneously make efforts to eliminate them.
Getting indulged in unmanageable debts is not always due to carelessness in expenditure, but also because of some unexpected reasons like separation, job losses, illness or business failure. At such situations handling your debts becomes your utmost priority.
There are many ways to manage debts. By reducing your number of credit cards, avoid taking a new debt, avoid having too many bank accounts, curb as much expenditure as possible, reduce the borrower amount and keep it under 33% of the credit limit and pay off all your due bills and debts on time to avoid bad credit tags. Above all prepare a budget for your expenses and income, so that you can easily handle the debts and make necessary efforts to solve your problems. Hence, a debt management plan assists you to manage your debts and get rid of them with cutting on expenses and saving money.
Article Source: http://www.articlesnatch.com
the Author:
Roger John works as financial advisor in Debt Loan Management.He is offering loan advice for quite some time.With Debt Loan Management, it is very easy to take and settle payday loans. To know more about Debt Management Plan, debt management, debt management services, debt management credit card visit http://www.debtloanmanagement.co.uk/
At the time you are tired of your unmanageable debts and have decided to sort these obstacles, then debt management may assist you in getting rid of your this tension.
Debt management is done either directly by the borrower or by a hired third party. In this method you or your hired third party may negotiate with your creditor to allow you to repay your debts with a lower interest rate or freezed charges. This loan merges your various debts into a single monthly payment.
Through a debt management program a borrower is entailed to make monthly installments to a single lender. This new loan is taken at lower interest rates and allows the borrower to save lot of money.
While you decide to manage your debts, the first step should be planning out things and framing a debt management plan. This plan is nothing but a record of your expenses and savings. The basic motive of a debt management plan is to keep debts at affordable level and simultaneously make efforts to eliminate them.
Getting indulged in unmanageable debts is not always due to carelessness in expenditure, but also because of some unexpected reasons like separation, job losses, illness or business failure. At such situations handling your debts becomes your utmost priority.
There are many ways to manage debts. By reducing your number of credit cards, avoid taking a new debt, avoid having too many bank accounts, curb as much expenditure as possible, reduce the borrower amount and keep it under 33% of the credit limit and pay off all your due bills and debts on time to avoid bad credit tags. Above all prepare a budget for your expenses and income, so that you can easily handle the debts and make necessary efforts to solve your problems. Hence, a debt management plan assists you to manage your debts and get rid of them with cutting on expenses and saving money.
Article Source: http://www.articlesnatch.com
the Author:
Roger John works as financial advisor in Debt Loan Management.He is offering loan advice for quite some time.With Debt Loan Management, it is very easy to take and settle payday loans. To know more about Debt Management Plan, debt management, debt management services, debt management credit card visit http://www.debtloanmanagement.co.uk/
Friday, September 26, 2008
Are Debt Consolidation Loans Worth It?
By: Christian Ward
A debt consolidation loan is, as its name suggests a loan that will consolidate all of your debts into one tidy package. The interest rate may be the same as the rates on the existing loans, or it may be somewhat less.
Defining the terms
Make certain that you have reviewed all the terms and clauses included in the debt consolidation loan before signing on the dotted line. For example, you should review the loan length, the interest rate, whether there is a prepayment penalty, and such terms as variable rate, fixed rate and balloon payment. If your consolidation loan applies to existing credit card debt, you should determine whether your cards must be surrendered to get the loan, and whether the balances are transferred to a new card, paid off, or whether you receive the cash and must do the payoffs yourself.
Benefits
The benefit for obtaining a debt consolidation loan is primarily to save money, but there are other advantages for those who reduce multiple debts to one payment monthly. You can probably save money on the interest rate, particularly if consolidating the debt means you can obtain a lower rate. Another advantage is the benefit of a single payment with a regular due date. You don't have to spend much time paying bills. Just set up an automatic payment and your bill paying is la minor part of your monthly duties. This type of regular prompt payment will make your credit report look better and better
Avoiding the pitfalls
For all the benefits that a debt consolidation loan can offer an individual, there are several drawbacks that you should be aware of before choosing to borrow additional money to solve your debt problems. If you are using this type of loan to bail you out from maxed out credit cards, you should certainly look at changing your spending habits in conjunction with the loan, or you can quickly end up in even more problems with larger debts. Consider getting rid of all your credit cards and switch to one debit card. Don't justify consistent overspending as an emergency. Create a budget and stick to it.
Find the best deal
It seems that finding the best deal would be logical, but many individuals looking for a debt consolidation loan take the first offer that they see and run with it. Often, had they looked further, they would have been able to obtain better terms, better interest rate and other accouterments of the loan. Take the time to review several loans and make certain to ask questions about each of the variables that affect the amount of your monthly payment. You won't want to keep applying and applying, as this can negatively affect your credit score, making the terms less desirable each time.
Reviewing interest rates
The main feature of your debt consolidation loan in most instances is the interest rate you will be charged during the duration of the loan period. Usually the rate of interest that the borrower is assessed depends on the credit report of the borrower. Credit scores higher than 700 make it easier to obtain the loan and generally means the terms of the loan are much more favorable to the buyer.
Article Source: http://www.articlesnatch.com
About the Author:
Christian is an author of several articles pertaining to Debt. He is known for his expertise on the subject and on other Business and Finance related articles.
A debt consolidation loan is, as its name suggests a loan that will consolidate all of your debts into one tidy package. The interest rate may be the same as the rates on the existing loans, or it may be somewhat less.
Defining the terms
Make certain that you have reviewed all the terms and clauses included in the debt consolidation loan before signing on the dotted line. For example, you should review the loan length, the interest rate, whether there is a prepayment penalty, and such terms as variable rate, fixed rate and balloon payment. If your consolidation loan applies to existing credit card debt, you should determine whether your cards must be surrendered to get the loan, and whether the balances are transferred to a new card, paid off, or whether you receive the cash and must do the payoffs yourself.
Benefits
The benefit for obtaining a debt consolidation loan is primarily to save money, but there are other advantages for those who reduce multiple debts to one payment monthly. You can probably save money on the interest rate, particularly if consolidating the debt means you can obtain a lower rate. Another advantage is the benefit of a single payment with a regular due date. You don't have to spend much time paying bills. Just set up an automatic payment and your bill paying is la minor part of your monthly duties. This type of regular prompt payment will make your credit report look better and better
Avoiding the pitfalls
For all the benefits that a debt consolidation loan can offer an individual, there are several drawbacks that you should be aware of before choosing to borrow additional money to solve your debt problems. If you are using this type of loan to bail you out from maxed out credit cards, you should certainly look at changing your spending habits in conjunction with the loan, or you can quickly end up in even more problems with larger debts. Consider getting rid of all your credit cards and switch to one debit card. Don't justify consistent overspending as an emergency. Create a budget and stick to it.
Find the best deal
It seems that finding the best deal would be logical, but many individuals looking for a debt consolidation loan take the first offer that they see and run with it. Often, had they looked further, they would have been able to obtain better terms, better interest rate and other accouterments of the loan. Take the time to review several loans and make certain to ask questions about each of the variables that affect the amount of your monthly payment. You won't want to keep applying and applying, as this can negatively affect your credit score, making the terms less desirable each time.
Reviewing interest rates
The main feature of your debt consolidation loan in most instances is the interest rate you will be charged during the duration of the loan period. Usually the rate of interest that the borrower is assessed depends on the credit report of the borrower. Credit scores higher than 700 make it easier to obtain the loan and generally means the terms of the loan are much more favorable to the buyer.
Article Source: http://www.articlesnatch.com
About the Author:
Christian is an author of several articles pertaining to Debt. He is known for his expertise on the subject and on other Business and Finance related articles.
Thursday, September 25, 2008
Cash Advance Loans: Advance Solution To Problems
By: Tony Simcox
Sometimes getting money prior to your payday becomes necessary as sudden problems make people arrange money for it. But as it is not possible for you to receive your salary before the payday, you have only one way left, i.e., to take a loan. However, the loan selection should also be done wisely. Rather than opting anything else you should get your hands on the cash advance loans.
The benefits of adopting these loans are a lot in which its fast approval nature can be mentioned. You will get an assured amount right on the same day of applying whenever you apply for it. This is possible as there is no credit check in these loans. Without any such checks and lengthy paperwork it takes only 24 hours for the whole procedure of sanctioning the loan amount.
That is why the bad credit holders too find it suitable for them. The main reason behind this is that no one is being prevented from adopting these. All good or bad records are eligible for it. These loans allow defaults, late payment, bankruptcy, arrears, CCJs and skipping of installments in it.
The loan amount is so beautifully designed that it will neither fall short for your problems nor it will be burdensome for you in repayment. Cash advance loans offer £100 to £1500 to its borrowers and along with it a period of 14 to 31 days is being provided for repayment. Within that time limit you can easily get the loan paid. For your convenience very simple method is being implemented according to which you will just have to adjust the repayment date with your payday. Once you do so payments will be made automatically on your payday. As soon as your salary gets deposited in your bank account the payable amount will be deducted from it and will be transferred to the lender.
Article Source: http://www.articlesnatch.com
About the Author:
Tony Simcox has no formal degree in finance, but years of work that he has put in the finance industry makes him perfectly eligible to be called an expert in financial matters. To find Cash Advance Loans, cash loans, fast cash loans, quick cash loans visit http://www.immediatecash.org.uk/
Sometimes getting money prior to your payday becomes necessary as sudden problems make people arrange money for it. But as it is not possible for you to receive your salary before the payday, you have only one way left, i.e., to take a loan. However, the loan selection should also be done wisely. Rather than opting anything else you should get your hands on the cash advance loans.
The benefits of adopting these loans are a lot in which its fast approval nature can be mentioned. You will get an assured amount right on the same day of applying whenever you apply for it. This is possible as there is no credit check in these loans. Without any such checks and lengthy paperwork it takes only 24 hours for the whole procedure of sanctioning the loan amount.
That is why the bad credit holders too find it suitable for them. The main reason behind this is that no one is being prevented from adopting these. All good or bad records are eligible for it. These loans allow defaults, late payment, bankruptcy, arrears, CCJs and skipping of installments in it.
The loan amount is so beautifully designed that it will neither fall short for your problems nor it will be burdensome for you in repayment. Cash advance loans offer £100 to £1500 to its borrowers and along with it a period of 14 to 31 days is being provided for repayment. Within that time limit you can easily get the loan paid. For your convenience very simple method is being implemented according to which you will just have to adjust the repayment date with your payday. Once you do so payments will be made automatically on your payday. As soon as your salary gets deposited in your bank account the payable amount will be deducted from it and will be transferred to the lender.
Article Source: http://www.articlesnatch.com
About the Author:
Tony Simcox has no formal degree in finance, but years of work that he has put in the finance industry makes him perfectly eligible to be called an expert in financial matters. To find Cash Advance Loans, cash loans, fast cash loans, quick cash loans visit http://www.immediatecash.org.uk/
Wednesday, September 24, 2008
Loans, Curse Or Blessing?
By: Amanda Hash
There are many different opinions on what a loan means. Some may attach a loan to your past, how you managed to get yourself in a position to need a loan. Others prefer to look into the future and consider the projection that a loan can give you, if well managed. What can a loan do for your business?
Tapping Into OPM
OPM is the abbreviation for Other People’s Money. It is generally used to indicate the investment of other people’s capital in your business, for a share of the profit. But if you reduce the stakes a bit, a bank loan is exactly the same thing. They “invest” in your business by giving you some cash, and their “share” of your profit is the interest they charge you.
A Great Example
One of the greatest examples of the use of OPM is Aristotle Onassis’s fortune. But he did not start off with OPM. It was long after his start up that he began to use it. Only when people know you well and have the security that you are doing well, will they invest. You pay a low interest, but you are a safe investment. And this is what Onassis did.
A Superb Preparation
Onassis was a successful businessman. He prepared every business meeting in advance, spending hour after hour getting information on the people he was going to meet, checking out every possible question he could be asked and rigging up an intelligent answer. Regarding his trade, he knew every little detail that contributed to make him one of the most successful ship-builders in the world.
Capitalizing On Onassis’s Fortune
Take a share of the little Greek guy’s fortune, by following his example. You need all the information you can get hold of, in order to be successful in your trade. When you have all this, make a well-designed plan of action and stick to it.
