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Low documentation home loans: what are they and should you apply? #stafford #loan


#low doc loans
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Low doc home loans

Low doc loans are designed to assist people who do not qualify for a traditional home loan to buy a property. Low doc (or low documentation) loans still require the application to be made in writing, however you may not be required to provide much of the paperwork that is necessary with standard home loans, such as proof of income, assets or liabilities. The low doc loan relies more on a method called self-verification, where you state your income without the verifying documentation.

Who can benefit from a low doc loan?

Low doc loans are designed to benefit those people who have some existing equity or a deposit saved, and have trouble showing evidence of regular income. This could apply to the self-employed or casual workers. Low doc loans could also be made available to people with a bad credit history.

Low doc loans are also sometimes abused by people who have income they have omitted to declare to the taxation office. Failure to declare taxable income is an offence and, if caught, offenders are forced to pay penalties that far outweigh the savings they intended to make by breaking the law.

Why should I take out a low doc loan?

If you fall into any of the categories above and wish to purchase a property, a low doc loan could be your only option for obtaining the required finance. As with any major financial decision, always weigh up the pros and cons and determine whether you can afford the repayments. There could also be extra costs involved as many lenders will charge an inflated interest rate when standard documentation is not produced on application. Mortgage insurance is also a standard requirement with low doc loans, which adds further to the cost.

Most low doc loans will cover up to 80% of the value of the property (80% LVR), although the more financial documentation you can present to the lender, the higher the percentage could be.

Types of low doc loans

There are three main types of low doc loans: self-declared income, account statement and asset lend. Each of these low doc loans have slightly different eligibility requirements.

Self declared income

The most common low doc loan, where the lender will offer a home loan on a signed declaration of income, with no accompanying evidence. In general, 80% of the property value is loaned and the interest rate can be higher than a standard loan

Account statement

Requires more substantial income evidence, such as a letter from your accountant, however interest rates are usually more in line with a standard home loan .

Asset lend

This type of low doc loan requires the least evidence to be presented, in some cases no proof of income or signed declaration is needed. The loan is secured purely on the value of the property. These loans have substantially higher interest rates and, in general, a lower percentage of the value of the property can be borrowed.

What to look out for

Low doc loans generally have certain conditions and extra costs attached, such as:



Car Title Loans Online Video – How They Work #guarantor #loans


#need a loan fast
#

Loan 310-433-4625

Car Title Loans Online #1 Source For Car Title Loans LA County

Car Title Loans LA County Call (310)433-4625

Hello, my name is Greg a nd welcome to our site, If you are in need of a quick cash emergency loan you ve come to the right place. Are you interested in applying for car title loan o nline? You can either call me or fill out this online form. You can be rest assured you are in good hands.

The benefit to a car title loan is that you get to continue to use your vehicle while paying the loan off. It s similar to financing a car. The borrower remains the registered owner of the vehicle while the lender becomes the new legal owner (lien holder.)

Car title loans have become more and more popular due to the fact that  borrowers feel confident that the loan will be paid back because they ll be able to still use their vehicle, so they wont have to worry about getting to work, taking their kids to school, etc.

Do you have any questions about car title loans? We are here to help. I ve been in the car business for ten years, and also buy cars for cash too. Our partner site is Cash4CarsLA. You may have a vehicle with a mechanical problem, possibly a car that has failed smog, body damage, please let me know. I m open to everything so please contact me.

We re available 24/7 with your vehicle title loan needs. Please fill out the form below, and we will get back to you asap. You can also call us at (310)433-4625.

Por favor llene la solicitud de préstamo en línea del título. Incluya su nombre, número de teléfono y dirección de correo electrónico



Career development loans: are they a good way to fund your master s? #advance #loans


#career development loan
#

Career development loans: are they a good way to fund your master’s?

F unding is the biggest headache faced by students wanting to continue their studies after their undergrad degree. Taught master’s degrees no longer qualify for research council funding, and while some students manage to put together a funding package through scholarships and sponsorships, others are drawn to taking out a bank loan. But is this a good move?

Career development loans (CDLs) have become an increasingly common funding option for those undertaking postgraduate study. There are only two banks currently offering them – the Co-operative bank and Barclays .

Since the government-supported scheme began in 1988, over 304,000 people have taken out a CDL. In this 25-year period, banks have lent in excess of 1.34bn. The Co-operative says: We have seen a steady increase. In 2013, almost 5,000 people took out a CDL with the Co-operative bank.

The CDL funds full- or part-time vocational and professional study. Although it is a commercial bank loan, the government pays the interest for the duration of the course and recipients do not have to repay the loan until they complete their studies.

In recent years, the number of students undertaking postgraduate study has fallen due to following a rise in course fees. A postgraduate taught course now costs an average of just under 6,000 a year, an increase of 7% since 2012-2013.

The number of part-time students has fallen even further. Between 2010-11 and 2012-13, UK and EU students entering part-time postgraduate courses dropped 27% – the equivalent of 25,000 students.

Despite the fall in numbers of those undertaking postgrad study, there’s been a rise in CDL applications, because of the funding cuts.

The Department for Business, Innovation and Skills (BIS) explains the point of the loans: Professional career development loans are short-term finance offers which enable adults to undertake vocational and professional study, with the aim of moving on in work or into work quickly. Recipients are able to concentrate on the learning or training without needing to meet repayments. Repayment only begins one month after they leave their course.

Nevertheless, CDLs have come under some scrutiny and the University and College Union (UCU) argues that high interest rates, non-income contingent payback terms and the need for a good credit record mean that they are not suitable for everyone.

UCU points to a worrying effect on access to postgrad study: Students from less advantaged socio-economic backgrounds tend to be more risk-averse, and the benefits of further learning and the increased salaries that postgraduate qualifications can bring are being skewed towards more advantaged learners only.

You can take out a loan for any amount between 300 and 10,000, and both banks offer an interest rate of 9.9%. CDLs are available to those aged between 18 and 69 with an unlimited right to stay in the UK. However, you need to have been resident in Britain for at least three years, so if you have been abroad for over six months then the banks are likely to reject your application.

The banks will also reject your application if your credit rating doesn’t match their eligibility criteria. While neither the Co-operative nor Barclays were able to disclose the number of applications they rejected, I spoke to a number of students who had their applications declined.

Emma Finamore, currently doing a journalism master’s at Goldsmiths, University of London, says: My application was rejected even though I hadn’t been in any trouble with the bank or phone companies. This nearly stopped me from pursuing my dream of studying journalism.

If I hadn’t started a crowd-sourcing campaign and known someone who was prepared to lend me 5,000, I wouldn’t have been able to do this master’s.

The government covers the interest for one month after the course finishes, but after that the loan operates as a normal bank loan. The student is then fully liable for repayment. Recipients are given between one and five years to repay their loan; but obviously the longer they take, the more interest they accrue. The Co-op bank says the average term on a CDL is five years.

Unlike ordinary loans, CDLs come without arrangement fees or early settlement charges – if you want to end your repayment plan prematurely you can settle without additional charges.

If a graduate is still unemployed after they complete their course, there are protections in place and repayments can be deferred for up to 17 months, but this must be applied for in three separate stages.

However, once the recipient has entered into a repayment scheme it can become very difficult to halt or postpone payments. Banks are keen to retrieve their money even if employment circumstances change. With increasingly precarious labour conditions and the growth of zero-hour contracts, jobs will not necessarily remain secure for the entire repayment scheme.

Veering off-plan can cause long-lasting damage to your credit history and affect your future ability to gain credit. As with all bank loans, there is some degree of financial risk involved.

If recipients fail to meet payments, both the Co-operative and Barclays transfer the loan to a debt collector agency. The Co-op says they cannot disclose how frequently they transfer loans to a third-party debt agency because this is commercially sensitive data.

The Co-op says: If a customer encounters financial difficulties and is unable to pay back their loan, we would encourage them to contact us as soon as possible. We always strive to support customers facing financial difficulties and would only turn to a collection firm as a last resort.

BIS says: CDLs are commercial bank loans and as such the banks seek recoveries in the event someone misses regular repayments and so defaults.

The CDL may be far from a perfect solution to postgraduate funding, but it is one of the few funding options available.

If applicants think the course will further their vocational skills and career prospects, then the CDL may be a good option, but it is less so for those wishing to pursue a future in academia or any other career where a regular salary is not a safe bet.

Advice and an application pack are available if you call the information line on 0800 585 505, open Monday to Sunday, 8am to 10pm, or visit direct.gov.uk/pcdl for details.



ADN VS BSN #nursing-discussions, #area, #lpns, #hospitals, #currently, #that, #phased, #obtain, #become, #employed, #work, #even, #hire, #more, #advised, #toward, #they, #being, #because, #market, #would, #only, #current, #employees, #timeline, #given, #have, #many, #here, #which


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ADN VS BSN

Dec 23, ’14 by akulahawkRN. ASN, RN, EMT-P Pro

I’ll put it to you like this: ADN is not a complete waste of time. The core nursing stuff is identical in both ADN and BSN programs. The BSN program adds a few things extra that won’t be provided to the ADN because the BSN, by definition, is a 4 year degree. For the ADN that already has a Bachelor’s of Science in a healthcare field other than Nursing, there are essentially two areas that still are specific to the BSN: Nursing Advocacy and Community Health/Public Health Nursing.

That being said, because of various conditions at play now, employers have the ability to choose the kind of employee they want to hire and right now, many of them are preferring to hire BSN grads but will hire an ADN grad if there are no BSN grads that are suitable (does happen). Back when I started the process some 7 years ago, I knew that the BSN would be the way to go but being that I already had a Bachelor’s, I could either attend a very expensive program or not attend a BSN program at all because the local public university was closed to all second Bachelors students (like me). My only option was to attend an ADN program and do an RN-BSN upgrade another way, which is still my plan. I will earn a BSN within the next 2 years, if not sooner.

Thusly I give this advice: Getting licensed is better than still waiting to enter a program. To that end, apply everywhere you are qualified to apply to. Have an eye toward BSN. If you’re selected for an ADN program and you’re still qualified to attend a BSN program, apply to the BSN program until the start date for that is later than the start of your 3rd semester of an ADN program. The reason for that is simple: after that, it will take the same amount of time to do the traditional BSN as it would take to complete the ADN program and do an RN-BSN program. That route may also be cheaper.

Of my own employment opportunities, I am only shut out of one employer right now because I don’t have a BSN. The other hospitals prefer the BSN but they will just as readily hire ADN RN’s. With those employers, the BSN may get you into the interview room faster.

Dec 23, ’14 by caliotter3

An ASN is not a waste of time because one can use that degree to get an RN license and work somewhere. The BSN degree is more convenient in the long run because it will lead to an RN license and more job opportunities.



What are credit unions and how can they beat payday lenders? #credit #card #debt #consolidation


#loans for people with poor credit
#

What are credit unions and how can they beat payday lenders?

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What are credit unions?

A credit union is a co-operative offering current accounts, savings accounts and loans to its members. Traditionally, members have had to share something in common, such as a locality, industry or workplace. This is known as a common bond. In 2012, the law changed so that credit unions can offer membership to people who don’t share that common bond.

How long have they existed?

The first credit unions were formed in Germany in the 19 th century, and the idea later spread to the US and elsewhere. The UK was late to the party: one of the first credit unions in Britain was the Hornsey co-operative, formed in 1964 by West Indian immigrants who couldn’t get access to loans from banks.

What is the advantage of joining a credit union?

Credit unions are run for the benefit of their members, not for shareholders, so there are no management charges on savings or loans.

They are a particularly good option for people who are on low incomes. Credit unions tend to be more more flexible than traditional lenders, says Lindsey Appleyard, a research fellow at Coventry University. “They respond to people’s needs; so if they need to wait an extra couple of days for their loan to be repaid or if they need to make the payments lower for a longer period of time, they have the facility to do so.”

Is the UK credit union movement growing?

Yes. Growth was slow at first, and it took 40 years for credit unions to reach half a million members. In the last 10 years, however, that membership has doubled: new figures from the Bank of England show that there are now 1.1 million adult members of credit unions, which have assets of 1.2bn .

The Association of British Credit Unions Limited (ABCUL) hopes that membership will reach 2 million by 2020. The movement has been helped to grow by 38m of funding from central government in the last two years.

What are the challenges facing credit unions?

Not everyone is aware of credit unions – they don’t have the capacity of payday lenders to advertise their services.

To be sustainable, credit unions have to attract better-off people to save with them. Making lots of small loans is expensive, so credit unions also have to attract more credit-worthy members who want to take out larger, long-term loans. Frank McKillop, policy manager at ABCUL Scotland, says they face competition from other lenders: “People who are good for a loan are constantly being offered by credit.”

Many payday lenders offer their services over the internet, and are often prepared to make instant loans. Credit unions, traditionally offering a face-to-face service, have been left behind, but increasingly, says Appleyard, they are moving online in order to compete.

Are they markedly better than payday lenders?

Yes – hugely so. Credit unions cannot charge more than 3% interest a month, which works out at 42.6% APR. Since January 2015, there has been a cap on payday lenders. imposed by UK watchdog the Financial Conduct Authority, with interest and fees capped at 0.8% a day and the total cost of a loan limited to 100% of the original sum. As experts point out that still means payday lenders are far more expensive. “The cap for payday lenders is eight times more expensive than the most expensive credit union loan,” says McKillop.

Why are councils getting involved with credit unions?

If local people are borrowing from local credit unions rather than payday lenders, the money stays within the community, boosting the local economy. Councils also want to prevent poorer residents from falling heavily into debt to high-interest lenders. Finally, councils benefit if their employees join credit unions – research shows that money worries have an impact on productivity.

How are they getting involved?

Many encourage their employees to join credit unions. Others offer funding to credit unions or work in partnership with them. Leeds city council, for example, has helped increase membership of the Leeds City Credit Union from 11,000 to 31,000 in 10 years. The council provides access to the credit union services through its own one-stop shops and community hubs.

Which councils have the strongest links to credit unions?

Glasgow has very strong historic links. About 25% of the city’s population belongs to a credit union, and that is in part due to support from the city council. None of the city’s 34 credit unions is charged rates, says McKillop, and council officers provide the unions with guidance. Council employees can save in a credit union through their payroll, and also take out and pay back loans through payroll.

