Archive for November, 2008
November 30th, 2008 at 12:00am
Under Credit Cards and Bad Credit
Question:
Do credit card companies issue credit cards for people with poor credit rating?
Hello everyone,
I have just sent in a credit check and I am currently waiting to hear back, but just out of suspicion, I was wondering how poor my credit rating actually is. i have been getting credit card offers in the past from popular companies with 2.5% interest.
Would they issue it to me if I had a poor credit rating or would they just send these to all people on their mailing list?
Thank you for your help.
Answers:
Yeah, you will get them but if you believe you will receive an American Express or one of the other big ones, dream on. You will also get rejected when they do your credit check.
Hello,
Yes, sadly these companies do send them to all people, or at least most households. Some companies will issue you a ‘guaranteed’ product message if you have held an account through them for a period of time and they realize that your credit rating is fine. For instance, if you have had a bank account through the Halifax for a few years, typical wages being credited, never in overdraft or kept within limit if you have an overdraft, resided at the same address for over three years, then they have a pretty decent view of your personal credit history. It is probable they will have checked your credit score prior to sending out a guaranteed product letter, thus their confidence in issuing it to you.
If you obtain a bog standard offer from any company and put in an application for the product, they will then check your credit score and if your credit rating is bad, they will reject the offer. It is stupid, I know, but never just assume that since you have received an application that you are going to be offered that product.
I hope this assists you.
By admin
November 30th, 2008 at 12:00am
Under Poor Credit Questions
Question:
Is owning a house possible for individuals with poor credit?
I have poor credit, but I also have a stable job and am planning to sign up for a debt consolidation program. I have not ever owned a house before. Is there any program for first-time house buyers who have poor credit? Does anybody have any suggestions?
Answers:
If your credit rating is bad and you are looking to buy a house, you could try to go for a poor credit home mortgage loan. Poor credit history includes a combination of late payments, bankruptcy or inability to pay bills. No matter how poor your credit history is, through a bad credit home mortgage loan, you may borrow money to finance your home easily. This assists you in buying a home, redecorate your house or even consolidate your loans. This sort of loan reduces your monthly payment due to lower interest charges as well as liabilities. As this particular loan gets tax relief, your tax liability also decreases.
Credit consolidation is not the answer I would recommend. Anything they do for you is something you can do for yourself. All you need to do is call your creditors and get them to reduce your interest so that you may issue timely payments for them. Credit consolidation will put it in your credit report so it may not help you with the mortgage. Have a look at your credit report, all three of them, and obtain your scores to see what it is that you will need to change. I could show you a few ways to fix it up.
Why is your credit bad? Did you file for bankruptcy? If it is due to too much debt, they may assist you if you have stable income and can show decent payback. There are companies that lend to people who are looked upon as a larger risk. You will need to come up with a payment up front, depending on your credit and amount of the loan, there is also a possibility that you could consolidate your debt into the house loan, and perhaps get a home equity loan in the future.
By admin
November 28th, 2008 at 12:00am
Under Poor Credit Questions
Question:
Is there a method of financing a $700,000 poor credit home?
I’d like to purchise this house and property, but I do have bad credit. It would be my first house. How can I get over my poor credit history and finance the house of my dreams?
Answers:
It is doubtful. Compile the following: A balance sheet containing what you have and what you owe, an operating statement for the last 12 months, showing where the funds came from as well as where they went.
Take both of to your local bank and speak to a mortgage officer, and you will be able to learn a lot.
Thank you for making me laugh.
I must guess that you are joking.
Yes there are ways to finance such a poor credit home, but I do have my suspicions that any are illegal.
Keep with your dreams because when you wake up you will see that reality is not so great.
Produce an after-tax cash flow of over six thousand per month and you will be able to get financing. Obviously, with the sub-prime bloat and companies falling out of the mortgage business, as well as jumbos as high as eight percent now you should make it $10000 a month after taxed income.
Your first house, and you’ve decided on one that costs 700 thousand?