Write everything down and print out your business plan and use it to give your banker confidence. And do not forget to mention your recent actions, so there is some actual fact in the document you are providing.
And Now, You Can Go For OPM
Now, you can go to a bank, show who you are and get a good deal. An intelligent banker will be able to read your cash flow data, projection for the next five years, assets and HOW YOU GOT TO WHERE YOU ARE NOW. This is very important, because you are telling him what you are capable of doing without a loan.
Under those conditions, you will be considered a low-risk customer and they will gladly want to have you as a regular borrower. Moreover, when you get to be well-known in your whereabouts, they will come to you to offer you convenient loans.
So, Curse or Blessing?
Unaware, desperate, “cashless” people, go for loans which they eventually cannot pay back. They consider loans a curse and do not ever stop to think about what they did wrong.
Well-prepared small-business owners get to grow into bigger and more important businesses, and some even reach the status of enterprise, corporation or whatever the case is. Under these circumstances, a loan is an intelligent association of two parties in search of good business. Surely, it is a blessing.
Article Source: http://www.articlesnatch.com
About the Author:
Amanda Hash is an expert financial consultant who specializes in Bad Credit Easy Loans and Small Unsecured Loans. By visiting http://www.yourloanservices.com/ you'll learn how to get approved and recover your credit.
There are many different opinions on what a loan means. Some may attach a loan to your past, how you managed to get yourself in a position to need a loan. Others prefer to look into the future and consider the projection that a loan can give you, if well managed. What can a loan do for your business?
Tapping Into OPM
OPM is the abbreviation for Other People’s Money. It is generally used to indicate the investment of other people’s capital in your business, for a share of the profit. But if you reduce the stakes a bit, a bank loan is exactly the same thing. They “invest” in your business by giving you some cash, and their “share” of your profit is the interest they charge you.
A Great Example
One of the greatest examples of the use of OPM is Aristotle Onassis’s fortune. But he did not start off with OPM. It was long after his start up that he began to use it. Only when people know you well and have the security that you are doing well, will they invest. You pay a low interest, but you are a safe investment. And this is what Onassis did.
A Superb Preparation
Onassis was a successful businessman. He prepared every business meeting in advance, spending hour after hour getting information on the people he was going to meet, checking out every possible question he could be asked and rigging up an intelligent answer. Regarding his trade, he knew every little detail that contributed to make him one of the most successful ship-builders in the world.
Capitalizing On Onassis’s Fortune
Take a share of the little Greek guy’s fortune, by following his example. You need all the information you can get hold of, in order to be successful in your trade. When you have all this, make a well-designed plan of action and stick to it.
Write everything down and print out your business plan and use it to give your banker confidence. And do not forget to mention your recent actions, so there is some actual fact in the document you are providing.
And Now, You Can Go For OPM
Now, you can go to a bank, show who you are and get a good deal. An intelligent banker will be able to read your cash flow data, projection for the next five years, assets and HOW YOU GOT TO WHERE YOU ARE NOW. This is very important, because you are telling him what you are capable of doing without a loan.
Under those conditions, you will be considered a low-risk customer and they will gladly want to have you as a regular borrower. Moreover, when you get to be well-known in your whereabouts, they will come to you to offer you convenient loans.
So, Curse or Blessing?
Unaware, desperate, “cashless” people, go for loans which they eventually cannot pay back. They consider loans a curse and do not ever stop to think about what they did wrong.
Well-prepared small-business owners get to grow into bigger and more important businesses, and some even reach the status of enterprise, corporation or whatever the case is. Under these circumstances, a loan is an intelligent association of two parties in search of good business. Surely, it is a blessing.
Article Source: http://www.articlesnatch.com
About the Author:
Amanda Hash is an expert financial consultant who specializes in Bad Credit Easy Loans and Small Unsecured Loans. By visiting http://www.yourloanservices.com/ you'll learn how to get approved and recover your credit.
Tuesday, September 23, 2008
Beware Of The Small Writing In A Loan Contract
By: Amanda Hash
Is it sound to take a loan? Well, “everybody” does it, so it should not be that bad… Mmm… dig into the subject a little and you will find many cases of disputes due to either small writing that you overlooked or a misunderstanding at the time of signing for the loan. Loans are good business, for both you and the lender, provided you take it seriously and check out everything thoroughly.
The Small Writing
Have you ever wondered why “small writing” is small? Some may argue that it does not affect the essence of the contract. Others may “accuse” the lending party of making it smaller so that YOU give it less importance and will not care to read it. Whatever the reason, small writing is WRITING, and writing was made to be READ. So get your glasses on and read it.
Never Heard Of
I have never heard of loan agents actually asking the borrower to read the small writing… Honestly, I would not venture a reason. However, the fine tuning of the loan or contract is in the small writing. So read it thoroughly and decide whether you accept those conditions or not.
Most small writing clauses are all the same, obtained from a template provided by the organisation that regulates the trade, so it can not be taken as a direct intention of the lenders to fool you. They are mostly protecting their business, since there are more laws that protect customers than there are to protect the lenders from “wise loan takers”.
The Real Essence
The real essence of the operation is business. If you are simply buying a car for pleasure, you are making business. Any transaction is business. The profit of buying a car is the satisfaction you get from using it.
The Other Way Around
Remember the saying about considering the glass half empty or half full? Well, it is the same case here. You need their cash, it is true… but they need the interest you pay, otherwise the will be out of business in no time. Lost of investors and lending agencies have tons of cash, but either it is not theirs, or they HAVE to put it to work, or they will end up consuming it and eventually go broke.
So Then?
Read everything and decide upon it. Do not let anybody hurry you. Find out the little things you can use to negotiate a better deal. Remember that a well-used loan can mean much more to you than it does to any lender. The lump sum you get can leverage big business. Even if it is a small loan, the proportional business it can give you is big, compared to your present condition.
Conclusion
When cataloguing lenders, rather than considering them good or bad ones, there are just “convenient” or “not convenient” ones for your situation. Stop thinking that they are trying to fool you. It puts you in a defensive situation and makes you feel weak. You are the customer and the lenders, dealers, brokers or whatever you wish to call them, need YOU.
Article Source: http://www.articlesnatch.com
About the Author:
Amanda Hash is an expert financial consultant who specializes in Unsecured Poor Credit Loans and Unsecured Loan Instant. By visiting http://www.yourloanservices.com/ you'll learn how to get approved and recover your credit.
Is it sound to take a loan? Well, “everybody” does it, so it should not be that bad… Mmm… dig into the subject a little and you will find many cases of disputes due to either small writing that you overlooked or a misunderstanding at the time of signing for the loan. Loans are good business, for both you and the lender, provided you take it seriously and check out everything thoroughly.
The Small Writing
Have you ever wondered why “small writing” is small? Some may argue that it does not affect the essence of the contract. Others may “accuse” the lending party of making it smaller so that YOU give it less importance and will not care to read it. Whatever the reason, small writing is WRITING, and writing was made to be READ. So get your glasses on and read it.
Never Heard Of
I have never heard of loan agents actually asking the borrower to read the small writing… Honestly, I would not venture a reason. However, the fine tuning of the loan or contract is in the small writing. So read it thoroughly and decide whether you accept those conditions or not.
Most small writing clauses are all the same, obtained from a template provided by the organisation that regulates the trade, so it can not be taken as a direct intention of the lenders to fool you. They are mostly protecting their business, since there are more laws that protect customers than there are to protect the lenders from “wise loan takers”.
The Real Essence
The real essence of the operation is business. If you are simply buying a car for pleasure, you are making business. Any transaction is business. The profit of buying a car is the satisfaction you get from using it.
The Other Way Around
Remember the saying about considering the glass half empty or half full? Well, it is the same case here. You need their cash, it is true… but they need the interest you pay, otherwise the will be out of business in no time. Lost of investors and lending agencies have tons of cash, but either it is not theirs, or they HAVE to put it to work, or they will end up consuming it and eventually go broke.
So Then?
Read everything and decide upon it. Do not let anybody hurry you. Find out the little things you can use to negotiate a better deal. Remember that a well-used loan can mean much more to you than it does to any lender. The lump sum you get can leverage big business. Even if it is a small loan, the proportional business it can give you is big, compared to your present condition.
Conclusion
When cataloguing lenders, rather than considering them good or bad ones, there are just “convenient” or “not convenient” ones for your situation. Stop thinking that they are trying to fool you. It puts you in a defensive situation and makes you feel weak. You are the customer and the lenders, dealers, brokers or whatever you wish to call them, need YOU.
Article Source: http://www.articlesnatch.com
About the Author:
Amanda Hash is an expert financial consultant who specializes in Unsecured Poor Credit Loans and Unsecured Loan Instant. By visiting http://www.yourloanservices.com/ you'll learn how to get approved and recover your credit.
Monday, September 22, 2008
What To Expect Of Debt Consolidation?
By: Amanda Hash
Debt Consolidation has become a common financial tool for those who are in debt and have bad credit. Not everybody knows what benefits can be obtained from debt consolidation however, and most people just consolidate when they feel they have too many outstanding loans and credit card unpaid balances.
Moreover, knowing exactly what debt consolidation can do for you can let you seize the benefits of consolidation and let you decide if your current debt situation is suitable for such processes. Debt consolidation is not a magic solution and knowing what to expect from a debt consolidation program will save you disappointments.
A Reduction On The Number Of Your Monthly Payments
The most common reason for consolidating debt is this particular one. Most borrowers do not mind about other benefits, they just want to feel that they do not have so many open lines that can endanger their credit. Thus, they just want a single monthly payment or at least two o three instead of tens. This can easily be achieved with debt consolidation loans or debt consolidation services.
With a debt consolidation loan, you use the money obtained from the lender to repay other outstanding debt in the form of loans and credit card balances and thus, you end up with a single monthly payment if you repay all your debt or with two or three payments if you leave some products aside because they are not suitable for consolidation.
With debt consolidation services from an agency you get a single payment because the agency takes care of negotiating with your creditors reductions on your debt and new repayment programs and they will charge you a lump sum every month to handle all your payments. This way lenders are secure knowing that they will receive payment and you get to have a single and lower monthly payment than all your payments combined.
A Reduction On The Amount Of Money You Spend On Interests
Also, by consolidating your debt you can get a considerably reduction on the amount of money you spend every month on interests. This can be achieved by obtaining a debt consolidation loan with a lower interest rate than the average rate of all your outstanding debt and using the money to repay the debt.
The average reduction on interest you can get is 3% to 5%, sometimes reaching up to 7%. This may not seem such a high number but depending on your type of debt and the amount you have accumulated it can imply savings of thousands of dollars every month and an overall debt reduction of up to 40%.
If you hire the services of a debt consolidation agency, then, the interest rate reduction will be obtained through negotiations between the agent and your creditors. These negotiations usually include interest rate reductions along with cuts on the interests already owed and sometimes even reductions on the loan’s principal. With the services of debt consolidation agencies, there are cases of debt reductions of up to 60% and even more on the overall debt of the applicant.
Article Source: http://www.articlesnatch.com
About the Author:
Amanda Hash is an expert financial consultant who specializes in Fast Bad Credit Personal Loans and Unsecured High Risk Loans. By visiting http://www.yourloanservices.com/ you'll learn how to get approved and recover your credit.
Debt Consolidation has become a common financial tool for those who are in debt and have bad credit. Not everybody knows what benefits can be obtained from debt consolidation however, and most people just consolidate when they feel they have too many outstanding loans and credit card unpaid balances.
Moreover, knowing exactly what debt consolidation can do for you can let you seize the benefits of consolidation and let you decide if your current debt situation is suitable for such processes. Debt consolidation is not a magic solution and knowing what to expect from a debt consolidation program will save you disappointments.
A Reduction On The Number Of Your Monthly Payments
The most common reason for consolidating debt is this particular one. Most borrowers do not mind about other benefits, they just want to feel that they do not have so many open lines that can endanger their credit. Thus, they just want a single monthly payment or at least two o three instead of tens. This can easily be achieved with debt consolidation loans or debt consolidation services.