Earlier this year, Sheffield city council set up Sheffield Money in response to research showing that that 50,000 people in the city were borrowing a total of 40m a year from high-cost lenders. It acts as a one-stop shop bringing together credit unions and other organisations, such as Five Lamps. a charity providing loans, and white-goods providers willing to sell products with low-interest repayments. It’s a model that has attracted a lot of interest from other councils.

The service offers an initial triage to assess people’s needs – whether, for example, they need a loan or help managing their utility bills. Mazher Iqbal, cabinet member for public health and equality at Sheffield city council, who helped establish Sheffield Money, wants to make the service as accessible as possible: “If we can’t respond to what’s out there on the high street, we’ve lost the battle.”



Student loan interest rates rise, and they won t come back down #mortgage #interest #rates


#student loans rates
#

Student loan interest rates rise, and they won’t come back down

LANSING — Interest rates on federal student loans went up July 1, but unlike last year, there won’t be a rush to get them back down.

The rate on undergraduate Direct Loans is now 4.66 percent, while the rate for graduate Direct Loans is 6.21 percent and the rate for graduate PLUS loans is 7.21 percent.

The increases came about as a result of the agreement brokered in Congress last summer over student loans that indexed interest rates annually to the yield on 10-year Treasury bonds.

The Bipartisan Student Loan Certainty Act of 2013 cut interest rates for some borrowers last summer, but tied future loan increases to bond rates instead of requiring Congress to set the rates itself.

The rates apply to all loans issued between July 1, 2014 and June 30, 2015, but will not change the rates on loans already issued.

College costs have been a hot topic in recent months, with tuition increasing for another year at virtually all of Michigan’s colleges and universities and some saying reliance on student loans is creating a “bubble” that could have serious effects on the economy.

An analysis by Vox suggests rates could continue to increase for borrowers in future years as bond rates continue to climb.



Career development loans: are they a good way to fund your master s? #student #loans #no #cosigner


#career development loan
#

Career development loans: are they a good way to fund your master’s?

F unding is the biggest headache faced by students wanting to continue their studies after their undergrad degree. Taught master’s degrees no longer qualify for research council funding, and while some students manage to put together a funding package through scholarships and sponsorships, others are drawn to taking out a bank loan. But is this a good move?

Career development loans (CDLs) have become an increasingly common funding option for those undertaking postgraduate study. There are only two banks currently offering them – the Co-operative bank and Barclays .

Since the government-supported scheme began in 1988, over 304,000 people have taken out a CDL. In this 25-year period, banks have lent in excess of 1.34bn. The Co-operative says: We have seen a steady increase. In 2013, almost 5,000 people took out a CDL with the Co-operative bank.

The CDL funds full- or part-time vocational and professional study. Although it is a commercial bank loan, the government pays the interest for the duration of the course and recipients do not have to repay the loan until they complete their studies.

In recent years, the number of students undertaking postgraduate study has fallen due to following a rise in course fees. A postgraduate taught course now costs an average of just under 6,000 a year, an increase of 7% since 2012-2013.

The number of part-time students has fallen even further. Between 2010-11 and 2012-13, UK and EU students entering part-time postgraduate courses dropped 27% – the equivalent of 25,000 students.

Despite the fall in numbers of those undertaking postgrad study, there’s been a rise in CDL applications, because of the funding cuts.

The Department for Business, Innovation and Skills (BIS) explains the point of the loans: Professional career development loans are short-term finance offers which enable adults to undertake vocational and professional study, with the aim of moving on in work or into work quickly. Recipients are able to concentrate on the learning or training without needing to meet repayments. Repayment only begins one month after they leave their course.

Nevertheless, CDLs have come under some scrutiny and the University and College Union (UCU) argues that high interest rates, non-income contingent payback terms and the need for a good credit record mean that they are not suitable for everyone.

UCU points to a worrying effect on access to postgrad study: Students from less advantaged socio-economic backgrounds tend to be more risk-averse, and the benefits of further learning and the increased salaries that postgraduate qualifications can bring are being skewed towards more advantaged learners only.

You can take out a loan for any amount between 300 and 10,000, and both banks offer an interest rate of 9.9%. CDLs are available to those aged between 18 and 69 with an unlimited right to stay in the UK. However, you need to have been resident in Britain for at least three years, so if you have been abroad for over six months then the banks are likely to reject your application.

The banks will also reject your application if your credit rating doesn’t match their eligibility criteria. While neither the Co-operative nor Barclays were able to disclose the number of applications they rejected, I spoke to a number of students who had their applications declined.

Emma Finamore, currently doing a journalism master’s at Goldsmiths, University of London, says: My application was rejected even though I hadn’t been in any trouble with the bank or phone companies. This nearly stopped me from pursuing my dream of studying journalism.

If I hadn’t started a crowd-sourcing campaign and known someone who was prepared to lend me 5,000, I wouldn’t have been able to do this master’s.

The government covers the interest for one month after the course finishes, but after that the loan operates as a normal bank loan. The student is then fully liable for repayment. Recipients are given between one and five years to repay their loan; but obviously the longer they take, the more interest they accrue. The Co-op bank says the average term on a CDL is five years.

Unlike ordinary loans, CDLs come without arrangement fees or early settlement charges – if you want to end your repayment plan prematurely you can settle without additional charges.

If a graduate is still unemployed after they complete their course, there are protections in place and repayments can be deferred for up to 17 months, but this must be applied for in three separate stages.

However, once the recipient has entered into a repayment scheme it can become very difficult to halt or postpone payments. Banks are keen to retrieve their money even if employment circumstances change. With increasingly precarious labour conditions and the growth of zero-hour contracts, jobs will not necessarily remain secure for the entire repayment scheme.

Veering off-plan can cause long-lasting damage to your credit history and affect your future ability to gain credit. As with all bank loans, there is some degree of financial risk involved.

If recipients fail to meet payments, both the Co-operative and Barclays transfer the loan to a debt collector agency. The Co-op says they cannot disclose how frequently they transfer loans to a third-party debt agency because this is commercially sensitive data.

The Co-op says: If a customer encounters financial difficulties and is unable to pay back their loan, we would encourage them to contact us as soon as possible. We always strive to support customers facing financial difficulties and would only turn to a collection firm as a last resort.

BIS says: CDLs are commercial bank loans and as such the banks seek recoveries in the event someone misses regular repayments and so defaults.

The CDL may be far from a perfect solution to postgraduate funding, but it is one of the few funding options available.

If applicants think the course will further their vocational skills and career prospects, then the CDL may be a good option, but it is less so for those wishing to pursue a future in academia or any other career where a regular salary is not a safe bet.

Advice and an application pack are available if you call the information line on 0800 585 505, open Monday to Sunday, 8am to 10pm, or visit direct.gov.uk/pcdl for details.



SBA Loan Rates – Current Interest Rates and How They Work #used #auto #loans


#business loan interest rates
#

SBA Loan Rates Current Interest Rates and How They Work

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As mentioned in our Ultimate Guide to SBA Loans. there are two primary types of SBA loans, 7A loans and CDC / 504 Loans. SBA 7A loans can be used for a variety of purposes, while CDC / 504 loans are specifically for the purchase of real estate.

November 2015 Maximum interest rates on SBA 7A Loans range from 5.5% to 8.0%. Full Table

November 2015 Maximum interest rates the CDC portion of CDC / 504 Loan currently range from 3.43% to 4.25% including fees. Full Table

Before reading further, make sure you are qualified. The 4 general requirements for getting an SBA loan of any type are:

    In business at least 2 years Personal credit score is 660+ Seeking at least $30,000 At least $100,000 in revenues for the past 12 months

line-height: 1.2;”>Pro Tip!

Did you know that you don’t need to fill out any SBA forms for a 7A loan for $150,000 or less?

Even though the SBA doesn’t require it, many banks still force you to fill out unnecessary paperwork. Our recommended provider of SBA loans, SmartBiz. has streamlined the process of getting an SBA loan. In a few minutes, you can find out the size of the loan that you should qualify for, directly on their website. If you decide to move ahead and get approved, you can have the money in as little as 7 days.

Current SBA (7A) Loan Interest Rates and Explanation

The Small Business Administration (SBA) sets the maximum interest rates that banks can charge on 7A loans. The current maximum interest rate ranges from from 5.50%   8.00%, depending on the size of the loan and the amount being borrowed.



Personal Loans on the Rise, but are They Right for You? #best #personal #loans


#personal loans interest rates
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Personal Loans on the Rise, but are They Right for You?



Microloans: How They Work and Where to Get One #guaranteed #bad #credit #loans


#micro loans
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Microloans: How They Work and Where to Get One

By Lahle Wolfe. Women in Business Expert

Lahle A. Wolfe, a single mom of four, is an entrepreneur, author, speaker, web programmer and application developer. She is founder and CEO of LA Wolfe Marketing and its two subsidiaries. Wolfe has extensive experience in both the nonprofit and for-profit business world. Read more

What are Microloans?

Microloans are small business loans that are usually lent for up to $35,000, however some lenders will allow microloans up to $50,000. Microloans are generally used for start-up cash but are sometimes given to newly launched small businesses for working capital.

Continue Reading Below

Does the SBA Give Out Microloans?

No. The Small Business Administration (SBA) does not lend money to businesses or individuals. However, the SBA does have many programs that small businesses can apply to for loans and other business support.  The SBA does provide funding to certain nonprofit community lenders that go to fund lending nonprofits. These lenders then make microloans to small businesses, usually within their own communities.

Suggested Reading:

What Are General Terms of Micro Loans?

Each microlender will have their own requirements for repayment of a microloan. In general, the maximum term for microloans is six (6) years, but interest rates and collateral requirements vary considerably between microlenders.

Most microlenders require a personal guarantee by at least one of the business owners.

At one time, microloans were relatively easy to obtain compared to traditional bank loans. However, with the downturn in the United States economy in 2008, microloans can be more difficult to get now.

Continue Reading Below

Microloans obtained through SBA-backed or other related programs typically require the applicant to fulfill certain business training and planning requirements (which vary) before a business owner can submit an application for a microloan.

Where Can I Find an SBA-Partnered Microlender?

You can find SBA-partnered microlenders throughout the United States (currently 46 states have SBA-partnered microlenders) as well as the District of Columbia and Puerto Rico.  You can find a list of microlenders in your state on the SBA s website .

Are There Other Lenders Not Associated With The SBA That Make Microloans?

Yes. Here are a few places to check into:

Kiva – A website that facilitates person-to-person microloans to entrepreneurs in other countries.  Kiva allows you to lend as little as $25 to help individuals start small businesses in other countries.  To date, Kiva donors have lent more than $7.7 million dollars to small businesses throughout the world (as of October 2015).

Opportunity Fund   – Nonprofit microlender that offers a variety of microloans and small business loans that can be used for working capital, equipment purchases, remodeling, and other business development expenses.

Accion USA – For existing businesses, Accion loans that range from $500 to $50,000. These loans are commonly granted to be used for things like working capital, operating costs, vehicle purchase, inventory purchase, equipment purchase, location changes and marketing.

Kiva – A website that facilitates person-to-person microloans to entrepreneurs in other countries.  Kiva allows you to lend as little as $25 to help individuals start small businesses in other countries.  To date, Kiva donors have lent more than $7.7 million dollars to small businesses throughout the world (as of October 2015).

Local economic development organizations also make microloans to local community members.  Call your local municipality or chamber of commerce and ask for information about mircolenders in your area.

Here are a few more resources to help you get started:

Is It Hard to Qualify for a Microloan?

Your ability to qualify for any loan depends on your own unique financial situation and credit rating and the individual qualification requirements of different lendors.  However, there are some things you can do to improve your chances of being approved for a business loan.

If you are applying for any type of business loan have a professional quality business plan.

Be prepared to be asked about your experience in business and your ability to start and run a successful business.  You may be asked about your education, special skills, and professional experience and credentials that can help reassure the lendor that you know what you are doing.

You should also be prepared to show what you have already invested in the business personally.  Investors may believe more in your business idea if you have already shown a willingness to sacrifice to make your dreams come true.

Bring financial data with you to the lendor including budgets, a balance sheet, and any other documentation you have to show past performance and current assets.

Can I Use a Microloan for Any Business Purpose?

No.  Lendors will want to know exactly what you plan to do with the loan and usually place restrictions on what you can use the money for.  Be sure to ask any questions you may have about what you can borrow money for and how much you can borrow before you submit a formal application.

Show that you have done your homework and that you can be trusted and you may just get the loan you need to start the business of your dreams.



Student loan interest rates rise, and they won t come back down #6 #month #loans


#student loans rates
#

Student loan interest rates rise, and they won’t come back down

LANSING — Interest rates on federal student loans went up July 1, but unlike last year, there won’t be a rush to get them back down.

The rate on undergraduate Direct Loans is now 4.66 percent, while the rate for graduate Direct Loans is 6.21 percent and the rate for graduate PLUS loans is 7.21 percent.

The increases came about as a result of the agreement brokered in Congress last summer over student loans that indexed interest rates annually to the yield on 10-year Treasury bonds.

The Bipartisan Student Loan Certainty Act of 2013 cut interest rates for some borrowers last summer, but tied future loan increases to bond rates instead of requiring Congress to set the rates itself.

The rates apply to all loans issued between July 1, 2014 and June 30, 2015, but will not change the rates on loans already issued.

College costs have been a hot topic in recent months, with tuition increasing for another year at virtually all of Michigan’s colleges and universities and some saying reliance on student loans is creating a “bubble” that could have serious effects on the economy.

An analysis by Vox suggests rates could continue to increase for borrowers in future years as bond rates continue to climb.



Debt consolidation loans – How do they work? #school #loans


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Debt consolidation loans

Looking to clear a debt? A debt consolidation loan may help to combine debts into one manageable loan.

If you are currently looking to clear debt and juggling payments to more than one lender you are not alone, but a debt consolidation loan could help.

Debt consolidation loans

Compare a range of debt consolidation loans with our comparison tables.

Debt consolidation loans who are they for?

We are a nation of debtors, Britain owes over £1 trillion. But rather than trying to pay off the minimum amount for each debt, a debt consolidation loan could reduce your debt to one manageable monthly payment.

