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Moving Truck Rental Warning. 3 Tips To Protect Yourself When Renting Trucks For Your Move.? ) Video

#Moving #Truck #Rental #Warning. #3 #Tips #To #Protect #Yourself #When #Renting #Trucks #For #Your #Move.

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Know When it Makes Sense to Consolidate Student Loans – US News #pay #day #loans


#consolidated loans
#

Know When it Makes Sense to Consolidate Student Loans

Consider the type of loan you have and your repayment history before seeking consolidation.

Gone are the days when it was generally a good idea for most federal student loan borrowers to consolidate their loans. The student loan world has changed significantly, eliminating two of the biggest benefits of consolidation.

First, most federal loans previously featured variable interest rates. These rates changed annually, so consolidation allowed borrowers to lock in historically low numbers. In July 2006, interest rates on new loans became fixed. Because consolidation interest rates take a weighted average of the underlying loan rates, borrowers no longer automatically get a lower rate by consolidating.

Second, in the past, it was common to have your federal loans held by multiple servicers. By consolidating, borrowers could pay one servicer instead of many. Now, most borrowers pay all their loans under one bill from the start, thanks mostly to efforts on behalf of the Department of Education.

With these benefits removed, borrowers may be wondering if consolidation is even worthwhile. For many, the answer is, not really. However, it can still be a useful tool for some. Here are some situations where it can make sense to consolidate student loans.

1. To o btain access to forgiveness or repayment benefits: Student loan regulations and laws are complicated, but sometimes that can work to the borrower’s benefit. This is true when it comes to consolidation, Parent PLUS loans and Public Service Loan Forgiveness.

While Parent PLUS loans are technically eligible for PSLF. it’s hard for borrowers to take advantage of this benefit. A borrower must make 120 payments under either a standard 10-year, income-based, income-contingent or Pay As You Earn payment plan to qualify for PSLF.

The catch is that Parent PLUS loans are not eligible for the three income-related payment plans. and a borrower paying under a standard repayment plan will have nothing left to forgive after 120 payments.

If you consolidate a Parent PLUS loan under the Direct Loan program, however, it becomes eligible for income-contingent repayment and therefore has the potential to be eligible for PSLF. If the borrower wouldn’t otherwise be eligible for PSLF, having access to this option could make payments much more manageable, especially if the borrower still owes money when he or she retires.

On a related note, as only Direct Loans are eligible for PSLF, borrowers with older Federal Family Education Loan Program loans can use consolidation to transfer those loans ​into the Direct Loan program to gain access to PSLF.

Consolidation can work the other way too, especially when it comes to Perkins loans. Many unique forgiveness opportunities available to Perkins loans are lost when they are consolidated, so make sure you do your research before taking this step.

2. To obtain a lower payment : While income-related payment plans provide much needed relief for many, those lower payment amounts may still be too high to manage. For those borrowers, especially those with lower loan balances, extending the term of the loan through consolidation may actually yield a lower payment than some other repayment options.

This calculator can help weigh all of those options at once. Just remember that the longer you take to pay the loan, the more you will pay in interest.

3. To manage private student loans: The benefits of student loan consolidation have increased when it comes to private student loans. While it is generally not advisable to consolidate federal loans ​with private loans since you’ll lose the federal benefits, consolidating your individual private loans may make sense.

There’s been a significant increase in lenders offering a private loan consolidation product. increasing the competitiveness of these products. Borrowers can often find a lower interest rate and more favorable terms, especially if they have a good payment history on their existing private loans to date.

At the very least, private loan consolidations can extend the term of your loans, lowering the payment. As we’ve discussed in the past. private loans have very few lower payment options. so consolidating to a longer term with a lower payment can sometimes be the only option available.

If you have good credit and payment history on the loans you want to consolidate, this can also be a way to release the co-signer​ from responsibility of those underlying loans. The co-signer will not automatically transfer to the new loan product, so if you do still require one to consolidate, you’ll need to find a new one, or ask your existing co-signer​ to re-up his or her commitment.

4.To get out of default: If you’ve defaulted on your federal student loans, consolidation is the fastest way to get the loan out of default. Consolidation is not as beneficial as loan rehabilitation, as consolidation doesn’t remove the default from your credit history. However, if you’re not eligible for rehabilitation or can’t take the time to complete that process, consolidation can get your loan back in good standing.

A good place to start to determine the pros and cons of consolidation will be your student loan holder, which will have a good understanding of how consolidation will benefit – or not benefit – your particular situation.



How To Get A Student Loan When You Have Bad Credit #car #loan #calculators


#need a loan with bad credit
#

How To Get A Student Loan When You Have Bad Credit

While you would have had to be very busy to ruin your credit before even starting college, it can still happen.

This is especially true if you take a few years off before going to college.

Regardless, there are student loan options that will get you through college in spite of your previous credit blunders.

No reputable  lender willingly advertises loans to borrowers with bad credit. However, “bad credit” may refer to borrowers with little or no credit history as much as it may apply to those with poor credit records. Student loans that require no credit check are extremely limited. Source

Here are some bad credit student loan options that you should look into

The Stafford Loan is a federal loan that s based on your need, not on your credit rating.

To apply for a Stafford Loan you must first fill out a financial aid form (FAFSA) because your school must determine that you have a financial need.

You must be a legal citizen or legal resident of the United States, must be accepted into a college and enrolled (or plan to enroll at least part time), and must not have defaulted on a previous student loan or owe any refunds from a previous education grant.

The Stafford Loan is issued directly to your school, and you need to reapply each year.

The Perkins Loan is a federal loan that is awarded through your school.

You may receive a monetary loan or work study job based on eligibility.

Loans are awarded based on need and the program you are enrolled in (such as a teacher certification or professional credentialed program).

Past payment history on previous student loans is taken into account before awarding a Perkins Loan.

In selecting Perkins Loans recipients, a school must consider evidence of a borrower s willingness to repay the loan. Previous delinquency, default, or other failure to meet repayment obligations on a previous loan is evidence that the borrower is unwilling to repay other loans. Source

Loans For Disadvantaged Students

There are several smaller loan programs that give money to students going into certain medical fields.

One example is the Nursing Student Loan . Approved students receive low-interest rate loans in order to complete their degrees. Participating schools select recipients and determine the amount of aid the student needs. To apply for this type of loan you must attend a school that participates in this program. You must also be from a disadvantaged background, and you must be a legal U.S. citizen or resident.

Another example is the Primary Care Loan  which is for students who are training to be primary care doctors. Medical students must enter and complete residency training in primary care within 4 years after graduation and practice in primary care for the life of the loan. Your school determines your eligibility.

Student Loans Based On Need

Let s not forget the availability of scholarships and grants which give you free money for college based on need.

Students must be able to demonstrate financial need and (for some loans and grants) meet specific criteria.

Needy students should always start with the Federal Pell Grant when looking for money for college.



What Do I Do When the Bank Says I Need a Cosigner? #refinance #loan


#i need a loan
#

The Bank Says I Need a Cosigner

By Justin Pritchard. Banking/Loans Expert

Justin Pritchard helps consumers navigate the world of banking.

Question: I’m applying for a loan but my credit is not great. The bank tells me I need a cosigner. What do I do?

Answer: There are two ways you can approach this: find a cosigner, or work on getting a loan on your own — without any cosigner.

The lender needs a cosigner with good credit and adequate income to apply with you. If you can’t find a cosigner that meets their needs, you’ll have to go it alone.

  • How Cosigning Works
  • Credit Score Basics

The best places to look when you need a cosigner are family and friends. Is anybody willing to help you qualify for the loan? In addition to being nice, you’ll need a cosigner on solid financial ground. As you consider potential cosigners, remember that they’ll become responsible for your loan if something happens to you.

The bank can make them repay your debt, so you need a cosigner who can handle that risk and who understands it.

Don’t be surprised if you have a hard time finding a cosigner. They take on 100% of the risk for your loan and not everybody can afford to take that risk. They may like you and believe you can repay, but they can’t predict the future — and any number of surprises can take away your ability to repay.

Go it Alone

If you can’t find the cosigner you need, you may not be helpless. Work on building credit. and search for ways to qualify for a loan.



Why it – s miles cheaper to avoid the banks when buying a car. #auto #loan #rates


#cheapest car loan
#

Why it’s miles cheaper to avoid the banks when buying a car

WITH car sales falling off a cliff, there’s never been a better time to buy a car. The number of new cars sold in Ireland last year was a third the number sold in 2000, when the Celtic Tiger was alive and well. The industry is on its knees as a result – so you’ve a better chance of getting a bargain.

“It’s definitely a buyer’s market,” said Conor Faughnan, director of policy with AA Ireland. “You can push the car dealer on price, particularly if you’ve got the cash to do a deal.”

Cash of course is the cheapest way to buy a car – but not many of us have the luxury of having the cash to buy a car outright. Chances are, you’ll have to borrow to buy your dream set of wheels. Choose the wrong car finance however and you could pay as much as €6,000 more for your car than you would have, had you borrowed the money elsewhere.

You usually have two choices of car finance – a hire purchase agreement, where you pay monthly repayments for the hire of the car, or a car loan. You’ll typically be offered hire purchase if you go to a dealer; while a bank will usually offer you a loan.

The Sunday Independent examined the car finance offered by AIB, Bank of Ireland, Danske Bank, Permanent TSB and Ulster Bank as well as the hire purchase deals offered by a few dealers. We found that hire purchase can work out a lot cheaper than a loan – but only if the interest rate is lower than 9 per cent and there are no hidden charges lobbed on top of that.

BORROWING €10,000

Up to €2,350 more expensive at the bank

If borrowing €10,000 to buy a car, one of the cheapest ways to do so is through hire purchase with Renault Finance.

If you’re buying a Renault Megane (Coupe, Hatch or Grand), Renault Finance offers interest-free hire purchase of up to €11,000 as long as you pay off the money borrowed over three years – and pay a 30 per cent up-front deposit off the price of the car.

If you’re not interested in a Megane, but have another Renault in mind, you could borrow €10,000 from Renault Finance at an interest rate of 4.9 per cent under hire purchase – as long as you can stump up the 30 per cent deposit. Under that rate, the monthly repayments are €185 over five years – and the cost of your credit, including interest and fees of €150, comes to €1,250. That’s up to €2,350 cheaper than the banks.

If you’re buying from a BMW dealer, BMW Financial Services charges 7.95 per cent interest under HP if you’re borrowing €10,000. The monthly repayments over five years are €198.67, which brings the cost of your credit to €1,920 – almost half what some banks charge. You don’t have to pay a deposit to get the 7.95 per cent interest rate.

Our survey found that Bank of Ireland is the most expensive for car loans. It charges 13.6 per cent interest on a fixed-rate loan of €10,000. Under that rate, your monthly repayments over five years are €226.82 – which brings the cost of your credit to €3,609.

Bank of Ireland will knock off 1 per cent from your interest rate if you get your loan online – but even with that discount, its €10,000 car loans still work out more expensive than those offered by AIB, Danske Bank, and PTSB. Ulster Bank is the second most expensive for a €10,000 car loan. Ulster charges 12.3 per cent interest – which clocks up to €3,238 after five years.

Permanent TSB offers the cheapest €10,000 car loan. Permo charges 9.9 per cent interest, which will cost you €2,595 after five years.

Check if your bank offers hire purchase as that may work out cheaper for you than a car loan. Bank of Ireland charges 10.5 per cent interest on €10,000 borrowed under hire purchase, which brings the cost of your credit to €2,756.40 after five years – about €800 cheaper than the bank’s fixed rate loan.

BORROWING €30,000

Up to €5,731 more expensive at the bank

If buying a Renault, Renault Finance should work out a lot cheaper than your bank. It costs €3,510 to borrow €30,000 over five years under Renault’s 4.9 per cent interest rate for hire purchase – but again, you need a 30 per cent deposit to get that rate.

If you don’t have the 30 per cent deposit, you’ll be charged 6.9 per cent interest – which is still cheaper than the banks.

It costs €6,068 to borrow €30,000 over five years under BMW Financial Services’ hire purchase plan – which charges 7.95 per cent interest.

Borrow the €30,000 through Bank of Ireland’s variable loan however, and you’ll pay €9,241 in interest over five years – between €3,173 and €5,731 more than the hire purchase offers we examined. Bank of Ireland charges 11.7 per cent interest on this loan – which makes its variable loan the most expensive of the €30,000 car loans examined.

Danske Bank’s variable loan is also expensive. Danske charges 11.47 per cent on a variable loan of €30,000, which will cost you €9,054 after five years.

The cost of Permo’s €30,000 car loan, which has an interest rate of 9.3 per cent, adds up to €7,277 after five years. The hire purchase offers from Bank of Ireland and AIB worked out cheaper than Permo’s loan however.

BORROWING €60,000

Up to €6,192 more expensive at the bank

One of the cheapest ways to borrow €60,000 is through hire purchase with BMW Financial Services. You’ll pay 7.95 per cent interest on €60,000 and this will cost you €12,290 after five years. Get a €60,000 variable loan at 11.7 per cent from Bank of Ireland however, and you’ll pay €18,482 interest after five years – about €6,200 more.

Avoid Danske Bank’s variable loan – it charges 11.47 per cent interest on €60,000, which will cost you €18,107 after five years.

At 9.3 per cent interest, Permanent TSB’s car loan was the cheapest €60,000 bank loan surveyed. The cost of that loan came to €14,555 after five years.

Bank of Ireland’s hire purchase however works out cheaper than Permo’s car loan. The cost of borrowing €60,000 under Bank of Ireland’s hire purchase over five years adds up to €13,515.

LEASING

If you own your own business and you’ve no desire to own a car outright, leasing could work out cheaper for you in the short-term.

For example, it could cost you €29,560 to buy a Toyota Avensis diesel saloon. If you lease it for five years from Merrion Fleet Management, your monthly repayments come to €512.67. These repayments include the cost of maintenance such as road tax, servicing and tyres. By contrast, the monthly repayments for a €30,000 bank loan over five years range between €619 and €654 and these repayments don’t include costs such as road tax and servicing.

The cost of leasing a car will however add up over time. After five years, the monthly repayments for the lease of the Toyota Avensis add up to €30,760 – and you won’t own your car but must hand it back to the leasing company at an agreed time. As long as you meet the repayments on your car loan or hire purchase agreement, you’ll own your car.

CAVEATS

You need to understand everything about a hire purchase agreement before you sign up to it, warns Dermott Jewell of the Consumers’ Association of Ireland.

The main advantage of a loan over hire purchase is that you can sell your car to repay the loan should you fall behind on your repayments. You can’t do this with hire purchase. As a result, you’re more likely to have your car repossessed under hire purchase than a car loan. With hire purchase, you don’t own the car until the final payment is made.

“The inability to pay later has given rise to significant debts when devalued cars are repossessed, sold for small market value and leaving unmanageable balances to pay,” said Jewell.

Irish Independent

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What to do when applying for Business Finance #money #loans #online


#how to get a business loan
#

Apply for finance

Before you approach a lender, broker or investor, make sure both you and your business are in the best position to seek finance. Below are things to consider before you apply to help you be more successful in your application.

Prepare your plan

Your business plan and its attachments should be well researched and concise, and need to include enough detail to motivate a lender or investor to finance your business. See our Prepare or update your business plan page for tips on preparing your plan.

It’s important to know your key financial figures even if you don’t prepare your own financial statements. These figures include your current income, net profit, expenditure and future projections. If you aren’t confident answering financial questions, its best to either practice answering these questions beforehand or bring along a business advisor or accountant who can help you answer them.

Know your limitations

Once you know what you want, you need to work out your limitations for finance and your ability to repay any money you borrow. Some questions to ask yourself about your financial situation

  • Do you need the money up-front or on a needs basis?
  • What is the maximum repayment you can afford?
  • What is your Loan to Value Ratio (LVR)?
  • If you need collateral, what assets do you have to offer?
  • If you need a guarantor, who will be willing to guarantee your loan?
  • How much equity do you have?
  • What is the maximum percentage share of your business you are willing to offer investors?

Shop around

Its best to shop around and find out what products are on offer when seeking finance from lenders. Although there can be discounts for existing customers, you may find a cheaper option with more flexible terms elsewhere.

Dress to impress

A professional first impression sets the tone and shows you mean business. The way you represent yourself and present your business plan can both help impress lenders and investors.

Practice

It’s best to practice your presentation before you attend your interview with a lender or investor. This will help you appear more efficient, alert and confident. Be concise and specific when practicing your answers and deliver them in a professional and persuasive manner. You can role play an interview with a business advisor or accountant to build your confidence in answering the hard questions.

Come prepared

Before your initial consultation, speak to your lender, broker or investor and find out what information you need to bring. Some of the required information includes your business plan, key financial statements for the last three years (if available), financial forecasts, ratio calculations and personal financial information for each business owner.

Check the finance details carefully

If you find a much cheaper finance option that sounds too good to be true, find out why it’s cheaper. Are the fees higher? Does the interest rate change at any point? Is it from a reputable finance provider? What happens if your LVR gets too high? It’s also a good idea to run your options past a business advisor or accountant before signing anything.

Managing refusal of finance

Seeking business finance may not always lead to successfully applying and obtaining the finance. Read Manage loan refusal for ways of seeking feedback, making changes and potentially overcoming this refusal in the future.



How To Get A Student Loan When You Have Bad Credit #financial #aid #loans


#need a loan with bad credit
#

How To Get A Student Loan When You Have Bad Credit

While you would have had to be very busy to ruin your credit before even starting college, it can still happen.

This is especially true if you take a few years off before going to college.

Regardless, there are student loan options that will get you through college in spite of your previous credit blunders.

No reputable  lender willingly advertises loans to borrowers with bad credit. However, “bad credit” may refer to borrowers with little or no credit history as much as it may apply to those with poor credit records. Student loans that require no credit check are extremely limited. Source

Here are some bad credit student loan options that you should look into

The Stafford Loan is a federal loan that s based on your need, not on your credit rating.

To apply for a Stafford Loan you must first fill out a financial aid form (FAFSA) because your school must determine that you have a financial need.

You must be a legal citizen or legal resident of the United States, must be accepted into a college and enrolled (or plan to enroll at least part time), and must not have defaulted on a previous student loan or owe any refunds from a previous education grant.

The Stafford Loan is issued directly to your school, and you need to reapply each year.

The Perkins Loan is a federal loan that is awarded through your school.

You may receive a monetary loan or work study job based on eligibility.

Loans are awarded based on need and the program you are enrolled in (such as a teacher certification or professional credentialed program).

Past payment history on previous student loans is taken into account before awarding a Perkins Loan.

In selecting Perkins Loans recipients, a school must consider evidence of a borrower s willingness to repay the loan. Previous delinquency, default, or other failure to meet repayment obligations on a previous loan is evidence that the borrower is unwilling to repay other loans. Source

Loans For Disadvantaged Students

There are several smaller loan programs that give money to students going into certain medical fields.

One example is the Nursing Student Loan . Approved students receive low-interest rate loans in order to complete their degrees. Participating schools select recipients and determine the amount of aid the student needs. To apply for this type of loan you must attend a school that participates in this program. You must also be from a disadvantaged background, and you must be a legal U.S. citizen or resident.

Another example is the Primary Care Loan  which is for students who are training to be primary care doctors. Medical students must enter and complete residency training in primary care within 4 years after graduation and practice in primary care for the life of the loan. Your school determines your eligibility.

Student Loans Based On Need

Let s not forget the availability of scholarships and grants which give you free money for college based on need.