With a debt consolidation loan, you use the money obtained from the lender to repay other outstanding debt in the form of loans and credit card balances and thus, you end up with a single monthly payment if you repay all your debt or with two or three payments if you leave some products aside because they are not suitable for consolidation.
With debt consolidation services from an agency you get a single payment because the agency takes care of negotiating with your creditors reductions on your debt and new repayment programs and they will charge you a lump sum every month to handle all your payments. This way lenders are secure knowing that they will receive payment and you get to have a single and lower monthly payment than all your payments combined.
A Reduction On The Amount Of Money You Spend On Interests
Also, by consolidating your debt you can get a considerably reduction on the amount of money you spend every month on interests. This can be achieved by obtaining a debt consolidation loan with a lower interest rate than the average rate of all your outstanding debt and using the money to repay the debt.
The average reduction on interest you can get is 3% to 5%, sometimes reaching up to 7%. This may not seem such a high number but depending on your type of debt and the amount you have accumulated it can imply savings of thousands of dollars every month and an overall debt reduction of up to 40%.
If you hire the services of a debt consolidation agency, then, the interest rate reduction will be obtained through negotiations between the agent and your creditors. These negotiations usually include interest rate reductions along with cuts on the interests already owed and sometimes even reductions on the loan’s principal. With the services of debt consolidation agencies, there are cases of debt reductions of up to 60% and even more on the overall debt of the applicant.
Article Source: http://www.articlesnatch.com
About the Author:
Amanda Hash is an expert financial consultant who specializes in Fast Bad Credit Personal Loans and Unsecured High Risk Loans. By visiting http://www.yourloanservices.com/ you'll learn how to get approved and recover your credit.
Sunday, September 21, 2008
Choose a right Mortgage Advisor to save time and money
By: shiji
If you are planning to buy a home and hunting in the market for a mortgage, it is a good idea to start doing your grounding now itself. The cause is actually simple. Things have moved differently these days, and easy home finance is simply gone. During the last few years of real estate boom the prices were rising like fanatical and mortgage finance was simple to come by. However, things are now started to cool off so most banks and financial institutions have stiffened their mortgage lending practices.
Most significant, interest rates are rising very slowly for a last few months. This might actually not look like a real deal if you are new in the practice of house buying industry. But on a big home finance even a tiny interest rate boost could create a very huge difference to the payment you make. In usual cases the interest rate could further make the disparity among being established or discarded for a home mortgage proposal. That is because with the intention of qualifying for a home mortgages your capability to pay for the payment is one of the most vital criterions for getting sanction. And any higher interest rate might simply put the imbursement impractical.
Mortgage advisor Here the best option is to get in touch with experienced and trained Mortgage Advisor who has qualified CeMAP training. No matter what you do, don't just begin making home mortgage choices until you link up with somebody who has a great experience in the field of mortgage. Find a mortgage advisor who has dear knowledge of present real estate and home mortgage states and further also has entrée to many required alternatives. This would more often than not be your welcoming area banker. Banks effort with their own services and are not paying attention in making you conscious of other available products, which might offer a superior deal to you.
If you carry a good quality credit rating you will almost certainly get a superior deal than the one your bank is set to offer. Alternatively, if you carry negative credit problems or require some resourceful suggestions, you would almost certainly not get them at least from the bank. They desire you to be conventional to their needs and rules. So actually the time you must use a bank is only when you are not worried with receiving a superior deal. The best option is to locate a home mortgage advisor who understands the market in and out and who also carry access to several alternative solutions from many alternate sources.
Article Source: http://www.articlesnatch.com
About the Author:Shijina is a SEO copywriter for CeMAP training. She has written various articles like CeMAP, CeMAP trainee, Home study CeMAP and more. For more information visit our site http://www.cemap-training.com/. Contact her through mail at cemap.course@gmail.com
5 Tips For Refinancing Home Mortgage
By: Alex Bellweather
Home loan market is one of the ever growing markets. Many types of people are using the mortgage the home for finance.
If you want to settle the home market than it is important for you to select the proper way for refinancing the mortgage.
It is important for you to select the refinance rout to get aware about the refinancing the home mortgage:
1. It is important for you to get the pre-approval from the home loan to get the competitive rates. It is essential to obtain the proper approval as per your needs. It is important for you to get the benefits by refinancing home loan. It is important to check the refinancing option for receiving the proper approval.
2. If you want to payoff the pre-payment so that you can’t get penalty to get the benefits. The pre-payment penalty is in the range of three month to six years. It is important to have proper pre-payment to get the refinance.
3. You should also get the prepayment process and interest rate as well as cost involved in the refinancing to get the benefits. It cost the lender to get the pre-payment penalty to give the benefits.
4. Once you finalize the rate than you can get the benefits of refinancing to get advantage.
5. You must have to select the appropriate refinance option so that you can get the benefits of it.
It is important for you to get the refinance through mortgage loan. It is important for you to get the benefit of refinance the mortgage loan.
Article Source: http://www.articlesnatch.com
About the Author:Alex Bellweather is a writer for Mortgage Refinance , the premier website to find mortgage refinance, refinance home mortgage, refinance mortgage rates, mortgage rate refinance, best refinance mortgage rate, mortgage calculator and many more.
Financing Options for a Business
By: Richard Heaney
Businesses need money to run or expand their current operations or to start a new business. To fund the requirements they mainly take two routes – equity financing and debt financing. Some businesses which are facing a fund shortage also resort to the commercial mortgage route to fund their requirements.
Equity financing – Equity financing involves raising the required capital in exchange for ownership interest in the business. This stake is offered in the form of shares and it can either be offered to the general public through public issue route or to private/institutional investors through the private placement route.
In case of private placement some/total transfer of management control is also involved and the amount of capital extended depends on the extent of control offered.
Debt Financing – When a business borrows money from an outside source and promises to return the money along with an agreed upon interest within a stipulated time, it is said to have taken a debt to finance its business needs.
Debt financing can take the shape of bonds, debentures, bills, or notes to be sold to individual and/or institutional investors. This can also take the shape of commercial loans raised from banks or other lenders.
Comparison between debt and equity financing
The main differences between these two options are related to the surrendering of the ownership stake and the amount of risk involved. In the case of debt financing while there is no surrendering of ownership stake, there is greater risk for the business in the event of non payment of the debt as business critical assets may be legally impounded by the lenders.
On the other hand, money raised through equity presents no such risk to the businesses but a partial/complete transfer of the ownership is involved.
One other small difference lies in the tax treatment of the payouts. While the interest portion of the repayment is deductible from tax liability, dividend payouts carry no such benefit.
In the case of small businesses, equity financing is usually not the viable option so they depend mainly on debt and lines of credit to keep the operations running.
Debt financing options
Fixed-Income Securities – A company seeking to raise money through the debt route offers securities carrying a certain amount of interest. These securities are redeemable after a certain period of time. People purchasing these securities, in essence, extend a loan to the issuing company.
Loans – Businesses borrow money from banks or private lenders. This kind of debt may or may not be backed by some sort of security also known as collateral. In case of the absence of any collateral, the loan is called an unsecured loan. Secured loans are also known as commercial mortgages.
Commercial mortgages - With commercial mortgages, a loan is extended against a business asset which is repayable over a period of time in the form of instalments. The instalments consist of a principal and interest portion. In case of non payment of instalments, lenders can seize and sell the asset to recoup the loaned amount.
While current market sentiments are not favourable to either, debt or equity financing route, commercial mortgages and commercial property loans are available quite easily to deserving businesses. By deserving we mean businesses which have strong fundamentals and a sound business plan. But to get the best deal one needs to get in touch with a number of lenders and the best way to do that is to approach a well networked broker firm.
Article Source: http://www.articlesnatch.com/
About the Author:Richard Heaney is a writer on business and finance. He specializes in writing on financial planning and commercial property loan. His write-ups highlight the different aspects of commercial mortgage in the UK.
Saturday, September 20, 2008
Bad Credits Mortgages
By: Christian Ward
When you apply for a mortgage, or indeed any financial product, your credit rating is checked. A credit rating helps a lender decide whether you fit their criteria as a risk worth lending money to. The lenders look at the reasons for your mortgage application and study your financial status and your income and outgoings. For the credit check they will use one of the two main credit reference agencies: Experian or Equifax. These agencies keep a track of your credit history - how well you have paid off your past loans and mortgages and whether you have missed any payments. Different lenders will use the results from the agencies in different ways, but there is little or nothing that won't be recorded on your file if you have had problems in the past. It is worth keeping an eye of your credit rating via either of those agencies so you know where you stand. It is also help you to bring to light any erroneous problems on your file - which do occur from time to time.
You need to raise any such problems with the agency and try and get them cleared as soon as possible. One thing you should try and do is to avoid applying for a mortgage that you who be rejected for, as any rejected applications for credit will be show on your file and may count against you in future applications.
If you do have an impaired credit rating then you might need to look for a bad credit mortgage. Over recent years the number of brokers and lender specializing in bad credit mortgages has grown. The reason for this is that is money to be made for people providing these mortgages, thanks to the higher interest rates that the mortgages attract. Ironically, the credit crunch, which has made life tougher for most people and helped to push more into the "at risk" categories, has reduced the number of bad credit mortgage providers.
Although it is wise to shop around, to avoid problems of multiple applications counting against your credit rating, it is best to use an independent specialist bad credit mortgage adviser. They will know how likely you are to be accepted by the lender, and help you avoid the rejection spiral.
Article Source: http://www.articlesnatch.com
About the Author:Christian is an author of several articles pertaining to Mortgages. He is known for his expertise on the subject and on other Business and Finance related articles.
When you apply for a mortgage, or indeed any financial product, your credit rating is checked. A credit rating helps a lender decide whether you fit their criteria as a risk worth lending money to. The lenders look at the reasons for your mortgage application and study your financial status and your income and outgoings. For the credit check they will use one of the two main credit reference agencies: Experian or Equifax. These agencies keep a track of your credit history - how well you have paid off your past loans and mortgages and whether you have missed any payments. Different lenders will use the results from the agencies in different ways, but there is little or nothing that won't be recorded on your file if you have had problems in the past. It is worth keeping an eye of your credit rating via either of those agencies so you know where you stand. It is also help you to bring to light any erroneous problems on your file - which do occur from time to time.
You need to raise any such problems with the agency and try and get them cleared as soon as possible. One thing you should try and do is to avoid applying for a mortgage that you who be rejected for, as any rejected applications for credit will be show on your file and may count against you in future applications.
If you do have an impaired credit rating then you might need to look for a bad credit mortgage. Over recent years the number of brokers and lender specializing in bad credit mortgages has grown. The reason for this is that is money to be made for people providing these mortgages, thanks to the higher interest rates that the mortgages attract. Ironically, the credit crunch, which has made life tougher for most people and helped to push more into the "at risk" categories, has reduced the number of bad credit mortgage providers.
Although it is wise to shop around, to avoid problems of multiple applications counting against your credit rating, it is best to use an independent specialist bad credit mortgage adviser. They will know how likely you are to be accepted by the lender, and help you avoid the rejection spiral.
Article Source: http://www.articlesnatch.com
About the Author:Christian is an author of several articles pertaining to Mortgages. He is known for his expertise on the subject and on other Business and Finance related articles.
You Could Have Bad Personal Credit History And Not Even Know It
By: D Fraser
Personal bad credit can be a big problem for anyone in todays world. By carrying a bad credit rating you're risking the likely hood that you'll be able to receive credit cards, loans, mortgages, or even purchase a new car. Banks and companies can almost smell a poor credit rating, next thing you know you'll find yourself being rejected from places and things you were unaware you could be rejected from. You could say that own a bad credit rating is todays equivalent to having leprosy. Now there is some good news about this, carrying bad personal credit is fixable, while leprosy isn't. For some times it's as easy as catching up on late bills, while other times it can take some time. No matter how poor your credit might be there are always steps to take to improve it. If you find yourself being rejected for loans, credit cards and other forms of consumer or personal credit the chances are you might be carrying bad personal credit.