However, you need to look at all of the relevant issues as loan consolidation may not be right or available for you.

What are debt consolidation loans?

In the simplest terms, a debt consolidation loan will pay off your existing debts and transfer the monies owed into one loan with one manageable, monthly repayment.

You will still have to pay back all the monies owed, but with loan consolidation you may be able to reduce your monthly outgoings, pay a lower rate of interest, or be able to spread the costs out over a longer time period.

What are the benefits?

If you are careful about managing your spending, debt consolidation loans can help by:

  • Reducing your monthly payments  By spreading out the term of the debt you should be able to reduce your monthly repayments to a manageable level. Most people are often paying the ‘minimum payment’ allowed on the existing debts. This often just means covering the interest component of the loan while leaving the actual total amount owed unchanged.
  • Improving your credit rating  If you are able to pay off the loan and accrue no further debt, this will be seen as a positive impact on your credit rating.It is also a good idea to check your credit report before you apply for a debt consolidation loan.
  • Reducing the interest you pay  If your debts are with store or credit cards that have a high interest rate then you will generally pay back less interest on your debt with a loan.

Debt consolidation loans

Compare a range of debt consolidation loans.

Dangers of a debt consolidation loan

You may find yourself getting into debt for a longer period than needed, so it s important to weigh up all the alternatives you could take to reduce your debts or help pay off your existing ones.

These loans should not be the first action to take against debt, especially if there are expenses and outgoings you can reduce or get rid of completely.

It s worth analysing your budget and looking at what you can afford to pay back on your current debts first.

How do I get a debt consolidation loan?

To see if you are eligible for their loan, a lender will look at how much debt you have outstanding and your credit risk.

If you have a previous history of bad credit or large debts, a lender may only consider offering a secured loan .

This will require you using your property as security against the loan, reducing the lender’s risk. You need to be very sure you will be able to cope with the loan repayment, as your house could be at risk if you default.

Today, many personal loans  can be used to consolidate your debts. As with any other borrowing the lender will look at:

  • the amount you want to borrow
  • your credit history
  • how long you need to repay the debt

If your outstanding debt is low and you have no problems with your credit rating, a personal loan could help you consolidate and reduce your debt.

Read more…

  • Guarantor loans  Find a loan available to those with bad credit but good friends.
  • How To Strengthen Your Credit Rating
  • Secured Loans Guide A secured loan means the loan is lent against your home house


Debt Consolidation Loans – What They Are and How They Work #online #payday #loans


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Debt Consolidation Loans – What They Are and How They Work

A debt consolidation loan is a type of financing that is extended to people that have multiple debts, allowing them to consolidate (or combine) all of their debts into one new loan.

While debt consolidation loans can be used to consolidate various types of personal debt. the most common is credit card debt. The loan is intended for people with multiple credit cards who are struggling with making the minimum monthly payments to their creditors.

Benefits of Debt Consolidation Loans

The benefits of a consolidation loan can be a worthwhile solution to climbing out of debt for candidates with heavy debt that is dispersed amongst multiple credit cards.  Essentially, when taking out a consolidation loan, you are paying your credit card debts in full and the new loan is established in their place.  Taking out a consolidation loan is beneficial in the following ways:

  • May reduce the number of collection calls you receive from multiple creditors
  • Allows you to make one monthly payment to one source
  • Provides you the opportunity to improve your credit score over time by making timely payments

Secured vs. Unsecured Debt Consolidation Loans

There are two basic types of consolidation loans – secured and unsecured.  Secured loans are tied to an asset (house, car, piece of property) and used as collateral in the event that you default on your loan.  Unsecured loans are not tied to an asset and are based largely on your credit history because you are considered high-risk for a lender.

Secured Loan: positives and negatives

+ Easier to obtain from a lender

+ Higher borrowing amount allotted

+ No asset risk

+ Shorter repayment term (lower cost in interest over time)

 Harder to obtain from a lender (high risk borrower)

 Lower borrowing amount allotted

 Higher interest rate

 No tax benefit

How Will a Debt Consolidation Loan Affect My Credit?

A debt consolidation loan can provide an opportunity to improve your credit if you use it as a financial plan, as opposed to just shifting debt around.  When you take out your consolidated loan, your credit card debt will be paid in full and you will focus on paying down your single new loan.

If you need to take out a consolidation loan, it is safe to assume that your credit has already taken a hit with delinquent payments.  As your score won’t immediately improve, timely payments on the new loan will start to positively impact your credit rating over time.



Personal Loans on the Rise, but are They Right for You? #payday #loans #chicago


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Personal Loans on the Rise, but are They Right for You?



Debt Consolidation Loans – What They Are and How They Work #micro #loans


#unsecured debt consolidation loans
#

Debt Consolidation Loans – What They Are and How They Work

A debt consolidation loan is a type of financing that is extended to people that have multiple debts, allowing them to consolidate (or combine) all of their debts into one new loan.

While debt consolidation loans can be used to consolidate various types of personal debt. the most common is credit card debt. The loan is intended for people with multiple credit cards who are struggling with making the minimum monthly payments to their creditors.

Benefits of Debt Consolidation Loans

The benefits of a consolidation loan can be a worthwhile solution to climbing out of debt for candidates with heavy debt that is dispersed amongst multiple credit cards.  Essentially, when taking out a consolidation loan, you are paying your credit card debts in full and the new loan is established in their place.  Taking out a consolidation loan is beneficial in the following ways:

  • May reduce the number of collection calls you receive from multiple creditors
  • Allows you to make one monthly payment to one source
  • Provides you the opportunity to improve your credit score over time by making timely payments

Secured vs. Unsecured Debt Consolidation Loans

There are two basic types of consolidation loans – secured and unsecured.  Secured loans are tied to an asset (house, car, piece of property) and used as collateral in the event that you default on your loan.  Unsecured loans are not tied to an asset and are based largely on your credit history because you are considered high-risk for a lender.

Secured Loan: positives and negatives

+ Easier to obtain from a lender

+ Higher borrowing amount allotted

+ No asset risk

+ Shorter repayment term (lower cost in interest over time)

 Harder to obtain from a lender (high risk borrower)

 Lower borrowing amount allotted

 Higher interest rate

 No tax benefit

How Will a Debt Consolidation Loan Affect My Credit?

A debt consolidation loan can provide an opportunity to improve your credit if you use it as a financial plan, as opposed to just shifting debt around.  When you take out your consolidated loan, your credit card debt will be paid in full and you will focus on paying down your single new loan.

If you need to take out a consolidation loan, it is safe to assume that your credit has already taken a hit with delinquent payments.  As your score won’t immediately improve, timely payments on the new loan will start to positively impact your credit rating over time.



Companies that Own and Manage Payday Lending and Check Cashing Stores to Settle FTC Charges That They Tossed Sensitive Consumer Data into Trash Dumpsters #calculate #car #loan


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Companies that Own and Manage Payday Lending and Check Cashing Stores to Settle FTC Charges That They Tossed Sensitive Consumer Data into Trash Dumpsters

Will Pay $101,500 Civil Penalty

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A company that provides management services to more than 300 payday loan and check cashing stores, and an affiliated company that owns and operates several stores, will pay $101,500 to settle Federal Trade Commission charges that they violated federal law by allowing sensitive consumer information to be tossed into trash dumpsters.

The FTC charged that PLS Financial Services, Inc. and The Payday Loan Store of Illinois, Inc. failed to take reasonable measures to protect consumer information, resulting in the disposal of documents containing sensitive personal identifying information – including Social Security numbers, employment information, loan applications, bank account information, and credit reports – in unsecured dumpsters near several PLS Loan Stores or PLS Check Cashers locations.  PLS Group, Inc. which owns PLS Financial Services and The Payday Loan Store of Illinois, was also named in the complaint.

According to the complaint filed by the FTC, PLS Financial Services and The Payday Loan Store of Illinois violated the FTC’s Disposal Rule by failing to take reasonable steps to protect against unauthorized access to consumer information in the disposal of credit reports.  They also allegedly violated the Gramm-Leach-Bliley Safeguards Rule and Privacy Rule, which require financial institutions to develop and use safeguards to protect consumer information, and deliver privacy notices to consumers.  Further, the FTC charged that all three defendants violated the FTC Act by misrepresenting that they had implemented reasonable measures to protect sensitive consumer information.

This is the third time the FTC has charged a violation of the Disposal Rule, which requires that companies dispose of credit reports and information derived from them in a safe and secure manner.

According to the FTC complaint, PLS Group owns approximately two dozen operating companies, such as The Payday Loan Store of Illinois, that in turn own and operate more than 300 retail stores in nine states under the names PLS Loan Stores and PLS Check Cashers.  These stores offer a variety of products and services, including payday loans, check cashing, automobile title loans, debit cards, phone cards, and notary services.  PLS Financial Services provides management services to the PLS Loan Stores and PLS Check Cashers locations, including establishing their policies and procedures for the handling and disposal of consumer financial information.

In addition to the $101,500 civil penalty imposed on PLS Financial Services and the Payday Loan Store of Illinois for violation of the Disposal Rule, the settlement bars all of the companies from violating the Disposal, Safeguards and Privacy Rules and from misrepresenting the extent to which they maintain and protect the privacy and integrity of personal information.  The order also requires that the companies implement and maintain a data security program with independent third-party audits every other year for the next 20 years.  It also contains certain bookkeeping and record keeping provisions to allow the Commission to monitor compliance with its order.

The Commission vote to approve the proposed consent decree was 5-0.  The Department of Justice filed the proposed consent decree on behalf of the Commission in the U.S. District Court for the Northern District of Illinois.  It was signed by the judge and entered by the court on November 1, 2012.

NOTE:  This consent judgment is for settlement purposes only and does not constitute an admission by the defendant that the law has been violated.  Consent judgments have the force of law when approved and signed by the District Court judge.

The Federal Trade Commission works for consumers to prevent fraudulent, deceptive, and unfair business practices and to provide information to help spot, stop, and avoid them. To file a complaint in English or Spanish, visit the FTC’s online Complaint Assistant or call

1-877-FTC-HELP (1-877-382-4357). The FTC enters complaints into Consumer Sentinel, a secure, online database available to more than 2,000 civil and criminal law enforcement agencies in the U.S. and abroad. The FTC’s website provides free information on a variety of consumer topics .  Like the FTC on Facebook. follow us on Twitter. and subscribe to press releases for the latest FTC news and resources.



How Do They Calculate Your Car Loan APR #same #day #payday #loans


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How Do They Calculate Your Car Loan APR

The annual percentage rate calculated on your car loan is found by taking the rate per period multiplied by the number of payments you will make in a given year. Annual percentage rate is one way to determine the actual expense of financing in a given year, but it is not always the most accurate. You should also consider the effect of compounding interest. You can find this through the annual percentage yield.

When to Use Annual Percentage Yield

Your car lender will often advertise a rate in terms of APR. This means the lender is not showing you the cost of compounding the interest. When you are seeking a new loan or debt, you should always calculate the annual percentage yield in order to determine a more accurate financing cost. Consider the following example.

You have a $5,000 car loan with an interest rate of 2% per month over a 48 month period.

  • APR = 12 months (.02 per month) = 2.4% APR
  • APY = ( 1 + .02 per month ) multiplied by 12 months -1 = 2.68% APY

This means, when your interest compounds, you are actually paying 2.68% in interest payments each year instead of just 2%. This will greatly increase the total cost of your financing, which can lead you to take too large of a loan. You should always consider APY when you are taking on a new debt to determine the accuracy of the offer a dealer or lender is making to you.

When to Use Annual Percentage Rate

On the other hand, an investment company may offer you a CD or other opportunity based on APY, which includes the effect of compounding interest. This is not altogether a problem, but if you are comparing the offer to another loan that is giving you terms based on APR, you will be comparing apples to oranges. You will need to get both opportunities into the same measurement so you can determine which offer is best. It is often best to get both into terms of APR, which will be the lower quote of the two.

Other Debts that Compound

Car loans and CDs are not the only types of loans and investments that use a compounding interest formula to determine the total amount you will spend in financing. The most challenging example often comes with credit card debt. Credit card debt will not compound if you do not carry a balance from month to month. This means, if you spend $200 at 1% simple interest, you will only owe the $2 finance charge if paid off within the month.

If you carry that balance for a full year, however, you will owe 12% APR on the debt, or $24. Then, if the interest compounds in between months, which it often does, you will actually owe 12.68% interest, or $25.36. Allowing your revolving credit debt to compound month to month will result in much higher payments. In this case, you will spend $23.36 more in interest payments over the course of the year simply by neglecting to pay down the balance after one month.



What are credit unions and how can they beat payday lenders? #college #student #loans


#loans for people with poor credit
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What are credit unions and how can they beat payday lenders?

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What are credit unions?

A credit union is a co-operative offering current accounts, savings accounts and loans to its members. Traditionally, members have had to share something in common, such as a locality, industry or workplace. This is known as a common bond. In 2012, the law changed so that credit unions can offer membership to people who don’t share that common bond.

How long have they existed?

The first credit unions were formed in Germany in the 19 th century, and the idea later spread to the US and elsewhere. The UK was late to the party: one of the first credit unions in Britain was the Hornsey co-operative, formed in 1964 by West Indian immigrants who couldn’t get access to loans from banks.

What is the advantage of joining a credit union?

Credit unions are run for the benefit of their members, not for shareholders, so there are no management charges on savings or loans.

They are a particularly good option for people who are on low incomes. Credit unions tend to be more more flexible than traditional lenders, says Lindsey Appleyard, a research fellow at Coventry University. “They respond to people’s needs; so if they need to wait an extra couple of days for their loan to be repaid or if they need to make the payments lower for a longer period of time, they have the facility to do so.”

Is the UK credit union movement growing?

Yes. Growth was slow at first, and it took 40 years for credit unions to reach half a million members. In the last 10 years, however, that membership has doubled: new figures from the Bank of England show that there are now 1.1 million adult members of credit unions, which have assets of 1.2bn .

The Association of British Credit Unions Limited (ABCUL) hopes that membership will reach 2 million by 2020. The movement has been helped to grow by 38m of funding from central government in the last two years.

