Personal or Auto Loan? Which Is the Best Option?

Three Credit Situations That Mean You Should Wait Before Applying For A Mortgage

Posted by on 4:52 pm in Uncategorized | Comments Off on Three Credit Situations That Mean You Should Wait Before Applying For A Mortgage

Of course you know that you shouldn’t think about trying to buy a house if you’re in a bad position financially, but what other credit factors can affect your ability to get a mortgage? Here are three issues that can affect your credit score and ability to get a mortgage even when your finances are going great.  1. Debt-free Believe it or not, lenders don’t look on debt-free applicants as necessarily responsible. If you’ve been living within your means and haven’t had a need for credit or debt, you haven’t been building up your credit score and lenders may consider you untested or unpredictable. They can’t forecast how you’ll handle debt once you have it if you’ve never had the experience before, and if you had debt far in the past but then paid it off and haven’t sustained any debt in more recent years, they’ll wonder if you’ll still be responsible enough to pay them back.  2. Recent late payments Lenders realize that people change, so they prioritize the most recent activity on your credit history over something that happened five or ten years ago. This is great news if you made some bad financial mistakes in your youth that you’ve been working your way out of, but it’s not such good news if you had a late payment show up on one of your accounts recently. Even if it was a clerical error and you successfully disputed it, that can still have an effect; lenders can also see that you’ve disputed something on your credit report and may not want to take the risk that you’ll do the same once you’re in debt to them. 3. Recently applying for credit Applying for a credit card or personal loan gives you a little ding on your credit score. This is because the lender you applied to submits a “hard inquiry” and your credit report keeps track of these to help lenders notice if you’re applying for credit everywhere and look desperate for money. But even if you recently applied for just one credit card, that can lower your credit score by several points, which can drop a pretty great credit score to an only sort of great one. If you’re in this situation, you may wish to keep renting for another year or so and try to buy a house later after the hard inquiry has dropped off your report.  These three situations are easily overlooked but, although they may seem minor in comparison to bankruptcy or insolvency, they can still have an effect on how favorably lenders will view you. And if you’re planning something big like buying your own house, you’ll want to make sure you’re as prepared as possible so nothing can throw a wrench in your plans. Contact a company like Best Rates Mortgage, LLC home loans for more information about how your credit score may affect your ability to get a...

read more

How Your Employment Effects Your Ability To Secure A Mortgage

Posted by on 10:50 am in Uncategorized | Comments Off on How Your Employment Effects Your Ability To Secure A Mortgage

The idea of home ownership is a dream shared by many. To accomplish this goal, the average person spends a great deal of time focusing on improving their credit score and saving money. What a number of people don’t do is think about their employment. Even if you have excellent credit and more than enough for a down payment and closing costs, your employment status can still have an effect on your ability to get approved for a home loan. Salaried Vs. Hourly While it won’t necessarily determine an approval, whether you are a salaried or hourly employee will have an influence. If you’re an hourly employee, you should prepare yourself for a little more scrutiny than a salaried employee might face. First, mortgage companies sometimes look at salary income as more stable because it is thought to be a guaranteed amount that doesn’t change based on the number of hours you actually work. With an hourly employee, as their schedule changes, so does their pay. For an applicant looking to secure a mortgage that is on the higher side of their affordability calculation, an hourly position might create a challenge. Length Of Employment Mortgage companies equate risks with consistency. To put this into perspective, consider two applicants, both with 15 years of employment history, for instance. Applicant A has been with the same company and applicant B has been with 5 different companies during this period. Some lenders will look at Applicant B as being more of a risk. The fact that they have switched roles so frequently means that there is a good chance that the individual might leave their current role and look for a new one after the mortgage has been approved. The fear with this is that the person might fall behind on their mortgage payments while looking for a new job. Overtime And Bonuses If you are looking to have your overtime and bonus pay factored into your employment income, you might not want to depend on this for an approval. When a mortgage company reviews employment income for an approval, they aren’t just looking at your last pay stub. They are looking at your average over a certain period of time. If you only get overtime two months out of the year or an annual bonus, it isn’t considered regular income. Make sure you are basing how much house you can afford on your regular income, not these periodic payments. When it comes to applying for a mortgage, the more you know, the less stressful the experience. Make sure you are doing your research on every aspect of the mortgage application process for the best outcome. Click here to check it out and learn...