Students must be able to demonstrate financial need and (for some loans and grants) meet specific criteria.

Needy students should always start with the Federal Pell Grant when looking for money for college.



How to Get a Loan When You Have Bad Credit #auto #loan #calc


#get a loan with bad credit
#

How to Get a Loan When You Have Bad Credit

Steven Tumulski 10/23/14

Once you have bad credit, it might seem like you’ll never be approved for another loan again.

While this is partially true, there are a number of things you can do to put yourself in a position where you will be approved. They’re not always instant, cheap or guaranteed, but they always work.

1. Apply for a loan regardless of your credit score

Many people think their credit is so bad that they can’t possibly be approved for a loan. Don’t fall prey to this mindset.

Before you move on to the other types of loans listed below, check out your credit score and credit reports. Once you have this information handy, check on the requirements for any loan before applying.

If you can’t find them, call the lender and discuss the qualification criteria. In some cases, you won’t get a definitive answer. However, this shouldn’t stop you from applying for at least one or two loans before you assume your credit is too poor to qualify for a traditional line of credit.

You may be surprised to find out you can get approved for a credit card or loan with reasonable interest rates and no fees, even though you feel your credit score is embarrassingly low.

2. Use a secured loan

Secured loans are those where you provide a form of collateral as a guarantee you’ll repay your loan as agreed. There are several forms:

  1. Secured loans with cash
  2. Secured loans with property as collateral (such as a car or real estate)
  3. Secured credit cards

In all cases, the value of whatever you provide as collateral will almost always need to be equal to the line of credit you’re applying for.

There are some exceptions to this rule, though. If your credit is above 600, you may only be required to provide collateral that equals a portion of the total value of the line of credit.

If your score is below 500, you may be required to provide collateral that is equal to more than the value of the line of credit. In most cases, if the value of your collateral is greater than that of the line of credit, you’ll usually be reimbursed the difference if you find yourself unable to fulfill your obligations.

However, secured credit cards are usually the exception to this rule, and missing even a single payment can result in the full forfeiture of your security deposit, as well as the closing of your line of credit.

If you’ve used any form of property as collateral and fail to make your payments, then the bank will seize your asset.

If it’s sold for less than the amount you owe, you’ll be required to come up with the difference. If it’s sold for more, the bank is usually required to give you the difference.

“Improving your credit score now will

help you open a line of credit in the future.”

3. Use a co-signer

Cosigners are typically required for those with no established credit history or those with bad credit.

Typically speaking, your interest rates will be based on your credit score, even if your cosigner has absolutely perfect credit. This is known as “the cost of bad credit,” and there’s little you can do to get around it.

When choosing a cosigner, it’s best to find someone with very good credit to increase your chances of being approved for the loan. If your cosigner’s credit score is only marginally higher than yours, then it’s unlikely you’ll be approved at all.

Many people make the mistake of asking someone with worse credit than their own to cosign a loan, even though it may seem like common sense to avoid this. When you do, you’re going to be denied for the loan.

4. Seek out bad credit loans

There are a number of banks that specialize in providing loans to those with bad credit. The interest rates are always high and the penalties for missing a payment are always severe.

However, if you know you’re able to be responsible with your commitments, they can serve as a platform from which you can escape the penalties of having bad credit.

Many of these lenders don’t even run a credit check. They automatically assume the worst. Before you turn to them, be sure to try working with a cosigner or opening a secured line of credit if you can afford it.

The long-term expense of either of those options is almost guaranteed to be lower than a loan designed for those with bad credit .

5. Boost your credit score

Any action you can take to improve your credit score will help you open a line of credit in the future. In some cases, you can boost your score by a few hundred points in just a few short months, opening the doors to approval for loans with favorable terms.

Photo source: incometherapy.com.



4 key questions to ask when considering a cash advance #installment #loan #calculator


#cash advance
#

4 key questions to ask when considering a cash advance

By Lisa Bertagnoli

A credit card cash advance is like grocery shopping at a convenience store: handy but expensive. It’s not surprising, then, that recession-bitten consumers are turning away from cash advances.

That’s a good thing, financial experts say. Except in the most dire of emergencies, cash advances are a bad financial idea.

That’s your highest-risk money, when someone’s using their credit card as an ATM, says Mark Berg, president of Timothy Financial Counsel, a Wheaton, Ill.-based financial planning firm.

Advances, essentially loans from your credit card issuer, are easily available in two ways: via an ATM or by cashing a convenience check. But you pay for that convenience with high fees and compounded interest rates that soar into the double digits. While some offers come with low introductory, or teaser rates, they can seduce consumers into a false sense of security, adds Heidi Albert, president of School2Life.com, a Chicago-based company that teaches money-management skills to young adults.

They say, ‘They wouldn’t have given me the money if they thought I couldn’t pay it back,’ she says.

Becoming much less popular

Given these lean economic times, it’s not surprising that cash advances have fallen out of favor. Usage dropped 35.6 percent during the first quarter of 2010 over that same period in 2009, according to payment industry newsletter Nilson Report. The decline marks the latest plunge in a downward trend, says Nilson Report publisher David Robertson.

There are plenty of possible reasons for the decline. First, they’re very expensive. According to David Jones, president of Association of Independent Credit Card Counseling Agencies, a nonprofit credit counselor accrediting group based in Fairfax, Va.

  • Interest rates on cash advances average from 1 percent to 7 percent higher than a card’s standard purchase interest rate. That means if your card’s standard APR is 15 percent, you could pay up to 22 percent for cash advances.
  • The average cash advance fee is $10 to $20. That’s on top of any interest rate charged.

Worse, consumers who take out cash advances usually give up their grace period — the period during which, on ordinary purchases, consumers can use their credit cards without incurring any interest charges, as long as they don’t carry balances. With a typical cash advance, interest is charged from the moment the cash is withdrawn.

Jones says those cash advance interest rates top 40 percent, depending on the cardholder’s creditworthiness. That’s going to drive away consumers, who since 2008 have been less willing to take on credit card debt. even if it comes with reasonable terms. Even people who are creditworthy, who have jobs, aren’t borrowing money, Robertson says.

Another reason: Given the recession, credit card issuers are skittish about high-risk customers — and most cash-advance customers fit that description, Robertson says. They’re falling — from creditworthy into something else, he says.

He adds that terms of the Credit CARD Act. the majority of which took effect in February of 2010, make it more difficult for card companies to penalize consumers who default on their loans. In other words, cash advances — a key revenue stream for credit card issuers — are becoming less profitable.

Yet he doesn’t think the decline signals the death of cash advances. It’s a cycle, Robertson says. Americans are working their way through deleveraging, and credit card issuers are figuring out how to work through the CARD Act.

Not always a bad choice

As unwise as cash advances are, financial advisers say there are times when they might be an acceptable financial choice.

One is when you’re looking for a very short-term loan.

J. David Lewis, a financial planner who lives in Knoxville, Tenn. plans to use a cash advance from his MasterCard to buy a used video camera for his 26-year-old son, a professional photographer who doesn’t have a credit card.

His son plans to buy the camera from an individual, not a store, and needs to use cash. Without his own credit card, the son has few options. The market doesn’t have a lender for that, and if it does, you wouldn’t want to cross their door, Lewis says. His son will write the monthly checks to the credit card issuer to repay the loan, a strategy Lewis hopes will introduce his son to the habit of borrowing money and repaying it in a timely fashion.

Lewis has done the math: Using a promotional deal on his MasterCard, the $2,000 cash advance will cost $2,114.74. That’s the amount of the advance, an $80 fee and a month’s worth of interest at 4.99 percent. He says the interest and fee will be reasonable — that is, if his son pays the loan back within a month. Lewis is keeping his fingers crossed. Cash advances work if you have the discipline to pay it off. If you don’t, the penalties are pretty high, he says.

A dire emergency — say your car has broken down, the mechanic will only take cash and you don’t have your ATM card in your wallet — can also make a cash advance an acceptable alternative.

Even then, think twice, says the AICCA’s Jones. It ought to be a last resort. Berg, with the Timothy Financial Counsel, agrees, saying he’d rather see clients who need money sell a few belongings than get a cash advance.

What to consider before getting an advance

With that caution in mind, Jones suggests four questions to ask before getting a cash advance:

Can I pay the money back in a month? That’s the only way to minimize sky-high interest rates, Jones says, adding that there’s really no way around the fee card issuers charge for cash advances.

Is there any other way to deal with this financial situation? Consider all options — even borrowing money from a family member, Jones advises. The only worse place is a payday loan company, he says.

Indeed, too many dips into the cash-advance waters should spark a drastic lifestyle change, says Berg. Think of what you can’t live without, wait a month and see if you’re still alive, he says. Cash advances go against the core philosophy of living within your means.

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What do I need to bring to the bank when applying for a loan? Personal Finance & Money Stack Exchange #bad #credit #loans #online


#need a loan
#

What do I need to bring to the bank when applying for a loan?

order by

  • unsecured versus secured?
  • personal versus debt consolidation?
  • line of credit versus home improvement?

You WILL know whether you are applying for boat loan versus a home mortgage though!

What will help your chances of being approved?

If possible, make an appointment in advance with a loan officer! That’s better than just walking in. (It might increase your chances of being perceived as a responsible, valued bank customer.)

Focus on the purpose of the loan. Let the bank representative tell you what your options are. If you are told that you don’t qualify, ask if there is something else that they could suggest. It might mean paying a higher rate of interest, or using some other asset or account as collateral for a secured loan. It is up to you whether you want to do that. Depends on your situation, urgency of need, trade-off’s.

Documents to bring with

Start by looking at the bank’s website. See if there are any suggestions there, for document req’s. If that isn’t helpful, call on the telephone. Say that you want to speak to a loan officer. Mention any accounts or other existing relationship you have with the bank. Then describe as best you can what type of loan you want, the purpose (to buy a house, boat, car, repay student loans at lower interest rate etc).

You’ll need some combination of the following:

  • Proof of ID which in the United States, (was in the question tag), would be a picture ID.
  • A driver’s license or state ID card is good. If you don’t have those, then a U.S. Passport or military ID.
  • Social security number (but not necessarily the card)
  • Prior year’s tax returns, other financial account statements (or account numbers if with the same bank)
  • Pay stubs or something that shows income.

Also, when you make the appointment or call, you may be told to bring title on property, vehicle, credit card statement, student loan docs. It all depends on the type of loan.

Good luck, hope you get what you want!



10 Important Things To Consider When Getting A Mortgage Or Home Equity Loan #investment #loans


#getting a loan
#

10 Important Things To Consider When Getting A Mortgage Or Home Equity Loan

Finding the best home loan is not a job to be taken lightly. Here are 10 very important tips to consider before, during, and after the loan.

Looking For The Right Home Loan For You

  1. Mortgages are not commodities. If you think “it’s all about the rate”, you are going to be disappointed from the start. It’s really about finding a trusted partner help you navigate a complex transaction by offering honest advice and responsive support throughout the entire loan process.
  • Online is not the place to transact your biggest liability. Buy a music player, bid on sports equipment, order some books, but don’t do a mortgage over the internet. There are too many variables that arise throughout the process. This is not to say you should exclude the internet in your rate search, as there are reputable sites on the net which will help you find rates, calculate your potential loan, and provide other helpful information. I’m suggesting you shouldn’t work with an internet-only firm for your mortgage.
  • There are two types of mortgage lenders who advertise on the web and on the newspaper rate table. Ones you’ve heard of and ones you haven’t. Why do the major, well-known lenders generally quote higher rates? It could be they have higher cost structures. It could also be they are more reputable and provide a lot more service.
  • Generally, avoid interest-only loans. Unless you plan to move in a short period of time, or the loan is a short-term “bridge” or construction loan, avoid the “interest-only” loan. If you are only paying interest, you do not build up any ownership or equity in your home.
  • Are the fees reasonable?. Find out exactly what the loan will cost you. While some fees might not be avoidable, know that many fees are unnecessary “junk fees” or negotiable. Be sure to get a good faith estimate statement which shows your total expected fees. Some companies will include all the fees in the interest rate they quote you. Here are some fees to ask about:
    1. Application fee
  • Points (if you pay points, make sure your interest rate is reduced. A rule-of-thumb is to generally avoid paying any points if you plan to live in your home less than ten years)
  • Credit Evaluation
  • Loan Processing (these fees can be pretty arbitrary)
  • Appraisal Fee (cost to estimate the value of your home)
  • Title Search
  • Title Insurance (you have to pay to protect the lender. Always make sure the Title Insurance specifically protects you as well. It’s normal to pay more to protect your interests)
  • Documentation (these fees can be pretty arbitrary)
  • Underwriting (these fees can be pretty arbitrary)
  • Escrow Fee
  • Prepayment Penalty (the fee paid if you pay off your loan early)
  • The following fees are almost always “junk fees”: amortization schedule fee, trustee fee, financing statement fee, appraisal review fee, credit report review fee, document preparation fee, inspection fee, photo inspection fee, underwriting fee, warehousing fee, administrative fee, computer fee, courier fee, and overly high notary fees
  • When you ask about your interest rate, also ask about the APY (or Annual Percentage Rate) which is usually higher and a more accurate reflection of your true interest rate.

  • Generally, avoid adjustable rate loans. Adjustable rates can be attractive because the advertised rate is lower than a fixed rate. They generally allow you four payment options:
    1. minimum payment (NEVER make only a minimum payment. It won’t even cover the interest on your loan and can quickly lead to a situation where your home is worth less than your loan)
  • “interest only” payment (also not recommended. No money is going to pay down the loan or create home equity)
  • a fully amortized 15-year loan
  • a fully amortized 30-year loan
  • The later two are similar to traditional loans, except that your interest rate is adjustable.
    Here are three reasons to consider an adjustable rate.

    1. IF you know for certain interest rates can’t go up from current levels
  • the loan ceiling on the adjustable rate is below the current fixed rates
  • you plan to sell your home prior to the first rate adjustment

    Here are five questions to ask about your potential ARM rate. Adjustable rate loans often start with a “teaser rate”. This is an artificially low rate which will get adjusted higher at the first adjustment opportunity. If you do consider an adjustable rate, be sure to ask:

    1. what is the rate based upon (often a current T-bill or LIBOR rate plus an additional amount). Get complete details
  • what would be the rate today if you already had the loan and it adjusted to current levels
  • what is the floor (how low can the rate go from here)
  • what is the ceiling (what is the highest rate you would have to pay)
  • how often can the rate adjust.
  • Be sure you fully understand each of these parameters, and get them in writing. Note: if you can’t afford the loan ceiling and the fully amortized payment at that level, don’t accept the loan.

    Looking For The Right Home Loan For You

    1. The mortgage industry is unregulated. Mortgage brokers are not banks and don’t play by the same rules. There are countless stories of “bait and switch” with people being promised one thing and ending up with another at the closing table. You do not have to accept any last minute changes. While inconvenient, just walk away. (They are betting you won’t). Lets say you have found the rate and lender with which you wish to work. Here are twelve warning signs telling you to walk away from the loan. Any one is enough for you to terminate the loan right then and there.
      1. if the loan rep encourages you to borrow more than you need — walk away!
    2. if the loan rep prods you to overstate your income or understate your outstanding loans or expenses — walk away!
    3. if the loan rep tries to get you to agree to payments that you can’t afford — walk away!
    4. if the loan rep asks you to sign blank forms — walk away!
    5. if the loan rep won’t give you copies of every document you signed — walk away!
    6. if the loan rep fails to give you mandated disclosure documents — walk away!
    7. if the rep appears to pressure you — walk away!
    8. if the rep is unresponsive to your calls, is disorganized, repeatedly asks for the same documents, or is constantly blaming others for delays — walk away!
    9. if they try to sell you credit insurance or extra products you don’t want — walk away. (If you actually want the credit insurance, shop around to get the best rate)!
    10. if they try to make you do something that is against your better judgment — walk away!
    11. if they require you to deed your property to anyone — walk away!
    12. if the loan rep changes any of the terms of the loan at closing — run, don’t walk! Be aware that the further in the process you get — the more momentum builds — the tougher it is to back out. Dishonest lenders know this and are counting on it.
  • Generally, see if you can avoid paying for mortgage insurance. Some loans require mortgage insurance. Others will waive the insurance if you have a low enough debt-to-home equity ratio when you take out your loan. Most mortgage insurance protects the lender, not you.


  • When is a credit card better than a loan? #payday #loans #no #credit #check #no #employment #verification


    #credit card loan
    #

    When is a credit card better than a loan?

    Published: 27 January 2011 Topic: News,Money,Credit Cards,Loans

    Finding the lowest interest rate possible is the top priority for anyone looking to borrow money in these difficult times.

    If you only need to borrow a small amount, then you could end up paying no interest at all if you choose the right credit card – but don’t expect to be offered rock bottom rates if you want a loan.

    Although 2011 has seen a price war break out between loan providers desperate to secure business, low-level borrowers aren’t benefitting – far from it.

    Loan rates tend to be higher the less you want to borrow, so if you only need a small sum, you won’t get some of the headline-grabbing rates currently advertised. These rates, which are as low as 7.2%. usually apply to loans of at least 7,500 .

    But, if you want to borrow just 3,000 over two years, then the best rate you can get is 12.6%. making a credit card a much better bet.

    The best credit cards for purchases

    Several credit card companies offer 0% introductory interest-free periods on purchases for new customers.

    The market-leading purchase credit card is the Tesco Clubcard Credit Card. offering 13 months at 0% on new purchases .

    That means that if you can clear your debt within the introductory period, you wouldn’t have to pay pay a penny in interest on your borrowing. This represents a saving of 387. compared to if you went for the best loan over two years.

    However, you must be certain you can repay your debt during the interest-free period, as after these offers end, rates on credit cards tend to be higher than on loans.

    It can be easy to get trapped in a cycle of paying off just the minimum amount each month, prolonging the length of time it takes you to clear your debt. Over time, that’s going to cost you far more in interest than the best-priced loan, so think carefully about how quickly you will be able to pay off what you owe.

    If you are sure you can pay down your debts within a year, then the next best credit card deal is from Sainsbury’s. which offers 12 months at 0% on purchases and balance transfers. although you pay a fee of 3.00% for moving a balance across.

    That means that you can use it to make interest-free purchases for the first 12 months, but also to cut the cost of any existing credit card debt. This card has a representative annual percentage rate (APR) of 15.9% variable and you need a Nectar card to qualify. These can be collected inside a Sainsbury’s store, just add the loyalty points from at least one purchase in the shop and you’re ready to go.

    Another option is the Barclaycard Platinum with Purchase card. which also offers a full year at 0% on purchases and balance transfers. with a 2.9% fee for transfers.

    Its representative APR is 18.9% variable. meaning you definitely want to clear the balance before the interest-free period ends.

    Pros and cons of loans and cards

    When weighing up the benefits of credit cards and loans, it is worth remembering that a credit card offers you extra protection under the Consumer Credit Directive, giving you another avenue for a refund if something goes wrong with your purchase. You do not have this extra protection with a loan.

    However, the main benefit of a loan is that managing your debt is pretty straightforward; a fixed amount leaves your account each month until the sum is paid back. You can usually clear the debt early if you’re able, although that will normally mean you pay an early redemption penalty.

    But with a credit card you can pay as much as you like each month, as long as the minimum payment is met. That flexibility can cause problems if you aren’t very self-disciplined about clearing the debt.

    Another difficulty with a credit card is that, until you make your application, you don’t know what credit limit you’ll be offered. Unlike a loan, you cannot ask for a specific amount.

    So, if you needed 3,000, say for a new car, there is a risk that a credit card company could offer you less, depending on your credit score, history and income.