What are the challenges facing credit unions?

Not everyone is aware of credit unions – they don’t have the capacity of payday lenders to advertise their services.

To be sustainable, credit unions have to attract better-off people to save with them. Making lots of small loans is expensive, so credit unions also have to attract more credit-worthy members who want to take out larger, long-term loans. Frank McKillop, policy manager at ABCUL Scotland, says they face competition from other lenders: “People who are good for a loan are constantly being offered by credit.”

Many payday lenders offer their services over the internet, and are often prepared to make instant loans. Credit unions, traditionally offering a face-to-face service, have been left behind, but increasingly, says Appleyard, they are moving online in order to compete.

Are they markedly better than payday lenders?

Yes – hugely so. Credit unions cannot charge more than 3% interest a month, which works out at 42.6% APR. Since January 2015, there has been a cap on payday lenders. imposed by UK watchdog the Financial Conduct Authority, with interest and fees capped at 0.8% a day and the total cost of a loan limited to 100% of the original sum. As experts point out that still means payday lenders are far more expensive. “The cap for payday lenders is eight times more expensive than the most expensive credit union loan,” says McKillop.

Why are councils getting involved with credit unions?

If local people are borrowing from local credit unions rather than payday lenders, the money stays within the community, boosting the local economy. Councils also want to prevent poorer residents from falling heavily into debt to high-interest lenders. Finally, councils benefit if their employees join credit unions – research shows that money worries have an impact on productivity.

How are they getting involved?

Many encourage their employees to join credit unions. Others offer funding to credit unions or work in partnership with them. Leeds city council, for example, has helped increase membership of the Leeds City Credit Union from 11,000 to 31,000 in 10 years. The council provides access to the credit union services through its own one-stop shops and community hubs.

Which councils have the strongest links to credit unions?

Glasgow has very strong historic links. About 25% of the city’s population belongs to a credit union, and that is in part due to support from the city council. None of the city’s 34 credit unions is charged rates, says McKillop, and council officers provide the unions with guidance. Council employees can save in a credit union through their payroll, and also take out and pay back loans through payroll.

Earlier this year, Sheffield city council set up Sheffield Money in response to research showing that that 50,000 people in the city were borrowing a total of 40m a year from high-cost lenders. It acts as a one-stop shop bringing together credit unions and other organisations, such as Five Lamps. a charity providing loans, and white-goods providers willing to sell products with low-interest repayments. It’s a model that has attracted a lot of interest from other councils.

The service offers an initial triage to assess people’s needs – whether, for example, they need a loan or help managing their utility bills. Mazher Iqbal, cabinet member for public health and equality at Sheffield city council, who helped establish Sheffield Money, wants to make the service as accessible as possible: “If we can’t respond to what’s out there on the high street, we’ve lost the battle.”



Payday Loans: How they Work #interest #free #loan


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Payday Loans

By Justin Pritchard. Banking/Loans Expert

Justin Pritchard helps consumers navigate the world of banking.

Payday loans are short term loans that are often used to get through a rough spot. Unfortunately, there are very few situations in which these loans actually end up being helpful. Before you use one, make sure you understand the costs and risks. This page gives you a quick overview of how payday loans work, and ideas on how to avoid them.

What are Payday Loans?

Most often, payday loans are short term loans (two weeks or so) for a modest amount of money (a few hundred bucks). To get a payday loan, you typically write a check for the amount you are borrowing – plus a fee. You might leave the check with the lender, and they cash it once you are ready to repay.

If you can’t repay your payday loan when it comes due, you can sometimes “roll it over” so that the loan is extended. You don’t have to repay it, but fees keep accumulating. Some states regulate rollovers — either outlawing them or limiting the number of times you can renew.

Payday loans are sometimes marketed as no credit check loans. You don t need good credit scores (or any credit history), and getting approved is easy relative to more traditional loans. As a result, they are popular with people facing financial difficulty.

Costs of Payday Loans

In general, payday loans are extremely expensive. You end up paying an annual percentage rate (APR ) that may be several hundred percent. For example, you might pay a $20 fee to borrow $100.00 for two weeks. The Consumer Federation of America has some nice calculations comparing payday loans to the alternatives.

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These show that you would pay about 426% APR on a payday loan, but paying an APR above 1000% is not unheard of.

Payday Loan Pitfalls

The main pitfall with payday loans is their cost. Due to extremely high fees, they don’t help you solve the real problem. If you’re having financial difficulties, payday loans can only make things worse. You’re paying a really high rate of interest which means that your expenses are just going up. As a short term strategy – maybe once or twice in your life, if that – payday loans can get you through a rough patch. For example, you might need an emergency repair for your car so that you can get to work and keep earning income. As a long-term strategy, payday loans will pull you under.

You can get yourself in trouble if things get out of hand. Bouncing checks that you write to the payday loan establishment can end up on your ChexSystems file and result in overdraft charges from your bank. Banks and retailers may then be unwilling to work with you. The lender may also sue you or send your account to collections, which will ding up your credit.

If you keep stretching out payday loans, you ll pay far more in interest and fees than you ever borrowed in the first place. To avoid that problem, learn how to get out of payday loan debt forever.

What About Bank Payday Loans?

Banks have moved into the payday loan industry, most likely in order to earn more revenue. While traditional bank loans (loans that you have to qualify for based on your credit, income, and assets) can be a better alternative, bank payday loans are no better than any other payday loan. They may go by a variety of names, but they’re still expensive and risky.

In fact, payday loans from banks can be even worse than the loans you get at a payday loan store. Why? The bank has access to your checking account. and you agree to let them pull funds from your account to repay the loan. If they want their money (but you still need to make mortgage or car payments ) they’ll take it as soon as it s available – before you have the chance to spend it on other important things. When you borrow elsewhere, you might have more control over how and when your money leaves.

This doesn’t mean you should never use a payday loan at the bank; using one of these loans is risky no matter where you get it, and it’s possible that your bank can offer better terms.

Alternatives to Payday Loans

Instead of using a payday loan, consider some alternatives:

Defending Payday Loans

The payday loan industry is not shy about defending itself. They argue that payday loans can be less expensive than bounced check fees and overdraft protection programs. In addition, they argue that payday loans are the best quick and easy way for some people to get money.



No Teletrack Payday Loans Guaranteed Approval: Who Are They For? #online #loans #no #credit #check


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No Teletrack Payday Loans Guaranteed Approval: Who Are They For?

George asked us the following question:

“I want to take a payday loan, and I came across this no teletrack payday loans guaranteed approval service. What does ‘no teletrack’ mean? Is it safe for borrowers to deal with lenders offering these loans?” George, Grand Forks, ND

No teletrack payday loans guaranteed approval means the lender won’t check your record on past loans. A teletrack is a nationwide system used by many payday lenders to check on borrowers’ loan performance. The system is provided by a private third party and lenders subscribe to it to check borrowers’ data. It serves two purposes: to protect lenders from fraudulent borrowers and to assess borrowers’ loan behavior.

Today, more advanced reporting systems allow teletrack to assess borrowers financial transactions and credit history more closely. That means your credit profile is more accurate and lenders can use it when deciding if they should offer a loan.

If you have an outstanding debt or unaccounted loan, it will appear in the teletrack database. This will be a factor if you can get another loan or not, which is the same practice in the UK or Canada, depending on your risk assessment by the lender. Teletrack systems are used by both storefront and online lenders, and by other micro-lenders. However, it doesn’t include your bank activities, which is reported in another system called Telecheck or Chexsystems. So, is this loan for you?

Pros and Cons of teletrack

Loans that use teletrack means you re likely dealing with legitimate lenders because loan providers are closely scrutinized before they can access the system. Likewise, the lenders terms are more likely regulated by government so you are assured of Fair Credit Reporting Act. which governs the collection and use of credit information. However, lenders that use teletrack have more stringent requirements, making it harder for you to get a loan.

When you need no teletrack payday loans guaranteed approval

If you defaulted in a payday loan before, or had problems paying on time, it is indicated in the teletrack system. Applying for fast and easy loans again may pose a problem since lenders will consider your past record to anticipate your ability to pay back. In this case, a no teletrack payday loans guaranteed approval can be helpful especially if you need the cash now; and more importantly, if you know that you’re more capable to pay on time today.

When you may not need no teletrack payday loans guaranteed approval

If you don’t have a late payment or bad record on previous payday loans, any direct lender will likely give you a quick guaranteed personal loans approval. Even if you have a bad credit incurred from the bank, this record is not reported in teletrack, so it should not affect your application for payday loans. In this case, you have more lenders to choose from (those that use or don’t use teletrack) to get the best terms for your loan.

How to boost your credit score fast

You don’t have to worry about teletrack if you could boost your credit score. Try to implement these tips to raise your credit score quickly. and avail loans easily.

You may be wondering why some lenders will not use teletrack to assess your risk. Isn’t it self-defeating on their part? It is, in fact. That’s why it’s more likely that this loan will have a higher interest rate than regular payday loans, or that you may be charged with extra fees to augment that risk for the lender. While some states put a cap on the interest, a University of Washington report shows that some states do not regulate interest rates .

Just remember one thing: this loan gives you a breathing space to get emergency cash for now; use it wisely and pay it back to improve your loan record so you’ll have more flexibility in the future. More lenders to choose from means you have more chances to pick lenders that follow these good practices recommended by UK-based The Good Practice Charter.



Microloans: How They Work and Where to Get One #compare #payday #loans


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Microloans: How They Work and Where to Get One

By Lahle Wolfe. Women in Business Expert

Lahle A. Wolfe, a single mom of four, is an entrepreneur, author, speaker, web programmer and application developer. She is founder and CEO of LA Wolfe Marketing and its two subsidiaries. Wolfe has extensive experience in both the nonprofit and for-profit business world. Read more

What are Microloans?

Microloans are small business loans that are usually lent for up to $35,000, however some lenders will allow microloans up to $50,000. Microloans are generally used for start-up cash but are sometimes given to newly launched small businesses for working capital.

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Does the SBA Give Out Microloans?

No. The Small Business Administration (SBA) does not lend money to businesses or individuals. However, the SBA does have many programs that small businesses can apply to for loans and other business support.  The SBA does provide funding to certain nonprofit community lenders that go to fund lending nonprofits. These lenders then make microloans to small businesses, usually within their own communities.

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What Are General Terms of Micro Loans?

Each microlender will have their own requirements for repayment of a microloan. In general, the maximum term for microloans is six (6) years, but interest rates and collateral requirements vary considerably between microlenders.

Most microlenders require a personal guarantee by at least one of the business owners.

At one time, microloans were relatively easy to obtain compared to traditional bank loans. However, with the downturn in the United States economy in 2008, microloans can be more difficult to get now.

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Microloans obtained through SBA-backed or other related programs typically require the applicant to fulfill certain business training and planning requirements (which vary) before a business owner can submit an application for a microloan.

Where Can I Find an SBA-Partnered Microlender?

You can find SBA-partnered microlenders throughout the United States (currently 46 states have SBA-partnered microlenders) as well as the District of Columbia and Puerto Rico.  You can find a list of microlenders in your state on the SBA s website .

Are There Other Lenders Not Associated With The SBA That Make Microloans?

Yes. Here are a few places to check into:

Kiva – A website that facilitates person-to-person microloans to entrepreneurs in other countries.  Kiva allows you to lend as little as $25 to help individuals start small businesses in other countries.  To date, Kiva donors have lent more than $7.7 million dollars to small businesses throughout the world (as of October 2015).

Opportunity Fund   – Nonprofit microlender that offers a variety of microloans and small business loans that can be used for working capital, equipment purchases, remodeling, and other business development expenses.

Accion USA – For existing businesses, Accion loans that range from $500 to $50,000. These loans are commonly granted to be used for things like working capital, operating costs, vehicle purchase, inventory purchase, equipment purchase, location changes and marketing.

Kiva – A website that facilitates person-to-person microloans to entrepreneurs in other countries.  Kiva allows you to lend as little as $25 to help individuals start small businesses in other countries.  To date, Kiva donors have lent more than $7.7 million dollars to small businesses throughout the world (as of October 2015).

Local economic development organizations also make microloans to local community members.  Call your local municipality or chamber of commerce and ask for information about mircolenders in your area.

Here are a few more resources to help you get started:

Is It Hard to Qualify for a Microloan?

Your ability to qualify for any loan depends on your own unique financial situation and credit rating and the individual qualification requirements of different lendors.  However, there are some things you can do to improve your chances of being approved for a business loan.

If you are applying for any type of business loan have a professional quality business plan.

Be prepared to be asked about your experience in business and your ability to start and run a successful business.  You may be asked about your education, special skills, and professional experience and credentials that can help reassure the lendor that you know what you are doing.

You should also be prepared to show what you have already invested in the business personally.  Investors may believe more in your business idea if you have already shown a willingness to sacrifice to make your dreams come true.

Bring financial data with you to the lendor including budgets, a balance sheet, and any other documentation you have to show past performance and current assets.

Can I Use a Microloan for Any Business Purpose?

No.  Lendors will want to know exactly what you plan to do with the loan and usually place restrictions on what you can use the money for.  Be sure to ask any questions you may have about what you can borrow money for and how much you can borrow before you submit a formal application.

Show that you have done your homework and that you can be trusted and you may just get the loan you need to start the business of your dreams.



What are Faxless Payday Loans and How Do They Work? #loan #consolidation #calculator


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Faxless Payday Loans

Fax machines used to be an everyday part of just about everyone’s lives. In many corporate and office settings, fax machines are still sometimes used as part of the day-to-day business. Before the explosion of the Internet, people who wanted to get a loan often had to fax paperwork over to the lender and then be considered for a loan. This process could take days or weeks – not good for someone with an emergency. Luckily, access to the web has become much easier over the past few years, meaning that people can now go online to find a short term loan. These days, often people don’t have to use a fax machine at all, having access to faxless payday loans .

Advances in technology over the past decade have meant that fax machines have started to take a back seat to faster ways of transmitting information. Because of the explosion of the Internet, many short term lenders that offer payday loans can take your information directly on the web without having to use a fax machine at all.

people can now go online to find a short term loan What makes these kinds of loans appealing is that people won’t have to wait in embarrassing lines to get one. Years ago, you would have to get all your paperwork together, drive to a payday store or somewhere to send your application by fax, and then on top of that pay for the fax per page. Most people are busy and don’t have time or may not have the transportation options. Now, a faxless payday loan means going online could save you time.