Before jumping to conclusions about poor credit the first step is identifying whether you indeed have poor credit or not. The easiest place to start is with your credit report. Numerous websites will provide you with a copy of your credit report. Some sites seem a little shady, while others can do provide good insight into your credit history, and offer explanations for why you have a poor personal credit rating. Ideal companies to consider for credit report are Experian and Equifax. Quite often individuals with poor credit after reviewing their credit report discover that it's simply because of forgetting a bill or two and leaving it unpaid. Companies and businesses attempting to collect late bills hire collection agencies to force you pay up. While they do retrieve the money for the creditor they also take a hard shot at your credit rating and report.
Now it is proper for collection agencies to contact you before placing a judgment against you, sometimes it can be difficult to get in touch with the you. If this does occur you might find there is a mark against you for an honest forgotten bill that you were totally un aware of. Now of course this isn't always the case, and it can be more complicated than a single forgotten bill. If it's not a simple fix then their there is likely some work that needs to be done on your part for credit repair. Settling old debts is the first step, but then also keeping a consistent payment record, and clean rating for several months will help to reestablish your credit rating.
Now there is one other issue that can be the equivalent of having a poor personal credit rating, and that's not having any credit at all. Think back to when you first applied for a credit card and had no personal credit history built up at all. Whether you've had a past credit history, or you're attempting to establish some positive credit history a good rule of thumb is to get a secured credit card, and be religious about paying it off in full each month.
Article Source: http://www.articlesnatch.com
About the Author:If you want to learn more about how to repair bad credit and how your credit report is the key to bad credit repair visit our website.
Personal bad credit can be a big problem for anyone in todays world. By carrying a bad credit rating you're risking the likely hood that you'll be able to receive credit cards, loans, mortgages, or even purchase a new car. Banks and companies can almost smell a poor credit rating, next thing you know you'll find yourself being rejected from places and things you were unaware you could be rejected from. You could say that own a bad credit rating is todays equivalent to having leprosy. Now there is some good news about this, carrying bad personal credit is fixable, while leprosy isn't. For some times it's as easy as catching up on late bills, while other times it can take some time. No matter how poor your credit might be there are always steps to take to improve it. If you find yourself being rejected for loans, credit cards and other forms of consumer or personal credit the chances are you might be carrying bad personal credit.
Before jumping to conclusions about poor credit the first step is identifying whether you indeed have poor credit or not. The easiest place to start is with your credit report. Numerous websites will provide you with a copy of your credit report. Some sites seem a little shady, while others can do provide good insight into your credit history, and offer explanations for why you have a poor personal credit rating. Ideal companies to consider for credit report are Experian and Equifax. Quite often individuals with poor credit after reviewing their credit report discover that it's simply because of forgetting a bill or two and leaving it unpaid. Companies and businesses attempting to collect late bills hire collection agencies to force you pay up. While they do retrieve the money for the creditor they also take a hard shot at your credit rating and report.
Now it is proper for collection agencies to contact you before placing a judgment against you, sometimes it can be difficult to get in touch with the you. If this does occur you might find there is a mark against you for an honest forgotten bill that you were totally un aware of. Now of course this isn't always the case, and it can be more complicated than a single forgotten bill. If it's not a simple fix then their there is likely some work that needs to be done on your part for credit repair. Settling old debts is the first step, but then also keeping a consistent payment record, and clean rating for several months will help to reestablish your credit rating.
Now there is one other issue that can be the equivalent of having a poor personal credit rating, and that's not having any credit at all. Think back to when you first applied for a credit card and had no personal credit history built up at all. Whether you've had a past credit history, or you're attempting to establish some positive credit history a good rule of thumb is to get a secured credit card, and be religious about paying it off in full each month.
Article Source: http://www.articlesnatch.com
About the Author:If you want to learn more about how to repair bad credit and how your credit report is the key to bad credit repair visit our website.
Unsecured Personal Loans for People with Poor Credit Rating
By: Jennifer Morva
Introduction: There are lots of people who will not have own property to keep as collateral for attaining loans. People like tenants will not have own house to keep as collateral. It is a tough situation getting loans without collateral in case of normal loans. You will feel very bad as you are not able to attain loans due to lack of own property.
The situation is worst and you need loans urgently. You are in a search for money. There is no need of certain search when unsecured personal loans for people with poor credit rating are available for you in loan market. Main features: Unsecured personal loans for people with poor credit rating are available for people with poor credit rating and not able to get loans due to lack of own property. You need not keep any collateral in these types of loans.
All you need to do is you have to show to the lender that you will be able to pay back the amount in time and you will maintain the payment of interest rate in correct time. Loan amount and repayment: In case of unsecured personal loans for people with poor credit rating the lender will be asking for some high interesting rate but with a pre-planned approach you can get one negotiated. Through unsecured loan you can avail an amount in the range £10000 to £25000.
Interest rate will be in between 15% to 20% as already said. The repayment tenure in case of unsecured personal loans for people with poor credit rating varies from 3 to 10 years. Eligibility: All UK citizens having age more than 18 year are eligible for this kind of loan. There are many old traditional financial institutions which provide unsecured loan, but nowadays online lenders are gaining popularity too, as by sitting in home only you can apply and get loan easily.
Article Source: http://www.articlesnatch.com
About the Author:Jennifer Morva has been associated with Poor Credit Rating Loans. Having completed his Masters in Finance from Lancaster University Management School, he undertook to provide useful advice through his articles that have been found very useful by the residents of the UK. To find car loan, cash loans , poor credit rating loans uk visit http://www.poorcreditratingloans.co.uk
Introduction: There are lots of people who will not have own property to keep as collateral for attaining loans. People like tenants will not have own house to keep as collateral. It is a tough situation getting loans without collateral in case of normal loans. You will feel very bad as you are not able to attain loans due to lack of own property.
The situation is worst and you need loans urgently. You are in a search for money. There is no need of certain search when unsecured personal loans for people with poor credit rating are available for you in loan market. Main features: Unsecured personal loans for people with poor credit rating are available for people with poor credit rating and not able to get loans due to lack of own property. You need not keep any collateral in these types of loans.
All you need to do is you have to show to the lender that you will be able to pay back the amount in time and you will maintain the payment of interest rate in correct time. Loan amount and repayment: In case of unsecured personal loans for people with poor credit rating the lender will be asking for some high interesting rate but with a pre-planned approach you can get one negotiated. Through unsecured loan you can avail an amount in the range £10000 to £25000.
Interest rate will be in between 15% to 20% as already said. The repayment tenure in case of unsecured personal loans for people with poor credit rating varies from 3 to 10 years. Eligibility: All UK citizens having age more than 18 year are eligible for this kind of loan. There are many old traditional financial institutions which provide unsecured loan, but nowadays online lenders are gaining popularity too, as by sitting in home only you can apply and get loan easily.
Article Source: http://www.articlesnatch.com
About the Author:Jennifer Morva has been associated with Poor Credit Rating Loans. Having completed his Masters in Finance from Lancaster University Management School, he undertook to provide useful advice through his articles that have been found very useful by the residents of the UK. To find car loan, cash loans , poor credit rating loans uk visit http://www.poorcreditratingloans.co.uk
Bad credit mortgage: there is a solution for your credit problem
By: layla
Having bad credit may seem for you like the end of the world. Because of a negative credit rating, you may be turned down for personal loans, credit cards, auto loans, and mortgages. Those unfamiliar with bad credit lenders may attempt to obtain financing through a bank or credit union. However, these financial institutions rarely offer bad credit loans.
To get approved for financing with bad credit, you must select lenders that specialize in all credit types. If you have bad credit record against your name, you can get your loan approved by a bad credit mortgage lenders much faster than you would if you approached a bank or a credit union. For this, you have to pay the price. Also, you will end up with high rates of interests and high closing fees. It will be right to say that bad credit mortgages solve two purposes: firstly, they provide financial support in fulfilling all personal and business needs and secondly, they helps in improving the credit score (if timely repayments of loan are made). Thus, avail bad credit personal mortgages and overcome all financial hurdles being faced due to bad credit history. Although bad credit borrowers are not approved loans very easily.
Even if they are, a very high interest rate is charged from them. This may make it even more difficult for the bad credit borrower to repay it to the lender. To save them from such situations you can use bad credit mortgage, it is a kind of financial help to purchase your dream house without pestering about your poor credit past. It not only helps you to buy home but also provides a great opportunity to re-establish your adverse credit past.
How do you get an excellent mortgage loan with bad credit? The initial thing you must do is research more about these loan alternatives for bad credit and check which among them will be ideal for your situation. And when you believe you are ready, get yourself the best bad credit mortgage broker you could find to assist you.
Professional mortgage lenders for bad credit are quite hard to come by. You have to be careful with who you're dealing with and make sure he's dependable. If he demands for cash in advance of a mortgage, probe further. He might be one of those so-called lenders who are merely out to con you.
Article Source: http://www.articlesnatch.com
About the Author:Layla White, researcher for people, who have credit problems and want to apply for bad credit mortgages.
Having bad credit may seem for you like the end of the world. Because of a negative credit rating, you may be turned down for personal loans, credit cards, auto loans, and mortgages. Those unfamiliar with bad credit lenders may attempt to obtain financing through a bank or credit union. However, these financial institutions rarely offer bad credit loans.
To get approved for financing with bad credit, you must select lenders that specialize in all credit types. If you have bad credit record against your name, you can get your loan approved by a bad credit mortgage lenders much faster than you would if you approached a bank or a credit union. For this, you have to pay the price. Also, you will end up with high rates of interests and high closing fees. It will be right to say that bad credit mortgages solve two purposes: firstly, they provide financial support in fulfilling all personal and business needs and secondly, they helps in improving the credit score (if timely repayments of loan are made). Thus, avail bad credit personal mortgages and overcome all financial hurdles being faced due to bad credit history. Although bad credit borrowers are not approved loans very easily.
Even if they are, a very high interest rate is charged from them. This may make it even more difficult for the bad credit borrower to repay it to the lender. To save them from such situations you can use bad credit mortgage, it is a kind of financial help to purchase your dream house without pestering about your poor credit past. It not only helps you to buy home but also provides a great opportunity to re-establish your adverse credit past.
How do you get an excellent mortgage loan with bad credit? The initial thing you must do is research more about these loan alternatives for bad credit and check which among them will be ideal for your situation. And when you believe you are ready, get yourself the best bad credit mortgage broker you could find to assist you.
Professional mortgage lenders for bad credit are quite hard to come by. You have to be careful with who you're dealing with and make sure he's dependable. If he demands for cash in advance of a mortgage, probe further. He might be one of those so-called lenders who are merely out to con you.
Article Source: http://www.articlesnatch.com
About the Author:Layla White, researcher for people, who have credit problems and want to apply for bad credit mortgages.
Home Loans For People With Bad Credit
By: Oliver Turner
Bad credit loan is a type of loan that mostly depends on your past credit history. The past credit history is important for it contains all your documents such as defaults on repayments of previous loans, county court judgments and financial transactions. If you have a default or late repayment then there is a risk to offer you any loan for your application will be marked as mortgages with bad history. However, some institutions are there which provide mortgage for bad credit. But it is for sure that they charge a higher interest rate from you.
If you have a bad credit or poor credit history, you may have trouble convincing the lenders to approve your loan. Getting a home loan with bad credit has actually never been easier than it is today. Here are some tips to get the best deal on bad credit refinancing: Shop Around – You should go and shop around to approve your application. It is recommended to apply to those online brokers who will forward your application to multiple lenders. Each broker works with its specific type of lenders. Some work with flexible lenders and others not.
So search the best option. Improve Your Credit Score – Here are some simple tips to improving your credit score, which help you in getting your "Mortgage bad credit rating" approved. First of visit the website of your bank and dispute on the incorrect entries (if any) in your account. Next, pay your current payments on time and without late penalty. Keeping the number of credit enquiries down will help you maintain a good credit score. Save For A Down Payment – Some lenders may be ready to approve you even for 100% financing, with low interest rate but they can demand for 5-6% down payment. So try to save as much as possible for a down payment.
Article Source: http://www.articlesnatch.com
About the Author:We have made the most comprehensive research on home loans. Find it only on the Mortgage bad credit rating and info website. All about home loans on LeanderNet - http://www.leandernet.com
Bad credit loan is a type of loan that mostly depends on your past credit history. The past credit history is important for it contains all your documents such as defaults on repayments of previous loans, county court judgments and financial transactions. If you have a default or late repayment then there is a risk to offer you any loan for your application will be marked as mortgages with bad history. However, some institutions are there which provide mortgage for bad credit. But it is for sure that they charge a higher interest rate from you.