read more

What To Do When The Car You Have A Title Loan Against Blows Its Engine

Posted by on 10:27 am in Uncategorized | Comments Off on What To Do When The Car You Have A Title Loan Against Blows Its Engine

If you have a title loan against your car and it experiences engine failure, you have a couple of options to consider. Your choices will depend on whether or not you are able to repair the car’s engine. Follow these tips for making choices about a car you have a title loan against that is sitting on the side of the road with a blown engine. Contacting The Title Loan Company Is Important If your car is stuck on the side of the road with a blown engine and you have a title loan against, you may wonder what to do about it. You may not consider the title loan at first because you are trying to figure out how to get you and your car home. If your car’s engine is blown, there are no quick fixes available to allow you to quickly drive it home. When a car’s engine blows, it is time to call a towing company. However, if you cannot afford a towing fee, your next step is calling your title loan company. To Pay For Repairs Or Not To Pay For Repairs Alerting your title loan company that your car is inoperable is important because if you are unable to pay for repairs, you will need to decide whether or not to finish paying your loan. Your title loan company will tow the car for you, but it will go with them. The title loan company will then figure what the car is worth with a blown engine and subtract that much from the figure you still owe on the loan. The remainder left after the car’s worth is subtracted is the amount you will still need to pay to your title company. Comparing this figure to the amount you may have to pay for replacing your car’s engine is a good idea. If the cost of replacing the engine is a lot more than what you would have to pay off in your title loan, the choice is clear which one would be the best way to go. Either way, you will still need to get another car for getting around because it can take a while to completely replace an engine. You may feel frustrated and worry about what will happen to you if the car you have a loan against is inoperable. However, by contacting the title loan company and letting them know what has happened, you will not have to worry about being in default of your loan and ruining your credit score. For more information, talk to a professional like Flexible...

read more

Ready To Purchase A New Home? 2 Steps You Need To Take To Make The Process Smoother

Posted by on 3:26 pm in Uncategorized | Comments Off on Ready To Purchase A New Home? 2 Steps You Need To Take To Make The Process Smoother

Whether you’re an active-duty soldier, or a veteran who has left military service, you are entitled to use government lending programs to finance a home. According to statistics, there are about 21 million VA loan funded homes in the US right now. If you haven’t utilized your right to receive a VA loan, you should consider the option for your next home loan. Regardless of whether you choose a VA loan, or another federally funded loan program to purchase your next home, you need to know that there are some steps you can take to improve your chances of being approved for your loan. Here are two steps you should take now that you’re in the market for a home loan. Know Your Credit Score If you don’t know your credit score yet, you need to find out before you start shopping for a home loan. In fact, you need to do more than have your credit score memorized. You also need to know what your credit report says about you. Lenders aren’t just going to be looking at the kind of person you are, or the number of hours you work each week. They’re going to be looking at your credit report – every page of it. Unfortunately, if you don’t know what your report says, you could be providing them with false information about you. A recent study found that 5% of Americans had errors on their credit reports. You can improve your chances of being approved for a home loan by knowing what your report says, and disputing errors before lenders have a chance to look. Obtain Pre-Approval Once you’ve looked over your credit report, and disputed all the errors, you’ll be ready to take the next important step in purchasing a new home: you’ll be ready to get pre-approved for a loan. This step is extremely important. Your pre-approval will tell you exactly how much home you can afford to purchase. Once you have the pre-approval, you’ll be free to go and narrow down your search to the homes that fit within your price range. There will be no need to find the home of your dreams only to have your hopes dashed when you find out that lenders won’t approve the purchase. Now that you’re ready to purchase a new home, don’t take chances with the loan process. The information provided here will help you improve your chances of purchasing the home of your dreams. Contact a company like Texas Veterans Home Loans for more...