The online experience has also meant that borrowers like you could get the emergency cash you’re looking for, no matter if it’s an unexpectedly high bill, unforeseen medical crisis, or other surprise problem. Money Mutual was created to help take out the legwork of trying to find a lender online, and has already helped millions do just that through a large network of participating lenders. We do not broker loans, nor are we a lender – but we’ve partnered with many lenders offering personal loans quickly, easily, and safely.

Going online to get a loan also means that you could get your information to lenders faster. Many lenders will ask for proof of your regular income – whether it’s a pay stub, or retirement or disability, or alimony, for example. The lender will also want to know your bank account information, because lenders online typically deposit the funds directly to your account, as well as take out repayment from the same account. Remember, requirements will vary from lender to lender. Giving your information takes mere minutes, and getting matched with a participating lender takes seconds, and money could be deposited to your bank account as quickly as 24 hours

The advancement of the Internet has made what was once an annoying and sometimes expensive process into something as simple as a faxless payday loan. Although some participating lenders in MoneyMutual s network may require faxing to complete the process, at Money Mutual, we can help match you with a large network of lenders who can help you get the cash you need for any emergency, without ever having to wait in line.

APPLY IN LESS THAN 5 MINUTES!



Return of the liar loans: UK firms setting up in Eastern Europe offer high-risk mortgages that do not require borrowers to prove what they earn #refinance #home #loan


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Return of the liar loans: UK firms setting up in Eastern Europe offer high-risk mortgages that do not require borrowers to prove what they earn

Published: 00:06, 18 November 2015 | Updated: 08:34, 18 November 2015

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Lenders are exploiting a legal loophole by offering high-risk mortgages that allow homebuyers to get a loan without having to prove what they earn.

Money Mail can reveal how British businesses are setting up in Eastern European nations such as Estonia as a way of skirting around tough UK laws on lending money.

From January, Selfcert.co.uk, which has been founded by a British businessman in an unnamed Eastern European country, will offer self-certification mortgages to UK borrowers.

These types of deals, where the homebuyer’s income is not checked by a bank, were dubbed ‘liar loans’ following the banking crisis because borrowers fibbed about how much they earned in order to get a bigger mortgage.

High risk: Deal in which homebuyer’s income is not checked by a bank, were dubbed ‘liar loans’ following the banking crisis because borrowers fibbed about how much they earned in order to get a bigger mortgage

Today, these deals are effectively banned in the UK by the City watchdog, the Financial Conduct Authority (FCA), but 36-year-old Graeme Wingate, who owns Selfcert.co.uk, says EU rules allow financial institutions in other nations to offer their products to consumers in the UK without applying for permission from the British regulator.

The only condition is that the company must pass the lending rules of the country in which it has based itself. It is also not allowed to have a property or a branch in the UK.

Selfcert.co.uk will not be the first firm to get around the rules this way. Some peer-to-peer lending firms, which act as middle men between savers and companies that want to borrow money, are already based in Estonia but offer deals here.



Personal loans on the rise – are they right for you? #sbi #home #loan


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Personal loans on the rise, but are they right for you?

Priced near credit cards but paid like auto loans, they find a niche

By Susan Ladika

Some consumers are shying away from plastic and instead turning to personal loans and lines of credit to gain more control over their financial life — perhaps using them to pay down credit card debt, pay their tax bills or finance a trip down the aisle.

At the beginning of each year, we see demand increase for the products, says Todd Denbo, a Wells Fargo senior vice president within the personal credit management group. Consumers start the year fresh with their personal finances in mind.

Wells Fargo’s Debt Pay Down Solution is particularly popular among consumers who want to consolidate their credit card debt into a fixed loan, which runs for a fixed amount of time at a fixed interest rate, Denbo says.

Demand for personal loans at Wells Fargo has been on an upward slope since the recession really started, he says.

How personal loans work

Personal loans and lines of credit are unsecured, so there’s no collateral such as a house or car required for approval, and in most cases they can be used for any purpose the borrower desires.

With a personal loan, a consumer borrows a set amount of money for a certain amount of time at a set interest rate and pays a fixed monthly payment.

A personal line of credit is similar to a home equity line of credit, and borrowers can tap into it as needed. The payment will vary based on the amount owed; the annual percentage rate may also vary with the borrower’s credit rating.

The rate a consumer pays varies based on credit history and credit score, and may also be influenced by the borrower’s relationship with a particular financial institution or purpose for using the money. Your income and assets may also be looked at.

Total value of market unknown

The total value of personal loans and lines of credit is hard to come by. Personal loans are made by a host of institutions, large and small, and the Federal Reserve’s statistics lump them in with other types of lending, making it tough to measure separately. Along with banks and credit unions, social lending is gaining ground. With social or peer-to-peer lending, there’s no traditional financial institution involved. Instead, individual borrowers are connected to individual investors through sites such as Lending Club and Prosper.com.

At credit unions, unsecured loans are broken down between credit cards and all other unsecured loans, with personal loans accounting for the vast majority of those. In National Credit Union Association data, the total value of all other unsecured loans was $25.58 billion in December 2011. That’s a slight uptick from $25.47 billion in December 2010.

Ben Rogers, research director at the Filene Research Institute, a think-tank backed by the credit union industry, says credit unions run up against stiff competition from banks for mortgages and auto loans, which are both secured.

In contrast, credit unions are generally more willing to write personal loans, Rogers says.



Payday Loans: How they Work #credit #consolidation


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Payday Loans

By Justin Pritchard. Banking/Loans Expert

Justin Pritchard helps consumers navigate the world of banking.

Payday loans are short term loans that are often used to get through a rough spot. Unfortunately, there are very few situations in which these loans actually end up being helpful. Before you use one, make sure you understand the costs and risks. This page gives you a quick overview of how payday loans work, and ideas on how to avoid them.

What are Payday Loans?

Most often, payday loans are short term loans (two weeks or so) for a modest amount of money (a few hundred bucks). To get a payday loan, you typically write a check for the amount you are borrowing – plus a fee. You might leave the check with the lender, and they cash it once you are ready to repay.

If you can’t repay your payday loan when it comes due, you can sometimes “roll it over” so that the loan is extended. You don’t have to repay it, but fees keep accumulating. Some states regulate rollovers — either outlawing them or limiting the number of times you can renew.

Payday loans are sometimes marketed as no credit check loans. You don t need good credit scores (or any credit history), and getting approved is easy relative to more traditional loans. As a result, they are popular with people facing financial difficulty.

Costs of Payday Loans

In general, payday loans are extremely expensive. You end up paying an annual percentage rate (APR ) that may be several hundred percent. For example, you might pay a $20 fee to borrow $100.00 for two weeks. The Consumer Federation of America has some nice calculations comparing payday loans to the alternatives.

Continue Reading Below

These show that you would pay about 426% APR on a payday loan, but paying an APR above 1000% is not unheard of.

Payday Loan Pitfalls

The main pitfall with payday loans is their cost. Due to extremely high fees, they don’t help you solve the real problem. If you’re having financial difficulties, payday loans can only make things worse. You’re paying a really high rate of interest which means that your expenses are just going up. As a short term strategy – maybe once or twice in your life, if that – payday loans can get you through a rough patch. For example, you might need an emergency repair for your car so that you can get to work and keep earning income. As a long-term strategy, payday loans will pull you under.

You can get yourself in trouble if things get out of hand. Bouncing checks that you write to the payday loan establishment can end up on your ChexSystems file and result in overdraft charges from your bank. Banks and retailers may then be unwilling to work with you. The lender may also sue you or send your account to collections, which will ding up your credit.

If you keep stretching out payday loans, you ll pay far more in interest and fees than you ever borrowed in the first place. To avoid that problem, learn how to get out of payday loan debt forever.

What About Bank Payday Loans?

Banks have moved into the payday loan industry, most likely in order to earn more revenue. While traditional bank loans (loans that you have to qualify for based on your credit, income, and assets) can be a better alternative, bank payday loans are no better than any other payday loan. They may go by a variety of names, but they’re still expensive and risky.

In fact, payday loans from banks can be even worse than the loans you get at a payday loan store. Why? The bank has access to your checking account. and you agree to let them pull funds from your account to repay the loan. If they want their money (but you still need to make mortgage or car payments ) they’ll take it as soon as it s available – before you have the chance to spend it on other important things. When you borrow elsewhere, you might have more control over how and when your money leaves.

This doesn’t mean you should never use a payday loan at the bank; using one of these loans is risky no matter where you get it, and it’s possible that your bank can offer better terms.

Alternatives to Payday Loans

Instead of using a payday loan, consider some alternatives:

Defending Payday Loans

The payday loan industry is not shy about defending itself. They argue that payday loans can be less expensive than bounced check fees and overdraft protection programs. In addition, they argue that payday loans are the best quick and easy way for some people to get money.



Low documentation home loans: what are they and should you apply? #doorstep #loans


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Low doc home loans

Low doc loans are designed to assist people who do not qualify for a traditional home loan to buy a property. Low doc (or low documentation) loans still require the application to be made in writing, however you may not be required to provide much of the paperwork that is necessary with standard home loans, such as proof of income, assets or liabilities. The low doc loan relies more on a method called self-verification, where you state your income without the verifying documentation.

Who can benefit from a low doc loan?

Low doc loans are designed to benefit those people who have some existing equity or a deposit saved, and have trouble showing evidence of regular income. This could apply to the self-employed or casual workers. Low doc loans could also be made available to people with a bad credit history.

Low doc loans are also sometimes abused by people who have income they have omitted to declare to the taxation office. Failure to declare taxable income is an offence and, if caught, offenders are forced to pay penalties that far outweigh the savings they intended to make by breaking the law.

Why should I take out a low doc loan?

If you fall into any of the categories above and wish to purchase a property, a low doc loan could be your only option for obtaining the required finance. As with any major financial decision, always weigh up the pros and cons and determine whether you can afford the repayments. There could also be extra costs involved as many lenders will charge an inflated interest rate when standard documentation is not produced on application. Mortgage insurance is also a standard requirement with low doc loans, which adds further to the cost.

Most low doc loans will cover up to 80% of the value of the property (80% LVR), although the more financial documentation you can present to the lender, the higher the percentage could be.

Types of low doc loans

There are three main types of low doc loans: self-declared income, account statement and asset lend. Each of these low doc loans have slightly different eligibility requirements.

Self declared income

The most common low doc loan, where the lender will offer a home loan on a signed declaration of income, with no accompanying evidence. In general, 80% of the property value is loaned and the interest rate can be higher than a standard loan

Account statement

Requires more substantial income evidence, such as a letter from your accountant, however interest rates are usually more in line with a standard home loan .

Asset lend

This type of low doc loan requires the least evidence to be presented, in some cases no proof of income or signed declaration is needed. The loan is secured purely on the value of the property. These loans have substantially higher interest rates and, in general, a lower percentage of the value of the property can be borrowed.

What to look out for

Low doc loans generally have certain conditions and extra costs attached, such as:



Joint Loans (When Two or More Borrowers Apply) – How they Work #24 #hour #loans


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Joint Loans – Overview

By Justin Pritchard. Banking/Loans Expert

Justin Pritchard helps consumers navigate the world of banking.

A joint loan is a loan made to two or more borrowers. With more than one borrower, you have more income to pay the loan, and it may be easier to qualify for a large loan. In addition, additional borrowers may have better credit and more collateral to help you qualify.

Joint Loan vs. Co-Signing

This is the main similarity: both co-signers and co-borrowers are 100% responsible for the loan. However, joint loans are different from co-signed loans.

  • Co-Signing Basics

With a joint loan, every borrower is most likely (but not always) an owner of whatever you buy with the loan. A co-signer is generally not an owner, so they take all of the risk without any benefit of ownership. Co-signers do not have the right to use the property, benefit from it, or make decisions regarding the property.

Relationship Matters

The relationship between borrowers may be important when applying for a joint loan.

Some lenders only issue joint loans to people who are related to each other by blood or marriage. If you want to borrow with somebody else, be prepared to hunt a little more for an accommodating lender. Some lenders require unrelated borrowers to apply individually — which makes it harder to qualify for large loans.

If you’re not married to your co-borrower, be sure to put agreements in writing before buying expensive property. In the unlikely event of divorce, court proceedings tend to do a thorough job of dividing assets and responsibilities; informal separations can last longer and be more difficult if you don’t have agreements in place.

Continue Reading Below

Is a Joint Loan Necessary?

Remember that the main benefit of a joint loan is that it’s easier to qualify for loans when by combining income and credit scores. You may find that you don’t need to use a joint loan if one borrower can qualify individually. Both of you (or all of you, if there are more than two) can pitch in on payments. You might even be able to put everybody’s name on a deed of ownership — even if one of the owners does not borrow as part of a joint loan.

Of course, it may be impossible for one person to qualify for a large loan. Home loans. for example, tend to be so large that one person’s income will not satisfy a lender’s desired debt to income ratios .

Responsibility and Ownership

Before deciding to use a joint loan (or not), make sure you understand what your rights and responsibilities are. Get answers to the following questions:

  • Who is responsible for making payments?
  • Who owns the property?
  • How can I get out of the loan?
  • What if I want to sell my share?
  • What happens to the property if one of us dies?

It may not be fun to consider everything that can go wrong, but it’s better than being taken by surprise. For example, co-ownership is treated differently depending on the state you live in and how you own the property. If you buy a house with a romantic partner, both of you may want the other to get the home at your death — but ownership laws may say that the property goes to the decedent’s estate (and without valid documents to say otherwise, the family of the deceased may become your co-owner).

Getting out of a loan can also be difficult (if your relationship ends, for example). You can’t just remove yourself from the loan — even if your co-borrower wants to get your name removed. The lender made the loan based on a joint application, and you’re 100% responsible for repaying the loan. In most cases, you have to refinance a loan or pay it off to put it behind you.



