November 24th, 2009 at 04:51pm
Under Credit Reports
Question:
Where could someone get a modest loan with a poor credit report?
Answers:
What type of loan would you like?
If you want to purchase a home, do it. I am in the works of buying my first house. I did not think I would ever do this because of my poor credit report, but there are services out there that you qualify for, you just need to locate a lender that is willing to work for you.
Buying a house would help you pay off debt, since you get equity, and you may defer any taxes.
An additional thing you can do to pay back your debt is to claim additional dependents on your W4 form through your workplace. You get approximately $200 to $250 or more each month, and you may use that toward your regular monthly payment on your outstanding debt, and it is completely legal.
If you would like a debt consolidation loan, I would suggest closing all of your unsecured debt accounts (i.e.: credit cards) and never spend on them any longer. Inform the credit card company you plan to pay this off, and at times they will either decrease your interest rate, or negotiate a settlement with you. As soon as the account is paid for, report it to equifax and they will alter your poor credit report, and do not ever get another credit card because they are a bad idea.
Your existing bank might work with you on obtaining a debt consolidation loan, and if you own any assets to use as collateral, for example, a car that you have paid for, or your house that has equity, you can get the debt consolidation loan with your home or your vehicle as collateral. This means that if you happen to ever default on your loan, they can use the house or vehicle to pay off the loan (so do not ever default on any debt consolidation loan).
I am by no means a banker, I’m just talking from personal experience, so to be certain of what you have to do, set up a meeting with one of your bank’s financial advisers, or go to their website for free financial suggestions.
refinance mortgage
By admin
November 24th, 2009 at 04:51pm
Under Loans for Bad Credit
Question:
Getting a bank account with really poor credit history?
Would anybody have any knowledge on what basic bank accounts or overseas bank accounts can be opened with a really poor credit history or even financial institutions that do not run credit checks? I need a bank account without any overdraft, card, etc.
Answers:
My son opened one with Halifax, he has to go into the branch to get his money out and after about six months, they have issued her a cash point card as well as an overdraft on her wages. It may be worth going into a branch and asking – you will require a lot of ID but you should be able to get a standard account with a bank book.
I do not think you will find one that will not run a credit check, I wouldn’t go into overseas accounts since their regulation might not be the same as ours.
Sadly, with a poor credit history you will struggle. They will run a credit check to satisfy money laundering rules. Ones issuing current accounts etc will attempt to make profit in other ways like offering you overdrafts as well as credit cards loans and perhaps even mortgages. They look at the larger picture. Someone with a poor credit history gives them no future relationship or any profit, and essentially they are just doing you a service for free.
I would suggest the best thing you can do is go and visit them in the branch one day. They may get things overridden if you are able to put yourself across in the proper way.
If you reside in the US, try going to a credit union as they may be more flexible. The caveat is that if your poor credit history includes owing banks due to bad checks or cancelled accounts, you will need to fix those issues first. Credit is not as much of an issue, unless you have to owe a bank for an old account closed by them as a result of negative balances.
By admin
November 24th, 2009 at 04:51pm
Under Poor Credit Questions
Question:
Information about bad credit rating?
As of now, I have a bad credit rating but have been hired at a decent job which means I am able to pay off my loans and overdrafts within six months. If I can do this and then refuse to borrow or go into my overdraft, how much time will it take for me to get my credit rating back to a higher rating? Thank you
Answers:
Seven years of decent credit will increase your score.
I paid off all my credit card balances and in three months I was fine with about a 30 point increase. I also had a few colection items and it increased from 520 to about 640 within six months but if you want to be very big like over 680 than that could take up to two or three years of stable good standing and no inquiries. I bought a home as soon as my credit increased to 640.
It depends on how bad your credit is. Shopping catalogs will come off in two years. that is why they will start bugging you when that time is almost finished. If they fool you into a payment, so they will get off your back, it is only a trick. If you commit to payment, you’re back on the two-year thing. However, stay up to date on your payments now, they watch the current activity a lot.
I had a bad credit rating seven years ago and I am still not clear. I think I am still blacklisted. It doesn’t concern me now since I don’t do plastic. If I do not have the cash, I don’t buy it. I just wish i’d have done that seven years ago after three credit cards. I had a very low credit score nobody would go near me with my history.
Three years. Anything after that, companies are not that concerned with, but you must remember not to try and get credit within the first twelve months of getting rid of your debts and if you do only apply for two things within six months of each application, as the more credit you apply for harms your rating more than not paying back the credit as when the companies search they see all the applications.