And a poor credit home as well? Wow, are you kidding?
It is going to be hard with the credit recession that is going on. Lenders are getting more strict.
Are you certain you will be able to produce the payments?
It would be wise to work on fixing up your credit first.
$700,000 plus interest is a lot of money. If you spend time rebuilding your credit score then you would be able to be approved for a lower rate and you could save money.
Do not be concerned about the home. You will find another one in the future that you like just as much.
By admin
November 27th, 2008 at 12:00am
Under Bad Credit Questions
Question:
Are bad credit companies that issue personal loans permitted to ask for a couple months down payment right away?
I applied for a bad credit personal loan over the internet. A company named Birchmount Lending called saying I was approved for five thousand, with monthly payments of 223.54 for two years. But because my credit is not the best, I would need to give them four payments upfront. Let me know what you think.
Answers:
There are two really obvious things not right with this offer. First no legitimate company requests any money up front. The other is for your payments to be that small for two years, your interest rate would need to be around 6 percent. Now consider that. Would that sound like any bad credit companies interest rate?
You are surely not interested. This is known as an advance fee loan scam.
It seems like the same scam operated by a company under the name of Fremont Lending. Did you happen to talk with someone by the handle of Edward Field? This company will take your fee and contact you back saying the lender backed out of your loan but they found a second lender that will take up your loan application for an additional fee.
These companies will take advantage of individuals all of the time. I know of 6 people who were fooled and they did not get their money back.
It is definitely a scam.
It is a change from the old Advance Fee Scam.
They assure you something, and in your case, it is a loan, if you give them a fee in advance. The fact that they have really no intention of issuing you the loan is something that they fail to tell you.
“Birchmount Lending” is possibly a seventeen year old kid sitting in an internet cafe somewhere in Nigeria.
By admin
November 19th, 2008 at 12:00am
Under Loans for Bad Credit
Question:
Are there any lenders on the web who deal in bad credit payday loans who really lend?
lenders who do not keep re-routing you and yet won’t advance you the loan you applied for?
Answers:
There are many payday loan companies that will issue you instant cash bad credit payday loans. The main issue would be the interest rate. It will result in paying a higher interest rate. The upside being you will obtain the loan in a really short time. Many of the payday loan companies have direct deposit option and others have set up a check deposit facility. You can apply on the internet and receive the loan in a short amount of time.
If a salaried individual is undergoing a period of financial trouble and has failed to give regular payments in the past, then still without any questions, that person can instantly get approval of bad credit payday loans. The only rule laid down by the lenders is that these people should be salaried ones and are currently citizens of the United States. But prior to applying for the loan, you have to take costs of borrowing any sum into consideration as well. The salaried people must be receiving a steadypaycheque of no less than a thousand dollars for past six months at the least. Only adults 18 years of age or above are allowed to borrow this type of loan, if they own an active bank checking account which is under their name. A web application is usually enough for the lenders to accept you, if the details are adequate. Many of the customers find these loans within a day into their checking account.
By admin
November 19th, 2008 at 12:00am
Under Loans for Bad Credit
Question:
Can anyone inform me on where to find an unsecured personal loan bad credit and to file a bankruptcy?
I checked out prosper and didn’t get a response. Are there any lenders out there who take chances with unsecured personal loan bad credit after a bankruptcy? I just recently got another job but a loan could quicken things up for me. Otherwise I suppose I need to do it the long way. I do not mind slightly high interest, I don’t own a house and don’t wish to consolidate. I just require a boost to pay off a few bills. I just moved with this person who left after three months and stuck me with all the things to pay on my own and I have two children. I discovered that I trusted the wrong man to do that with. Any suggestions would help. I want five thousand. If not, I did get a second job so I do have a plan to save my situation.
Answers:
There are tons of scams out there, so don’t accept any loan that asks you first to give them money to secure it. My wife and I nearly got ripped off by a company called fairview. They requested us to send $500, and they would send over to us $1500, I looked into them , and a lot of people gave them money, and none of them got their loan, and there are quite a few more like this.