If you have a bad credit or poor credit history, you may have trouble convincing the lenders to approve your loan. Getting a home loan with bad credit has actually never been easier than it is today. Here are some tips to get the best deal on bad credit refinancing: Shop Around – You should go and shop around to approve your application. It is recommended to apply to those online brokers who will forward your application to multiple lenders. Each broker works with its specific type of lenders. Some work with flexible lenders and others not.
So search the best option. Improve Your Credit Score – Here are some simple tips to improving your credit score, which help you in getting your "Mortgage bad credit rating" approved. First of visit the website of your bank and dispute on the incorrect entries (if any) in your account. Next, pay your current payments on time and without late penalty. Keeping the number of credit enquiries down will help you maintain a good credit score. Save For A Down Payment – Some lenders may be ready to approve you even for 100% financing, with low interest rate but they can demand for 5-6% down payment. So try to save as much as possible for a down payment.
Article Source: http://www.articlesnatch.com
About the Author:We have made the most comprehensive research on home loans. Find it only on the Mortgage bad credit rating and info website. All about home loans on LeanderNet - http://www.leandernet.com
Bad Credit Mortgage Loans - Are They Possible?
By: Ken Black
There are lenders out there who give what are referred to as bad credit mortgage loans, if you are experiencing financial problems, a situation that is common to many people everywhere. Possibly you recently just got divorced, lost your business, had large medical bills, or maybe you have had too many credit cards and now the balances are out of control. In all likelihood, things like this may have caused your credit rating and FICO score to drop. Sometimes setbacks happen in life, but there is hope if you still must get a mortgage to buy a home or for other reasons. There are a number of reasons which contribute to poor credit, damaged credit or bad credit, all of them with almost the same effect as having no credit at all.
When a credit check reveals a low score or a questionable credit history, it is more likely that lenders will reject your home mortgage application. So, if you cannot qualify for a regular home mortgage, bad credit mortgage loans come into play to rescue you. There are many lenders and brokers willing to help people who want to refinance or apply for a home mortgage but do not qualify because of a poor credit history. These loans are usually more costly than regular home mortgages but you can switch to a better option when your credit and finances improve.
Buying a home involves a large disbursement so before you apply try to repair your credit first as much as you can. Although, there are companies which specialize in helping you out in this matter, never trust in organizations that promise to erase your bad credit, or create a new credit identity for you. Self help is your best aid for fixing your finances and your credit history and it is not that hard to achieve. Bad credit mortgage loans are available for those people whose credit (FICO) score is less than 650, although most banks or financial institutions will let you know that you need a sub-prime loan. Due to the nature of their offer, most lenders are open to work with borrowers with challenged credit, to find the right mortgage and terms for them. It is a good idea to begin to repair your credit by paying your bills on time, and reduce the number of credit cards that you carry. Remember that late payments are as bad as not paying, and have the same negative effects on your credit score. Try at all costs to avoid bankruptcy, and do no expect to receive better bad credit mortgage loans, if any, after declaring your bankruptcy.
For lenders it is a somewhat risky situation in their eyes to loan out money to someone with damaged credit. Obviously, what they are worried about is whether they will get their money back in case you cannot make the monthly payments. This is one of the reasons why you will have to pay a higher interest rate and possibly abide by other rules, in this situation.
But, if you have a recent track record of paying debts back on time, to credit cards or other lenders, that will certainly help. There are a large number of resources online for both learning more about credit repair, and finding the right type of loans, according to the borrowed amount and your capability to repay your debt. Also remember that in addition to higher interest rates, some creditors may require collateral or a co-signer to secure the deal. After doing your research for bad credit mortgage loans, either online, in the newspaper, or yellow pages, contact at least five lenders to compare their offers and get the best option within the limitations of your financial condition.
Article Source: http://www.articlesnatch.com
About the Author:Ken Black is the owner of Mortgages 101, a site with information about Bad Credit Mortgage Loans.
There are lenders out there who give what are referred to as bad credit mortgage loans, if you are experiencing financial problems, a situation that is common to many people everywhere. Possibly you recently just got divorced, lost your business, had large medical bills, or maybe you have had too many credit cards and now the balances are out of control. In all likelihood, things like this may have caused your credit rating and FICO score to drop. Sometimes setbacks happen in life, but there is hope if you still must get a mortgage to buy a home or for other reasons. There are a number of reasons which contribute to poor credit, damaged credit or bad credit, all of them with almost the same effect as having no credit at all.
When a credit check reveals a low score or a questionable credit history, it is more likely that lenders will reject your home mortgage application. So, if you cannot qualify for a regular home mortgage, bad credit mortgage loans come into play to rescue you. There are many lenders and brokers willing to help people who want to refinance or apply for a home mortgage but do not qualify because of a poor credit history. These loans are usually more costly than regular home mortgages but you can switch to a better option when your credit and finances improve.
Buying a home involves a large disbursement so before you apply try to repair your credit first as much as you can. Although, there are companies which specialize in helping you out in this matter, never trust in organizations that promise to erase your bad credit, or create a new credit identity for you. Self help is your best aid for fixing your finances and your credit history and it is not that hard to achieve. Bad credit mortgage loans are available for those people whose credit (FICO) score is less than 650, although most banks or financial institutions will let you know that you need a sub-prime loan. Due to the nature of their offer, most lenders are open to work with borrowers with challenged credit, to find the right mortgage and terms for them. It is a good idea to begin to repair your credit by paying your bills on time, and reduce the number of credit cards that you carry. Remember that late payments are as bad as not paying, and have the same negative effects on your credit score. Try at all costs to avoid bankruptcy, and do no expect to receive better bad credit mortgage loans, if any, after declaring your bankruptcy.
For lenders it is a somewhat risky situation in their eyes to loan out money to someone with damaged credit. Obviously, what they are worried about is whether they will get their money back in case you cannot make the monthly payments. This is one of the reasons why you will have to pay a higher interest rate and possibly abide by other rules, in this situation.
But, if you have a recent track record of paying debts back on time, to credit cards or other lenders, that will certainly help. There are a large number of resources online for both learning more about credit repair, and finding the right type of loans, according to the borrowed amount and your capability to repay your debt. Also remember that in addition to higher interest rates, some creditors may require collateral or a co-signer to secure the deal. After doing your research for bad credit mortgage loans, either online, in the newspaper, or yellow pages, contact at least five lenders to compare their offers and get the best option within the limitations of your financial condition.
Article Source: http://www.articlesnatch.com
About the Author:Ken Black is the owner of Mortgages 101, a site with information about Bad Credit Mortgage Loans.
Friday, September 19, 2008
Debt Consolidation: Designed For The People In Multiple Debts
Submitted by darenjone
The people who are in debts can be debt free through debt consolidation. Debts can be consolidated through debt consolidation mortgage, debt consolidation loans, debt consolidation remortgage and debt counselling. These are available in secured and unsecured forms. If the borrower is in a position to place collateral, he or she can opt for secured option.The collateral should be of the market value which should be more than the loan amount taken by the borrower. Unsecured option is for the tenants and students. There are home owners who do not want to place their home as the collateral.
They can also apply for these loans. Secured option has some advantages over unsecured option. The rate of interest for secured option is less than the unsecured option. Unsecured option is needed to be repaid in shorter loan term than the secured option. Debt consolidation has many advantages. It prevents the past creditors from giving threatening calls to the borrowers. With these loans, the borrowers convert the multiple payments into a single monthly payment. Once the borrower starts repaying these loans, the borrower’s credit score starts improving. To avail these, the borrowers have to fulfil some conditions.
The borrowers should have a bank account. The number of creditors should be 3 to 4. The whole debt of the borrowers should not be less than £15000. The borrower should have a bank account. The borrower should be able to pay at least 70% of the total debt taken by him or her. Students, tenants, home owners and people with bad credit can also apply for these loans.Debt consolidation is offered by the online lenders, financial institutes and lending companies. Some individual lenders also offer these loans.
Online loans are fast and convenient. Summary: Debt consolidation is available in secured and unsecured option. Secured option has longer loan term and lower interest arte than the unsecured option. The borrower can repay one payment to a single lender with these loans. The borrower should be able to repay 70% of the total debt and a bank account is must. The number of creditors should be 3-4. Online lenders, financial institutes and lending companies offer these loans.
Source: http://www.articleavenue.com
The people who are in debts can be debt free through debt consolidation. Debts can be consolidated through debt consolidation mortgage, debt consolidation loans, debt consolidation remortgage and debt counselling. These are available in secured and unsecured forms. If the borrower is in a position to place collateral, he or she can opt for secured option.The collateral should be of the market value which should be more than the loan amount taken by the borrower. Unsecured option is for the tenants and students. There are home owners who do not want to place their home as the collateral.
They can also apply for these loans. Secured option has some advantages over unsecured option. The rate of interest for secured option is less than the unsecured option. Unsecured option is needed to be repaid in shorter loan term than the secured option. Debt consolidation has many advantages. It prevents the past creditors from giving threatening calls to the borrowers. With these loans, the borrowers convert the multiple payments into a single monthly payment. Once the borrower starts repaying these loans, the borrower’s credit score starts improving. To avail these, the borrowers have to fulfil some conditions.
The borrowers should have a bank account. The number of creditors should be 3 to 4. The whole debt of the borrowers should not be less than £15000. The borrower should have a bank account. The borrower should be able to pay at least 70% of the total debt taken by him or her. Students, tenants, home owners and people with bad credit can also apply for these loans.Debt consolidation is offered by the online lenders, financial institutes and lending companies. Some individual lenders also offer these loans.
Online loans are fast and convenient. Summary: Debt consolidation is available in secured and unsecured option. Secured option has longer loan term and lower interest arte than the unsecured option. The borrower can repay one payment to a single lender with these loans. The borrower should be able to repay 70% of the total debt and a bank account is must. The number of creditors should be 3-4. Online lenders, financial institutes and lending companies offer these loans.
Source: http://www.articleavenue.com
Benefits Of Comparing and Receiving Mortgage Refinance Rates
Submitted by shane123
There are several different reasons why an individual might end up needing to acquire a refinance loan for their home. This can be extremely beneficial if you find that you are experiencing problems with being able to manage your finances. Before you run to the nearest bank or lending institution to inquire about their mortgage refinances rates however, there are a few things you will want to be aware of, Knowing the right questions to ask that will benefit you the most, can end up saving you large amounts of money in the long run.
It can of course be very beneficial to you, if you will take the time to compare mortgage refinance rates that various banks and lending firms offer to their customers. Many of the rates that each company offers can vary tremendously. There are also a few other important factors as well, that you will need to take into consideration when you are searching for a good deal on mortgage refinance rates.While it is true that you can save considerable amounts of money when you are paying a low interest rate, if you end up paying large amounts of money for other charges that are attached to the loan, then you will not be able to benefit from much of a savings at all.
Not only do you need to compare the different interest rates that are available to you, but you will also need to be sure and pay careful attention to any lending fees that might apply to your loan. Many times there are also closing costs that you will be responsible in paying.Do you know what type of mortgage refinance loan that you will want to apply for?There are a variety of different options that have available to you when it comes to refinancing your home.One of the first things you will want to determine is if you would benefit more from a fixed mortgage rate, or would adjustable interest rates offer you a bigger advantage? Another factor that will affect the loan you receive is if you have plans to try to pay the loan off as quickly as possible or will it be more beneficial to you in having payments set that are as low as they possibly can be, with a longer payoff time period.
The answers to these questions will affect the overall term of the loan you get and it is very important to consider each of this carefully.One thing that can benefit you a great deal in making a more informed decision would be to request a copy of the Good Faith Estimate from each of the banks and lending institutions that you are doing a comparison on Having these will give you the advantage of being able to compare the specific differences between each lending company. It will be much easier to make a more sound comparison, when you are able to view this helpful information in the comfort and privacy of your own home.