read more

Steps To Take When Bail Is Unaffordable

Posted by on 2:43 pm in Uncategorized | Comments Off on Steps To Take When Bail Is Unaffordable

When bail is too high, there are several steps that you can take to reduce the burden. Here are some ways you can make bail even when the cost is unaffordable. Ask Friends and Family If you don’t have many resources to your name, it’s a good time to turn to family and friends for help. You may be able to gather financial support from several different people with family loans or donations. Another thing to consider is not to ask for the money outright, but to ask someone to help you with a surety bond instead. With this type of bail bond collateral, a friend or family member pledges to be responsible for the fees should you not meet your bail obligations. This can be a great option if you don’t have a car or home to post as bail collateral.  Ask for a Payment Plan You can also talk with your bail bond company about a payment plan that would extend the amount of time you have to make premium payments. This is solely up to the discretion of each company, so shopping around can be helpful.  Ask for Bail Reduction You can also go directly to your judge to ask for a reduced bail amount. Several factors will come into play here. First, you should bring an account of your assets, along with documentation of the work you’ve done to get support and search for affordable bail options. Make sure that you attend all court meetings and cooperate thoroughly with the judge so that they will have a favorable view of your flight risk. The judge will also weigh other factors, such as the severity of your crime and your criminal history, to determine whether a bail reduction is fair.  Shop for the Best Rates Another thing to consider when searching for an affordable bail plan is to get the best rates. The bail premium is one thing to think about; premiums between 8 to 10 percent are common. But you should also look at the entire package deal, since there are other charges that can add up. For example, what are the additional fees for long distance phone calls or travel expenses the bail bondsman incurs? What’s the associated cost of a bounty hunter or an attorney fee for your bail company? Taking the whole picture into account is important when you’re in search of an affordable...

read more

Disability Income Can Qualify You For A Mortgage Loan

Posted by on 10:54 am in Uncategorized | Comments Off on Disability Income Can Qualify You For A Mortgage Loan

If disability benefits are your primary source of income, your income may be lower than what most lenders normally accept when borrowers apply for a mortgage. When it comes to getting a loan to buy a house, a low income can be a problem as lenders worry about the possibility that you will have to struggle to make the monthly loan payments. But even though getting approved for a home mortgage may not come as easily if you live on disability payments, a mortgage broker can give you more information about the availability of special loan programs for which you may qualify.   Housing Choice Voucher Program The Department of Housing and Urban Development (HUD) offers housing assistance to low-income individuals, including those with disabilities, through the Section 8 housing choice voucher program. In some situations, if you qualify for a voucher and the public housing agency in your area approves it, you can use the voucher to help make your monthly mortgage payments instead of paying rent. Habitat for Humanity Habitat for Humanity is another resource available to help individuals and families secure more affordable loans through no-interest mortgages and low down payment requirements – generally $500 – when purchasing a home. The organization relies on volunteers who help fix up old homes or build new homes for individuals with low incomes. Donated building supplies and materials, as well as the volunteer labor, help keep the cost of the homes lower. To qualify, prospective homeowners must show need, the ability to make the monthly mortgage payments, and the willingness to contribute 300 to 500 hours of sweat equity. However, if your disability prevents you from contributing your own sweat equity toward the purchase of the home, the Habitat for Humanity program in your community may be willing to be flexible in its usual eligibility requirements. Fannie Mae Community HomeChoice Program The Fannie Mae Community HomeChoice Program helps disabled individuals with low to moderate incomes who may not have ideal credit obtain a home mortgage. You also may qualify for this loan option if a family member who is disabled lives with you. Fannie Mae may approve you for additional loan funds that you can use to make modifications to the home that accommodate a disability. VA Home Loans Disabled veterans of the U.S. military may qualify for benefits through the VA Home Loan Guaranty Program. If you have a service-related disability and were discharged before your time in service expired, you may qualify for a mortgage loan guaranteed by the U.S. Department of Veterans Affairs (VA). To lower the costs associated with buying a home, the VA funding fee is waived for disabled veterans. You can also apply for grants to make home modifications to accommodate your disability; however, the value of a housing accessibility grant cannot exceed more than 50 percent of the total cost of the home, including modifications. State Programs Many states have their own programs to help disabled individuals own a home. Assistance may be in the form of loan programs that offer lower interest rates, special low down payments, or lending programs that qualify disabled individuals with lower incomes and higher debt-to-income and loan-to-value...