You will be surrounded by crooks and criminals, but those are the good guys compared to credit card and loan companies for bad credit.
Do you want to pay 33% interest rate? The go with Providian. However, will never have that paid off. It is like robbery.
Do it the hard way. If you obtain the loan you’re asking about, you’ll just have one extra creditor yelling at you thirty days from now.
On a personal level, you’ve gone through bankruptcy, and now you are already a quick five thousand in the hole again. You’re employed with two jobs and not going anywhere. You don’t mention children so you’re doing this all by yourself.
Do you believe that it’s time for a little financial counselling, and maybe some therapy to help you do better with your life?
Check out the Dave Ramsey link below. Dave is good at helping people get out of debt, the old-fashioned way.
Source(s):
Been there done that, still paying the bills.
http://www.daveramsey.com/
By admin
November 18th, 2008 at 12:00am
Under Cars and Bad Credit
Question:
Can I buy a car with bad credit?
I wish to buy a car with bad credit. I have 8 thousand to spend for a down payment, but I want about a 13 thousand dollar car. Will lenders cooperate with me on that? Do you believe the typical car lot would lower the car to just about ten thousand and then finance the remaining balance?
Answers:
They probably would if you have eight thousand for a down payment. That should demonstrate to them that you are serious and are adequately responsible with money in spite of what may be in the past. your rate of interest will just be bigger, that’s all.
With eight thousand in ,cash anybody could finance the rest. By the way, why can’t you buy a car for eight thousand instead of your 13 thousand dollar budget? In a single year your 13 thousand dollar car would be worth 8 thousand anyway. Why throw away all that money?
Personally, I would just take the 8 grand and purchase a vehicle. I have had bad credit. I also paid cash up front for my car. I went to my bank and applied for a loan. i used my other car for collateral. I asked for a 2 thousand dollar loan. Then I put in my payments on time each and every month and now my credit is improving quite a bit, so I am building decent credit and in a couple years, I should be able to buy a car with bad credit.
There are many car lots that may carry the loan and report it to the credit bureaus. A lot of the time, the interest rate is huge, but re-establishing credit is worth it. A lot of lenders will extend the loan to you and let you buy a car with bad credit if the reason for the bad credit has been resolved.
Yes, and I would recommend that you buy something new, not a used car. The main reasoning behind this is for two reasons. First of all, you can get rebates and with a down payment this looks a lot better to the financing companies. Secondly, you are able to finance longer, which will lower your payment so that you will be able to handle it because the interest rate are going to be high. I have witnessed them as high as 21 percent when I was selling vehicles.
By admin
November 18th, 2008 at 12:00am
Under Credit Cards and Bad Credit
Question:
How to obtain business credit cards for poor credit?
How do I get my business credit built if my credit rating is less than perfect?
Answers:
A real business credit card is a line of credit which is taken in the name of the business, basically under your business’ credit. Transactions, whether good or bad, are reflected on the business’ credit history report via D&B and other financial companies, and the liability for any debts created and bills owed is connected to the business. On the other hand, some companies out there issue business credit cards for poor credit which they need a person guarantee for. These companies will often ask for a personal guarantee, and will generally always ask for you to provide them with a social security number from the individual applying for the card. If this is the situation, the credit card is no longer a business credit card, but is merely a personal credit card which is used in the business. The business is not responsible for bills and debts – now you are. When sending applications for business credit cards for poor credit for your business, look out for areas asking for you!
r SSN (and not your EIN or TaxID) and be wary of all credit cards that request a personal guarantee of you. By verifying that your credit card is under the name of your business, you may help to establish your business’ credit, while getting away from creating problems with your own.
A lot fo companies offer a collection of credit cards that are given under the business name only. Those lists generally run three hundred to nine hundred dollars, depending on the quality of the details inquiring. I would recommend starting your search online through google or yahoo. Type in “strong business credit” to locate services that sell the details
Best ofluck
You should attempt to get a secured card.