By admin
November 24th, 2009 at 04:51pm
Under Bad Credit Mortgages
Question:
Looking for mortgage for bad credit?
Hello everyone. I am trying to find mortgage companies or advice on how to get mortgages for bad credit. My credit has been damaged because of credit cards while i was in school. My credit score is around six hundred now and has been more than a little hard to build back up. Could someone help me on how to get a mortgage on a home for about 120,000? How high of a down payment would be needed? How much can I generally expect for closing costs? Are there alternatives for people who don’t have a high down payment?
Answers:
It is based a lot on the region you are in. In Texas, it is becoming a lot more difficult. You would require a large down payment and a steep interest rate. I got into my house two years ago with two months worth of escrow ($2,500) but now it is a lot more difficult. I suggest that you contact a mortgage broker.
By admin
November 24th, 2009 at 04:51pm
Under Bad Credit Mortgages
Question:
Bad Credit Mortgage?
I do not have horrible credit, however it’s not spotless. I have been tardy on two credit card payments (my husband wasn’t paid for three months). If we want to buy a house in two to three years, will that be sufficient to keep us from having to get a mortgage? How poor does your credit have to be to have to apply for a “bad credit mortgage”?
Answers:
Two or three years from now, a missed payment on a couple cards cannot send you into twenty percent interest rates. I am also assuming those cards before the the missed payment was up to date and you don’t be late on any payment for the next year or two. These can be justified by the fact that your husband didn’t get paid from work. That explanation will send up alarms if you looked for a mortgage now. Missing a couple payment on a few cards after not receiving payments for three months will point out to the lender that you do not have enough savings to handle a bump in the road. They will view this on the mortgage application either way. Most well-known agencies will ask or mandate you have a six month savings buffer. After your situation, they may strongly recommend it and reject your application until you have enough savings. They are just saving their business from you defaulting on the mortgage and foreclosure.
Even if your rating comes in really poor, as long as your front and back ratios appear fine, the bad credit score will just disable you from top lenders and the lower interest rates. You would, on the other hand, qualify for sub-prime companies which may not hold PMI charges, but will charge a few numbers higher. You may still be able to get a piggyback loan in which your mortgage is partially funded by a prime lender and a sub-prime lender. Piggy backs may get rid of PMI but a portion of your sub-prime loan will still come at a larger interest rate.
Your primary problem isn’t the missed payments, your primary problem is your low savings. Save enough for the both of you to live on for 6 months with zero income and then everything above that, use that for an up-front payment. Even if in three years that additional savings doesn’t equal a 20% down payment, you’ll still be able to get a large number and many types of loans if your credit score and ratios are sufficient.
By admin
November 24th, 2009 at 04:51pm
Under Loans for Bad Credit
Question:
Are there loans for people who have bad credit in Canada?
My brother who has poor credit wants to put in an application for a personal loan.
Are there any decent ones that will accept him?
Answers:
Tell your brother to wait and save his money for what he wants the personal loan for people with bad credit for and at the same time to better his credit score — he will not be able to get a decent loan and will only harm her credit more in the long run.
If you have some possessions to give as collateral, your chances increase. The main reason why people with bad credit history do not receive loans is because the lenders are worried that the borrowers will default again. However if you can give collateral, your lender is happy in the knowledge that his money is in good possession. You have to attempt to meet the repayment schedule, and if you do not you lose the asset.
If you do not own any collateral, try to get an unsecured personal loan, which is uncommon for people with poor credit. It is essential that your credit record is clean for an unsecured personal loan. On the other hand, some lenders can accept your case due to inevitable reasons.
By admin
November 24th, 2009 at 04:51pm
Under Credit Scores
Question:
How may I repair my poor credit score when I have paid off everyone?
My current credit score is still in the 500s. I paid back all of my creditors as well as my credit cards. I recently bought a new vehicle with a co-signer and i pay higher than my monthly payment. However, my credit score remains in the 500s range and it has been more than a year since i have everyone back. Is there any alternative method to improve my poor credit score?
Answers:
Collections (i.e.: the first bad debt) will remain on your credit for seven to ten years. Therefore, even if you’re in the clear right now, your recent past still weighs a lot, particularly the negatives. You may need to use a credit card, and pay it back, just to maintain a history of repaying back your debts. Simply having no debt doesn’t give you any particular benefit. The credit report companies would rather like to view you using credit properly. It will take some time.