    Unfortunately, every time you make an application, it’s logged on your credit file and can put off other lenders. That means that you may then struggle to be accepted elsewhere, if you decided to look for a different card or loan because you haven’t been offered a high enough limit.

    The best loans for small borrowing

    If you decide that a credit card is not for you, then where can you find the best loan rates if you only want to borrow a small amount?

    To borrow 3,000 over two years. the cheapest rate you’d get is 12.6% variable representative APR from Sainsbury’s Finance. meaning you’d pay 141.12 a month. The total interest over the term would be 387 .

    If you have any other outstanding debt then it might be worth considering consolidating that and your new borrowing into one large loan, to take advantage of the lower rates.

    For example, if you wanted to borrow 7,500 over five years. then the best rate going is from Alliance & Leicester or Sainsbury’s. which both offer a representative APR of 7.2% variable. That would cost you 1,405 in interest over the full term, with monthly repayments costing 148.41 .

    The next best deals are from Santander and Nationwide. through a moneysupermarket.com exclusive, at a representative APR of 7.3% variable. At that rate, you’d pay total interest of 1,424 over the term and your monthly repayments would be 148.74 .

    Check your credit file

    There’s never a guarantee that you’ll be accepted for a loan or credit card, but you can help your chances by making realistic applications.

    For example, someone with a poor credit score is never going to be offered the best rate on a loan, or a market-leading credit card, and rejected applications can harm their score.

    Check your credit file before applying for any borrowing, so you can see how likely you are to be accepted.

    If you want a credit card, then our credit profiling tool can tell you how likely you are to be accepted, without harming your score. Watch our video ‘Don’t risk credit rejection’ for more information.

    Please note: Any rates or deals mentioned in this article were available at the time of writing. Click on a highlighted product and apply direct.

    We’re free, independent and compare all UK loans and credit cards, as well as offering exclusive deals you can’t get anywhere else. Contact moneysupermarket.com at Moneysupermarket House, St David’s Park, Ewloe, Flintshire, CH5 3UZ. Moneysupermarket.com Ltd 2011



    Refinance Auto Loan – When to Refinance Your Car Loan #consolidation #loan


    #refinancing auto loan
    #

    5 situations when it makes the most sense to refinance your car

    By Russ Heaps • Bankrate.com

    With interest rates remaining so low, an auto refinance may have crossed your mind — and it could be a good idea.

    Doing so could save hundreds of dollars each year and sometimes thousands over the life of the loan.

    If your current car loan interest rate is above 6%, you might want to investigate refinancing.

    Unlike refinancing your mortgage or even consolidating credit card balances, refinancing your vehicle loan is usually quick, easy and painless. No appraisal will be required. And usually there are minimal, if any, fees.

    But refinancing is not for everyone. It makes sense if, since the original loan, you find yourself in one or more of these five situations:

    • Interest rates have dropped. If interest rates have dropped more than a couple of points since purchasing your vehicle, you could save some money. In this case, loans at refi rates are considered used car loans and as such, the rates usually are higher than new car loans. Remember, even a percentage point or 2 can make a big difference over the life of the loan.
    • Your credit score has improved. If you had a few negatives on your credit report — or had no history of credit — when you bought your car, but your credit is healthier now, you may qualify for a lower interest rate. Interest rates of 18% or more for consumers with a thin credit history are common. Several months of on-time payments could entice a lender to refinance that loan at a lower rate. Steve Schooff, a former spokesman for Capital One Auto Finance, says consumers should check their credit scores before refinancing.

    Your credit score has a major influence on auto loan rates. Get your score for free at myBankrate .

  • You didn’t get your best rate when you purchased. Just because you had a high credit score and unblemished credit history doesn’t mean you got the best rate you could have received when you purchased the car. Dealer-sourced vehicle loans commonly carry a higher rate than the consumer deserves because the consumer simply didn’t know better. The extra money is a profit source to the dealer, like rust-proofing or extended warranties. When this is discovered after the fact, it may pay to refinance.
  • Your personal financial landscape has deteriorated. If you have had a financial setback and need to reduce your payments, refinancing could be a solution by increasing the loan term, thereby lowering the monthly payment.
  • Your car lease is expiring and you want to purchase the vehicle. When you fulfill the terms of a lease, you typically have the option to buy the vehicle.
  • Finding a lender that refinances is the easiest step in the process. Credit unions do big business in vehicle loan refinancing and they have money to lend. You will need to open a checking or savings account at one if you’re not already a member.

    How much can you expect to save? According to Schooff, if one year ago you took a $25,000 auto loan for five years at 7.75% interest, refinancing the balance today at:

    • 4.75% for the remaining four years of the loan would save $1,373 — $28.60 per month.
    • 5.75% for the remaining four years of the loan would save $906 — $18.88 a month.
    • 6.75% for the remaining four years of the loan would save $448 — $9.33 a month.

    Refinancing isn’t an option for everyone. If the vehicle is worth less than the loan balance (upside down), a lender probably won’t take the chance and at the same time lower your interest rate. You can determine the current value of the vehicle through Kelley Blue Book, or KBB.com, Edmunds.com or AutoTrader.com.

    Other requirements may also disqualify you, such as the age of the vehicle and the outstanding balance to be refinanced. Capital One Auto Finance, for example, will not refinance a vehicle more than 7 years old; the amount of the loan can be no less than $7,500 and no more than $40,000.

    It’s important, Schooff says, “that consumers determine if their current auto loan has any penalties for paying off the loan early. This will impact how much they can save from refinancing.”

    Call your lender and request the current payoff amount of your loan. This is the amount of money you need to refinance. It is also the figure you’ll compare against the vehicle’s value to determine if the vehicle is worth more than the amount you need to borrow.

    There is no required amount of time from the date of the original loan until you can refinance. Actually, because of the way most auto loans are structured, the majority of the interest is paid during the first half of the term of the loan. The younger the current loan is, the more money refinancing will usually save.

    Once you know your payoff, you can determine how much refinancing can save each month by using Bankrate’s auto loan calculator to find your new payment, then subtract it from your existing payment.

    Because most refinancing loans are fairly straightforward, decisions are usually made quickly. Schooff says Capital One Auto Finance typically gives the consumer a decision by email within 24 hours of submitting the online application.

    If you find yourself upside down in your car loan and for personal reasons need to lower your payment, you may be able to persuade your current lender to modify your loan, lowering the monthly payments by extending the term of the loan or reducing the interest rate.

    It’s important to act before your payments fall behind. The earlier you open communications with your lender, the better the chance of coming to an arrangement.



    Should You Pay Off Student Loans when Refinancing Your Home? #i #need #a #loan #today


    #refinance student loans
    #

    Should You Pay Off Student Loans when Refinancing Your Home?

    Refinancing your home gives you the ability to do a lot of different things financially. Much of the time, you will be in better shape if you pay off other loans with your refinance money. One type of loan that is very common is student loans. Many people would love to get rid of these loans all together. However, paying them off with your refinance may not be to your advantage. Here are a few things to think about before you pay off your student loans with refinance money.

    Interest Rate

    Student loan interest rates are usually one of the lowest interest rates around. The interest rates that are given out on student loans will usually be lower than any other type of loan you could get. With a home refinance, your interest rate in most cases will be higher than the rate you were paying for you student loans. While you may like the thought of having all of your debt in one place, it can cost you a lot of money over the life of your loan if you pay a higher interest rate than you need to.

    Most of the time, your student loans are designed to be a shorter loan than your mortgage. When you lump your student loans into a mortgage, you are essentially going to be paying them off over the course of 30 years. Spreading out your loan, means that you will be paying for them much longer than you should have to. When you throw in the higher interest rate, you could end up paying much more for this education than you thought.

    No Tax Advantage

    Most of the time a refinance is a great time to take advantage of tax law. Your mortgage interest is tax-deductible which can save you a large amount of money each year. Therefore, it is common practice to throw in other types of loans into the mortgage to gain tax-deductible status. However, with a student loan, you are not gaining this advantage. Student loan interest is already tax-deductible according to current tax law. Therefore, you can already deduct the interest that you pay on your student loans. You are trading one tax-deductible form of interest for another.

    Flexibility

    With a student loan, you have a lot of flexibility. For example, with most student loans, you can get what is called a forbearance. If you come across hard economic times and cannot afford to pay your student loans, you can call the company and get a forbearance. This means that you can essentially put your payments on hold while you get back on your feet. The interest still accumulates, but the payments will be stopped. With a mortgage, you do not have this ability in most circumstances. If you miss your payments with a mortgage, your house will go into default and it may be foreclosed upon. Therefore, trading a flexible form of loan for a non-flexible one may not be in your best interest.



    When I turn on my laptop the screen is black Solved – Laptops – Laptop Tech Support #when #i #turn #on #my #laptop #the #screen #is #black


    #

    When I turn on my laptop the screen is black

    Hello.
    My name is John Chol de Mawuer, a South Sudanese who pursued his tertiary education in Kenya.
    Although my feedback will reach you at a time when you might have already dump your old Laptop for another one. I think i will have to tell you these simple tricks to help you next time when you experience this same problem or helping your friends/relatives who might be stuck with this problem.
    As i was taught back then in school. there are several problems which cause the screen to experience the blackout.
    JUST TRY THESE SIMPLE STEPS TO SEE IF IT GONNA HELP.

    Electrical hitches.
    Remove your laptop’s battery, unplug the power, hold power the button for 1 to 2 minutes, turn on computer with power plug only, then shutdown, add battery and restart

    Magnetic On/Off Switch to detect of Close/Open Lid
    Your magnet switch is fubar some how. Open up the speaker cover and see if your lid actuator switch that come in contact with the magnet on your lid cover is stuck or not (find where the magnet is in the back of the front lid cover, trace where the magnet area actually touches the base of the computer and you will find the switch) Workaround, start windows with lid at 30 degree angle

    Software
    Try Fn + F5 or something like that

    For the hardware’s perils. I may not be able to truly execute it because i’m not competent in the computer hardware’s issues.

    Thank for your question and i hope this elaborated trial gonna help you and the others who might be experiencing the same problem and confused on what to do.

    John Chol de Mawuer, Juba-South Sudan

    December 30, 2014 6:33:15 AM

    Hi,
    I tried all the above steps but still wud show the black screen after the vaio logo disappears. The fan is still working and so is the backlight.

    January 14, 2015 11:27:45 AM

    Sweta dawas said:

    Hi my name is Sweta I had the same problem with my compaq laptop. On power on the screen would stay black, no POST, nothing at all on the display. The HDD would spin up but the HDD indicator would not come on and would not boot. The DVD drive would spin up and attempt to read a disc if one was in the tray but still would not boot.I found the answer on this blog. Unplug the power, remove the battery and then hold the power button for 30 to 60 seconds. Then reattach the power and attempt a boot. It worked for me! Just shutdown, put the battery back in you’re good to go. Worked for me so definitely worth a try.

    I have the same problem with my netbbook. My PC is a Dell Inspiron 1090. You guys said to remove both battery and charger plug and hold the power button from a half to full minute. The only problem is that the “battery” below my laptop is different (picture is in link to see what it looks like). Is there another way to solve it? If I have to get it to a computer shop I’m too lazy but I have to do it (I’m 15 btw)

    February 8, 2015 8:28:30 AM

    Sweta dawas said:

    Hi my name is Sweta I had the same problem with my compaq laptop. On power on the screen would stay black, no POST, nothing at all on the display. The HDD would spin up but the HDD indicator would not come on and would not boot. The DVD drive would spin up and attempt to read a disc if one was in the tray but still would not boot.I found the answer on this blog. Unplug the power, remove the battery and then hold the power button for 30 to 60 seconds. Then reattach the power and attempt a boot. It worked for me! Just shutdown, put the battery back in you’re good to go. Worked for me so definitely worth a try.

    well this technique could result in loss of some of your system files, endagering your warrenty claim too. the same thing happen with my sony vaio E serires, n it stell happen on n off. i have read many articles, followed it, but nothing results in solving my problem permanently. and still i am facing this problem to present date and I start hating windows 8, Sony Vaio Care, if it could not provide CARE to its customers.

    February 10, 2015 2:43:34 AM

    Hi everyone.
    I face the same problem but i used to solve myself you need to troubleshoot.
    First step: remove bettery from your computer and press power button for 30 sec. And start normal, if doesn’t work. You need to refresh your pc in booting. This is depent on the window you are usin let me give u example with window 8.1 remove your bettery from laptop and insert again now when you restart your pc press f11 continously so you will see boot menu, there is an option refresh your pc select it and press next next until it refresh itself hope this would solve your problem but this would remove all you new install app but your file will not delete.

    When i turn on my laptop the screen stays black. I can hear the fan running and the charger light is on, so why isn’t it turning on correctly?

    Chol de Mawuer said:

    Hello.
    My name is John Chol de Mawuer, a South Sudanese who pursued his tertiary education in Kenya.
    Although my feedback will reach you at a time when you might have already dump your old Laptop for another one. I think i will have to tell you these simple tricks to help you next time when you experience this same problem or helping your friends/relatives who might be stuck with this problem.
    As i was taught back then in school. there are several problems which cause the screen to experience the blackout.
    JUST TRY THESE SIMPLE STEPS TO SEE IF IT GONNA HELP.

    Electrical hitches.
    Remove your laptop’s battery, unplug the power, hold power the button for 1 to 2 minutes, turn on computer with power plug only, then shutdown, add battery and restart

    Magnetic On/Off Switch to detect of Close/Open Lid
    Your magnet switch is fubar some how. Open up the speaker cover and see if your lid actuator switch that come in contact with the magnet on your lid cover is stuck or not (find where the magnet is in the back of the front lid cover, trace where the magnet area actually touches the base of the computer and you will find the switch) Workaround, start windows with lid at 30 degree angle

    Software
    Try Fn + F5 or something like that

    For the hardware’s perils. I may not be able to truly execute it because i’m not competent in the computer hardware’s issues.

    Thank for your question and i hope this elaborated trial gonna help you and the others who might be experie the same problem and confused on what to do.

    John Chol de Mawuer, Juba-South Sudan

    Thank you! Fn + F5 worked and could you tell me why that process work? I’ m sorry I don’t know how old this post is.



    Caluculators to Estimate Savings When You Consolidate Student Loans #3000 #loan


    #consolidation loan calculator
    #

    College Loan Consolidation Calculators

    Estimate Your Bottom Line

    Online financial management greatly increases the need for calculators. These are not your typically four-function calculators, but complex devices capable of calculating the most difficult of equations. Online calculators have been designed to take all types of financial information and convert it to viable, easy to understand figures relative to auto loans, mortgage payments, boat loans, and student loan consolidation interest rates. Calculators give a potential borrower the benefit of real world figures relative to the loan for which they are applying.

    Applying for a federal student loan consolidation? Chances are you want to know how long you ll have to make payments, how much your payments will be each month, and how much it will cost to consolidate your loans. These calculators are available to help you.

    Tools of the Trade

    Loan calculators are a necessity for lenders. Without them, borrowers will seek other, quicker means to find the tools they need for major financial decisions. Competitors provide these easier ways.

    There are both simple and complicated loan calculators depending on the input and output, or complexity of data needed. Student loan consolidation is based on a complex set of data that changes frequently. Calculators are typically full-page forms that prompt users for data and then presents a final figure. You will need specific pieces of information relative to the types of student loans you currently hold, both federal and private.

    Direct Consolidation Loan Calculator

    The U.S. Department of Education offers the Direct Consolidation Loan. Those who are already receiving Direct Federal Loans qualify for this consolidation. The interest rate for consolidation loans is fixed based on the weighted average of your federal loans on the day you apply for the consolidation. It is then rounded up 1/8th percent. For the most accurate amount visit the government s Direct Consolidation Loan Calculation website.

    All you need to know to calculate your loan consolidation are the types of federal loans you hold, the current balance on each, and interest rate. If you are applying for an Income Contingent Repayment program, then you will be required to input Adjusted Gross Income, number of family members and state of residence. This plan is designed for those with loans who are expecting to enter into a career that tends to have a lower salary, such as being a teacher or other jobs in the public sector.

    FFELP Calculators

    Federal Family Education Loan Program lenders that offer the Federal Consolidation Loan may feature an online calculator that functions similarly to the Direct Consolidation Loan s, above. Regardless of lender, federal loan interest rates are the same. In some cases lenders provide a sample interest rate grid as an alternative to a formulaic calculator.

    Private Loan Consolidation is Subjective

    Borrowers interested in a private consolidation loan may apply online, but in most cases if you want to know interest rate and payment term you must talk to an account manager. Interest rates vary and are adjusted in various ways. Check with your lender for more information. Basic loan calculators are usually always available on commercial lender sites and give the best idea of what you can expect to be paying.



    4 key questions to ask when considering a cash advance #easy #cash #loans


    #cash advance
    #

    4 key questions to ask when considering a cash advance

    By Lisa Bertagnoli

    A credit card cash advance is like grocery shopping at a convenience store: handy but expensive. It’s not surprising, then, that recession-bitten consumers are turning away from cash advances.

    That’s a good thing, financial experts say. Except in the most dire of emergencies, cash advances are a bad financial idea.

    That’s your highest-risk money, when someone’s using their credit card as an ATM, says Mark Berg, president of Timothy Financial Counsel, a Wheaton, Ill.-based financial planning firm.

    Advances, essentially loans from your credit card issuer, are easily available in two ways: via an ATM or by cashing a convenience check. But you pay for that convenience with high fees and compounded interest rates that soar into the double digits. While some offers come with low introductory, or teaser rates, they can seduce consumers into a false sense of security, adds Heidi Albert, president of School2Life.com, a Chicago-based company that teaches money-management skills to young adults.

    They say, ‘They wouldn’t have given me the money if they thought I couldn’t pay it back,’ she says.

    Becoming much less popular

    Given these lean economic times, it’s not surprising that cash advances have fallen out of favor. Usage dropped 35.6 percent during the first quarter of 2010 over that same period in 2009, according to payment industry newsletter Nilson Report. The decline marks the latest plunge in a downward trend, says Nilson Report publisher David Robertson.

    There are plenty of possible reasons for the decline. First, they’re very expensive. According to David Jones, president of Association of Independent Credit Card Counseling Agencies, a nonprofit credit counselor accrediting group based in Fairfax, Va.

    • Interest rates on cash advances average from 1 percent to 7 percent higher than a card’s standard purchase interest rate. That means if your card’s standard APR is 15 percent, you could pay up to 22 percent for cash advances.
    • The average cash advance fee is $10 to $20. That’s on top of any interest rate charged.

    Worse, consumers who take out cash advances usually give up their grace period — the period during which, on ordinary purchases, consumers can use their credit cards without incurring any interest charges, as long as they don’t carry balances. With a typical cash advance, interest is charged from the moment the cash is withdrawn.

    Jones says those cash advance interest rates top 40 percent, depending on the cardholder’s creditworthiness. That’s going to drive away consumers, who since 2008 have been less willing to take on credit card debt. even if it comes with reasonable terms. Even people who are creditworthy, who have jobs, aren’t borrowing money, Robertson says.

    Another reason: Given the recession, credit card issuers are skittish about high-risk customers — and most cash-advance customers fit that description, Robertson says. They’re falling — from creditworthy into something else, he says.

    He adds that terms of the Credit CARD Act. the majority of which took effect in February of 2010, make it more difficult for card companies to penalize consumers who default on their loans. In other words, cash advances — a key revenue stream for credit card issuers — are becoming less profitable.