By admin
November 18th, 2008 at 12:00am
Under Credit Cards and Bad Credit
Question:
Would anybody please recommend a decent credit card for people with poor credit who are on the path to rebuilding it?
Would anybody have first hand good experience with a non-secured or secured credit card company in this respect?
Answers:
If you cannot obtain a credit card due to poor credit, go try a secured credit card. This means your credit will be whatever you have deposited in their account. If you open up an account with 400 dollars, then 400 dollars will be your credit limit on that card. I understand that it is difficult to do when you do not have the money. And yes, I do understand that it does not look like much to work with, but believe me, it’ll help you establish your credit history. Your credit report will not state that it is a secured credit card. Just be sure you keep up with the regular payments. Establish some credit. Soon you’ll have the ability to obtain an account that is not secured. It requires some time, but it will definitely be worth it.
If you have bad credit, it is highly unlikely that you will locate a credit card for people with poor credit that has a decent interest rate. Poor credit means high risk, which means high interest.
Search for a major credit card that doesn’t have an annual fee. You might even need to get a secured card, in which you will deposit a certain amount of money for collateral. Use the card but only purchase what you can pay back in full and on schedule each month. That will provide you with a decent payment history which is the greatest cure for poor credit.
Rebuild credit? What you have to do is find out how to manage your finances correctly. Get on a strict, on-paper budget, and pay in cash for all your purchases. Just as long as you commit to spending less money than you get, you are always going to succeed financially.
By admin
November 14th, 2008 at 12:00am
Under Loans for Bad Credit
Question:
Wondering about bad credit home loans?
My husband and I want to vacate our apartment in June, but we went into a debt relief program that we are still in, and remain in in June. We both have horrible credit now below 530. Is it possible to obtain bad credit home loans? We are going to be hopeful in fully buying in the 115 to 120 thousand range. Any help would be appreciated.
Answers:
With the situation of the market as it is now, it will be highly unlikely to predict what you will be able to obtain in June. I will on the other hand give you some advice and a little inside information. The amount of cash you can stash away for a down payment should be your number one priority. In your situation, you will require one. The more you stash away, the higher your chances of obtaining a loan. Your lender will request that you have a little down payment (usually ten percent down) and you will probably require a little assistance. There are many lenders out there that will lend up to 55% to 60% of the buying price of a home at a really steep interest rate over thirteen percent. If you are fortunate, you might even get up to eighty percent but that depends if those lenders are still in business in June. You will additionally have to request the seller to carry a note for the balance you can’t cover with the loan and the down payment. We’ll take the worst situation !
other than being flat out rejected. You obtain a loan for 65% of the buying price. That would be about 78 thousand in your case. You have ten percent down (hopefully) which is twelve thousand. You would request the seller to perform a seller carried second mortgage. This is the same as the seller being willing to take regular payments on the remaining difference ($30,000) at a specific interest rate over a specific term in the form of an additional mortgage. typically 15 or 30 years. Best case most likely is you reach 80% financing. This would mean that your seller could only have to issue a 10% ($12,000) seller carried second mortgage. All else remains the same. Therefore every month you would be responsible for two mortgage payments, one toward the institutional lender on your first mortgage and the other to the seller on your other mortgage. Not possible? You would be amazed. It happens all the time and most of the country is going to see a tremendous buyers market so se!
llers are willing to get very clever. You could also look into!
what is
known as a lease to own. They are typically heavily in the sellers side but can be used to puchase a home. There is also what are called wrap around mortgages that allow you to pay an actual regular mortgage payment each month without having to require a institutional loan. In many states, they really allow you to be on title when the deal is complete. A lot of counties, cities, and non-profit companies have what are know as down payment assistance programs. They will loan you money to buy a home and in some situations the loans do not need to be reimbursed. If those are not realistic then there is always ACORN Homes. Remember to check with your lawyer or a good mortgage broker in your region since laws very from state to state.
By admin
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