Obtaining a mortgage refinance loan can be extremely helpful if you are facing the loss of your home, because of financial difficulties that may affect your ability to continue paying a high mortgage payment. Refinancing your home can offer you the advantage of having a much lower mortgage payment each month. This in itself can help tremendously with your financial situation. Money that was originally applied to your mortgage can now be applied to other important areas of your finances.
Source: http://www.articleavenue.com
There are several different reasons why an individual might end up needing to acquire a refinance loan for their home. This can be extremely beneficial if you find that you are experiencing problems with being able to manage your finances. Before you run to the nearest bank or lending institution to inquire about their mortgage refinances rates however, there are a few things you will want to be aware of, Knowing the right questions to ask that will benefit you the most, can end up saving you large amounts of money in the long run.
It can of course be very beneficial to you, if you will take the time to compare mortgage refinance rates that various banks and lending firms offer to their customers. Many of the rates that each company offers can vary tremendously. There are also a few other important factors as well, that you will need to take into consideration when you are searching for a good deal on mortgage refinance rates.While it is true that you can save considerable amounts of money when you are paying a low interest rate, if you end up paying large amounts of money for other charges that are attached to the loan, then you will not be able to benefit from much of a savings at all.
Not only do you need to compare the different interest rates that are available to you, but you will also need to be sure and pay careful attention to any lending fees that might apply to your loan. Many times there are also closing costs that you will be responsible in paying.Do you know what type of mortgage refinance loan that you will want to apply for?There are a variety of different options that have available to you when it comes to refinancing your home.One of the first things you will want to determine is if you would benefit more from a fixed mortgage rate, or would adjustable interest rates offer you a bigger advantage? Another factor that will affect the loan you receive is if you have plans to try to pay the loan off as quickly as possible or will it be more beneficial to you in having payments set that are as low as they possibly can be, with a longer payoff time period.
The answers to these questions will affect the overall term of the loan you get and it is very important to consider each of this carefully.One thing that can benefit you a great deal in making a more informed decision would be to request a copy of the Good Faith Estimate from each of the banks and lending institutions that you are doing a comparison on Having these will give you the advantage of being able to compare the specific differences between each lending company. It will be much easier to make a more sound comparison, when you are able to view this helpful information in the comfort and privacy of your own home.
Obtaining a mortgage refinance loan can be extremely helpful if you are facing the loss of your home, because of financial difficulties that may affect your ability to continue paying a high mortgage payment. Refinancing your home can offer you the advantage of having a much lower mortgage payment each month. This in itself can help tremendously with your financial situation. Money that was originally applied to your mortgage can now be applied to other important areas of your finances.
Source: http://www.articleavenue.com
Borrowing Money: Understanding How The Numbers Work
by David Berky
I would like to start out by telling you a true story. The names have been changed to protect the innocent, the ignorant and the dishonest. John was interested in purchasing a new truck. John had done his homework and knew exactly what make, model and features he wanted on his new truck. He had visited several dealerships looking for the exact truck he wanted. He wanted to get it now and didn't want to wait to have one custom built.
Finally he found a dealership that had the exact truck he was looking for and he even liked the color.Now it was time to negotiate the price and financing. John realized that he was not very good at numbers so he asked his friend Cindy to come along and help him make sure he was getting a good deal.The salesperson looked up the pricing information on the truck and added in all the extra fees for tax, title, license, and what-ever-else-we-can-sneak-by-you.
The total cost came out to about $22,000. Cindy remained quiet while the salesperson explained the financing options that were available to John, checked John's credit and determined an interest rate for the loan. The salesperson then went to check with the manger to make sure the financing application was completed properly and to calculate the monthly payment.The salesperson returned and announced that the payments on the 5 year loan would be about $420 a month.
Cindy checked the numbers and agreed with the calculations. But John was a little shocked and disappointed. Seeing his expression, the salesperson mentioned that the monthly payment may be more than what John would feel comfortable with and that maybe they could lower the payment by going to a 6 year loan instead.John then looked to Cindy, who said that this would lower the monthly payment but John would end up paying more interest because of the longer time for the loan to be paid off. John wasn't too concerned about paying a little extra as long as he could afford the monthly payments (and drive his truck home today).
The salesperson asked John how much he could afford to pay each month on his truck loan. John indicated he could pay up to $375 per month. The salesperson then went to "get approval" from the manager to extend the length of the loan and to recalculate the monthly payment.Upon returning the salesperson announced that he was able to "wrangle a good deal out of the manager" and was able to get the monthly payments down to, you guessed it, $375. John was excited.
All he had to do was sign the papers and he could drive home with his new truck at a monthly payment he could afford.But Cindy was curious. She asked to look at the numbers but this time the salesperson was a bit hesitant. The salesperson tried to change the subject one or two times, but Cindy insisted on seeing the numbers.Cindy review the numbers and did some of her own calculations and found that the monthly payment on the truck loan should have been about $350 a month. So how did the salesperson come up with $375 per month?After looking at the terms of the contract a bit closer, Cindy noticed that the price of the truck was now $24,500, an increase of $2,500.
Cindy asked the salesperson why the price of the truck had just gone up? After trying to dodge the question and then blaming it on a mistake by the "finance department," Cindy and John walked out of the dishonest dealership.As excited as he was to have his new truck, John was angered that the salesperson/dealership had tried to rip him off by taking advantage of his lack of understanding how the numbers in a loan relate.John then had Cindy explain to him in basic terms how the number related and what to look for in the financing terms.
Cindy explained that there are four elements to a loan; the principal or amount you are borrowing, the interest rate, the time period and the monthly (or weekly, bi-weekly, etc.) payment.And the numbers relate like this. If the amount goes up the payment goes up. If the interest rate goes up the payment goes up.
If the time goes up the payment goes down.So in the case of John's truck loan they extended the time so that the payment would go down. But the payment went down further than what John was willing to pay. So they decided to increase the amount so that the payment would match what John said he could pay.But they "forgot" to explain to John that the price went up to make the payment hit his target. And they couldn't come up with a valid reason for the price increase when Cindy questioned them on it.
Without Cindy and her knowledge of how the loan numbers relate, John probably would have got his truck, but he would have needlessly over-paid $2,500.John found a truck he liked even better at a different dealership, bought Cindy along to help make sure he was getting a good deal, and then took her out to dinner.
***************************************************************
© Simple Joe, Inc.David Berky is president of Simple Joe, Inc. a marketing company that sells simple software under the brand name of Simple Joe. One of Simple Joe's best selling products is Simple Joe's Money Tools - a collection of 14 personal finance and investment calculators. This article may be freely distributed so long as the copyright, author's information and an active link (where possible) are included.
I would like to start out by telling you a true story. The names have been changed to protect the innocent, the ignorant and the dishonest. John was interested in purchasing a new truck. John had done his homework and knew exactly what make, model and features he wanted on his new truck. He had visited several dealerships looking for the exact truck he wanted. He wanted to get it now and didn't want to wait to have one custom built.
Finally he found a dealership that had the exact truck he was looking for and he even liked the color.Now it was time to negotiate the price and financing. John realized that he was not very good at numbers so he asked his friend Cindy to come along and help him make sure he was getting a good deal.The salesperson looked up the pricing information on the truck and added in all the extra fees for tax, title, license, and what-ever-else-we-can-sneak-by-you.
The total cost came out to about $22,000. Cindy remained quiet while the salesperson explained the financing options that were available to John, checked John's credit and determined an interest rate for the loan. The salesperson then went to check with the manger to make sure the financing application was completed properly and to calculate the monthly payment.The salesperson returned and announced that the payments on the 5 year loan would be about $420 a month.
Cindy checked the numbers and agreed with the calculations. But John was a little shocked and disappointed. Seeing his expression, the salesperson mentioned that the monthly payment may be more than what John would feel comfortable with and that maybe they could lower the payment by going to a 6 year loan instead.John then looked to Cindy, who said that this would lower the monthly payment but John would end up paying more interest because of the longer time for the loan to be paid off. John wasn't too concerned about paying a little extra as long as he could afford the monthly payments (and drive his truck home today).
The salesperson asked John how much he could afford to pay each month on his truck loan. John indicated he could pay up to $375 per month. The salesperson then went to "get approval" from the manager to extend the length of the loan and to recalculate the monthly payment.Upon returning the salesperson announced that he was able to "wrangle a good deal out of the manager" and was able to get the monthly payments down to, you guessed it, $375. John was excited.
All he had to do was sign the papers and he could drive home with his new truck at a monthly payment he could afford.But Cindy was curious. She asked to look at the numbers but this time the salesperson was a bit hesitant. The salesperson tried to change the subject one or two times, but Cindy insisted on seeing the numbers.Cindy review the numbers and did some of her own calculations and found that the monthly payment on the truck loan should have been about $350 a month. So how did the salesperson come up with $375 per month?After looking at the terms of the contract a bit closer, Cindy noticed that the price of the truck was now $24,500, an increase of $2,500.
Cindy asked the salesperson why the price of the truck had just gone up? After trying to dodge the question and then blaming it on a mistake by the "finance department," Cindy and John walked out of the dishonest dealership.As excited as he was to have his new truck, John was angered that the salesperson/dealership had tried to rip him off by taking advantage of his lack of understanding how the numbers in a loan relate.John then had Cindy explain to him in basic terms how the number related and what to look for in the financing terms.
Cindy explained that there are four elements to a loan; the principal or amount you are borrowing, the interest rate, the time period and the monthly (or weekly, bi-weekly, etc.) payment.And the numbers relate like this. If the amount goes up the payment goes up. If the interest rate goes up the payment goes up.
If the time goes up the payment goes down.So in the case of John's truck loan they extended the time so that the payment would go down. But the payment went down further than what John was willing to pay. So they decided to increase the amount so that the payment would match what John said he could pay.But they "forgot" to explain to John that the price went up to make the payment hit his target. And they couldn't come up with a valid reason for the price increase when Cindy questioned them on it.
Without Cindy and her knowledge of how the loan numbers relate, John probably would have got his truck, but he would have needlessly over-paid $2,500.John found a truck he liked even better at a different dealership, bought Cindy along to help make sure he was getting a good deal, and then took her out to dinner.
***************************************************************
© Simple Joe, Inc.David Berky is president of Simple Joe, Inc. a marketing company that sells simple software under the brand name of Simple Joe. One of Simple Joe's best selling products is Simple Joe's Money Tools - a collection of 14 personal finance and investment calculators. This article may be freely distributed so long as the copyright, author's information and an active link (where possible) are included.
Crushing Credit Card Debt
by David Berky
How much do YOU owe on your credit cards? The average American family is now over $7000 in debt just on their credit cards. That debt generates an interest charge of over $105 each month if your card charges the average 18%. If you have missed a payment or made a late payment (even by one day!), you may be paying up to 27% interest or over $157 each month.
Most credit card companies require a modest payment towards the card balance. Modest meaning from $10 to $20 a month. To pay off a $7000 debt at $20 a month you will not pay off this debt for 29 years.And what about those interest charges? Paying off a $7000 credit card debt charging an interest rate of 18% and paying $20 a month towards the debt, you will pay over $18,400, more than TWICE the original debt, just in interest.What if you have more than one card? What if your debt is over $7000? What can you do? How can you get out of this hole?
There are some techniques that can help you pay off your debt and do not require expensive loans, invasive credit checks, or expensive financial planners and accountants. You can also save on interest charges by paying off your debts in a certain order.The most effective technique is sometimes called the "snowball" method. The snowball method suggests that when you pay off one debt you apply that payment amount to the next debt. Thus the amount you pay on a debt grows like a snowball rolling down a hill.
For example, you have three credit cards with debts of $5000, $4000, and $3000 which are charging you 18%, 27%, and 12%, respectively, and you are paying $150, $125 and $100 each month. By paying these required monthly amounts you will pay off your $3000 credit card first.Now that the $3000 card is paid off you have an extra $100 a month. Put that extra $100 toward paying off your next credit card debt. Now you are paying $225 a month on the $4000 card and the $150 on the $5000 card. With this accelerated payment on the $4000 card you will pay off the card earlier and save some money on interest charges. Then apply the $225 payment to the $5000 card for a monthly payment total of $375. Soon this card will be paid off and you will have $375 extra each month to pay off other debts or better yet, INVEST!So, which debts should get paid off first?Generally, you want to pay off the debts that are charging you the highest interest rates first.