    Yet he doesn’t think the decline signals the death of cash advances. It’s a cycle, Robertson says. Americans are working their way through deleveraging, and credit card issuers are figuring out how to work through the CARD Act.

    Not always a bad choice

    As unwise as cash advances are, financial advisers say there are times when they might be an acceptable financial choice.

    One is when you’re looking for a very short-term loan.

    J. David Lewis, a financial planner who lives in Knoxville, Tenn. plans to use a cash advance from his MasterCard to buy a used video camera for his 26-year-old son, a professional photographer who doesn’t have a credit card.

    His son plans to buy the camera from an individual, not a store, and needs to use cash. Without his own credit card, the son has few options. The market doesn’t have a lender for that, and if it does, you wouldn’t want to cross their door, Lewis says. His son will write the monthly checks to the credit card issuer to repay the loan, a strategy Lewis hopes will introduce his son to the habit of borrowing money and repaying it in a timely fashion.

    Lewis has done the math: Using a promotional deal on his MasterCard, the $2,000 cash advance will cost $2,114.74. That’s the amount of the advance, an $80 fee and a month’s worth of interest at 4.99 percent. He says the interest and fee will be reasonable — that is, if his son pays the loan back within a month. Lewis is keeping his fingers crossed. Cash advances work if you have the discipline to pay it off. If you don’t, the penalties are pretty high, he says.

    A dire emergency — say your car has broken down, the mechanic will only take cash and you don’t have your ATM card in your wallet — can also make a cash advance an acceptable alternative.

    Even then, think twice, says the AICCA’s Jones. It ought to be a last resort. Berg, with the Timothy Financial Counsel, agrees, saying he’d rather see clients who need money sell a few belongings than get a cash advance.

    What to consider before getting an advance

    With that caution in mind, Jones suggests four questions to ask before getting a cash advance:

    Can I pay the money back in a month? That’s the only way to minimize sky-high interest rates, Jones says, adding that there’s really no way around the fee card issuers charge for cash advances.

    Is there any other way to deal with this financial situation? Consider all options — even borrowing money from a family member, Jones advises. The only worse place is a payday loan company, he says.

    Indeed, too many dips into the cash-advance waters should spark a drastic lifestyle change, says Berg. Think of what you can’t live without, wait a month and see if you’re still alive, he says. Cash advances go against the core philosophy of living within your means.

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    What Do I Do When the Bank Says I Need a Cosigner? #faxless #payday #loans


    #i need a loan
    #

    The Bank Says I Need a Cosigner

    By Justin Pritchard. Banking/Loans Expert

    Justin Pritchard helps consumers navigate the world of banking.

    Question: I’m applying for a loan but my credit is not great. The bank tells me I need a cosigner. What do I do?

    Answer: There are two ways you can approach this: find a cosigner, or work on getting a loan on your own — without any cosigner.

    The lender needs a cosigner with good credit and adequate income to apply with you. If you can’t find a cosigner that meets their needs, you’ll have to go it alone.

    • How Cosigning Works
    • Credit Score Basics

    The best places to look when you need a cosigner are family and friends. Is anybody willing to help you qualify for the loan? In addition to being nice, you’ll need a cosigner on solid financial ground. As you consider potential cosigners, remember that they’ll become responsible for your loan if something happens to you.

    The bank can make them repay your debt, so you need a cosigner who can handle that risk and who understands it.

    Don’t be surprised if you have a hard time finding a cosigner. They take on 100% of the risk for your loan and not everybody can afford to take that risk. They may like you and believe you can repay, but they can’t predict the future — and any number of surprises can take away your ability to repay.

    Go it Alone

    If you can’t find the cosigner you need, you may not be helpless. Work on building credit. and search for ways to qualify for a loan.



    Pixie Loans – a little magic when you need it #loan #point #usa


    #payday loans lenders
    #

    You must :

      be 18 years old or over. be a UK Resident. have a UK Bank Account with a Debit card. be in permanent employment. meet our affordability and creditworthiness criteria.

    Collections Practices

    Should there be any problems in paying on time or if our customer finds themself in financial difficulty our Pixie promise is to treat customers fairly and with forbearance.

    We will support all our customers and provide them with reasonable time and opportunity to repay debts. If necessary and appropriate we will direct customers to free independent debt advice. We take into account our customers circumstances to ensure our recovery process doesn’t have an adverse effect on their financial situation.

    In the event you have difficulty meeting your repayments, we ask that you contact us so we can help you. Our Customer Care Team number is 0333 0040040.

    Financial Implications of non-payment

    You should always make sure you are able to make repayments on your short term loan on time and in full. You should repay your loan before looking to obtain further short term credit which may increase costs and cause over indebtedness.

    If you do not meet your repayments on your due date, we will try to contact you, to help you. In the unlikely event you ignore our contact and do not repay your account, we may refer you to our debt collection partner for further action. Non payment will have an adverse effect on your credit rating.



    When Refinancing Your Student Loans Can Backfire #cu #student #loans


    #student loan refinance
    #

    When Refinancing Your Student Loans Can Backfire



    What do I need to bring to the bank when applying for a loan? Personal Finance & Money Stack Exchange #motorcycle #loan


    #need a loan
    #

    What do I need to bring to the bank when applying for a loan?

    order by

    • unsecured versus secured?
    • personal versus debt consolidation?
    • line of credit versus home improvement?

    You WILL know whether you are applying for boat loan versus a home mortgage though!

    What will help your chances of being approved?

    If possible, make an appointment in advance with a loan officer! That’s better than just walking in. (It might increase your chances of being perceived as a responsible, valued bank customer.)

    Focus on the purpose of the loan. Let the bank representative tell you what your options are. If you are told that you don’t qualify, ask if there is something else that they could suggest. It might mean paying a higher rate of interest, or using some other asset or account as collateral for a secured loan. It is up to you whether you want to do that. Depends on your situation, urgency of need, trade-off’s.

    Documents to bring with

    Start by looking at the bank’s website. See if there are any suggestions there, for document req’s. If that isn’t helpful, call on the telephone. Say that you want to speak to a loan officer. Mention any accounts or other existing relationship you have with the bank. Then describe as best you can what type of loan you want, the purpose (to buy a house, boat, car, repay student loans at lower interest rate etc).

    You’ll need some combination of the following:

    • Proof of ID which in the United States, (was in the question tag), would be a picture ID.
    • A driver’s license or state ID card is good. If you don’t have those, then a U.S. Passport or military ID.
    • Social security number (but not necessarily the card)
    • Prior year’s tax returns, other financial account statements (or account numbers if with the same bank)
    • Pay stubs or something that shows income.

    Also, when you make the appointment or call, you may be told to bring title on property, vehicle, credit card statement, student loan docs. It all depends on the type of loan.

    Good luck, hope you get what you want!



    Pixie Loans – a little magic when you need it #no #fax #payday #loans


    #payday loans lenders
    #

    You must :

      be 18 years old or over. be a UK Resident. have a UK Bank Account with a Debit card. be in permanent employment. meet our affordability and creditworthiness criteria.

    Collections Practices

    Should there be any problems in paying on time or if our customer finds themself in financial difficulty our Pixie promise is to treat customers fairly and with forbearance.

    We will support all our customers and provide them with reasonable time and opportunity to repay debts. If necessary and appropriate we will direct customers to free independent debt advice. We take into account our customers circumstances to ensure our recovery process doesn’t have an adverse effect on their financial situation.

    In the event you have difficulty meeting your repayments, we ask that you contact us so we can help you. Our Customer Care Team number is 0333 0040040.

    Financial Implications of non-payment

    You should always make sure you are able to make repayments on your short term loan on time and in full. You should repay your loan before looking to obtain further short term credit which may increase costs and cause over indebtedness.

    If you do not meet your repayments on your due date, we will try to contact you, to help you. In the unlikely event you ignore our contact and do not repay your account, we may refer you to our debt collection partner for further action. Non payment will have an adverse effect on your credit rating.



    10 Traps to Avoid When Taking out a Personal Unsecured Loan – Lending Club Blog #bad #credit #loans #online


    #unsecured personal loan
    #

    10 Traps to Avoid When Taking out a Personal Unsecured Loan

    The following is a guest post by Neil Faulkner, freelance journalist.  This article was originally posted on and adapted for US audiences with permission from lovemoney.com. a popular money management online publication in the UK.

    Taking out a new loan can be a dangerous endeavor. Here are the ten costliest traps to watch out for when taking out an unsecured personal loan.

    Unsecured personal loans are the simplest products there is, but the finance industry still manages to squeeze in a good number of extra ways to make money from you. I ve counted many traps so, before you buy, read here for what I think are the biggest ten:

    1. Small and fleeting

    The temptation with loans, particularly if they re being actively sold to you, is to go for an even bigger sum than you first thought. What s more, the lender will often convince you to drag out the loan for longer to reduce the monthly repayments. They re not being helpful; they re trying to earn more money over a longer time frame. When you pay debt interest, you ll never get it back, so you want to make the loan as short and small as possible to keep down those costs.

    2. Fix it

    Most personal loans have fixed interest rates, but you do have to watch out for the occasional variable rate loan. Look for the word fixed .

    3. Compare the TAR, not the APR.

    The annual percentage rate or APR (e.g. 16% APR ) is meant to be a standard way of comparing the cost of a loan over a year. However, the APR can be manipulated by the lender, so the best way to compare the cost of a loan is to look at the total amount repayable or TAR. This is the total cost including interest and charges that you will pay from your first payment to your last. You should also ensure that you can afford the monthly payment.

    4. It s not all about cost

    It s the total cost – the TAR – that is the most important figure. However, you also want to know if this includes charges other than interest, such as an origination fee.  When comparing loans, make sure you include the origination fees charged by all options you are considering.

    6. Consider alternatives

    You should compare an unsecured loan with your most likely alternatives. The first and best, if possible, is saving up to buy later, but otherwise you can use credit cards to get a short term low interest rate.  If you have good credit scores, you can also score lower rates going to peer-to-peer lending sites like LendingClub.com in the US or Zopa.com in the UK.

    If you use a personal loan to pay off other debts, ensure you cut up any existing credit cards and close the accounts. Avoid the temptation of using your debt-free credit cards and rack up more debts on them.  You will regret it.



    When To Refinance Your Mortgage #quick #loans #online


    #refinancing your home
    #

    How to figure out when it makes sense to refinance your mortgage

    Should I refinance my mortgage?

    Here’s how to determine whether you will benefit by refinancing your mortgage.

    2 major types of refinances are:

    • Rate-and-term refinancing to save money. Typically, you refinance your remaining balance for a lower interest rate and a term you can afford. (The term is the number of years it will take to repay the loan.)
    • Cash-out refinancing, in which you take out a new mortgage for more than you owed. You take the difference in cash or you use it to pay off existing debt.

    Other reasons people refinance: to replace an adjustable-rate mortgage with a fixed-rate loan, to settle a divorce or to eliminate FHA mortgage insurance.

    Breaking even

    Mortgage closing costs can total thousands of dollars. To decide whether a refinance makes sense, calculate the break-even point — the time it will take for the mortgage refinance to pay for itself.

    Break-even point = Total closing costs / monthly savings

    Example: 30 months to break even = $3,000 in closing costs / $100 a month in savings

    If you plan to keep the house for less than the break-even time, you probably should stay in your current mortgage.

    Mind the term in rate-and-term

    The formula above doesn’t measure your total savings over the life of the new mortgage. A refinance can cost more money in the long run if you start your new loan with a 30-year term.

    Example:

    Kris has been paying $998 a month for 10 years. If Kris doesn’t refinance, the payments will total $239,520 over the next 20 years.

    After refinancing, Kris could pay $697 a month to repay the new loan in 30 years, or $885 a month to pay it off in 20 years.

    $697 x 360 months = $250,920

    $885 x 240 months = $212,400

    In the example above, Kris borrowed $186,000 at 5%. 10 years later, Kris had a remaining balance of $146,000, and refinanced at 4%.

    Use Bankrate’s mortgage calculator to compare your own loan scenarios:

    • See what happens when you input different mortgage terms (in years or months).
    • Reveal the amortization schedule to see how much total interest you would pay.

    Good credit can save you thousands on your mortgage. Check your credit score for free at myBankrate .

    Cash-out refinances

    Cash-out refinances often are used to pay down debt. They have pros and cons.

    Imagine that you use a cash-out refinance to pay off credit card debt. On the pro side, you’re reducing the interest rate on the credit card debt. On the con side, you may pay thousands more in interest because you’re taking up to 30 years to pay off the balance you transferred from your credit card to your mortgage.

    But the biggest risk in this scenario is in converting an unsecured debt into a secured debt. Miss your credit card payments, and you get nasty calls from debt collectors and a lower credit score.

    Miss mortgage payments, and you can lose your home to foreclosure. Home equity debt that’s added to the refinanced mortgage always was secured debt.



    When (And When Not) To Refinance Your Mortgage #e-loan


    #refinancing your home
    #

    When (And When Not) To Refinance Your Mortgage

    Refinancing a mortgage means paying off an existing loan and replacing it with a new one. There are many common reasons why homeowners refinance: The opportunity to obtain a lower interest rate; the chance to shorten the term of their mortgage; the desire to convert from an adjustable-rate mortgage (ARM) to a fixed-rate mortgage, or vice versa; the opportunity to tap a home’s equity in order to finance a large purchase; and the desire to consolidate debt. Some of these motivations have benefits and pitfalls. And because refinancing can cost between 3% and 6% of the loan’s principal and – like taking out the original mortgage – requires appraisal, title search and application fees, it’s important for a homeowner to determine whether his or her reason for refinancing offers true benefit.

    Securing a Lower Interest Rate

    One of the best reasons to refinance is to lower the interest rate on your existing loan. Historically, the rule of thumb was that it was worth the money to refinance if you could reduce your interest rate by at least 2%. Today, many lenders say 1% savings is enough of an incentive to refinance.

    Reducing your interest rate not only helps you save money, but it increases the rate at which you build equity in your home, and it can decrease the size of your monthly payment. For example, a 30-year fixed-rate mortgage with an interest rate of 9% on a $100,000 home has a principal and interest payment of $804.62. That same loan at 6% reduces your payment to $599.55. (To learn more about the home costs, see Mortgages: How Much Can You Afford? . Home-Equity Loans: The Costs and The Home-Equity Loan: What It Is And How It Works .)

    Shortening the Loan’s Term

    When interest rates fall, homeowners often have the opportunity to refinance an existing loan for another loan that, without much change in the monthly payment, has a shorter term. For that 30-year fixed-rate mortgage on a $100,000 home, refinancing from 9% to $5.5% cuts the term in half to 15 years, with only a slight change in the monthly payment from $804.62 to $817.08.

    Converting Between Adjustable-Rate and Fixed-Rate Mortgages

    While ARMs start out offering lower rates than fixed-rate mortgages, periodic adjustments often result in rate increases that are higher than the rate available through a fixed-rate mortgage. When this occurs, converting to a fixed-rate mortgage results in a lower interest rate as well as eliminates concern over future interest rate hikes.

    Conversely, converting from a fixed-rate loan to an ARM can also be a sound financial strategy, particularly in a falling interest rate environment. If rates continue to fall, the periodic rate adjustments on an ARM result in decreasing rates and smaller monthly mortgage payments, eliminating the need to refinance every time rates drop. Converting to an ARM may be a good idea especially for homeowners who don’t plan to stay in their home for more than a few years. If interest rates are falling, these homeowners can reduce their loan’s interest rate and monthly payment, but they won’t have to worry about interest rates rising in the future.

    Tapping Equity and Consolidating Debt

    While the previously mentioned reasons to refinance are all financially sound, mortgage refinancing can be a slippery slope to never-ending debt. It’s important to keep this in mind when considering refinancing for the purpose of tapping into home equity or consolidating debt.

    Homeowners often access the equity in their homes to cover big expenses, such as the costs of home remodeling or a child’s college education. These homeowners may justify such refinancing by pointing out that remodeling adds value to the home or that the interest rate on the mortgage loan is less than the rate on money borrowed from another source. Another justification is that the interest on mortgages is tax deductible. While these arguments may be true, increasing the number of years that you owe on your mortgage is rarely a smart financial decision, nor is spending a dollar on interest to get a 30-cent tax deduction.

    Many homeowners refinance in order to consolidate their debt. At face value, replacing high-interest debt with a low-interest mortgage is a good idea. Unfortunately, refinancing does not bring with it an automatic dose of financial prudence. In reality, a large percentage of people who once generated high-interest debt on credit cards, cars and other purchases will simply do it again after the mortgage refinancing gives them the available credit to do so. This creates an instant quadruple loss composed of wasted fees on the refinancing, lost equity in the house, additional years of increased interest payments on the new mortgage and the return of high-interest debt once the credit cards are maxed out again – the possible result is an endless perpetuation of the debt cycle and eventual bankruptcy.

    The Bottom Line

    Refinancing can be a great financial move if it reduces your mortgage payment, shortens the term of your loan or helps you build equity more quickly. When used carefully, it can also be a valuable tool in getting your debt under control. Before you refinance take a careful look at your financial situation, and ask yourself: How long do I plan to continue living in the house? And how much money will I save by refinancing? (For more information, see The True Economics Of Refinancing A Mortgage .)

    Again, keep in mind that refinancing generally costs between 3 and 6% of the loan’s principal. It takes years to recoup that cost with the savings generated by a lower interest rate or a shorter term. So, if you are not planning to stay in the home for more than a few years, the cost of refinancing may negate any of the potential savings. It also pays to remember that a savvy homeowner is always looking for ways to reduce debt, build equity, save money and eliminate that mortgage payment. Taking cash out of your equity when you refinance doesn’t help you achieve any of those goals.

    For a one-stop shop on subprime mortgages and the subprime meltdown, check out the Subprime Mortgages Feature .



    When Are Personal Loans a Good Idea? #department #of #education #student #loans


    #online loan
    #

    When Are Personal Loans a Good Idea?

    Financial gurus will tell you to avoid personal loans. They’re generally right, but sometimes one makes sense. First, let’s define a personal loan. Some loans are earmarked for a specific purchase. You buy a home with a mortgage loan, you purchase a car with an auto loan and you pay for college with a student loan.

    But a personal loan can be used for just about anything. Some lenders want to know what you will do with the money they lend you, but as long as you’ve borrowed it for a responsible and legal reason, you can do what you want with it.

    That presents a problem. With a mortgage, your home is the collateral. Similarly, with an auto loan, the car you buy is the collateral. Because a personal loan often has no collateral – it is “unsecured” – the interest rate will probably be higher. There are also secured personal loans if you want to lower your costs.

    Here are five circumstances in which a personal loan might be a good idea.

    1. Consolidate Credit Cards

    If you have one or more credit cards that are charged to the max, you could get a personal loan to consolidate all the charges into one monthly payment. What makes this scenario even more appealing: The interest rate on the loan could be considerably lower than the annual percentage rates (APRs) on your credit cards. (See Debt Consolidation Made Easy for more details.)

    2. Refinance Student Loans

    Consider this type of loan carefully before deciding whether or not to move forward. Your student loan interest rate may be 6.8% or higher, depending on the type of loan you have. But you might be able to get a personal loan with a lower interest rate that allows you to pay off your loan(s) faster.

    Here are the issues: Student loans come with tax advantages. Also, if lawmakers were to offer any loan forgiveness programs in the future, in addition to those in place now, your refinanced student loans would not be eligible.