Debt consolidation loans – How do they work? #auto #loan #interest #rates


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Debt consolidation loans

Looking to clear a debt? A debt consolidation loan may help to combine debts into one manageable loan.

If you are currently looking to clear debt and juggling payments to more than one lender you are not alone, but a debt consolidation loan could help.

Debt consolidation loans

Compare a range of debt consolidation loans with our comparison tables.

Debt consolidation loans who are they for?

We are a nation of debtors, Britain owes over £1 trillion. But rather than trying to pay off the minimum amount for each debt, a debt consolidation loan could reduce your debt to one manageable monthly payment.

However, you need to look at all of the relevant issues as loan consolidation may not be right or available for you.

What are debt consolidation loans?

In the simplest terms, a debt consolidation loan will pay off your existing debts and transfer the monies owed into one loan with one manageable, monthly repayment.

You will still have to pay back all the monies owed, but with loan consolidation you may be able to reduce your monthly outgoings, pay a lower rate of interest, or be able to spread the costs out over a longer time period.

What are the benefits?

If you are careful about managing your spending, debt consolidation loans can help by:

  • Reducing your monthly payments  By spreading out the term of the debt you should be able to reduce your monthly repayments to a manageable level. Most people are often paying the ‘minimum payment’ allowed on the existing debts. This often just means covering the interest component of the loan while leaving the actual total amount owed unchanged.
  • Improving your credit rating  If you are able to pay off the loan and accrue no further debt, this will be seen as a positive impact on your credit rating.It is also a good idea to check your credit report before you apply for a debt consolidation loan.
  • Reducing the interest you pay  If your debts are with store or credit cards that have a high interest rate then you will generally pay back less interest on your debt with a loan.

Debt consolidation loans

Compare a range of debt consolidation loans.

Dangers of a debt consolidation loan

You may find yourself getting into debt for a longer period than needed, so it s important to weigh up all the alternatives you could take to reduce your debts or help pay off your existing ones.

These loans should not be the first action to take against debt, especially if there are expenses and outgoings you can reduce or get rid of completely.

It s worth analysing your budget and looking at what you can afford to pay back on your current debts first.

How do I get a debt consolidation loan?

To see if you are eligible for their loan, a lender will look at how much debt you have outstanding and your credit risk.

If you have a previous history of bad credit or large debts, a lender may only consider offering a secured loan .

This will require you using your property as security against the loan, reducing the lender’s risk. You need to be very sure you will be able to cope with the loan repayment, as your house could be at risk if you default.

Today, many personal loans  can be used to consolidate your debts. As with any other borrowing the lender will look at:

  • the amount you want to borrow
  • your credit history
  • how long you need to repay the debt

If your outstanding debt is low and you have no problems with your credit rating, a personal loan could help you consolidate and reduce your debt.

Read more…

  • Guarantor loans  Find a loan available to those with bad credit but good friends.
  • How To Strengthen Your Credit Rating
  • Secured Loans Guide A secured loan means the loan is lent against your home house


Companies that Own and Manage Payday Lending and Check Cashing Stores to Settle FTC Charges That They Tossed Sensitive Consumer Data into Trash Dumpsters #debit #card #loans


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Companies that Own and Manage Payday Lending and Check Cashing Stores to Settle FTC Charges That They Tossed Sensitive Consumer Data into Trash Dumpsters

Will Pay $101,500 Civil Penalty

Tags:

A company that provides management services to more than 300 payday loan and check cashing stores, and an affiliated company that owns and operates several stores, will pay $101,500 to settle Federal Trade Commission charges that they violated federal law by allowing sensitive consumer information to be tossed into trash dumpsters.

The FTC charged that PLS Financial Services, Inc. and The Payday Loan Store of Illinois, Inc. failed to take reasonable measures to protect consumer information, resulting in the disposal of documents containing sensitive personal identifying information – including Social Security numbers, employment information, loan applications, bank account information, and credit reports – in unsecured dumpsters near several PLS Loan Stores or PLS Check Cashers locations.  PLS Group, Inc. which owns PLS Financial Services and The Payday Loan Store of Illinois, was also named in the complaint.

According to the complaint filed by the FTC, PLS Financial Services and The Payday Loan Store of Illinois violated the FTC’s Disposal Rule by failing to take reasonable steps to protect against unauthorized access to consumer information in the disposal of credit reports.  They also allegedly violated the Gramm-Leach-Bliley Safeguards Rule and Privacy Rule, which require financial institutions to develop and use safeguards to protect consumer information, and deliver privacy notices to consumers.  Further, the FTC charged that all three defendants violated the FTC Act by misrepresenting that they had implemented reasonable measures to protect sensitive consumer information.

This is the third time the FTC has charged a violation of the Disposal Rule, which requires that companies dispose of credit reports and information derived from them in a safe and secure manner.

According to the FTC complaint, PLS Group owns approximately two dozen operating companies, such as The Payday Loan Store of Illinois, that in turn own and operate more than 300 retail stores in nine states under the names PLS Loan Stores and PLS Check Cashers.  These stores offer a variety of products and services, including payday loans, check cashing, automobile title loans, debit cards, phone cards, and notary services.  PLS Financial Services provides management services to the PLS Loan Stores and PLS Check Cashers locations, including establishing their policies and procedures for the handling and disposal of consumer financial information.

In addition to the $101,500 civil penalty imposed on PLS Financial Services and the Payday Loan Store of Illinois for violation of the Disposal Rule, the settlement bars all of the companies from violating the Disposal, Safeguards and Privacy Rules and from misrepresenting the extent to which they maintain and protect the privacy and integrity of personal information.  The order also requires that the companies implement and maintain a data security program with independent third-party audits every other year for the next 20 years.  It also contains certain bookkeeping and record keeping provisions to allow the Commission to monitor compliance with its order.

The Commission vote to approve the proposed consent decree was 5-0.  The Department of Justice filed the proposed consent decree on behalf of the Commission in the U.S. District Court for the Northern District of Illinois.  It was signed by the judge and entered by the court on November 1, 2012.

NOTE:  This consent judgment is for settlement purposes only and does not constitute an admission by the defendant that the law has been violated.  Consent judgments have the force of law when approved and signed by the District Court judge.

The Federal Trade Commission works for consumers to prevent fraudulent, deceptive, and unfair business practices and to provide information to help spot, stop, and avoid them. To file a complaint in English or Spanish, visit the FTC’s online Complaint Assistant or call

1-877-FTC-HELP (1-877-382-4357). The FTC enters complaints into Consumer Sentinel, a secure, online database available to more than 2,000 civil and criminal law enforcement agencies in the U.S. and abroad. The FTC’s website provides free information on a variety of consumer topics .  Like the FTC on Facebook. follow us on Twitter. and subscribe to press releases for the latest FTC news and resources.



Career development loans: are they a good way to fund your master s? #loans #for #the #unemployed


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Career development loans: are they a good way to fund your master’s?

F unding is the biggest headache faced by students wanting to continue their studies after their undergrad degree. Taught master’s degrees no longer qualify for research council funding, and while some students manage to put together a funding package through scholarships and sponsorships, others are drawn to taking out a bank loan. But is this a good move?

Career development loans (CDLs) have become an increasingly common funding option for those undertaking postgraduate study. There are only two banks currently offering them – the Co-operative bank and Barclays .

Since the government-supported scheme began in 1988, over 304,000 people have taken out a CDL. In this 25-year period, banks have lent in excess of 1.34bn. The Co-operative says: We have seen a steady increase. In 2013, almost 5,000 people took out a CDL with the Co-operative bank.

The CDL funds full- or part-time vocational and professional study. Although it is a commercial bank loan, the government pays the interest for the duration of the course and recipients do not have to repay the loan until they complete their studies.

In recent years, the number of students undertaking postgraduate study has fallen due to following a rise in course fees. A postgraduate taught course now costs an average of just under 6,000 a year, an increase of 7% since 2012-2013.

The number of part-time students has fallen even further. Between 2010-11 and 2012-13, UK and EU students entering part-time postgraduate courses dropped 27% – the equivalent of 25,000 students.

Despite the fall in numbers of those undertaking postgrad study, there’s been a rise in CDL applications, because of the funding cuts.

The Department for Business, Innovation and Skills (BIS) explains the point of the loans: Professional career development loans are short-term finance offers which enable adults to undertake vocational and professional study, with the aim of moving on in work or into work quickly. Recipients are able to concentrate on the learning or training without needing to meet repayments. Repayment only begins one month after they leave their course.

Nevertheless, CDLs have come under some scrutiny and the University and College Union (UCU) argues that high interest rates, non-income contingent payback terms and the need for a good credit record mean that they are not suitable for everyone.

UCU points to a worrying effect on access to postgrad study: Students from less advantaged socio-economic backgrounds tend to be more risk-averse, and the benefits of further learning and the increased salaries that postgraduate qualifications can bring are being skewed towards more advantaged learners only.

You can take out a loan for any amount between 300 and 10,000, and both banks offer an interest rate of 9.9%. CDLs are available to those aged between 18 and 69 with an unlimited right to stay in the UK. However, you need to have been resident in Britain for at least three years, so if you have been abroad for over six months then the banks are likely to reject your application.

The banks will also reject your application if your credit rating doesn’t match their eligibility criteria. While neither the Co-operative nor Barclays were able to disclose the number of applications they rejected, I spoke to a number of students who had their applications declined.

Emma Finamore, currently doing a journalism master’s at Goldsmiths, University of London, says: My application was rejected even though I hadn’t been in any trouble with the bank or phone companies. This nearly stopped me from pursuing my dream of studying journalism.

If I hadn’t started a crowd-sourcing campaign and known someone who was prepared to lend me 5,000, I wouldn’t have been able to do this master’s.

The government covers the interest for one month after the course finishes, but after that the loan operates as a normal bank loan. The student is then fully liable for repayment. Recipients are given between one and five years to repay their loan; but obviously the longer they take, the more interest they accrue. The Co-op bank says the average term on a CDL is five years.

Unlike ordinary loans, CDLs come without arrangement fees or early settlement charges – if you want to end your repayment plan prematurely you can settle without additional charges.

If a graduate is still unemployed after they complete their course, there are protections in place and repayments can be deferred for up to 17 months, but this must be applied for in three separate stages.

However, once the recipient has entered into a repayment scheme it can become very difficult to halt or postpone payments. Banks are keen to retrieve their money even if employment circumstances change. With increasingly precarious labour conditions and the growth of zero-hour contracts, jobs will not necessarily remain secure for the entire repayment scheme.

Veering off-plan can cause long-lasting damage to your credit history and affect your future ability to gain credit. As with all bank loans, there is some degree of financial risk involved.

If recipients fail to meet payments, both the Co-operative and Barclays transfer the loan to a debt collector agency. The Co-op says they cannot disclose how frequently they transfer loans to a third-party debt agency because this is commercially sensitive data.

The Co-op says: If a customer encounters financial difficulties and is unable to pay back their loan, we would encourage them to contact us as soon as possible. We always strive to support customers facing financial difficulties and would only turn to a collection firm as a last resort.

BIS says: CDLs are commercial bank loans and as such the banks seek recoveries in the event someone misses regular repayments and so defaults.

The CDL may be far from a perfect solution to postgraduate funding, but it is one of the few funding options available.

If applicants think the course will further their vocational skills and career prospects, then the CDL may be a good option, but it is less so for those wishing to pursue a future in academia or any other career where a regular salary is not a safe bet.

Advice and an application pack are available if you call the information line on 0800 585 505, open Monday to Sunday, 8am to 10pm, or visit direct.gov.uk/pcdl for details.



Car Title Loans Online Video – How They Work #apply #for #a #loan


#need a loan fast
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Loan 310-433-4625

Car Title Loans Online #1 Source For Car Title Loans LA County

Car Title Loans LA County Call (310)433-4625

Hello, my name is Greg a nd welcome to our site, If you are in need of a quick cash emergency loan you ve come to the right place. Are you interested in applying for car title loan o nline? You can either call me or fill out this online form. You can be rest assured you are in good hands.

The benefit to a car title loan is that you get to continue to use your vehicle while paying the loan off. It s similar to financing a car. The borrower remains the registered owner of the vehicle while the lender becomes the new legal owner (lien holder.)

Car title loans have become more and more popular due to the fact that  borrowers feel confident that the loan will be paid back because they ll be able to still use their vehicle, so they wont have to worry about getting to work, taking their kids to school, etc.

Do you have any questions about car title loans? We are here to help. I ve been in the car business for ten years, and also buy cars for cash too. Our partner site is Cash4CarsLA. You may have a vehicle with a mechanical problem, possibly a car that has failed smog, body damage, please let me know. I m open to everything so please contact me.

We re available 24/7 with your vehicle title loan needs. Please fill out the form below, and we will get back to you asap. You can also call us at (310)433-4625.

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What are Faxless Payday Loans and How Do They Work? #signature #loan


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Faxless Payday Loans

Fax machines used to be an everyday part of just about everyone’s lives. In many corporate and office settings, fax machines are still sometimes used as part of the day-to-day business. Before the explosion of the Internet, people who wanted to get a loan often had to fax paperwork over to the lender and then be considered for a loan. This process could take days or weeks – not good for someone with an emergency. Luckily, access to the web has become much easier over the past few years, meaning that people can now go online to find a short term loan. These days, often people don’t have to use a fax machine at all, having access to faxless payday loans .

Advances in technology over the past decade have meant that fax machines have started to take a back seat to faster ways of transmitting information. Because of the explosion of the Internet, many short term lenders that offer payday loans can take your information directly on the web without having to use a fax machine at all.

people can now go online to find a short term loan What makes these kinds of loans appealing is that people won’t have to wait in embarrassing lines to get one. Years ago, you would have to get all your paperwork together, drive to a payday store or somewhere to send your application by fax, and then on top of that pay for the fax per page. Most people are busy and don’t have time or may not have the transportation options. Now, a faxless payday loan means going online could save you time.

The online experience has also meant that borrowers like you could get the emergency cash you’re looking for, no matter if it’s an unexpectedly high bill, unforeseen medical crisis, or other surprise problem. Money Mutual was created to help take out the legwork of trying to find a lender online, and has already helped millions do just that through a large network of participating lenders. We do not broker loans, nor are we a lender – but we’ve partnered with many lenders offering personal loans quickly, easily, and safely.