In the above example you could have added the $100 payment to the $5000 credit card rather than the $4000 credit card. But the $4000 credit card is charging you 27% where the $5000 credit card is charging 18%. By paying off the card charging the higher interest rate first, you will save some money on interest charges.
If this sounds too confusing, you can enlist your computer. You can search the Internet for the keywords "debt reduction calculator" or you can visit http://www.simplejoe.com/debteraser/index2.htm and review a product named Simple Joe's Debt Eraser.
Simple Joe's Debt Eraser helps you create a Rapid Debt Reduction Plan that is customized to your debts and your situation. Just enter your debts and the amount you can afford to pay each month. The software will create a plan telling you how much to pay towards each debt each month until they are all paid off.
You CAN pay off your debts. The trick is to stop charging purchases to your credit cards and develop a debt reduction plan. Your plan should include "snowballing" your payments and prioritizing the debts by high interest rate.
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© Simple Joe, Inc.David Berky is president of Simple Joe, Inc. which sells the Simple Joe's Debt Eraser PC software. Debt Eraser can help anyone get out of debt quickly and inexpensively by creating a Rapid Debt Reduction Plan. This article may be freely distributed as long as the copyright, author's information and an active link (where possible) are included.
How much do YOU owe on your credit cards? The average American family is now over $7000 in debt just on their credit cards. That debt generates an interest charge of over $105 each month if your card charges the average 18%. If you have missed a payment or made a late payment (even by one day!), you may be paying up to 27% interest or over $157 each month.
Most credit card companies require a modest payment towards the card balance. Modest meaning from $10 to $20 a month. To pay off a $7000 debt at $20 a month you will not pay off this debt for 29 years.And what about those interest charges? Paying off a $7000 credit card debt charging an interest rate of 18% and paying $20 a month towards the debt, you will pay over $18,400, more than TWICE the original debt, just in interest.What if you have more than one card? What if your debt is over $7000? What can you do? How can you get out of this hole?
There are some techniques that can help you pay off your debt and do not require expensive loans, invasive credit checks, or expensive financial planners and accountants. You can also save on interest charges by paying off your debts in a certain order.The most effective technique is sometimes called the "snowball" method. The snowball method suggests that when you pay off one debt you apply that payment amount to the next debt. Thus the amount you pay on a debt grows like a snowball rolling down a hill.
For example, you have three credit cards with debts of $5000, $4000, and $3000 which are charging you 18%, 27%, and 12%, respectively, and you are paying $150, $125 and $100 each month. By paying these required monthly amounts you will pay off your $3000 credit card first.Now that the $3000 card is paid off you have an extra $100 a month. Put that extra $100 toward paying off your next credit card debt. Now you are paying $225 a month on the $4000 card and the $150 on the $5000 card. With this accelerated payment on the $4000 card you will pay off the card earlier and save some money on interest charges. Then apply the $225 payment to the $5000 card for a monthly payment total of $375. Soon this card will be paid off and you will have $375 extra each month to pay off other debts or better yet, INVEST!So, which debts should get paid off first?Generally, you want to pay off the debts that are charging you the highest interest rates first.
In the above example you could have added the $100 payment to the $5000 credit card rather than the $4000 credit card. But the $4000 credit card is charging you 27% where the $5000 credit card is charging 18%. By paying off the card charging the higher interest rate first, you will save some money on interest charges.
If this sounds too confusing, you can enlist your computer. You can search the Internet for the keywords "debt reduction calculator" or you can visit http://www.simplejoe.com/debteraser/index2.htm and review a product named Simple Joe's Debt Eraser.
Simple Joe's Debt Eraser helps you create a Rapid Debt Reduction Plan that is customized to your debts and your situation. Just enter your debts and the amount you can afford to pay each month. The software will create a plan telling you how much to pay towards each debt each month until they are all paid off.
You CAN pay off your debts. The trick is to stop charging purchases to your credit cards and develop a debt reduction plan. Your plan should include "snowballing" your payments and prioritizing the debts by high interest rate.
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© Simple Joe, Inc.David Berky is president of Simple Joe, Inc. which sells the Simple Joe's Debt Eraser PC software. Debt Eraser can help anyone get out of debt quickly and inexpensively by creating a Rapid Debt Reduction Plan. This article may be freely distributed as long as the copyright, author's information and an active link (where possible) are included.
Debt Management Advise Towards a Debt-free Life
Author: Tess Ocean
Debt being a financial obligation has to pay in a simple and straightforward manner. While debt management advise towards a debt-free life effectively, so with the managing skill you are able to control your multiple spiraling debts. If you are under multiple debts and different lenders are knocking at your door everyday for their payments then you need to seek debt management advise. This is going to make your life better than before.
This management advises some counseling programs, debt consolidation programs and debt settlement programs, etc. of that, a debt counseling program is provided by a professional who teaches you all about the arts of managing your miscellaneous debts, from avoiding debts to eliminating debts. On the other hand, debt consolidation program make easy to merge all of your debts into a single repayment scheme with comparative low rate of interest. Thereupon, you pay a single monthly payment instead of several high payments. Debt settlement programs allow you to payoff your debt within a year or two.
Under debt management advise, first of all your debts will be assessed. Well after an in-depth study, the debt advisor will tell you the most suitable option for the management of your debts. A number of debt management institutions are there to relieve you from many creditors, as the group takes whole the responsibility to handle your debts on your behalf. You pay one monthly payment to the debt management company. Then, the company distributes the loan amount among your creditor according to their proportions.
You can make application for debt management advise online also. There are many debt management companies available online. However, you are required to research properly before you conclude any deal. Note to check the reputation of the company you are dealing with. Collate some information from different sources and compare their terms and conditions. Here, you can even use online calculator.
In all, debt management advise you to lead a debt-free life. It puts the best possible guidelines which help in avoiding any debt in future.
Source : http://www.articlebase.com/
About the Author:
Tess Ocean has been associated with Easy Debt Management. Having completed her Masters in Finance from Yale University, School of Management. She provide useful advice through her articles that have been found very useful. To find debt management advise, debt management services, easy debt management, online debt management visit http://www.easydebtmanagement.uk.com/
Debt being a financial obligation has to pay in a simple and straightforward manner. While debt management advise towards a debt-free life effectively, so with the managing skill you are able to control your multiple spiraling debts. If you are under multiple debts and different lenders are knocking at your door everyday for their payments then you need to seek debt management advise. This is going to make your life better than before.
This management advises some counseling programs, debt consolidation programs and debt settlement programs, etc. of that, a debt counseling program is provided by a professional who teaches you all about the arts of managing your miscellaneous debts, from avoiding debts to eliminating debts. On the other hand, debt consolidation program make easy to merge all of your debts into a single repayment scheme with comparative low rate of interest. Thereupon, you pay a single monthly payment instead of several high payments. Debt settlement programs allow you to payoff your debt within a year or two.
Under debt management advise, first of all your debts will be assessed. Well after an in-depth study, the debt advisor will tell you the most suitable option for the management of your debts. A number of debt management institutions are there to relieve you from many creditors, as the group takes whole the responsibility to handle your debts on your behalf. You pay one monthly payment to the debt management company. Then, the company distributes the loan amount among your creditor according to their proportions.
You can make application for debt management advise online also. There are many debt management companies available online. However, you are required to research properly before you conclude any deal. Note to check the reputation of the company you are dealing with. Collate some information from different sources and compare their terms and conditions. Here, you can even use online calculator.
In all, debt management advise you to lead a debt-free life. It puts the best possible guidelines which help in avoiding any debt in future.
Source : http://www.articlebase.com/
About the Author:
Tess Ocean has been associated with Easy Debt Management. Having completed her Masters in Finance from Yale University, School of Management. She provide useful advice through her articles that have been found very useful. To find debt management advise, debt management services, easy debt management, online debt management visit http://www.easydebtmanagement.uk.com/
Getting the Best Mortgage Rate
Autor: fsegura
Buying a home is an expensive endeavor so getting the best possible mortgage rate should be one of your main priorities. By deciding to get the best mortgage rate possible you will be making a positive decision to help you for many years to come. However, just deciding to get the best mortgage rate available is not going to get you the best mortgage rate available. Instead, you will need to learn the tips and tricks for negotiating with your mortgage lender in order to receive the best possible mortgage rate for your personal situation.
Mortgage Rate Tip #1 Origination FeeYour mortgage rate might be low in your mind, but you must take the origination fee into account as well because this can increase your APR. Lenders frequently charge 1%, but you can always negotiate the mortgage rate origination fee lower. Also, if the origination fee is much higher than 1% you need to either negotiate it down, or find another lender with a more favorable overall mortgage rate.
Mortgage Rate Tip #2 Lock in the RateWhen negotiating your mortgage rate, make sure your lender is prepared to lock in your rate for at least 30-60 days. This way you will be guaranteed a particular rate even if rates skyrocket the next day. Another not trick many individuals are not aware of is to include a clause that also will allow you to take a lower rate if rates fall during this period. This is a great mortgage rate tip because you get your mortgage rate locked in so it can't go any higher, but if the average mortgage rate goes lower you receive the lower rate.
Mortgage Rate Tip #3 FightIf the mortgage rate drops significantly and you have already signed a deal locking in a particular mortgage rate and don't have a clause that ensures you will receive the lower rate, then you need to fight. You simply need to call your lender and say that while you signed the lock in agreement you want the lower rate. This will take some negotiating, but your lender wants you business and might be willing to negotiate the mortgage rate with you.
Source: Free Articles
About The Author
Jay Moncliff is the founder of http://www.mileniummortgages.com a website specialized on Mortgage Rate, resources and articles. This site provides updated information on Mortgage Rate. For more info on Mortgage Rate visit: http://www.mileniummortgages.com
Buying a home is an expensive endeavor so getting the best possible mortgage rate should be one of your main priorities. By deciding to get the best mortgage rate possible you will be making a positive decision to help you for many years to come. However, just deciding to get the best mortgage rate available is not going to get you the best mortgage rate available. Instead, you will need to learn the tips and tricks for negotiating with your mortgage lender in order to receive the best possible mortgage rate for your personal situation.
Mortgage Rate Tip #1 Origination FeeYour mortgage rate might be low in your mind, but you must take the origination fee into account as well because this can increase your APR. Lenders frequently charge 1%, but you can always negotiate the mortgage rate origination fee lower. Also, if the origination fee is much higher than 1% you need to either negotiate it down, or find another lender with a more favorable overall mortgage rate.
Mortgage Rate Tip #2 Lock in the RateWhen negotiating your mortgage rate, make sure your lender is prepared to lock in your rate for at least 30-60 days. This way you will be guaranteed a particular rate even if rates skyrocket the next day. Another not trick many individuals are not aware of is to include a clause that also will allow you to take a lower rate if rates fall during this period. This is a great mortgage rate tip because you get your mortgage rate locked in so it can't go any higher, but if the average mortgage rate goes lower you receive the lower rate.
Mortgage Rate Tip #3 FightIf the mortgage rate drops significantly and you have already signed a deal locking in a particular mortgage rate and don't have a clause that ensures you will receive the lower rate, then you need to fight. You simply need to call your lender and say that while you signed the lock in agreement you want the lower rate. This will take some negotiating, but your lender wants you business and might be willing to negotiate the mortgage rate with you.
Source: Free Articles
About The Author
Jay Moncliff is the founder of http://www.mileniummortgages.com a website specialized on Mortgage Rate, resources and articles. This site provides updated information on Mortgage Rate. For more info on Mortgage Rate visit: http://www.mileniummortgages.com
What Does A Home Mortgage Broker Do ?
Autor: kensnow
When you need to purchase a new home most people do not have the capital to be able to fully buy one. They will need to take out a mortgage or loan to make up the difference on the amount they have and the purchase price of the new home.There are 2 main ways of getting a mortgage, through a bank or through a mortgage company.
To help with getting a mortgage you will use a loan officer or a mortgage broker.The main difference between a loan officer and a mortgage broker is that the loan officer works for the bank or mortgage company that is offering the mortgage and the mortgage broker is independent. They may use a number of different companies to arrange a mortgage with and there fore give you the borrower more choice.