    If you use a personal loan to pay off all or a portion of a student loan, you will lose the ability to deduct your interest payments (when you file your income taxes) along with the benefits that come with some loans, such as forbearance and deferment. And if your balance is sizable, a personal loan probably won’t cover it anyway. For additional information, check out Student Loan Debt: Is Consolidation the Answer?

    3. Finance a Purchase

    If your purchase is more of a want than a need, this is another decision to weigh carefully. If you’re going to take out a loan anyway, getting a personal loan and paying the seller in cash might be a better deal than financing through the seller. Don’t ever make a decision about financing on the spot, though. Ask the seller for an offer and compare it to what you could get through a personal loan. Then you can decide which is the right choice. For one example, see Personal Loans vs. Car Loans: How They Differ .

    4. Pay for a Wedding

    Any large event – such as a wedding – qualifies, if you would end up putting all associated charges on your credit card without being able to pay them off within a month. A personal loan for a large expense like this might save you a considerable amount on interest charges, provided it has a lower rate than your credit card.

    5. Improve Your Credit

    A personal loan might help your credit score in two ways. First, if your credit report shows mostly credit card debt, a personal loan might help your “account mix.” Having different types of loans is often favorable to your score.

    Second, it may lower your credit utilization ratio – the amount of total credit you’re using compared to your credit limit. The lower the amount of your total credit you use, the better your score. Having a personal loan increases the total amount you have available to use. For other advice on boosting your credit score, see 3 Easy Ways to Improve Your Credit Score .

    The Bottom Line

    From a purely financial perspective, relatively small loans are rarely a good idea. Most people can’t afford to pay cash for a home, making a mortgage loan a necessity. But if you can avoid a personal loan, or any other loan that is relatively small, you should. Instead, save your money and purchase that “want” later. Remember, interest adds up fast, and you may end up borrowing money for something that is worth less than the value of the loan. Pay cash whenever possible.



    How to Get a Loan When You Have Bad Credit #refinance #student #loans


    #get a loan with bad credit
    #

    How to Get a Loan When You Have Bad Credit

    Steven Tumulski 10/23/14

    Once you have bad credit, it might seem like you’ll never be approved for another loan again.

    While this is partially true, there are a number of things you can do to put yourself in a position where you will be approved. They’re not always instant, cheap or guaranteed, but they always work.

    1. Apply for a loan regardless of your credit score

    Many people think their credit is so bad that they can’t possibly be approved for a loan. Don’t fall prey to this mindset.

    Before you move on to the other types of loans listed below, check out your credit score and credit reports. Once you have this information handy, check on the requirements for any loan before applying.

    If you can’t find them, call the lender and discuss the qualification criteria. In some cases, you won’t get a definitive answer. However, this shouldn’t stop you from applying for at least one or two loans before you assume your credit is too poor to qualify for a traditional line of credit.

    You may be surprised to find out you can get approved for a credit card or loan with reasonable interest rates and no fees, even though you feel your credit score is embarrassingly low.

    2. Use a secured loan

    Secured loans are those where you provide a form of collateral as a guarantee you’ll repay your loan as agreed. There are several forms:

    1. Secured loans with cash
    2. Secured loans with property as collateral (such as a car or real estate)
    3. Secured credit cards

    In all cases, the value of whatever you provide as collateral will almost always need to be equal to the line of credit you’re applying for.

    There are some exceptions to this rule, though. If your credit is above 600, you may only be required to provide collateral that equals a portion of the total value of the line of credit.

    If your score is below 500, you may be required to provide collateral that is equal to more than the value of the line of credit. In most cases, if the value of your collateral is greater than that of the line of credit, you’ll usually be reimbursed the difference if you find yourself unable to fulfill your obligations.

    However, secured credit cards are usually the exception to this rule, and missing even a single payment can result in the full forfeiture of your security deposit, as well as the closing of your line of credit.

    If you’ve used any form of property as collateral and fail to make your payments, then the bank will seize your asset.

    If it’s sold for less than the amount you owe, you’ll be required to come up with the difference. If it’s sold for more, the bank is usually required to give you the difference.

    “Improving your credit score now will

    help you open a line of credit in the future.”

    3. Use a co-signer

    Cosigners are typically required for those with no established credit history or those with bad credit.

    Typically speaking, your interest rates will be based on your credit score, even if your cosigner has absolutely perfect credit. This is known as “the cost of bad credit,” and there’s little you can do to get around it.

    When choosing a cosigner, it’s best to find someone with very good credit to increase your chances of being approved for the loan. If your cosigner’s credit score is only marginally higher than yours, then it’s unlikely you’ll be approved at all.

    Many people make the mistake of asking someone with worse credit than their own to cosign a loan, even though it may seem like common sense to avoid this. When you do, you’re going to be denied for the loan.

    4. Seek out bad credit loans

    There are a number of banks that specialize in providing loans to those with bad credit. The interest rates are always high and the penalties for missing a payment are always severe.

    However, if you know you’re able to be responsible with your commitments, they can serve as a platform from which you can escape the penalties of having bad credit.

    Many of these lenders don’t even run a credit check. They automatically assume the worst. Before you turn to them, be sure to try working with a cosigner or opening a secured line of credit if you can afford it.

    The long-term expense of either of those options is almost guaranteed to be lower than a loan designed for those with bad credit .

    5. Boost your credit score

    Any action you can take to improve your credit score will help you open a line of credit in the future. In some cases, you can boost your score by a few hundred points in just a few short months, opening the doors to approval for loans with favorable terms.

    Photo source: incometherapy.com.



    4 Mistakes to Avoid When Applying for a Bank Loan #cheap #car #loan


    #apply for a loan
    #

    4 Mistakes to Avoid When Applying for a Bank Loan

    Frequently covers crowdfunding, the sharing economy and social entrepreneurship.

    May 18, 2012

    As part of National Small Business Week. Cleveland, Ohio-based KeyBank and Los Angeles-based Open Bank will each receive a 2012 7(a) Lender of the Year Award by the Small Business Administration on Monday in Washington. (The SBA s flagship lending program is known as 7(a) .)

    KeyBank is being honored as the large bank that supported the most jobs with its SBA lending, making the most loans and loaning the most dollars to underserved markets and utilizing the most SBA programs. Meanwhile, Open Bank is receiving the accolade as the small bank that approved the most loans and dollars. It also was recognized for approving the second highest number of loans to underserved markets.

    Of course, getting a loan from a bank is no cakewalk these days, particularly for small businesses. So, we asked those banks, which make it their business to lend to small business, how entrepreneurs can increase their chances of securing loan dollars.

    Here, they share the top four mistakes business owners make when applying for a loan — and how to avoid them.

    Mistake #1: Underestimating the value of personal credit. Bankers look at your personal credit history (credit cards, mortgage payments and personal bills) to get a sense of your track record with financial responsibilities, says Michael Toth, Senior Vice President of Business Banking at KeyBank. If a business owner hasn t shown the diligence in managing their personal credit, there is potentially a stronger likelihood that they will take the same approach to their business credit, he says.

    Mistake #2: Applying for the wrong type of loan. One of the most notable pitfalls Toth sees is small business owners using credit intended for a short period of time for a long-term purchase, or vice versa. They will use the wrong type of credit product for the wrong type of purpose, says Toth. For example, if you buy a piece of machinery with a loan that was intended to fill a short-term need like employee payroll, then you risk being saddled with a loan that you can t get out from under.

    Mistake #3: Expecting a loan without collateral or a plan to pay it back. A banker won t approve a loan that he doesn t think has a chance of getting paid back. So be sure to detail in your business plan how you are going to make the revenue to pay the loan back or any collateral you have to back it up. Also, be sure to explain why the loan is critical for your business. Make sure there is a solid business plan as to what they are planning to do with their business and how the financing will support the mission for the company, says Toth.

    Mistake #4: Waiting too long to approach a banker. Small business banking is about relationships. Toth says there s a much better chance bankers will lend you money when you need it, if they already know who you are and what your business is. Not only will you develop that face-to-face relationship, but you will also have the opportunity go get your business financials organized and in shape with a bankeR s eye in mind.

    Readers, what helped you get a loan from a bank? Leave a comment below.



    How to Get a Credit Card When You Have Bad Credit #cash #advance #loans


    #bad credit cards
    #

    How to Get a Credit Card When You Have Bad Credit

    Wise Bread Picks

    A bad credit score can happen to anyone. Perhaps you bit off more that you could chew during the holiday season, or have been in between jobs for a long time and missed several monthly payments. Sometimes circumstances arise and you have to declare bankruptcy.

    When you have a terrible credit score, the last thing on your mind is getting a credit card. However, it can be a savvy way to start rebuilding your credit. Here is how to get a credit card when you have bad credit. (See also: Best Secured Credit Cards )

    Become a Member of a Local Credit Union

    Unlike banks, credit unions are not for-profit. The main goal of any credit union is to make financial services more accessible to its members. That’s not a typo: Credit unions don’t have clients as every member is a shareholder with voting rights. (See also: Why Choose a Credit Union Instead of a Bank )

    To become a member, a credit union often holds your first deposit of about $100 for one to three years. Once the hold period expires, your credit union keeps only $5 on hold and gives the rest back to you. In exchange for your deposit, the credit union doesn’t charge you monthly fees, require you to have a minimum account balance, charge you ATM fees within its network, or limit your withdrawals per month. This amounts to plenty of savings in fees, which is money that you can use to pay down your other debts and meet your monthly payments.

    The best part is that credit unions offer better credit card interest rates than banks. According to the National Credit Union Administration, the average annual interest rate for credit cards issued by credit unions is 11.56%. while for those issued by banks is 12.87%. For example, the Aloha Pacific Federal Credit Union offers VISA credit cards starting at a 8.00% APR. Additionally, almost all credit unions charge no annual fees for their credit cards.

    Given the $100 initial deposit, several credit unions have very low requirements to issue a $400 to $500 credit card. The most important requirement is that you are able to provide proof of employment. This is a great way to access a credit card even with bad credit and work towards improving your credit score.

    Get a Secured Credit Card

    But, what if you are not eligible for any credit union? It is true that you have to qualify to become a member. For example, there are credit unions for university students, federal and state employees, or members of professional associations. Also, it is possible that there is just no credit unions available in your area.

    In that case, your best option is to get a secured credit card. Unlike regular credit cards, secured ones may not require a credit check. This is a great advantage for those with bad credit because it does away with a hard inquiry and the possibility of getting dinged with a credit denial.

    A secured credit card works just like a prepaid gift card. For example, if you deposit $400 in your account, then your credit limit is $400.

    Secured credit cards offer several advantages to those with bad credit:

    • Provides a last resort solution to getting a credit card, which is essential to build back up your credit score.
  • Through responsible management over time, allows you to build higher credit limits that may not require a deposit.
  • Gathers evidence for the three credit bureaus (Equifax. Experian. and TransUnion ) of good debt management, which boosts your credit score.
  • Allows you to become eligible for regular credit cards from the same financial institution over time.
  • When evaluating secured credit cards (See also: The 5 Best Secured Credit Cards ), remember to:

    • Avoid cards with application or setup fees.
    • Select a card with a low annual fee and a simple cost structure.
    • Choose cards that appear as regular credit cards, not secured ones, on your credit report.
    • Understand the rules to qualify the lowest interest rate before applying.
    • Look for cards with cash or gas rewards.
    • Inquire about additional benefits, such as car rental insurance and no charge for foreign transactions.

    The Bottom Line on Credit Cards

    Notice that we have not included here finding a cosigner as a recommended way to get a credit card in case of bad credit. While it is an easy route to qualify for certain credit cards, it does not address the main problem: your poor credit score. Additionally, it is a decision that if things go sour, could kill a relationship with a family or friend. (See also: 7 Decisions That Seem OK Now, but Might Ruin Your Finances Later )

    Remember that a credit score is necessary for applying to some jobs and setting rates for financial products, such as car and life insurance. This is why it is important to maintain a credit card even during periods of bad credit, so that you can rebuild your credit score.

    How did you get a credit card while having bad credit?

    Editorial Note: Any opinions, analyses, reviews or recommendations expressed in this article are those of the author’s alone, and have not been reviewed, approved or otherwise endorsed by any bank, card issuer, airline or hotel chain.



    Loan Defaults– Getting Rid of Debt when Defaulting on Your Loans #consolidating #loans


    #unsecured loan bad credit
    #

    Defaulting on Your Loans

    Defaulting on a loan means that you have not met your obligations when it comes to the terms of repayment. It can mean missing a payment, being late on a payment or avoiding a payment altogether. A default on any loan is going to severely damage your credit score and leave you vulnerable to one or more collection procedures.

    The consequences of default depend on whether your loan is secured (mortgage or car loan) or unsecured (credit card, student loans or personal loans).

    Defaulting on Secured Loans

    If you default on a home equity loan or a home equity line of credit. the lender can foreclose on your house. While the process varies from state to state, you will usually be in default on this type of loan after 150 days of nonpayment.  Although foreclosure normally takes 2 to 18 months after you default, some foreclosures can take two years or more.

    Similarly, if you default on your automobile loan, your car can be repossessed — which means the bank takes ownership of it. Most banks will first issue a notice to a client in default, allowing for a designated time period — usually around seven days — in which you can make good on your payment. If you cannot meet the deadline or renegotiate your loan terms, your lender can petition a court for a permit to repossess your vehicle.

    If your car is taken, it will likely be put up for resale at a public auction. You can keep your car from being auctioned off by redeeming your debt — or paying the total amount due, plus any fees associated with the repossession. If the car sells for less than the amount you owed, you may be liable to make up the difference.

    Defaulting on Unsecured Loans

    In the case of unsecured loans, there is no collateral (property) that can be taken. Generally you have a grace period of up to 30 days to pay on a credit card or other personal loan, but in some cases missing a payment by even one day can cost you.

    After 60 days of nonpayment on a typical credit card account. you will be facing late fees and perhaps an interest rate increase. By 90 days, you will likely come to the attention of the lender’s collection department, which will move your account to default status.

    Between 120 and 180 days, your debt will probably be charged off — which means your bank will count it as a loss and delete the account from its books. You will still owe the money, and the bank will either sell the account to a collection agency or hire a debt collector who will receive a percentage of the collected amount.

    Once your debt has been charged off, you have opened yourself up to the pursuit of a collector who has a financial stake in getting you to pay and a great deal of experience in pressuring defaulters to meet their obligations. While the federal Fair Debt Collection Practices Act (FDCPA) prevents a collector from employing certain abusive and deceptive practices in attempting to reclaim a loan, you cannot escape the annoyance and aggravation that a professional debt collector can generate.

    Sooner or later, a charge-off will reach a lawyer’s desk, and a collection attorney may take you to court after issuing a final letter calling upon you to pay your debt. If the debt is deemed valid, the court can issue a judgment against you, ordering you to pay it — and legal fees.  Once you go to court, your default becomes a matter of public record.

    A court judgment allows a creditor to put a lien on your house, which means that if you ever sell it you’ll be forced to cover over some or all of that debt. A lender or collector can also ask a judge for an execution order, which allows it to garnish up to 25 percent of your wages.

    In addition, your original creditor will undoubtedly report the default to the credit bureaus, and your debt will be labeled as an unpaid charge-off on your credit report. This will remain on your credit report as evidence that you once had difficulties in meeting your financial obligations. (A delinquent debt that is paid before it reaches charge-off status should not negatively impact your credit report.)

    Defaulting on Other Debts

    Some debts stay with you for life, even if you file for bankruptcy. These include child support, alimony, student loans, and debts due on federal or state taxes.

    Among these types of debts, IRS debts are probably the easiest to re-negotiate, as the government isn’t as likely to intimidate you to get your attention. It can simply redirect any tax refunds owed you straight into the Treasury.

    Defaulting on child support, on the other hand, can result in criminal charges and jail time.

    Student loan default generally occurs after 270 days of nonpayment. Since there is no statute of limitations on federal student loans, your obligation to repay them never goes away.

    The consequences of defaulting on a student loan can include:
    • Ineligibility for additional federal aid or grants.
    • Severe damage to your credit report.
    • Garnishment of wages.
    • Seizure of savings and checking accounts.
    • Cancellation, revocation or non-renewal of a professional license.
    • Withholding of state and federal tax refunds.


    What to Expect when Applying for a Commercial Mortgage Loan: Part 1 #student #aid


    #real estate loans
    #

    What to Expect when Applying for a Commercial Mortgage Loan:

    Banks and Private Alternatives

    Part 1

    If you have never borrowed money for your business before, you may be in for a surprise. Whether you want to borrow working capital to expand your business or leverage equity in a commercial real estate venture, you will soon find out the commercial loan process is very different from the more common home mortgage process. Commercial loans, unlike the vast majority of residential mortgages, are not ultimately backed by a governmental entity such as Fannie Mae. Consequently, most commercial lenders are risk-averse; they charge higher interests rate than on a comparable home loan. Some lenders go a step further, scrutinizing the borrower’s business as well as the commercial property that will serve as collateral for the loan. This means that the business borrower should have different expectations when applying for a loan against his commercial property than he would have for a loan secured by his or her primary residence.

    Following is a list of questions the borrower should ask himself and the lender before applying for a commercial loan.

    1. How am I going to meet the loan repayment terms?

    Typically, bank loans require the borrower to repay his or her entire business loan much earlier than its stated due date. Banks do this by requiring most of their loans to include a balloon repayment. This means the borrower will pay interest and principal on his 30-year mortgage at the stated interest rate for the first few years (generally 3, 5 or 10 years) and then repay the entire balance in one balloon payment.

    Many borrowers do not save enough in such a short time frame, so they must either re-qualify for their loan or refinance the loan at the end of the balloon term. If the business happens to have any cash-flow problems in the years immediately preceding the balloon term, the lender may require a higher interest rate, or the borrower may not qualify for a loan at all. If this happens, the borrower runs the risk of being turned down for financing altogether and the property may be in jeopardy of foreclosure.

    A balloon loan has other risks as well. If the borrower’s business is in a “risky” industry at the time the balloon is due (think of the oil and gas bust in the 1980s or the telecom implosion of the 2000s), the lender may back out of all refinancing for the enterprise. Alternatively, a lender simply may decide its loan portfolio has too many loans in a given industry, so he will deny future refinancing within that trade.

    Non-bank lenders generally offer less stringent credit requirements for commercial loans. Some non-bank lenders will make long-term commercial loans without requiring the early balloon repayment. These loans, which may carry a slightly higher interest rate, work like a typical home loan. They allow a steady repayment over twenty or thirty years. It is often worth paying a one- or two-point higher interest rate for a fixed-term loan in order to ensure the security of a long-term loan commitment.

    2. How much can or should I borrow?

    Most bank loans prohibit second mortgages, so the borrower should go into the loan process intending to borrow enough to meet current business needs, or enough to sufficiently leverage real estate investments. For a traditional acquisition loan in which the borrower is buying a new property, banks usually require a down payment of 20-25%. So for a $600,000 acquisition, the borrower will need to come up with $120,000-$150,000 for the down payment.

    Some non-traditional loans will allow the borrower to make a smaller down payment, maximizing the loan-to-value (LTV) at 85-90%. Such loans are generally not bank loans, but are offered by direct commercial lenders or pools of commercial investors. If the customer wants to borrow the maximum amount possible, the interest rate on such loans may be a point or two higher than typical bank loans. Before deciding how much to borrow, potential borrowers should:

    • Evaluate how much cash they are likely to need
    • Analyze their ability to repay the loan as it is structured

    Research has consistently shown that the number one reason behind the failures of most small businesses is the lack of adequate capital to meet cash-flow needs. Because of this it may actually be safer for a small business to leave a larger cushion against unforeseen events by borrowing more money at the slightly higher rate.