Going online to get a loan also means that you could get your information to lenders faster. Many lenders will ask for proof of your regular income – whether it’s a pay stub, or retirement or disability, or alimony, for example. The lender will also want to know your bank account information, because lenders online typically deposit the funds directly to your account, as well as take out repayment from the same account. Remember, requirements will vary from lender to lender. Giving your information takes mere minutes, and getting matched with a participating lender takes seconds, and money could be deposited to your bank account as quickly as 24 hours

The advancement of the Internet has made what was once an annoying and sometimes expensive process into something as simple as a faxless payday loan. Although some participating lenders in MoneyMutual s network may require faxing to complete the process, at Money Mutual, we can help match you with a large network of lenders who can help you get the cash you need for any emergency, without ever having to wait in line.

APPLY IN LESS THAN 5 MINUTES!



What are Car Title Loans? Are they a Ripoff? #instant #loans #for #unemployed


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What Are Car Title Loans Are They a Ripoff?

Tough economic times have people in a financial bind and doing things they haven t done before. There are those who are living paycheck-to-paycheck when they suddenly get struck with a financial emergency.

What would you do?

Some people turn to title loans to give them a quick infusion of cash to tide them over until next paycheck. Are title loans a good option when you re tight on money or are they a rip-off? And how exactly do they work?

How car title loans work

As the name suggests, a person can borrow money with their car title as collateral. Typically with these loans, there s no credit check and your application is processed quickly. They re mainly used as cash advances, and their term is usually 30 days.

The maximum amount someone can borrow varies, but it s usually no more than 50% of the car s value. To qualify for the loan, the borrower needs to own the car outright. After assessing the value with an inspection, there is usually a small amount of paperwork and then the money is loaned.

As with payday loans, there are term extensions that some borrowers can take out, but many times this will lead to a cycle of debt with the constant threat of repossession.

Big fees and interest rates

Title loans are not cheap. They tend to have higher interest rates than banks, credit cards, and in some cases, payday loans. As always, there s a high price for quick cash, and it s usually to the borrower s detriment.

When people take out such loans they may see the amount due on the loan, but if they calculated the APR it can be over 100%! Some states, like Florida and Illinois, have placed restrictions on the interest rates and fees charged by these companies. The end result is rates that are still quite high often around 30% but more reasonable than in other places.

Too much risk

Putting your car on the line is leaving yourself open to a financially devastating situation. What if an emergency happens and you lose your car? Not only will you be stuck without transportation, but you ll have given up your car in return for only a fraction of its value.

I think that if someone is having a difficult time paying bills to the point that they need to get a title loan, there is a strong possibility that they can t afford to replace their car if they lose it.

Don t think they ll go after you or they ll cut you a break? Some title lenders require GPS tracking. and may ask you for a copy of your car s keys. Lenders do not give out money unless they expect to get it back

How to avoid taking a car title loan

In general terms, you can avoid financial disasters, or at least minimize their impact, by planning ahead and building up an emergency fund. Eliminate excess expenses temporarily or permanently from your budget. Pack your lunch. stay home instead of going to the movies, and cut the cable bill if you have to any of these are far better than jeopardizing your financial future.

If you can t cut your budget any further, then consider taking on a second job as an added source of income. Be a waiter or deliver pizzas do whatever necessary to get more money into your budget. You don t have to stay at your second job forever.

Save up a comfortable cushion of at least 3-6 months worth of your expenses and you should be able to ride out most emergencies that crop up. If you re not comfortable at that level, work your way up to 12 months worth of expenses. Stash you funds in a dedicated savings account where you ll be able to keep it accessible but resist the temptation of dipping into it.

What if you need the money now. Many of the above tips apply. Cut expenses, increase income, etc. If that s not enough, check with your bank for a short term loan, sell some of your stuff, compare rates against credit card cash advances, or apply for a peer-to-peer (P2P) loan from an outfit like Lending Club. Whatever you do, please think twice before getting a car title loan.

Your thoughts on car title loans

What do you think about title loans? Do they serve a useful need, or are they predatory loans? Have you ever used one? If so, what was your experience like?



SBA Loan Rates – Current Interest Rates and How They Work #credit #union


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SBA Loan Rates Current Interest Rates and How They Work

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As mentioned in our Ultimate Guide to SBA Loans. there are two primary types of SBA loans, 7A loans and CDC / 504 Loans. SBA 7A loans can be used for a variety of purposes, while CDC / 504 loans are specifically for the purchase of real estate.

November 2015 Maximum interest rates on SBA 7A Loans range from 5.5% to 8.0%. Full Table

November 2015 Maximum interest rates the CDC portion of CDC / 504 Loan currently range from 3.43% to 4.25% including fees. Full Table

Before reading further, make sure you are qualified. The 4 general requirements for getting an SBA loan of any type are:

    In business at least 2 years Personal credit score is 660+ Seeking at least $30,000 At least $100,000 in revenues for the past 12 months

line-height: 1.2;”>Pro Tip!

Did you know that you don’t need to fill out any SBA forms for a 7A loan for $150,000 or less?

Even though the SBA doesn’t require it, many banks still force you to fill out unnecessary paperwork. Our recommended provider of SBA loans, SmartBiz. has streamlined the process of getting an SBA loan. In a few minutes, you can find out the size of the loan that you should qualify for, directly on their website. If you decide to move ahead and get approved, you can have the money in as little as 7 days.

Current SBA (7A) Loan Interest Rates and Explanation

The Small Business Administration (SBA) sets the maximum interest rates that banks can charge on 7A loans. The current maximum interest rate ranges from from 5.50%   8.00%, depending on the size of the loan and the amount being borrowed.



Low documentation home loans: what are they and should you apply? #online #loans


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Low doc home loans

Low doc loans are designed to assist people who do not qualify for a traditional home loan to buy a property. Low doc (or low documentation) loans still require the application to be made in writing, however you may not be required to provide much of the paperwork that is necessary with standard home loans, such as proof of income, assets or liabilities. The low doc loan relies more on a method called self-verification, where you state your income without the verifying documentation.

Who can benefit from a low doc loan?

Low doc loans are designed to benefit those people who have some existing equity or a deposit saved, and have trouble showing evidence of regular income. This could apply to the self-employed or casual workers. Low doc loans could also be made available to people with a bad credit history.

Low doc loans are also sometimes abused by people who have income they have omitted to declare to the taxation office. Failure to declare taxable income is an offence and, if caught, offenders are forced to pay penalties that far outweigh the savings they intended to make by breaking the law.

Why should I take out a low doc loan?

If you fall into any of the categories above and wish to purchase a property, a low doc loan could be your only option for obtaining the required finance. As with any major financial decision, always weigh up the pros and cons and determine whether you can afford the repayments. There could also be extra costs involved as many lenders will charge an inflated interest rate when standard documentation is not produced on application. Mortgage insurance is also a standard requirement with low doc loans, which adds further to the cost.

Most low doc loans will cover up to 80% of the value of the property (80% LVR), although the more financial documentation you can present to the lender, the higher the percentage could be.

Types of low doc loans

There are three main types of low doc loans: self-declared income, account statement and asset lend. Each of these low doc loans have slightly different eligibility requirements.

Self declared income

The most common low doc loan, where the lender will offer a home loan on a signed declaration of income, with no accompanying evidence. In general, 80% of the property value is loaned and the interest rate can be higher than a standard loan

Account statement

Requires more substantial income evidence, such as a letter from your accountant, however interest rates are usually more in line with a standard home loan .

Asset lend

This type of low doc loan requires the least evidence to be presented, in some cases no proof of income or signed declaration is needed. The loan is secured purely on the value of the property. These loans have substantially higher interest rates and, in general, a lower percentage of the value of the property can be borrowed.

What to look out for

Low doc loans generally have certain conditions and extra costs attached, such as:



Home Equity Loans – How They Work – Tips and Benefits #easy #loan


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Home Equity Loans

By Justin Pritchard. Banking/Loans Expert

Justin Pritchard helps consumers navigate the world of banking.

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A home equity loan is a type of second mortgage. Your “first” mortgage is the one you used to purchase your home, but you can add other loans to borrow against the property if you have built up enough equity .

Benefits of Home Equity Loans

Home equity loans are attractive to both borrowers and lenders. Here are a few of the key benefits for borrowers:

  • Home equity loans typically have a lower interest rate (or APR )
  • They are easier to qualify for if you have bad credit (sometimes)
  • Interest costs on a home equity loan may be tax deductible

Most of those benefits (except for the tax deduction) are available because home equity loans are generally safe loans for banks to make: the loan is secured by your house as collateral. If you fail to repay, the bank can take your property, sell it, and recover any unpaid funds. What s more, borrowers tend to prioritize these loans over other loans because they don’t want to lose their homes (faced with the choice of missing a mortgage payment or a credit card payment. you might skip the card payment ).

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Of course, banks have to be careful not to lend too much (as they did in the housing crisis) or they risk major losses. To protect themselves, lenders try to make sure that you don’t borrow any more than 85% or so of your home’s value – taking into account your original purchase mortgage as well as any home equity loan you’re applying for. The percentage of your home s value available is called the loan to value ratio. and may vary from bank to bank.

Logistics

When you get a home equity loan. you get a lump-sum of cash, and you repay the loan over time with fixed monthly payments. Your interest rate is set up-front, and each payment reduces your loan balance and covers some of your interest costs (it is an amortizing loan).

If you don’t need all of the money at once, you can also consider a home equity line of credit (HELOC ). That option provides a pool of money that you can draw from if and when you need it, and you only pay interest on any money that you’ve actually borrowed. However, be aware that banks can close or cancel a HELOC before you’ve had a chance to use the money, and the interest rate on a HELOC generally changes over time.

Common Home Equity Loan Uses

You can use a home equity loan for anything you want. However, they usually get used for some of life’s larger expenses because homes tend to have a lot of value to borrow against. For example, you find that a lot of borrowers want to:

  • Remodel, renovate, or otherwise improve the house and property
  • Pay for a family member’s college education
  • Fund the purchase of a second home
  • Consolidate high-interest debts

Pitfalls of Home Equity Loans

Before using a home equity loan for any purpose, you should be aware of the risks of using these loans. The main problem is that you can lose your home if you fail to meet the payment schedule required by the loan.

Because these loans can provide a lot of cash, it s tempting to use your home as an ATM. Be sure to use your home s equity only for the most important expenses; things that will improve the value of your home or improve your income are good examples.

Another common pitfall of home equity loans is that scammers have found plenty of ways to cheat homeowners out of their most valuable asset (or at least get a lot of cash out of the deal). Be sure that you know who you’re doing business with. If something smells fishy (like a high-pressure sales pitch or a reluctance to put things in writing), then take a step back and make sure the deal is legitimate.

How to Find the Best Home Equity Loans

Finding the best home equity loan can save you thousands of dollars – at least. In order to get the best loan, I recommend that you:

  • Shop around. Try a variety of sources (banks, brokers, and credit unions )
  • Manage your credit score and make sure your credit reports are accurate
  • Ask your network of friends and family who they recommend
  • Compare your offers to those found on websites and advertisements

Additional Tips

Before you borrow, pause and make sure that this type of loan really makes sense. Is a home equity loan a better fit for your needs than a simple credit card account or an unsecured loan. If you’re not sure, figure it out before you put your home at risk.

Also, make a detailed plan of your income and expenses (including this new loan payment ) ahead of time. These large loans can come with large payments.

Review and consider insurance to cover the payments if something happens. You may or may not need insurance, and nobody can force you to use it. If you’re going to include insurance as part of a home equity loan, go with monthly premium payments – not up front – so that you only pay for what you use (assuming the insurance is just for the home equity loan).



Debt consolidation loans – How do they work? #installment #loans


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Debt consolidation loans

Looking to clear a debt? A debt consolidation loan may help to combine debts into one manageable loan.

If you are currently looking to clear debt and juggling payments to more than one lender you are not alone, but a debt consolidation loan could help.

Debt consolidation loans

Compare a range of debt consolidation loans with our comparison tables.

Debt consolidation loans who are they for?

We are a nation of debtors, Britain owes over £1 trillion. But rather than trying to pay off the minimum amount for each debt, a debt consolidation loan could reduce your debt to one manageable monthly payment.

However, you need to look at all of the relevant issues as loan consolidation may not be right or available for you.

What are debt consolidation loans?

In the simplest terms, a debt consolidation loan will pay off your existing debts and transfer the monies owed into one loan with one manageable, monthly repayment.

You will still have to pay back all the monies owed, but with loan consolidation you may be able to reduce your monthly outgoings, pay a lower rate of interest, or be able to spread the costs out over a longer time period.

What are the benefits?

If you are careful about managing your spending, debt consolidation loans can help by:

  • Reducing your monthly payments  By spreading out the term of the debt you should be able to reduce your monthly repayments to a manageable level. Most people are often paying the ‘minimum payment’ allowed on the existing debts. This often just means covering the interest component of the loan while leaving the actual total amount owed unchanged.
  • Improving your credit rating  If you are able to pay off the loan and accrue no further debt, this will be seen as a positive impact on your credit rating.It is also a good idea to check your credit report before you apply for a debt consolidation loan.
  • Reducing the interest you pay  If your debts are with store or credit cards that have a high interest rate then you will generally pay back less interest on your debt with a loan.

Debt consolidation loans

Compare a range of debt consolidation loans.

Dangers of a debt consolidation loan

You may find yourself getting into debt for a longer period than needed, so it s important to weigh up all the alternatives you could take to reduce your debts or help pay off your existing ones.

These loans should not be the first action to take against debt, especially if there are expenses and outgoings you can reduce or get rid of completely.

It s worth analysing your budget and looking at what you can afford to pay back on your current debts first.

How do I get a debt consolidation loan?

To see if you are eligible for their loan, a lender will look at how much debt you have outstanding and your credit risk.

If you have a previous history of bad credit or large debts, a lender may only consider offering a secured loan .

This will require you using your property as security against the loan, reducing the lender’s risk. You need to be very sure you will be able to cope with the loan repayment, as your house could be at risk if you default.