One of the main advantages of having a broker arrange your mortgage for you is that they do have a wider choice of products and companies to choose from. On the other hand you need to be aware that the mortgage broker is paid from the closing fee made on the mortgage.So if you have a poor credit history most banks will not give you a mortgage. The mortgage broker on the other hand can search around all the companies he deals with to find a company that offers bad-credit mortgage loans. He may even be able to find a choice of offers for you and you can pick the best deal for your circumstances.
It may be faster getting your mortgage through a bank or credit union but you may not always get the best deal. The mortgage broker should be able to get you a better deal on your mortgage, although it may take longer to arrange because he is acting as the middleman between you the borrower and the mortgage company, the lender. It can be time-consuming to resolve mortgage matters between these two entities because of all the paperwork involved and the financial checks needed.While the mortgage broker can help with filling in the applications and details it is up to the borrower to check and submit correct information so that they do not get into financial difficulties later on.
While buying a home is one of the most stressful things you can do, it is also usually a sound financial investment. However it is always best to get good and sound financial advice from an independent financial advisor, someone who is familiar with property or an independent mortgage broker.
Source: Free Articles
About The Author
Find out how to get Hackensack homes for sale NJ at below market value at http://a1-finance.com/homes-for-sale/hackensack-homes-for-sale-nj.php
When you need to purchase a new home most people do not have the capital to be able to fully buy one. They will need to take out a mortgage or loan to make up the difference on the amount they have and the purchase price of the new home.There are 2 main ways of getting a mortgage, through a bank or through a mortgage company.
To help with getting a mortgage you will use a loan officer or a mortgage broker.The main difference between a loan officer and a mortgage broker is that the loan officer works for the bank or mortgage company that is offering the mortgage and the mortgage broker is independent. They may use a number of different companies to arrange a mortgage with and there fore give you the borrower more choice.
One of the main advantages of having a broker arrange your mortgage for you is that they do have a wider choice of products and companies to choose from. On the other hand you need to be aware that the mortgage broker is paid from the closing fee made on the mortgage.So if you have a poor credit history most banks will not give you a mortgage. The mortgage broker on the other hand can search around all the companies he deals with to find a company that offers bad-credit mortgage loans. He may even be able to find a choice of offers for you and you can pick the best deal for your circumstances.
It may be faster getting your mortgage through a bank or credit union but you may not always get the best deal. The mortgage broker should be able to get you a better deal on your mortgage, although it may take longer to arrange because he is acting as the middleman between you the borrower and the mortgage company, the lender. It can be time-consuming to resolve mortgage matters between these two entities because of all the paperwork involved and the financial checks needed.While the mortgage broker can help with filling in the applications and details it is up to the borrower to check and submit correct information so that they do not get into financial difficulties later on.
While buying a home is one of the most stressful things you can do, it is also usually a sound financial investment. However it is always best to get good and sound financial advice from an independent financial advisor, someone who is familiar with property or an independent mortgage broker.
Source: Free Articles
About The Author
Find out how to get Hackensack homes for sale NJ at below market value at http://a1-finance.com/homes-for-sale/hackensack-homes-for-sale-nj.php
Debt Settlement - Working With Your Creditors To Get Out Of Debt
By Susanne Myers
Debt happens to good families, it's a fact. There are so many reasons and circumstances why people find themselves in debt. When a spouse becomes ill, or unemployed or injured families get behind and sometimes end up in debt. Some people are able to find other funds and get out of debt on their own, but there are others who need assistance.
One way a person or family can get themselves out of a severe debt problem is by debt settlement. Debt settlement commonly occurs in one of two ways. It can be arranged by a creditor or can happen through protective legal action. If you are in debt and have no way to make the payments and obligations that you have incurred, then one thing you can do is to contact your creditor and create an agreement to either pay off part of the debt or work out a payment plan over the long term.
If, for example, you have a relatively small amount of debt that over time has accrued a lot of interest, there may be certain time when you can work out an agreement with your creditor to pay off only the principal or the principal with a smaller portion of the interest. Creditors will agree to this because they would rather get some of their money than none at all.
Another thing you may be able to arrange is a long-term payment plan where you can skip a few payments or go into forbearance for a set period of time in order to get your feet back on the ground and then continue to pay off your debt. If you find yourself in a bad situation where you just have no way to pay off your debts, you may need to get legal protection. Legal protection normally includes bankruptcy or debt reorganization.
Of course this isn't the first or most attractive choice for almost everyone, but for some people it is the only way to get them back on stable ground. That being said, when deciding on bankruptcy or debt settlement, always consult with your lawyer to be sure you have examined all the options first.
About the Author: For more information about creating a family budget visit http://www.ourfammilybudget.com/ and sign up for our free budget tips newsletter.
Source : http://www.articles3000.com/
Debt happens to good families, it's a fact. There are so many reasons and circumstances why people find themselves in debt. When a spouse becomes ill, or unemployed or injured families get behind and sometimes end up in debt. Some people are able to find other funds and get out of debt on their own, but there are others who need assistance.
One way a person or family can get themselves out of a severe debt problem is by debt settlement. Debt settlement commonly occurs in one of two ways. It can be arranged by a creditor or can happen through protective legal action. If you are in debt and have no way to make the payments and obligations that you have incurred, then one thing you can do is to contact your creditor and create an agreement to either pay off part of the debt or work out a payment plan over the long term.
If, for example, you have a relatively small amount of debt that over time has accrued a lot of interest, there may be certain time when you can work out an agreement with your creditor to pay off only the principal or the principal with a smaller portion of the interest. Creditors will agree to this because they would rather get some of their money than none at all.
Another thing you may be able to arrange is a long-term payment plan where you can skip a few payments or go into forbearance for a set period of time in order to get your feet back on the ground and then continue to pay off your debt. If you find yourself in a bad situation where you just have no way to pay off your debts, you may need to get legal protection. Legal protection normally includes bankruptcy or debt reorganization.
Of course this isn't the first or most attractive choice for almost everyone, but for some people it is the only way to get them back on stable ground. That being said, when deciding on bankruptcy or debt settlement, always consult with your lawyer to be sure you have examined all the options first.
About the Author: For more information about creating a family budget visit http://www.ourfammilybudget.com/ and sign up for our free budget tips newsletter.
Source : http://www.articles3000.com/
Before You Buy That House - Do You Know These 7 Things? I Didn't
By CL Haehl
1. You can negotiate a better interest rate. Although the general consumer knows you can often get a better deal by shopping around, most people do not transfer this technique to obtaining a mortgage. Keep in mind that the interest rates quoted by lenders are almost always flexible, so all you have to do is ask for a lower rate. Many times, the lender will come back with a better offer if they're worried that you'll take your business elsewhere.
2. Know your credit history and credit score. Since the largest part of the loan approval process is determined by using your credit history, it is essential that you do not meet or speak with a lender or broker without first having a familiarity with such information. The worse your credit history and score, the worse and more expensive the final loan payment will be. By becoming familiar with your report, you will not be surprised by any questions raised by the lender/broker, plus you will have the opportunity to address any negative issues on your report.
3. APR does not mean what you think it does. The concept of the APR (Annual Percentage Rate) is designed to help the average borrower evaluate and compare different mortgage loans from different lenders. However, since every lender calculates their APR differently, the end result is significant confusion and an essentially worthless figure. Some lenders include their own fees and expenses into determining their APR, while others do not (hoping to illustrate a more attractive loan). Also, factors unrelated to the lender effect the APR (size of loan, type of loan, etc.).
4. The number of lender choices you have and offers you receive will be entirely dependent upon the number of relationships your mortgage broker has in place. Since more than half of all mortgages begin with a broker, it is important that you get as much background information as possible on that particular brokerage before committing to work with them. It's important to find out how many lending institutions they work with and what type of relationships they have. Be sure to choose a broker with multiple relationships in place so that you're assured a multitude of offers from qualified lenders.
5. Your monthly payment may be higher than the lender actually tells you. Keep in mind that, when discussing your monthly payment, many lenders focus only on what amount is required to repay the mortgage loan. In reality, there are often several other items that are added into that payment in addition to the mortgage loan payment. For example, most monthly payments have property taxes included in them. Others have home owner's insurance included. Some payments will have various other insurance and municipal fees tacked on. So make sure you're fully aware of all the additional sums that will be added to your payment.
6. Getting "pre-qualified" is actually worthless. The pre-qualification is simply a lenders disclaimer that you appear to meet the criteria needed for a mortgage. Too many lenders will send a pre-qual letter, expecting the buyer to use this letter as a means of confidently shopping for a house. This letter is generated entirely based on the conversation you have with the broker/lender, therefore no official or formal evaluation has been conducted, and the parameters of the final loan will most likely be different.
7. Buying in the winter months usually means lower prices. If you have a choice as to when you'll begin shopping for a home, you may want to consider purchasing during the winter months. The summer is usually considered a seller's market because buyers with families and small children are under time pressure. They do not want to disrupt the school schedule, and moving is easier in a warmer environment. This means less time for buyers to make decisions, shop for other homes, etc. If you can possible arrange to buy in the winter you usually spend less money.
About the Author: See a complete list of 25 Things I Wish I Had Know Before I Bought My House - You Might Be Surprised!
Source : http://www.articles3000.com/
1. You can negotiate a better interest rate. Although the general consumer knows you can often get a better deal by shopping around, most people do not transfer this technique to obtaining a mortgage. Keep in mind that the interest rates quoted by lenders are almost always flexible, so all you have to do is ask for a lower rate. Many times, the lender will come back with a better offer if they're worried that you'll take your business elsewhere.
2. Know your credit history and credit score. Since the largest part of the loan approval process is determined by using your credit history, it is essential that you do not meet or speak with a lender or broker without first having a familiarity with such information. The worse your credit history and score, the worse and more expensive the final loan payment will be. By becoming familiar with your report, you will not be surprised by any questions raised by the lender/broker, plus you will have the opportunity to address any negative issues on your report.
3. APR does not mean what you think it does. The concept of the APR (Annual Percentage Rate) is designed to help the average borrower evaluate and compare different mortgage loans from different lenders. However, since every lender calculates their APR differently, the end result is significant confusion and an essentially worthless figure. Some lenders include their own fees and expenses into determining their APR, while others do not (hoping to illustrate a more attractive loan). Also, factors unrelated to the lender effect the APR (size of loan, type of loan, etc.).
4. The number of lender choices you have and offers you receive will be entirely dependent upon the number of relationships your mortgage broker has in place. Since more than half of all mortgages begin with a broker, it is important that you get as much background information as possible on that particular brokerage before committing to work with them. It's important to find out how many lending institutions they work with and what type of relationships they have. Be sure to choose a broker with multiple relationships in place so that you're assured a multitude of offers from qualified lenders.
5. Your monthly payment may be higher than the lender actually tells you. Keep in mind that, when discussing your monthly payment, many lenders focus only on what amount is required to repay the mortgage loan. In reality, there are often several other items that are added into that payment in addition to the mortgage loan payment. For example, most monthly payments have property taxes included in them. Others have home owner's insurance included. Some payments will have various other insurance and municipal fees tacked on. So make sure you're fully aware of all the additional sums that will be added to your payment.
6. Getting "pre-qualified" is actually worthless. The pre-qualification is simply a lenders disclaimer that you appear to meet the criteria needed for a mortgage. Too many lenders will send a pre-qual letter, expecting the buyer to use this letter as a means of confidently shopping for a house. This letter is generated entirely based on the conversation you have with the broker/lender, therefore no official or formal evaluation has been conducted, and the parameters of the final loan will most likely be different.
7. Buying in the winter months usually means lower prices. If you have a choice as to when you'll begin shopping for a home, you may want to consider purchasing during the winter months. The summer is usually considered a seller's market because buyers with families and small children are under time pressure. They do not want to disrupt the school schedule, and moving is easier in a warmer environment. This means less time for buyers to make decisions, shop for other homes, etc. If you can possible arrange to buy in the winter you usually spend less money.
About the Author: See a complete list of 25 Things I Wish I Had Know Before I Bought My House - You Might Be Surprised!
Source : http://www.articles3000.com/
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