    The amount of the loan requested has an effect on which commercial lenders will fund the loan. Small businesses borrowing less than $2,000,000 will visit a different pool of potential lenders than those seeking loans of over $5 million. Small business loans are generally made by direct commercial lenders (easily located by internet searches) or by small local banks. Larger loans are generally made by regional banks, and very large loans are made by mega-banks or Wall Street lenders.



    When Are Personal Loans a Good Idea? #same #day #payday #loans


    #online loan
    #

    When Are Personal Loans a Good Idea?

    Financial gurus will tell you to avoid personal loans. They’re generally right, but sometimes one makes sense. First, let’s define a personal loan. Some loans are earmarked for a specific purchase. You buy a home with a mortgage loan, you purchase a car with an auto loan and you pay for college with a student loan.

    But a personal loan can be used for just about anything. Some lenders want to know what you will do with the money they lend you, but as long as you’ve borrowed it for a responsible and legal reason, you can do what you want with it.

    That presents a problem. With a mortgage, your home is the collateral. Similarly, with an auto loan, the car you buy is the collateral. Because a personal loan often has no collateral – it is “unsecured” – the interest rate will probably be higher. There are also secured personal loans if you want to lower your costs.

    Here are five circumstances in which a personal loan might be a good idea.

    1. Consolidate Credit Cards

    If you have one or more credit cards that are charged to the max, you could get a personal loan to consolidate all the charges into one monthly payment. What makes this scenario even more appealing: The interest rate on the loan could be considerably lower than the annual percentage rates (APRs) on your credit cards. (See Debt Consolidation Made Easy for more details.)

    2. Refinance Student Loans

    Consider this type of loan carefully before deciding whether or not to move forward. Your student loan interest rate may be 6.8% or higher, depending on the type of loan you have. But you might be able to get a personal loan with a lower interest rate that allows you to pay off your loan(s) faster.

    Here are the issues: Student loans come with tax advantages. Also, if lawmakers were to offer any loan forgiveness programs in the future, in addition to those in place now, your refinanced student loans would not be eligible.

    If you use a personal loan to pay off all or a portion of a student loan, you will lose the ability to deduct your interest payments (when you file your income taxes) along with the benefits that come with some loans, such as forbearance and deferment. And if your balance is sizable, a personal loan probably won’t cover it anyway. For additional information, check out Student Loan Debt: Is Consolidation the Answer?

    3. Finance a Purchase

    If your purchase is more of a want than a need, this is another decision to weigh carefully. If you’re going to take out a loan anyway, getting a personal loan and paying the seller in cash might be a better deal than financing through the seller. Don’t ever make a decision about financing on the spot, though. Ask the seller for an offer and compare it to what you could get through a personal loan. Then you can decide which is the right choice. For one example, see Personal Loans vs. Car Loans: How They Differ .

    4. Pay for a Wedding

    Any large event – such as a wedding – qualifies, if you would end up putting all associated charges on your credit card without being able to pay them off within a month. A personal loan for a large expense like this might save you a considerable amount on interest charges, provided it has a lower rate than your credit card.

    5. Improve Your Credit

    A personal loan might help your credit score in two ways. First, if your credit report shows mostly credit card debt, a personal loan might help your “account mix.” Having different types of loans is often favorable to your score.

    Second, it may lower your credit utilization ratio – the amount of total credit you’re using compared to your credit limit. The lower the amount of your total credit you use, the better your score. Having a personal loan increases the total amount you have available to use. For other advice on boosting your credit score, see 3 Easy Ways to Improve Your Credit Score .

    The Bottom Line

    From a purely financial perspective, relatively small loans are rarely a good idea. Most people can’t afford to pay cash for a home, making a mortgage loan a necessity. But if you can avoid a personal loan, or any other loan that is relatively small, you should. Instead, save your money and purchase that “want” later. Remember, interest adds up fast, and you may end up borrowing money for something that is worth less than the value of the loan. Pay cash whenever possible.



    Cash Till Payday Loan – We Are Here When You Need That Cash Till Payday Loan And We Will Give You A 99% Superior Approval Every Time You Apply For A Quick Loan. #payday #loans #for #people #on #benefits


    #loans till payday
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    How Can We Offer A Cash Till Payday Loan ?

    Start By Entering Your Name Below.

    Need A Cash Till Payday Loan? If you are looking for cash till you next payday, you have come to the right place. We have introduced the most valuable cash advance payday loan policy on the web. If you have run out of cash and need an urgent payday loan to tide you over, our payday loan online is the ultimate alternative for you. Fill out our cash till payday loan application form and we will take care of the rest for you. Whenever you find that you need a quick payday loan to get rid of any tricky situation, get in touch with MySEONetwork.

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    So, you are over the age of 18, have an active bank account and earn at least $1000 a month from your current job then you qualify for a instant personal loan. There is nothing better than getting a cash till payday loan to tie you over and MySEONetwork will help you every step of the way.

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    Caluculators to Estimate Savings When You Consolidate Student Loans #easy #cash #loans


    #consolidation loan calculator
    #

    College Loan Consolidation Calculators

    Estimate Your Bottom Line

    Online financial management greatly increases the need for calculators. These are not your typically four-function calculators, but complex devices capable of calculating the most difficult of equations. Online calculators have been designed to take all types of financial information and convert it to viable, easy to understand figures relative to auto loans, mortgage payments, boat loans, and student loan consolidation interest rates. Calculators give a potential borrower the benefit of real world figures relative to the loan for which they are applying.

    Applying for a federal student loan consolidation? Chances are you want to know how long you ll have to make payments, how much your payments will be each month, and how much it will cost to consolidate your loans. These calculators are available to help you.

    Tools of the Trade

    Loan calculators are a necessity for lenders. Without them, borrowers will seek other, quicker means to find the tools they need for major financial decisions. Competitors provide these easier ways.

    There are both simple and complicated loan calculators depending on the input and output, or complexity of data needed. Student loan consolidation is based on a complex set of data that changes frequently. Calculators are typically full-page forms that prompt users for data and then presents a final figure. You will need specific pieces of information relative to the types of student loans you currently hold, both federal and private.

    Direct Consolidation Loan Calculator

    The U.S. Department of Education offers the Direct Consolidation Loan. Those who are already receiving Direct Federal Loans qualify for this consolidation. The interest rate for consolidation loans is fixed based on the weighted average of your federal loans on the day you apply for the consolidation. It is then rounded up 1/8th percent. For the most accurate amount visit the government s Direct Consolidation Loan Calculation website.

    All you need to know to calculate your loan consolidation are the types of federal loans you hold, the current balance on each, and interest rate. If you are applying for an Income Contingent Repayment program, then you will be required to input Adjusted Gross Income, number of family members and state of residence. This plan is designed for those with loans who are expecting to enter into a career that tends to have a lower salary, such as being a teacher or other jobs in the public sector.

    FFELP Calculators

    Federal Family Education Loan Program lenders that offer the Federal Consolidation Loan may feature an online calculator that functions similarly to the Direct Consolidation Loan s, above. Regardless of lender, federal loan interest rates are the same. In some cases lenders provide a sample interest rate grid as an alternative to a formulaic calculator.

    Private Loan Consolidation is Subjective

    Borrowers interested in a private consolidation loan may apply online, but in most cases if you want to know interest rate and payment term you must talk to an account manager. Interest rates vary and are adjusted in various ways. Check with your lender for more information. Basic loan calculators are usually always available on commercial lender sites and give the best idea of what you can expect to be paying.



    Get The Best Rate When Consolidating Your Student Loans #1 #hour #loans


    #student loan consolidation rates
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    Get The Best Rate When Consolidating Your Student Loans

    Consolidating your student loans can lead to a better interest rate and lower payments. However, a bad deal can make you hurt in the long run. The determining factor in how easy getting a better rate will be is the type of loan you have. Federal consolidations are a lot easier to deal with than private consolidations. especially if those private loans are through multiple lenders.

    Consolidating federal loans is a fairly easy process that can be applied for online through the Department of Education. When you consolidate federal loans, the interest rate you pay ends up being the weighted middle of your previous interest rates rounded up to the nearest 1/8 th of a percent.

    See a complete list of Student Loan Consolidation Companies Here

    The weighted middle on federal loan rates is calculated by first finding multiplying each loan balance by its respective interest rate. Doing this yields the “per loan weight factor.” For example, if you had a loan of $20,000 with an interest rate of 8%, the loan weight factor would be $1,600. After all these are calculated the sums are added together. The per loan weight factor is then divided by the total loan amount. If you had the $20,000 loan mentioned before and a $10,000 loan with a weight factor of $1,000, the math would look like this

    1. $1,600 + $1,000 = $2,600
    2. $2,600 ÷ ($20,000 + $10,000) = 0.087%

    Therefore when you consolidated your federal loans you would end up with a rate 8.7%. That is still a pretty steep rate, but fortunately the consolidated rate for federal loans caps at 8.25%. No matter what your weighted middle actually is, the applied rate will never exceed 8.25%.

    Unfortunately, the same is not true for private loans. Federal rules now stipulate that filing for bankruptcy does not discharge student loan debt. This gives you very little leverage with private loan companies as they know you can’t get out of the loan no matter what. Consolidation is still possible, but the rate you will get depends on a much larger set of factors. Check around with different lenders as some get better rates than others. Often smaller banks have better rates than large corporations. Be careful not to take a plan that just lowers your monthly payments without lowering your interest rates unless you are in a financial bind. The smaller payment amount will only lead to more interest in the future and ends up costing you more.

    Your rate will most likely be determined by your credit score. Before you go shopping obtain a credit report. If your credit is low, try to make some timely payments on your loans in order to up your credit score before consolidating.

    Look into bonus discounts you can get while consolidating. Many private lenders offer small reductions in your loan interest rate if you allow them to automatically deduct it out of your checking account each month. Depending on the private lender, this can be between 0.25% and 0.5%. Though that may not seem like a lot, every bit helps when you are trying to get your debt down. Some private lenders also offer a 1% discount if you faithfully make payments for between two and two-and-a-half years.

    There is no easy way to deal with student loan consolidation. Just remember to take your time when making choices, as they can affect your future for decades to come. Consolidating your loans is not something to rush.

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    Check Eligibility Now



    Payday lenders are here when you need them #loan #consolidation #calculator


    #payday loans lenders
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    Payday lenders are here when you need them

    Everyone seems to be struggling these days. Just when you think the crunch is over. more people are losing jobs. For people who still have jobs, inflation is taking a huge bite out of the budget. It’s tough just to keep food on the table. If this sounds like you, remember that payday lenders are available to help tide you over until your next payday.

    At Personal Money Market, we work with payday lenders to get you quick, hassle-free, online payday advances. You can apply for up to $1,500. The application process is fast and easy. There s typically no credit check and no need to fax anything in most cases. Find out how easy it is to make ends meet between paydays by applying for an online cash advance today.

    Payday lenders get money to your account quickly

    The last thing you need when you need money right away is more frustration and hassle. At Personal Money Market, we make it easy and hassle-free to get an instant payday loan to tide you over. We network with payday lenders to find the best loan to meet your request. It takes just a few moments to complete our loan application. In many cases, your money can be available in as little as two hours.

    Payday lenders put cash in your pocket

    A payday loan from one of our payday lenders is as easy-to-use as cash in your pocket. Once your loan application is approved, our payday lenders deposit funds directly to your checking account. Once they re in your account, of course, the funds are yours to spend however you wish. Our payday lenders make it possible for you to do anything you need from something as basic as keeping food on the table to something as personalized as celebrating a special occasion.

    Apply Now! Payday lenders deposit cash to your account so that you can catch up on your bills or make an urgent home repair. Payday lenders are a great resource for managing your budget – and they re so easy to work with.

    At the end of the day, you ll be so relieved

    Anyone who has ever struggled with money issues – and really, who hasn t at one time or another? – understands what a relief it is to turn in at night knowing the bills are paid, the kids are fed, and the household is in working order. It can be tough to get a good night s sleep when money issues – however big or small – fill the room.

    Getting a cash advance from payday lenders lets you spread your finances out between paydays so that you don’t have to fall behind on the bills or put off projects that need to be taken care of. And payday lenders can help you with unexpected emergencies. too. No matter how carefully you plan, when you live from paycheck to paycheck, unexpected things happen, and they usually involve money. So stop struggling and let our payday lenders help you smooth things out.

    When you run out of cash, turn to payday lenders for help

    It happens to everyone every so often – somehow you run out of cash. Running out of cash can be a minor social embarrassment, or a significant problem, like an uninsured medical expense. Whatever it is, when you’re out of cash, payday lenders are available to get you through until payday. It makes sense to take action before it’s too late. When you know that you aren’t going to have enough money to do the things you need to do before payday, take just a couple of minutes to apply for a payday advance in advance. before problems arise.

    A little money in your pocket can change everything

    The quickest way to get financial help when you need it is to apply right here at Personal Money Market for an online payday loan. It really is quick and easy. Remember, there s usually no credit checks, absolutely no upfront fees. and you won t even need to fax anything in most cases. You will be so glad you let our payday lenders help. There’s nothing better than getting money problems taken care of – unless it’s the feeling you get when you have enough cash to do just a little something extra, too.

    Apply for assistance from our payday lenders today!



    When Can I Refinance My Car? Does it Make Sense? #student #loan #repayment


    #car loan refinance
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    When Can I Refinance my Car?

    By Justin Pritchard. Banking/Loans Expert

    Justin Pritchard helps consumers navigate the world of banking.

    Question: I just bought a car but I don’t think I got a good deal. When can I refinance my car loan? Do I have to wait?

    Answer: the short answer is no, you do not have to wait to refinance your car. If you can find a better lender who is willing to pay off the old loan and take you on as a customer, then go for it.

    Sometimes people are tempted to refinance into a longer-term loan because they ll have lower monthly payments. However, those lower payments can end up costing you in two different ways:

    First, you might end up paying more for your car if you switch to a longer-term loan because you ll pay more in interest. To find out if that s the case, run a quick calculation on your existing loan versus the new loan. Our loan amortization calculator will show you how much you pay in interest with each payment, and you can add up all of the interest costs to see what you ll pay over the life of the loan.

    Having an upside down auto loan is another risk of moving into a longer-term loan. When a loan is upside down it means that you owe more than your car is worth. This happens when you use longer term loans (because the car loses value faster than you pay down the debt). If you want to sell the car later, you might have to write a check to your lender to get out of the loan.

    When Should You Refinance a Car Loan?

    All that said, there are plenty of good reasons to refinance auto loans. If your credit has improved. you might be able to get a better loan once you have higher credit scores .

    Continue Reading Below

    Depending on what is happening in your credit reports. you might see dramatic changes in your scores over a short period of time (if you ve been cleaning up errors in your credit reports, for example).

    Another reason to refinance might just be that you ve found a better deal. When you re buying a car. you ve got a lot on your mind, and you may just want to get the deal done. It might be fastest (and it might even mean a lower purchase price) if you finance at the dealership. However, it s not uncommon to find better offers at your local bank or credit union. and it may make sense to take advantage of those offers.

    Is there a Best Time?

    In some cases, it might make sense to refinance as soon as possible after purchasing an automobile. Loans for new vehicles have better rates than loans for used vehicles. The sooner you do it, the more likely you are to get a loan for new cars.

    If you go this route, be sure to stay involved with the process. Stay in touch with both lenders to make sure that paperwork is being processed quickly and efficiently. You don t want to miss your first payment on your new car .



    When is a Personal Loan Better than a Credit Card? Credit Sesame #student #loans


    #credit card loan
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    When is a Personal Loan Better than a Credit Card?

    We’ve all been there. We need to buy something but we don’t have the cash. And while your immediate reaction may be to charge it on your credit card, another option to consider is the more traditional, but often overlooked, personal loan.

    As a financial planner, I often have clients come into the bank to apply for a credit card for the reward benefits, or a line of credit for the low interest rate. More often than not, however, people forget about the third financing option – the personal loan. Let s take a look at three reasons why a personal loan may be a better option over a credit card, and two examples of when a personal loan just won t do.

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    Advantages of a personal loan

    1. Fixed interest rates create stability.   A personal loan gives you a lump sum of money up front, allowing you to pay it back over a fixed term – typically a period of one to five years. Loan rates are negotiable, which is a major advantage of choosing a personal loan over a credit card. Another advantage of a personal loan is that when the loan agreement is signed, the interest rate is fixed for the entire repayment period. This means that your interest rate cannot fluctuate and your payments will always remain fixed.

    2. Fixed payments are easy to budget. Having fixed payments on your personal loan make sticking to a monthly budget a breeze. If you live on a fixed income, a personal loan may be a better option for you because the payments remain the same each and every month. With a personal loan, you don’t have to worry whether or not you’ll have enough money to make the minimum monthly payment like you would with a credit card, for example. Unlike credit cards,  monthly payments on a personal loan don’t change.

    3. The interest rate is lower than a credit card. Who wants to pay 19% on a credit card? Not me. A personal loan is a great financing option if you need a lump sum of money right away and you can afford to make payments to repay the loan over time. The interest rates on personal loans are substantially lower than the interest rates on credit cards. Interest rates on personal loans are also negotiable with your bank, whereas interest rates on credit cards are not. Bottom line? If it’s going to take you a few years to pay off the debt, go with a personal loan and you’ll save in interest .

    When a personal loan just won’t do

    If you want to enjoy travel benefits and earn rewards. Although personal loans are usually a cost efficient solution to your financial needs, they are not always the best option. If you are taking a vacation then using your credit card may be a better than applying for a personal loan because you can take advantage of the travel benefits. Upgrades, discounts and insurance coverage are all advantages that credit cards offer and personal loans do not.

    Having said this, it’s important that you pay the balance – or as much of the balance as possible – when the bill comes due. Falling into credit card debt solely to pay for a vacation isn’t a good idea. However, if you spend what you can comfortably afford to pay off at the end of the month – credit cards are an excellent tool for earning extra rewards and travel perks on day to day purchases you’d typically make with cash. The key here is paying off the balance in full at the end of the month – you’ll avoid paying interest and earn rewards for purchases you would have made anyway.

    When you need additional warranties and protection. If you are purchasing big ticket items such as appliances, furniture or electronics, then using your credit card may be a better option.  Many credit cards offer an extended warranty in addition to the coverage that already comes with the product from the manufacturer. Very often department stores offer clients the option to purchase an additional warranty but it may not be necessary if you use your credit card to make the purchase.



    Refinance Auto Loan – When to Refinance Your Car Loan #mortgage #rates #today


    #refinancing auto loan
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    5 situations when it makes the most sense to refinance your car

    By Russ Heaps • Bankrate.com

    With interest rates remaining so low, an auto refinance may have crossed your mind — and it could be a good idea.

    Doing so could save hundreds of dollars each year and sometimes thousands over the life of the loan.

    If your current car loan interest rate is above 6%, you might want to investigate refinancing.

    Unlike refinancing your mortgage or even consolidating credit card balances, refinancing your vehicle loan is usually quick, easy and painless. No appraisal will be required. And usually there are minimal, if any, fees.

    But refinancing is not for everyone. It makes sense if, since the original loan, you find yourself in one or more of these five situations:

    • Interest rates have dropped. If interest rates have dropped more than a couple of points since purchasing your vehicle, you could save some money. In this case, loans at refi rates are considered used car loans and as such, the rates usually are higher than new car loans. Remember, even a percentage point or 2 can make a big difference over the life of the loan.
    • Your credit score has improved. If you had a few negatives on your credit report — or had no history of credit — when you bought your car, but your credit is healthier now, you may qualify for a lower interest rate. Interest rates of 18% or more for consumers with a thin credit history are common. Several months of on-time payments could entice a lender to refinance that loan at a lower rate. Steve Schooff, a former spokesman for Capital One Auto Finance, says consumers should check their credit scores before refinancing.