Today, many personal loans  can be used to consolidate your debts. As with any other borrowing the lender will look at:

  • the amount you want to borrow
  • your credit history
  • how long you need to repay the debt

If your outstanding debt is low and you have no problems with your credit rating, a personal loan could help you consolidate and reduce your debt.

Read more…

  • Guarantor loans  Find a loan available to those with bad credit but good friends.
  • How To Strengthen Your Credit Rating
  • Secured Loans Guide A secured loan means the loan is lent against your home house


Debt Consolidation Loans – What They Are and How They Work #get #a #loan #with #bad #credit


#unsecured debt consolidation loans
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Debt Consolidation Loans – What They Are and How They Work

A debt consolidation loan is a type of financing that is extended to people that have multiple debts, allowing them to consolidate (or combine) all of their debts into one new loan.

While debt consolidation loans can be used to consolidate various types of personal debt. the most common is credit card debt. The loan is intended for people with multiple credit cards who are struggling with making the minimum monthly payments to their creditors.

Benefits of Debt Consolidation Loans

The benefits of a consolidation loan can be a worthwhile solution to climbing out of debt for candidates with heavy debt that is dispersed amongst multiple credit cards.  Essentially, when taking out a consolidation loan, you are paying your credit card debts in full and the new loan is established in their place.  Taking out a consolidation loan is beneficial in the following ways:

  • May reduce the number of collection calls you receive from multiple creditors
  • Allows you to make one monthly payment to one source
  • Provides you the opportunity to improve your credit score over time by making timely payments

Secured vs. Unsecured Debt Consolidation Loans

There are two basic types of consolidation loans – secured and unsecured.  Secured loans are tied to an asset (house, car, piece of property) and used as collateral in the event that you default on your loan.  Unsecured loans are not tied to an asset and are based largely on your credit history because you are considered high-risk for a lender.

Secured Loan: positives and negatives

+ Easier to obtain from a lender

+ Higher borrowing amount allotted

+ No asset risk

+ Shorter repayment term (lower cost in interest over time)

 Harder to obtain from a lender (high risk borrower)

 Lower borrowing amount allotted

 Higher interest rate

 No tax benefit

How Will a Debt Consolidation Loan Affect My Credit?

A debt consolidation loan can provide an opportunity to improve your credit if you use it as a financial plan, as opposed to just shifting debt around.  When you take out your consolidated loan, your credit card debt will be paid in full and you will focus on paying down your single new loan.

If you need to take out a consolidation loan, it is safe to assume that your credit has already taken a hit with delinquent payments.  As your score won’t immediately improve, timely payments on the new loan will start to positively impact your credit rating over time.



Construction Loans How they Work #debt #consolidation


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Construction Loans How they Work

Understanding construction loans and how they work, is important when going to apply for a loan. A construction loan is a very simple loan, similar to a balloon note. It only charges interest during the construction process, and the entire amount of the loan is due upon completion of construction. Yes, that sounds scary, but the construction loan is combined with a mortgage loan in most cases. It is a good idea to lock down your interest rate and your mortgage loan, by applying for both at the same time. It is important to remember though that they are two separate loans, a construction loan during the construction, and a mortgage loan after completion of construction.

Construction Loans How they Work: The Beauty

One of the most beautiful things about the construction loan is that all the borrowed money is placed in a bank account, and withdrawn by the contractor, only as it is needed. You only pay interest on the money already used, while the rest waits in the account. Further you only pay the interest, not the principle during the entire term of the construction loan. Your mortgage loan will take care of paying down the principle, after the home is built.

Construction Loans How they Work Options

Construction loans while simple vary a lot in the details, and are based on your needs. They are often called story loans because the loan officer listens carefully to what you need and writes the loan accordingly based on your “story.” Here are some of the variable features.

Construction Loans How they Work Options: Combined with the Mortgage or Not

Sometimes both loans are closed at the same time. This is much more economical and easier. Other times there are two loan closings. It is best to get both loans closed at once to save on closing costs.

Construction Loans How they Work Options: Pay Interest Now or as Part of the Mortgage

Some construction loans require future home owners to make interest only payments, while others just add the interest into the mortgage loan.

Construction Loans How they Work Options: Lock in Mortgage Rate Now or After the Home is Built

This can make a huge difference if interest rates change. Interest rates are currently very low, and it’s a good idea to lock in that rate.

Construction Loans How they Work Options: Down Payment Amount

The amount varies considerably. FHA home builder loans are significantly less, and Veterans Administration loans require no down-payment at all, while some home construction loans require a 30% down-payment. This is why it is vital to talk to your home builder or contractor honestly during pre-qualifying. Pre-qualifying helps the home builder determine what type of loan you need, and which lending institutions might be able to help you get the money you need for construction.

Getting a good loan depends largely on your credit score, work record and income. For the best rates, clean up your credit score, pay off your debits, and pay your bills promptly. Make sure you have held your current job for at least one year, and that your monthly income is at least three times the amount of your future mortgage payment. By understanding construction loans and how they work, you will be able to more easily navigate the loan application process.



How to Do a Private Mortgage and How They Work


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Private Mortgage – How to do a Private Mortgage

By Justin Pritchard. Banking/Loans Expert

Justin Pritchard helps consumers navigate the world of banking.

With a private mortgage, you don’t borrow from a bank. Instead, you borrow from another person or business. Whether it’s your only option, or one of many, it s worth learning how private mortgages work and finding out what to watch out for.

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Understand the Risks of a Private Mortgage

Life is full of surprises, and any private mortgage can go bad. Of course everybody has good intentions, and these deals often seem like a great idea when they first come to mind. But pause long enough to consider the following questions before you get too deep into something that will be difficult to unwind:

  • How will the personal relationship between borrower and lender change?
  • Will the lender’s financial security (prospects for retirement, risk of bankruptcy. etc) be affected – especially if something happens ?
  • Who else may suffer if the loan is not repaid?

A lender, private or traditional, is always taking a risk. Ignoring relationship issues, the deal can go bad if you fail to consider:

  • Is the property in good condition?
  • Will the property be adequately insured and cared for?
  • Is there any other liens, mortgages, or interests conflicting with the private mortgage lender’s interest? In other words, who gets paid first?

Private Mortgage Agreements

Any private mortgage should be well documented. A loan agreement can take care of this for you, as you ll have everything in writing.

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When you use a written agreement, everybody’s expectations are laid out so there are few surprises. After several years, you (or the other person) may forget what you discussed and what you had in mind, but a document has a much better memory.

Documentation not only keeps your relationship intact – it protects each party to a private mortgage. Again, you don t know what you don t know about the future, and it s best to avoid any legal loose ends from the get-go. Finally, a written agreement might make the deal work better from a tax perspective.

As you review your agreement, make sure every conceivable detail is spelled out, starting with:

  • When are payments due?
  • What if payments aren’t received?
  • How/where should payments be made?
  • Can the borrower prepay?
  • Is the loan secured with any collateral ?

Securing the Loan

It’s a good idea to secure the lender’s interest – even if you do a private mortgage among close friends or family members. That way, the lender can take the property and get some money back in a worst-case-scenario.

For example, a borrower (who has the ability and every intention to repay) may die or get sued unexpectedly. If the property is held in the borrower’s name only – without a properly filed lien – creditors can go after their home or pressure the borrower to use the home’s value to satisfy a debt. A secured private mortgage helps protect the lender’s interest, assuming everything is documented correctly. In fact, the term mortgage technically means security – not loan.

Securing a loan with property may also help you save on taxes. Talk with a tax preparer or CPA for more details.

How to do a Private Mortgage Correctly

You have to think about unpleasant possibilities when considering a private mortgage. Imagine what could go wrong and how it would affect you.

For documentation, work with qualified experts. Talk to local attorneys, your tax preparer, and others who can help guide you through the process. If you re talking about large sums of money, this isn t a DIY project. Several online services handle everything for you – ask about services to be sure, such as:

  • Will you get private mortgage agreements?
  • Can payments be handled and automated?
  • Will documents be filed with local governments?
  • Will payments be reported to credit bureaus (which helps borrowers build credit )?

Think through everything before you move forward with a private mortgage. The following pages may provide food for thought:

  • Is a Family Loan a Good Idea?
  • 7 Sins of Family Loans


Just Military Loans – Just Military Loans claims to be military that is not the only claim they have made and not followed through on


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Just Military Loans – Just Military Loans claims to be military friendly. and that is not the only claim they have made and not followed through on

Product: Loans

Company: Just Military Loans

Location: US

Around 20 September I was in need of a small loan. So I searched the net for military-friendly companies and found ‘Just Military Loans’. I have received loans through other military loan companies in the past, so I did not think this would be much different. I filled out an application on their website and the very next day they notified me that I was approved. They emailed me a list of instructions on how to begin the loan paperwork process. The instructions dictated that I would need to set up an allotment through My Pay (to pay the loan through monthly payroll deduction) and that I would need to get my loan documents notarized and signed and fax back to them.

I completed my part of the loan process within 2 days. At the time, I was currently home on leave, in between a PCS (military move). Part of the loan process was to give them information on my chain of command and phone numbers where they could reach them to verify my employment. My chain of command was overseas, 14 hours ahead of EST. But then, this being a military loan company, you would not think this to be a problem. But it was. They informed me that they only call overseas on certain days, which were Tuesday and Thursday. And the times they call at are not at all realistic. They would call them early in the morning, when they would not be in the office yet and of course unavailable.

Around 5 October, I finally grew frustrated and fed up. I had done my part of the loan process and these people were not working hard at all to do their part. By then, the payroll deduction had already began, so they had received my first payment on a loan that I had yet to receive. I immediately stopped the allotments so that it would not be taken out of other checks and called Just Military Loans and informed them that I would no longer need their services. I then asked for the refund of the first payment they had received. She stated that I would receive my refund through ACH with a fee of 12 dollars. Does not sound right that I should have to pay the ACH fee for a loan not received for failure to do their part of the agreement. And anyway, the way the loan agreement was set up, they withhold the amount of the 1st payment from the loan amount to be received in case they do not receive my allotment, so I would have been given back that amount ANYWAY. But whatever, I just wanted the whole thing to be done with so I agreed to the ACH refund.

I know you are not supposed to put any money down on a loan before receiving the funds, but I have gone through other military loan agencies and they require proof that you have started an allotment before proceeding with the loan. I never had a problem with this until now.

By 23 October I still had not received my refund. I emailed their company and informed them I had not received my refund and I received a response back asking which account I would like the funds to be deposited into. I gave them the requested information.

By 3 November, I still had not received the refund. I sent them a ‘friendly’ reminder that they still owed me the refund and that the next email I would have to send would be from a lawyer. I received a response on 5 November asking for my bank account information (once again). The ACH fee also somehow changed from the previous 12 dollars to 16 dollars. I emailed them asking why and she claimed that because it was now past 1 November the ACH fee went up and that she would need proof of all email correspondence with them to prove that I requested my refund prior to 1 November. I forwarded her the information. This shows terrible negligence on their part and I am STILL waiting for my refund. I filed a complaint with the Better Business Bureau. If you are in the military and looking for a loan, think twice if not three times about dealing with this company.

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What are Car Title Loans? Are they a Ripoff?


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What Are Car Title Loans Are They a Ripoff?

Tough economic times have people in a financial bind and doing things they haven t done before. There are those who are living paycheck-to-paycheck when they suddenly get struck with a financial emergency.

What would you do?

Some people turn to title loans to give them a quick infusion of cash to tide them over until next paycheck. Are title loans a good option when you re tight on money or are they a rip-off? And how exactly do they work?

How car title loans work

As the name suggests, a person can borrow money with their car title as collateral. Typically with these loans, there s no credit check and your application is processed quickly. They re mainly used as cash advances, and their term is usually 30 days.

The maximum amount someone can borrow varies, but it s usually no more than 50% of the car s value. To qualify for the loan, the borrower needs to own the car outright. After assessing the value with an inspection, there is usually a small amount of paperwork and then the money is loaned.

As with payday loans, there are term extensions that some borrowers can take out, but many times this will lead to a cycle of debt with the constant threat of repossession.

Big fees and interest rates

Title loans are not cheap. They tend to have higher interest rates than banks, credit cards, and in some cases, payday loans. As always, there s a high price for quick cash, and it s usually to the borrower s detriment.

When people take out such loans they may see the amount due on the loan, but if they calculated the APR it can be over 100%! Some states, like Florida and Illinois, have placed restrictions on the interest rates and fees charged by these companies. The end result is rates that are still quite high often around 30% but more reasonable than in other places.

Too much risk

Putting your car on the line is leaving yourself open to a financially devastating situation. What if an emergency happens and you lose your car? Not only will you be stuck without transportation, but you ll have given up your car in return for only a fraction of its value.

I think that if someone is having a difficult time paying bills to the point that they need to get a title loan, there is a strong possibility that they can t afford to replace their car if they lose it.

Don t think they ll go after you or they ll cut you a break? Some title lenders require GPS tracking. and may ask you for a copy of your car s keys. Lenders do not give out money unless they expect to get it back

How to avoid taking a car title loan

In general terms, you can avoid financial disasters, or at least minimize their impact, by planning ahead and building up an emergency fund. Eliminate excess expenses temporarily or permanently from your budget. Pack your lunch. stay home instead of going to the movies, and cut the cable bill if you have to any of these are far better than jeopardizing your financial future.

If you can t cut your budget any further, then consider taking on a second job as an added source of income. Be a waiter or deliver pizzas do whatever necessary to get more money into your budget. You don t have to stay at your second job forever.

Save up a comfortable cushion of at least 3-6 months worth of your expenses and you should be able to ride out most emergencies that crop up. If you re not comfortable at that level, work your way up to 12 months worth of expenses. Stash you funds in a dedicated savings account where you ll be able to keep it accessible but resist the temptation of dipping into it.

What if you need the money now. Many of the above tips apply. Cut expenses, increase income, etc. If that s not enough, check with your bank for a short term loan, sell some of your stuff, compare rates against credit card cash advances, or apply for a peer-to-peer (P2P) loan from an outfit like Lending Club. Whatever you do, please think twice before getting a car title loan.

Your thoughts on car title loans

What do you think about title loans? Do they serve a useful need, or are they predatory loans? Have you ever used one? If so, what was your experience like?