You have to get your credit report to see what is currently on them. If you have not run them in over a year, you can ask for them for free through annualcreditreport.com. As soon as you’ve seen the negatives and positive items on the reports, then it is vital to dispute the negative items and attempt to establish some positive items. You may be pretty surprised on what could be in your credit reports. You could attempt to do poor credit repair on your own, but it can consume a lot of time, it can be frustrating, and it can be stressful. It may be a good idea to find a good credit repair company to work with you to assist you in rebuilding your credit. I was lucky enough to work with a company by the name of Debtbusters911. They provided me with personalized service and explained all the advice to me step by step. They utilize consumer rights and laws that many individuals don’t even realize they have to improve their poor credit score. Your credit score is probably the most!
important number of your life. You see for yourself that even if you pay back everyone you owe to, you need to have decent credit and a fairly decent credit score to get ahead and get better interest as well as financing rates. There are still some decent companies that can assist you out there.
By admin
November 24th, 2009 at 04:51pm
Under Loans for Bad Credit
Question:
I still require answer for bad credit unsecured loan. I require $6 thousand, and my Experian has decreased to 524 and prosper rejected me.
Each time I apply for a loan my credit decreases. It was above 620. My issue is that i have sixteen accounts and all are current but only for a while longer if I can’t get assistance. My ex decided to go through the state for child support and the IRS is garnishing me by ten percent of my gross income. I really have to consolidate my bills and would really like to have the $6,000. I have an income of $48,000 from last year and i’m likely to be at 52 to 60k thousand this year. However, everything hit me simultaneously including child support which i was required to pay $1170.00 and they took $475 out of my last paycheck and their taking $511.00 out of the next one, which is not going to allow me to take care of any bills besides my rent and interest on a payday loan. I’ve been working very hard attempting to better my credit rating. I will do whatever is needed to get out of this little pit that i have dug. I can obtain that 60 points back very quickly. I just do not want any!
poor marks or late payments on my credit report anymore. I would really like your feedback. Thanks.
Answers:
The thing you absolutely must do is take action prior to any late payments. Once in a while if you contact your creditors and tell them your situation they will let you opt out of a payment for one month. Creditors basically want their money and if you contact them first they will understand that you do want to reimburse them.
You can consult with one of the small independent credit companies in your city. Their interest rates will be steeper than banks. They will not likely give you $6,000, but they may help you consolidate your bills, and then when your FICO increases you can transfer the loan to a bank loan of lower interest.
By admin
November 24th, 2009 at 04:51pm
Under Loans for Bad Credit
Question:
Does anybody know who performs Bad Credit loans?
I was wondering if you know of any company that does loans for an individual with bad credit. (poor credit, low score, and very many inquires) It can be secured with a steep rate of interest. I desperately need the funds for bills.
Answers:
Yes some, for example fastcash or payday loan. However your interest rate may be at 200% when you reimbursed the balance. Asking for a loan with high interest rate doesn’t assist you very much. If you have a mortgage to pay, contact them to explain your situation. Your mortgage should work out with 2 or 3 months waiver payment. You might need to consider reducing personal spending if you are thinking of a few thousand dollars loan. Since you already have a poor score, your bank will require title of your new vehicle as collateral and charge you with 24% rate of interest. Ask for money from your family beforehand. An extral loan does not not help you either because you are in financial hardship.
By admin
November 24th, 2009 at 04:51pm
Under Credit History
Question:
Help with bad credit history?
I have received bad credit history through a credit card I owned. I had a couple late payment but then paid it all out in full. I have a credit history report and it states it will be on default for six years but can I clear this, as I am wishing to rent a house and do not want a bad credit history to affect me.
Answers:
Is this account still open? Did you close it?
The listing in the credit report should read “Paid” if this account is no longer open or “Pays as agreed” if this account is in fact open. Did you happen to close the account after paying it off in full? If this is your only problem, then I think that you should be okay in terms of renting a home. Do you have any other negatives in your credit report? Do you have alternative accounts that are in decent standing?
If the account is no longer open and it does not say “Paid” then you shoul dispute this with the credit reporting companies. You can achieve this on the internet. Go to http://www.annualcreditreport.com and get the free copies of your credit report. If you have already tried this, then good. Now go to all of the credit reporting agencies and issue online disputes. This is the quickest and most effective way to argue an item. On the internet, they give you a list of choices on how to carry this out. Choose the option that best fits your problem. I think that there is a choice that says “I paid this account” if it does not say paid.
If it does in fact say paid, you can alternatively try to dispute it’s very existence in your credit report. The credit reporting company has thirty days to verify the data. If it can’t, then they don’t have any choice but to remove it.
Generally, one bad item out of many of other good items shouldn’t damage your credit that much.
By admin
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