    Your credit score has a major influence on auto loan rates. Get your score for free at myBankrate .

  • You didn’t get your best rate when you purchased. Just because you had a high credit score and unblemished credit history doesn’t mean you got the best rate you could have received when you purchased the car. Dealer-sourced vehicle loans commonly carry a higher rate than the consumer deserves because the consumer simply didn’t know better. The extra money is a profit source to the dealer, like rust-proofing or extended warranties. When this is discovered after the fact, it may pay to refinance.
  • Your personal financial landscape has deteriorated. If you have had a financial setback and need to reduce your payments, refinancing could be a solution by increasing the loan term, thereby lowering the monthly payment.
  • Your car lease is expiring and you want to purchase the vehicle. When you fulfill the terms of a lease, you typically have the option to buy the vehicle.
  • Finding a lender that refinances is the easiest step in the process. Credit unions do big business in vehicle loan refinancing and they have money to lend. You will need to open a checking or savings account at one if you’re not already a member.

    How much can you expect to save? According to Schooff, if one year ago you took a $25,000 auto loan for five years at 7.75% interest, refinancing the balance today at:

    • 4.75% for the remaining four years of the loan would save $1,373 — $28.60 per month.
    • 5.75% for the remaining four years of the loan would save $906 — $18.88 a month.
    • 6.75% for the remaining four years of the loan would save $448 — $9.33 a month.

    Refinancing isn’t an option for everyone. If the vehicle is worth less than the loan balance (upside down), a lender probably won’t take the chance and at the same time lower your interest rate. You can determine the current value of the vehicle through Kelley Blue Book, or KBB.com, Edmunds.com or AutoTrader.com.

    Other requirements may also disqualify you, such as the age of the vehicle and the outstanding balance to be refinanced. Capital One Auto Finance, for example, will not refinance a vehicle more than 7 years old; the amount of the loan can be no less than $7,500 and no more than $40,000.

    It’s important, Schooff says, “that consumers determine if their current auto loan has any penalties for paying off the loan early. This will impact how much they can save from refinancing.”

    Call your lender and request the current payoff amount of your loan. This is the amount of money you need to refinance. It is also the figure you’ll compare against the vehicle’s value to determine if the vehicle is worth more than the amount you need to borrow.

    There is no required amount of time from the date of the original loan until you can refinance. Actually, because of the way most auto loans are structured, the majority of the interest is paid during the first half of the term of the loan. The younger the current loan is, the more money refinancing will usually save.

    Once you know your payoff, you can determine how much refinancing can save each month by using Bankrate’s auto loan calculator to find your new payment, then subtract it from your existing payment.

    Because most refinancing loans are fairly straightforward, decisions are usually made quickly. Schooff says Capital One Auto Finance typically gives the consumer a decision by email within 24 hours of submitting the online application.

    If you find yourself upside down in your car loan and for personal reasons need to lower your payment, you may be able to persuade your current lender to modify your loan, lowering the monthly payments by extending the term of the loan or reducing the interest rate.

    It’s important to act before your payments fall behind. The earlier you open communications with your lender, the better the chance of coming to an arrangement.



    When Are Personal Loans a Good Idea? #unsecured #personal #loans #bad #credit


    #online loan
    #

    When Are Personal Loans a Good Idea?

    Financial gurus will tell you to avoid personal loans. They’re generally right, but sometimes one makes sense. First, let’s define a personal loan. Some loans are earmarked for a specific purchase. You buy a home with a mortgage loan, you purchase a car with an auto loan and you pay for college with a student loan.

    But a personal loan can be used for just about anything. Some lenders want to know what you will do with the money they lend you, but as long as you’ve borrowed it for a responsible and legal reason, you can do what you want with it.

    That presents a problem. With a mortgage, your home is the collateral. Similarly, with an auto loan, the car you buy is the collateral. Because a personal loan often has no collateral – it is “unsecured” – the interest rate will probably be higher. There are also secured personal loans if you want to lower your costs.

    Here are five circumstances in which a personal loan might be a good idea.

    1. Consolidate Credit Cards

    If you have one or more credit cards that are charged to the max, you could get a personal loan to consolidate all the charges into one monthly payment. What makes this scenario even more appealing: The interest rate on the loan could be considerably lower than the annual percentage rates (APRs) on your credit cards. (See Debt Consolidation Made Easy for more details.)

    2. Refinance Student Loans

    Consider this type of loan carefully before deciding whether or not to move forward. Your student loan interest rate may be 6.8% or higher, depending on the type of loan you have. But you might be able to get a personal loan with a lower interest rate that allows you to pay off your loan(s) faster.

    Here are the issues: Student loans come with tax advantages. Also, if lawmakers were to offer any loan forgiveness programs in the future, in addition to those in place now, your refinanced student loans would not be eligible.

    If you use a personal loan to pay off all or a portion of a student loan, you will lose the ability to deduct your interest payments (when you file your income taxes) along with the benefits that come with some loans, such as forbearance and deferment. And if your balance is sizable, a personal loan probably won’t cover it anyway. For additional information, check out Student Loan Debt: Is Consolidation the Answer?

    3. Finance a Purchase

    If your purchase is more of a want than a need, this is another decision to weigh carefully. If you’re going to take out a loan anyway, getting a personal loan and paying the seller in cash might be a better deal than financing through the seller. Don’t ever make a decision about financing on the spot, though. Ask the seller for an offer and compare it to what you could get through a personal loan. Then you can decide which is the right choice. For one example, see Personal Loans vs. Car Loans: How They Differ .

    4. Pay for a Wedding

    Any large event – such as a wedding – qualifies, if you would end up putting all associated charges on your credit card without being able to pay them off within a month. A personal loan for a large expense like this might save you a considerable amount on interest charges, provided it has a lower rate than your credit card.

    5. Improve Your Credit

    A personal loan might help your credit score in two ways. First, if your credit report shows mostly credit card debt, a personal loan might help your “account mix.” Having different types of loans is often favorable to your score.

    Second, it may lower your credit utilization ratio – the amount of total credit you’re using compared to your credit limit. The lower the amount of your total credit you use, the better your score. Having a personal loan increases the total amount you have available to use. For other advice on boosting your credit score, see 3 Easy Ways to Improve Your Credit Score .

    The Bottom Line

    From a purely financial perspective, relatively small loans are rarely a good idea. Most people can’t afford to pay cash for a home, making a mortgage loan a necessity. But if you can avoid a personal loan, or any other loan that is relatively small, you should. Instead, save your money and purchase that “want” later. Remember, interest adds up fast, and you may end up borrowing money for something that is worth less than the value of the loan. Pay cash whenever possible.



    How To Get A Student Loan When You Have Bad Credit #interest #loan #calculator


    #need a loan with bad credit
    #

    How To Get A Student Loan When You Have Bad Credit

    While you would have had to be very busy to ruin your credit before even starting college, it can still happen.

    This is especially true if you take a few years off before going to college.

    Regardless, there are student loan options that will get you through college in spite of your previous credit blunders.

    No reputable  lender willingly advertises loans to borrowers with bad credit. However, “bad credit” may refer to borrowers with little or no credit history as much as it may apply to those with poor credit records. Student loans that require no credit check are extremely limited. Source

    Here are some bad credit student loan options that you should look into

    The Stafford Loan is a federal loan that s based on your need, not on your credit rating.

    To apply for a Stafford Loan you must first fill out a financial aid form (FAFSA) because your school must determine that you have a financial need.

    You must be a legal citizen or legal resident of the United States, must be accepted into a college and enrolled (or plan to enroll at least part time), and must not have defaulted on a previous student loan or owe any refunds from a previous education grant.

    The Stafford Loan is issued directly to your school, and you need to reapply each year.

    The Perkins Loan is a federal loan that is awarded through your school.

    You may receive a monetary loan or work study job based on eligibility.

    Loans are awarded based on need and the program you are enrolled in (such as a teacher certification or professional credentialed program).

    Past payment history on previous student loans is taken into account before awarding a Perkins Loan.

    In selecting Perkins Loans recipients, a school must consider evidence of a borrower s willingness to repay the loan. Previous delinquency, default, or other failure to meet repayment obligations on a previous loan is evidence that the borrower is unwilling to repay other loans. Source

    Loans For Disadvantaged Students

    There are several smaller loan programs that give money to students going into certain medical fields.

    One example is the Nursing Student Loan . Approved students receive low-interest rate loans in order to complete their degrees. Participating schools select recipients and determine the amount of aid the student needs. To apply for this type of loan you must attend a school that participates in this program. You must also be from a disadvantaged background, and you must be a legal U.S. citizen or resident.

    Another example is the Primary Care Loan  which is for students who are training to be primary care doctors. Medical students must enter and complete residency training in primary care within 4 years after graduation and practice in primary care for the life of the loan. Your school determines your eligibility.

    Student Loans Based On Need

    Let s not forget the availability of scholarships and grants which give you free money for college based on need.

    Students must be able to demonstrate financial need and (for some loans and grants) meet specific criteria.

    Needy students should always start with the Federal Pell Grant when looking for money for college.



    How to Get a Bad Credit Loan FAST – Even When Your Credit Is Terrible – Well Heeled Blog #money #loan


    #get a loan with bad credit
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    How to Get a Bad Credit Loan FAST Even When Your Credit Is Terrible

    05-12-2012 Posted in Sponsored 5 comments

    This post is sponsored.

    People with terrible credit can still find a loan to cover unexpected expenses. Lenders have become more willing to extend loans to people with bad credit ratings. However, the individual can expect to pay more for the loan. The types of loans may differ for each individual depending on his or her financial situation. An individual who has filed for bankruptcy will not be offered the same type of loan as someone who has not filed bankruptcy. Therefore, the options differ according to the individual s credit history.

    Types of Loans Available for Individuals with Bad Credit

    • Unsecured personal loans are available with higher interest rates since these do not require any collateral to secure the loan.
    • Bad credit personal loans offer access to fast cash when it is needed. An individual can go to www.badcreditloans.com to apply for this type of loan.
    • A personal loan for a limited amount will usually be available to individuals with poor credit. Some institutions will not require a credit check for loans of small amounts, and the money will be available quickly.

    Individuals with bad credit should borrow the lowest amount needed and pay back extra each month over the minimum payment to prevent paying more money in fees and interest. It is better for the individual to pay back the loan as quickly as possible.

    Tips to Help Individuals with Terrible Credit Obtain Loans

    • Individuals should be aware of their credit scores. A credit report should be obtained and checked for accuracy by the individual before applying for a loan. The report will allow the individual to know if something has been misreported, which can affect their credit rating. Knowing the credit score can also help an individual know which type of loan will be best for him or her.
    • Before applying for a loan at an establishment, consider asking a family member or friend to extend a loan. This could save money on the high interest rates as well as the time it takes to apply and wait for approval from a lending institution. Just be sure to pay back the money to the family member or friend with interest, or the relationship could be damaged.
    • Individuals should check with their personal bank or credit union since these are two of the best places for individuals with bad credit to obtain personal loans. The personal bank is more willing to work with an individual who has money in their establishment since the bank is familiar with the individual s banking standards. However, the bank does not have to loan the money just because an individual has an account with them, but many times the bank will be more lenient in their lending practices for these individuals. A credit union that is offered through a job will be more agreeable to loaning money to an employed worker since the credit union is guaranteed of having the money repaid. The money will usually be deducted from an employee’s paycheck.
    • Individuals can search online to find companies that offer credit to individuals with terrible credit. Make sure that the company is legitimate by checking them out before applying for the loan. Call the company and discuss the reason for needing the loan.
    • A great way to get a bad credit loan fast is with a payday loan. This type of loan will offer money fast for someone with an emergency, and there is no other option for obtaining the cash. These loans come with extremely high interest rates, and the loan will be due on payday. If an individual is not able to pay it back at that time, more interest will be added. This can become a problem since the debt is increasing. Eventually this could cause someone to be unable to pay back the loan.

    Sometimes it becomes necessary to find extra money for an unexpected expense, but it is better to find a loan that is repayable to keep from getting more into debt. Terrible credit ratings mean that an individual will have fewer options of loans to choose from to get money fast, but there are some loans available if an individual is willing to pay the higher interest rates.



    4 Mistakes to Avoid When Applying for a Bank Loan #easy #personal #loans


    #apply for a loan
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    4 Mistakes to Avoid When Applying for a Bank Loan

    Frequently covers crowdfunding, the sharing economy and social entrepreneurship.

    May 18, 2012

    As part of National Small Business Week. Cleveland, Ohio-based KeyBank and Los Angeles-based Open Bank will each receive a 2012 7(a) Lender of the Year Award by the Small Business Administration on Monday in Washington. (The SBA s flagship lending program is known as 7(a) .)

    KeyBank is being honored as the large bank that supported the most jobs with its SBA lending, making the most loans and loaning the most dollars to underserved markets and utilizing the most SBA programs. Meanwhile, Open Bank is receiving the accolade as the small bank that approved the most loans and dollars. It also was recognized for approving the second highest number of loans to underserved markets.

    Of course, getting a loan from a bank is no cakewalk these days, particularly for small businesses. So, we asked those banks, which make it their business to lend to small business, how entrepreneurs can increase their chances of securing loan dollars.

    Here, they share the top four mistakes business owners make when applying for a loan — and how to avoid them.

    Mistake #1: Underestimating the value of personal credit. Bankers look at your personal credit history (credit cards, mortgage payments and personal bills) to get a sense of your track record with financial responsibilities, says Michael Toth, Senior Vice President of Business Banking at KeyBank. If a business owner hasn t shown the diligence in managing their personal credit, there is potentially a stronger likelihood that they will take the same approach to their business credit, he says.

    Mistake #2: Applying for the wrong type of loan. One of the most notable pitfalls Toth sees is small business owners using credit intended for a short period of time for a long-term purchase, or vice versa. They will use the wrong type of credit product for the wrong type of purpose, says Toth. For example, if you buy a piece of machinery with a loan that was intended to fill a short-term need like employee payroll, then you risk being saddled with a loan that you can t get out from under.

    Mistake #3: Expecting a loan without collateral or a plan to pay it back. A banker won t approve a loan that he doesn t think has a chance of getting paid back. So be sure to detail in your business plan how you are going to make the revenue to pay the loan back or any collateral you have to back it up. Also, be sure to explain why the loan is critical for your business. Make sure there is a solid business plan as to what they are planning to do with their business and how the financing will support the mission for the company, says Toth.

    Mistake #4: Waiting too long to approach a banker. Small business banking is about relationships. Toth says there s a much better chance bankers will lend you money when you need it, if they already know who you are and what your business is. Not only will you develop that face-to-face relationship, but you will also have the opportunity go get your business financials organized and in shape with a bankeR s eye in mind.

    Readers, what helped you get a loan from a bank? Leave a comment below.



    Getting a Credit Card When You Have Bad Credit #consolidation #loans #with #bad #credit


    #credit card for bad credit
    #

    Even if you have bad credit, you may be able to get a credit card. Here’s how.

    If you have bad credit, getting a credit card is difficult, but not always impossible. Once you get your finances under control, your goal is to build your way to a regular credit card issued by a bank. There are several ways to do this, from applying for a card from a small retailer or gasoline company to getting a secured credit card.

    Is Having a Credit Card a Good Idea?

    Before you try to get a new credit card, be honest about whether you will use it wisely. Credit cards can be dangerous to your financial well-being if you use them to buy things you cannot afford. If misusing credit cards is what caused your credit rating to sink in the first place, then perhaps it would be wise to steer clear of credit cards for the time being. (To learn about using your cards responsibly, see Nolo’s article Avoiding Credit Card Debt .)

    However, there are several very good reasons to have a credit card:

    • For an emergency. A credit card can be a lifesaver if you have to pay for emergency expenses that go beyond your savings — for example, repairing a leaky roof or paying for a necessary medical procedure. Charge the expense, and then pay it off as quickly as possible.
    • To build credit. A good way to develop a positive credit history is to obtain a credit card and make timely payments. But beware: If you can’t pay the balance off each month, don’t use it. (To learn more about building credit, see Nolo’s article Rebuilding Credit FAQ .)
    • To get airline miles or other “points.” If you pay your credit card balance off each month, you can get airline miles or points towards other goods and services for free (assuming your card does not have an annual fee).
    • To reserve hotel rooms or rental cars. Many hotels, car rental companies, and other vacation amenities require a credit card in order to make a reservation.

    Steps to Getting a Credit Card

    If you can’t get a credit card right away, take steps to build credit. In this way, you can work your way towards a credit card:

    Open bank deposit accounts. Creditors look for bank accounts as a sign of stability and proof that you can pay your bills. In fact, most credit card applications require a checking account number.

    Start with a small retail store or gasoline company card. These are often the easiest cards to get. If you get a card, charge items, and pay the bill on time. This will start building a positive credit history for other credit card holders to look at.

    Apply for a bank credit card with a low credit line. Next, apply for a regular bank credit card (such as Visa or MasterCard) with a low credit line. At first, you may only qualify for a card with high interest rates and a high annual fee. If you use your card responsibly, after a year you can apply for an increase in your credit line and a decrease in your interest rate and annual fee. Or, you can apply for another card that has better terms. (To learn more about credit card terms, see Nolo’s article Shopping for Credit Cards .)

    Your Credit Card Application

    When you are ready to apply for a credit card, follow these tips to increase the chance that your application will be accepted.

    Be consistent with the name you use. Either use your middle initial always or never. Always use your generation (Jr. Sr. II, and so on).

    Be honest, but appear sympathetic. Portray yourself in the best light. If your credit troubles were due to a job loss, illness or death in the family, recent divorce, or new child support obligation, be sure to mention this on the application.

    Apply for credit when you are most likely to get it. If possible, apply for a new credit card when you are working, have lived at the same address for at least one year, and when you don’t have an unusually high number of inquiries on your credit report in the last two years. Creditors view too many inquiries as a sign that you are desperate or preparing to commit fraud. (To learn more about your credit report, see Nolo’s article How to Clean Up Your Credit Report .)

    Apply for credit where you’ve done business. If your phone company, insurance company, or bank offers credit cards, try them first. If you have a good payment history or good relationship with the business, it will be more likely to give you the card.



    How to Determine When Refinancing Student Loans Makes Sense. #what #is #a #loan


    #refinance student loans
    #

    How to Determine When Refinancing Student Loans Makes Sense

    By NerdWallet. July 24, 2014, 11:36:37 AM EDT

    Refinancing student loans may reduce the monthly payment, but taking that step can be a poor financial move if the bulk of the interest due has already been paid.

    Often, borrowers refinance to consolidate their loans and simplify payments while cutting the interest rate on the remaining balance. However, any savings that may be achieved – or extra costs incurred – depends on the timing. Taken too late in the life of the original debt, these steps can raise the final interest expense, while acting early can produce significant savings.

    “Earlier principal payments will shorten the length of the loan more dramatically than extra payments made in future years – which means that it does benefit you to make extra payments or refinance early to reduce your total interest payments over the life of the loan,” says Scott Stratton, a certified financial planner and chartered financial analyst with Good Life Wealth Management in Dallas.

    Debt tied to getting through college has become a crushing burden for many young Americans. The average 2014 graduate walked away with $33,000 in loans along with a diploma, according to the Wall Street Journal. They joined the estimated 37 million others carrying a financial legacy from getting that sheepskin, with about $1.1 trillion in principal outstanding, according to the Federal Reserve Bank of New York. A lot of those borrowers are understandably pondering ways to deal more effectively with these obligations.

    One issue that comes into play is that student loans amortize, just like home mortgages. As a result, for those who have been paying off loans for some time, refinancing may not make sense. Much of the interest on the original debt may already have been paid, and taking on new loans can increase that cost. Nerdwallet’s student loan repayment calculator shows much a student loan will cost in interest.

    Amortizing loans

    Amortization is the elimination of debt over time with fixed regular payments. Like mortgage notes, the amortization schedule for most student loans requires the borrower to pay off the bulk of the interest that will be due over the note’s full term early in the repayment period. On a 10-year student loan, the standard term for a federally backed education note, that structure means the borrower will typically have paid about half the total interest due by the end of the third year of repayment.

    Take a $300,000, 30-year fixed mortgage as an example. In the chart below, the blue line represents the portion of each monthly payment that covers interest, while the green line is for principal. About half the interest owed will have been paid by the middle of the 11th year, while the principal will reach that point a decade later.

    Sensible student loan refinancing

    So refinancing a student loan may not save anything, and could increase total interest costs, if the move is made too late in the original loan’s repayment schedule, since taking on a new debt re-sets the amortization schedule. However, taking that step within the first few years of repayment can cut those costs. Amortization calculators available online can help determine when that point arrives with any debt.

    If the timing isn’t right, it may be a better idea to pay off higher-interest obligations like credit card balances or an auto loan instead. Investing may be a more productive way to use any extra money available, says Bennie D. Waller, who teaches finance and real estate at Virginia’s Longwood University in Farmville.

    “For younger people that can afford to take some volatility risk, investing in the stock market based on historical returns would offer a superior return to paying off loans,” Waller said. “Keep in mind that some borrowers may also enjoy tax benefits from student loans in that interest may be tax deductible.”

    Many people refinance loans to lower the monthly payment amount to a more affordable level, despite the increase in interest costs that may result. This would be a good move, especially for those at risk of defaulting, or failing to make required payments, which puts a black mark on the debtor’s credit history. Some borrowers may be willing to pay more in interest in exchange for simplifying their finances, for example, by reducing seven or eight separate payments to a more manageable one each month.

    While figuring out what steps make sense depends on individual circumstances, understanding how student loans work can help clarify the best course of action.

    Steve Nicastro is a staff writer at NerdWallet, a website devoted to helping consumers make smart financial decisions. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of The NASDAQ OMX Group, Inc.



    How to Get a Credit Card When You Have Bad Credit #wonga #loans


    #bad credit cards
    #

    How to Get a Credit Card When You Have Bad Credit

    Wise Bread Picks

    A bad credit score can happen to anyone. Perhaps you bit off more that you could chew during the holiday season, or have been in between jobs for a long time and missed several monthly payments. Sometimes circumstances arise and you have to declare bankruptcy.

    When you have a terrible credit score, the last thing on your mind is getting a credit card. However, it can be a savvy way to start rebuilding your credit. Here is how to get a credit card when you have bad credit. (See also: Best Secured Credit Cards )

    Become a Member of a Local Credit Union

    Unlike banks, credit unions are not for-profit. The main goal of any credit union is to make financial services more accessible to its members. That’s not a typo: Credit unions don’t have clients as every member is a shareholder with voting rights. (See also: Why Choose a Credit Union Instead of a Bank )

    To become a member, a credit union often holds your first deposit of about $100 for one to three years. Once the hold period expires, your credit union keeps only $5 on hold and gives the rest back to you. In exchange for your deposit, the credit union doesn’t charge you monthly fees, require you to have a minimum account balance, charge you ATM fees within its network, or limit your withdrawals per month. This amounts to plenty of savings in fees, which is money that you can use to pay down your other debts and meet your monthly payments.

    The best part is that credit unions offer better credit card interest rates than banks. According to the National Credit Union Administration, the average annual interest rate for credit cards issued by credit unions is 11.56%. while for those issued by banks is 12.87%. For example, the Aloha Pacific Federal Credit Union offers VISA credit cards starting at a 8.00% APR. Additionally, almost all credit unions charge no annual fees for their credit cards.

    Given the $100 initial deposit, several credit unions have very low requirements to issue a $400 to $500 credit card. The most important requirement is that you are able to provide proof of employment. This is a great way to access a credit card even with bad credit and work towards improving your credit score.

    Get a Secured Credit Card

    But, what if you are not eligible for any credit union? It is true that you have to qualify to become a member. For example, there are credit unions for university students, federal and state employees, or members of professional associations. Also, it is possible that there is just no credit unions available in your area.

    In that case, your best option is to get a secured credit card. Unlike regular credit cards, secured ones may not require a credit check. This is a great advantage for those with bad credit because it does away with a hard inquiry and the possibility of getting dinged with a credit denial.

    A secured credit card works just like a prepaid gift card. For example, if you deposit $400 in your account, then your credit limit is $400.

    Secured credit cards offer several advantages to those with bad credit:

    • Provides a last resort solution to getting a credit card, which is essential to build back up your credit score.
  • Through responsible management over time, allows you to build higher credit limits that may not require a deposit.
  • Gathers evidence for the three credit bureaus (Equifax. Experian. and TransUnion ) of good debt management, which boosts your credit score.
  • Allows you to become eligible for regular credit cards from the same financial institution over time.
  • When evaluating secured credit cards (See also: The 5 Best Secured Credit Cards ), remember to:

    • Avoid cards with application or setup fees.
    • Select a card with a low annual fee and a simple cost structure.
    • Choose cards that appear as regular credit cards, not secured ones, on your credit report.
    • Understand the rules to qualify the lowest interest rate before applying.
    • Look for cards with cash or gas rewards.
    • Inquire about additional benefits, such as car rental insurance and no charge for foreign transactions.

    The Bottom Line on Credit Cards

    Notice that we have not included here finding a cosigner as a recommended way to get a credit card in case of bad credit. While it is an easy route to qualify for certain credit cards, it does not address the main problem: your poor credit score. Additionally, it is a decision that if things go sour, could kill a relationship with a family or friend. (See also: 7 Decisions That Seem OK Now, but Might Ruin Your Finances Later )

    Remember that a credit score is necessary for applying to some jobs and setting rates for financial products, such as car and life insurance. This is why it is important to maintain a credit card even during periods of bad credit, so that you can rebuild your credit score.

    How did you get a credit card while having bad credit?

    Editorial Note: Any opinions, analyses, reviews or recommendations expressed in this article are those of the author’s alone, and have not been reviewed, approved or otherwise endorsed by any bank, card issuer, airline or hotel chain.



    4 Things to Think About When Refinancing Student Loans – US News #refinancing #auto #loan


    #student loan refinance
    #

    4 Things to Think About When Refinancing Student Loans

    The lure of lower interest rates is just part of the picture.

    ​If you want to take out a student loan. you need to sign a promissory note. This is essentially a contract. By signing it, you promise to repay the amount you owe plus interest, among other terms and conditions.

    Students often sign their promissory notes without thinking too much about this promise. Of course, when they go from borrowing that money to actually repaying it. their point of view often shifts. Their goal becomes changing the previously agreed-to terms, especially that interest rate increasing the amount they owe.

    Seemingly, the most straightforward way to do this is refinancing the loan at a lower interest rate. A lower rate means less interest, which sounds great. However, it’s far from the only consideration when refinancing. Here are four others to know.

    1. There is no federal refinancing. Congress sets the interest rate for federal student loans, and most of these rates are fixed by law, no matter how solid your credit or income becomes postgraduation.

    You may be able to refinance your federal student loans into a private loan. The same goes for refinancing a private loan into a new private loan, too. However, you cannot refinance federal or private student loans into a federal loan.

    Some legislators have proposed making this an option. but it does not currently exist. You may think you’re doing this by consolidating your federal student loans, but that’s not the case.

    2. Consolidation and refinancing are different. Many borrowers think consolidating their loans will lower their interest rate the same way that refinancing would. This confusion is common because these options are similar: Both replace your old loans with a new loan with new terms. However, a federal loan consolidation won’t lower your interest rate, even if it seems like it did.

    Federal consolidation loan interest rates are the weighted average of the interest rates of their underlying loans, rounded up to the nearest one-eighth of a percent. The result is a rate that may be likely lower for some of your previous loans, while also being higher for others. In short, the weighted average means that things mostly just balance out.

    Consolidation has its benefits. For instance, you can choose the servicer you wish to work with, as well as potentially qualify for additional repayment and forgiveness options. But you won’t get a lower interest rate.

    3. Refinancing will change your loan’s terms. When you refinance a loan, your interest rate may decrease, depending in part on your credit score or whether you have a cosigner. That drop is the large font headline for choosing this option. However, other changes are in the fine print.

    As mentioned above, a refinanced loan is a new loan, with new terms and new conditions. That means your new, low interest rate could increase. It also means your old loans go away. And the latter is important with federal student loans.

    Federal student loans come with protections that can help you if you’re struggling with your payments. You may be able to use repayment plans that decrease these amounts or put them on pause altogether.

    You also may qualify to have loans forgiven under certain criteria. Most private loans do not offer options like these, and once you replace your federal loans with a private loan, you cannot move or consolidate the loan back into a federal loan to get these benefits.

    Postponements and forgiveness may not seem as important as slicing your interest rate, but take the long view. Calculate how much you’ll save with a lower interest rate. Is it hundreds or even thousands?

    Next, consider how much those protections are worth to you, not only right now but also if you lost your job or faced a different financial emergency. Think about if you would you sell them for the amount you’ll save or whether you have a large emergency fund saved. Your answer can help you figure out if refinancing is right for you.

    4. There are other ways to reduce interest. If you have federal student loans and want to keep their protections, you may have options other than refinancing to lower your interest rates, so explore those first. Many servicers will reduce your rate if you enroll in automatic payments.

    They also may do the same if you make a set number of on-time payments in a row. Call your servicer, and ask it they offer these benefits or others.

    In addition, consider paying extra every month. There is no penalty for prepayment with federal student loans, and paying off your loans faster can reduce the amount of interest you pay overall, even if your rate stays the same.

    Ultimately, these reductions may not subtract as much from your monthly payments as refinancing would. Still, add these benefits to those from keeping your loans in the federal student loan program. The result may end up making more sense for you overall.

    Corrected on 04.05.2015: An earlier version of this post incorrectly listed the author.



    10 Important Things To Consider When Getting A Mortgage Or Home Equity Loan #plus #loans


    #getting a loan
    #

    10 Important Things To Consider When Getting A Mortgage Or Home Equity Loan

    Finding the best home loan is not a job to be taken lightly. Here are 10 very important tips to consider before, during, and after the loan.

    Looking For The Right Home Loan For You

    1. Mortgages are not commodities. If you think “it’s all about the rate”, you are going to be disappointed from the start. It’s really about finding a trusted partner help you navigate a complex transaction by offering honest advice and responsive support throughout the entire loan process.
  • Online is not the place to transact your biggest liability. Buy a music player, bid on sports equipment, order some books, but don’t do a mortgage over the internet. There are too many variables that arise throughout the process. This is not to say you should exclude the internet in your rate search, as there are reputable sites on the net which will help you find rates, calculate your potential loan, and provide other helpful information. I’m suggesting you shouldn’t work with an internet-only firm for your mortgage.
  • There are two types of mortgage lenders who advertise on the web and on the newspaper rate table. Ones you’ve heard of and ones you haven’t. Why do the major, well-known lenders generally quote higher rates? It could be they have higher cost structures. It could also be they are more reputable and provide a lot more service.
  • Generally, avoid interest-only loans. Unless you plan to move in a short period of time, or the loan is a short-term “bridge” or construction loan, avoid the “interest-only” loan. If you are only paying interest, you do not build up any ownership or equity in your home.
  • Are the fees reasonable?. Find out exactly what the loan will cost you. While some fees might not be avoidable, know that many fees are unnecessary “junk fees” or negotiable. Be sure to get a good faith estimate statement which shows your total expected fees. Some companies will include all the fees in the interest rate they quote you. Here are some fees to ask about:
    1. Application fee
  • Points (if you pay points, make sure your interest rate is reduced. A rule-of-thumb is to generally avoid paying any points if you plan to live in your home less than ten years)
  • Credit Evaluation
  • Loan Processing (these fees can be pretty arbitrary)
  • Appraisal Fee (cost to estimate the value of your home)
  • Title Search
  • Title Insurance (you have to pay to protect the lender. Always make sure the Title Insurance specifically protects you as well. It’s normal to pay more to protect your interests)
  • Documentation (these fees can be pretty arbitrary)
  • Underwriting (these fees can be pretty arbitrary)
  • Escrow Fee
  • Prepayment Penalty (the fee paid if you pay off your loan early)
  • The following fees are almost always “junk fees”: amortization schedule fee, trustee fee, financing statement fee, appraisal review fee, credit report review fee, document preparation fee, inspection fee, photo inspection fee, underwriting fee, warehousing fee, administrative fee, computer fee, courier fee, and overly high notary fees
  • When you ask about your interest rate, also ask about the APY (or Annual Percentage Rate) which is usually higher and a more accurate reflection of your true interest rate.

  • Generally, avoid adjustable rate loans. Adjustable rates can be attractive because the advertised rate is lower than a fixed rate. They generally allow you four payment options:
    1. minimum payment (NEVER make only a minimum payment. It won’t even cover the interest on your loan and can quickly lead to a situation where your home is worth less than your loan)
  • “interest only” payment (also not recommended. No money is going to pay down the loan or create home equity)
  • a fully amortized 15-year loan
  • a fully amortized 30-year loan
  • The later two are similar to traditional loans, except that your interest rate is adjustable.
    Here are three reasons to consider an adjustable rate.

    1. IF you know for certain interest rates can’t go up from current levels
  • the loan ceiling on the adjustable rate is below the current fixed rates
  • you plan to sell your home prior to the first rate adjustment

    Here are five questions to ask about your potential ARM rate. Adjustable rate loans often start with a “teaser rate”. This is an artificially low rate which will get adjusted higher at the first adjustment opportunity. If you do consider an adjustable rate, be sure to ask:

    1. what is the rate based upon (often a current T-bill or LIBOR rate plus an additional amount). Get complete details
  • what would be the rate today if you already had the loan and it adjusted to current levels
  • what is the floor (how low can the rate go from here)
  • what is the ceiling (what is the highest rate you would have to pay)
  • how often can the rate adjust.
  • Be sure you fully understand each of these parameters, and get them in writing. Note: if you can’t afford the loan ceiling and the fully amortized payment at that level, don’t accept the loan.

    Looking For The Right Home Loan For You

    1. The mortgage industry is unregulated. Mortgage brokers are not banks and don’t play by the same rules. There are countless stories of “bait and switch” with people being promised one thing and ending up with another at the closing table. You do not have to accept any last minute changes. While inconvenient, just walk away. (They are betting you won’t). Lets say you have found the rate and lender with which you wish to work. Here are twelve warning signs telling you to walk away from the loan. Any one is enough for you to terminate the loan right then and there.
      1. if the loan rep encourages you to borrow more than you need — walk away!
    2. if the loan rep prods you to overstate your income or understate your outstanding loans or expenses — walk away!
    3. if the loan rep tries to get you to agree to payments that you can’t afford — walk away!
    4. if the loan rep asks you to sign blank forms — walk away!
    5. if the loan rep won’t give you copies of every document you signed — walk away!
    6. if the loan rep fails to give you mandated disclosure documents — walk away!
    7. if the rep appears to pressure you — walk away!
    8. if the rep is unresponsive to your calls, is disorganized, repeatedly asks for the same documents, or is constantly blaming others for delays — walk away!
    9. if they try to sell you credit insurance or extra products you don’t want — walk away. (If you actually want the credit insurance, shop around to get the best rate)!
    10. if they try to make you do something that is against your better judgment — walk away!
    11. if they require you to deed your property to anyone — walk away!
    12. if the loan rep changes any of the terms of the loan at closing — run, don’t walk! Be aware that the further in the process you get — the more momentum builds — the tougher it is to back out. Dishonest lenders know this and are counting on it.
  • Generally, see if you can avoid paying for mortgage insurance. Some loans require mortgage insurance. Others will waive the insurance if you have a low enough debt-to-home equity ratio when you take out your loan. Most mortgage insurance protects the lender, not you.


  • When is a Personal Loan Better than a Credit Card? Credit Sesame #citi #student #loans


    #credit card loan
    #

    When is a Personal Loan Better than a Credit Card?

    We’ve all been there. We need to buy something but we don’t have the cash. And while your immediate reaction may be to charge it on your credit card, another option to consider is the more traditional, but often overlooked, personal loan.

    As a financial planner, I often have clients come into the bank to apply for a credit card for the reward benefits, or a line of credit for the low interest rate. More often than not, however, people forget about the third financing option – the personal loan. Let s take a look at three reasons why a personal loan may be a better option over a credit card, and two examples of when a personal loan just won t do.

    Get your free monthly credit score! No credit card required!

    Learn More!

    Advantages of a personal loan

    1. Fixed interest rates create stability.   A personal loan gives you a lump sum of money up front, allowing you to pay it back over a fixed term – typically a period of one to five years. Loan rates are negotiable, which is a major advantage of choosing a personal loan over a credit card. Another advantage of a personal loan is that when the loan agreement is signed, the interest rate is fixed for the entire repayment period. This means that your interest rate cannot fluctuate and your payments will always remain fixed.

    2. Fixed payments are easy to budget. Having fixed payments on your personal loan make sticking to a monthly budget a breeze. If you live on a fixed income, a personal loan may be a better option for you because the payments remain the same each and every month. With a personal loan, you don’t have to worry whether or not you’ll have enough money to make the minimum monthly payment like you would with a credit card, for example. Unlike credit cards,  monthly payments on a personal loan don’t change.

    3. The interest rate is lower than a credit card. Who wants to pay 19% on a credit card? Not me. A personal loan is a great financing option if you need a lump sum of money right away and you can afford to make payments to repay the loan over time. The interest rates on personal loans are substantially lower than the interest rates on credit cards. Interest rates on personal loans are also negotiable with your bank, whereas interest rates on credit cards are not. Bottom line? If it’s going to take you a few years to pay off the debt, go with a personal loan and you’ll save in interest .

    When a personal loan just won’t do

    If you want to enjoy travel benefits and earn rewards. Although personal loans are usually a cost efficient solution to your financial needs, they are not always the best option. If you are taking a vacation then using your credit card may be a better than applying for a personal loan because you can take advantage of the travel benefits. Upgrades, discounts and insurance coverage are all advantages that credit cards offer and personal loans do not.

    Having said this, it’s important that you pay the balance – or as much of the balance as possible – when the bill comes due. Falling into credit card debt solely to pay for a vacation isn’t a good idea. However, if you spend what you can comfortably afford to pay off at the end of the month – credit cards are an excellent tool for earning extra rewards and travel perks on day to day purchases you’d typically make with cash. The key here is paying off the balance in full at the end of the month – you’ll avoid paying interest and earn rewards for purchases you would have made anyway.

    When you need additional warranties and protection. If you are purchasing big ticket items such as appliances, furniture or electronics, then using your credit card may be a better option.  Many credit cards offer an extended warranty in addition to the coverage that already comes with the product from the manufacturer. Very often department stores offer clients the option to purchase an additional warranty but it may not be necessary if you use your credit card to make the purchase.