read more

Tricks For Making An Installment Loan Work For You

Posted by on 1:55 pm in Uncategorized | Comments Off on Tricks For Making An Installment Loan Work For You

When you get in a money crunch, taking out a loan can help you to get your financial situation back on track. One option to consider if you don’t need a lot of money is an installment loan. As with any loan, there are risks associated with an installment loan. To avoid making your finances worse after taking on the burden of a loan, you need to make sure that you have a strategy for using your loan wisely.  Be Specific One problem that those looking for a loan can get into is not identifying the real problem with their budget. For example, if you get to the end of your month and you find that you don’t have the money to cover a monthly bill, you might be tempted to take out a loan to avoid defaulting. The problem with this is that if you don’t identify why you were behind in the first place, you can set yourself up to fall behind again the next month. By way of contrast, taking out a loan to cover an unexpected car expense can help you avoid defaulting on other bills. Since the car expense is a one-time cost, you should not have to worry about having to renew the loan.  Watch Out for Add-ons Some lenders will sell additional services to their customers. Always ask if these additional services are optional. Remember that the more services you add on, the more your payments will be. While insuring your loan or buying an extended grace period might sound like a good way to avoid incurring penalties later on, smart budgeting will help you more than add ons. Weigh your options carefully, and don’t pay for services that you don’t really need.  Pay Attention to Interest Rates Before you sign for a loan, make sure you inquire about interest rates. If you don’t like the interest rates at one company, check other options to make sure you find one you can live with. You might think that you are only borrowing a little bit of money, so interest is not a big deal, but a high interest rate will increase your payments and make it harder to pay back your loan. The basic idea when taking out a installment loan is to avoid renewing your loan. There are times when you need a little money to cover an unexpected cost, and this is where an installment loan can come in handy. When you take out your loan, be strategic. Don’t take out more money than you need, don’t take out a loan to cover a nebulous shortage of money, and do avoid renewing your loan whenever...

read more

How To Prepare Yourself When Applying For A Home Loan

Posted by on 9:38 am in Uncategorized | Comments Off on How To Prepare Yourself When Applying For A Home Loan

If you are planning on purchasing a house soon, then you will of course want to take all the steps you can to make everything go as smoothly as possible. The first thing you want to do is make sure that you have a credit score that will even be considered for a home loan. If you are just starting out and don’t have much credit, or you have a low credit score, then you want to do what you can to improve your score. You also want to take other important steps to make yourself look like a good risk in other ways, so you increase your chances of being approved. This article will help. Join a credit monitoring agency False accounts and other information can be put on your credit report that bring down your credit score unfairly. Joining a credit monitoring agency will allow you to review your credit report regularly to make sure you are aware of everything on it. If you notice anything new on your account that isn’t correct, then you can also dispute it through the service. Treat the appointment like a job interview When you go in to speak with a lender (like those at MCS Bank), present yourself in the same manner you would as if you were going to a job interview. Leave the kids at home, dress professionally, have your paperwork well-organized in a binder, prepare yourself with answers to the questions you know they will ask and don’t have a lot of caffeine before you go to meet with them. This will help you to get on their good side and instill confidence in you. Don’t apply for a lot of new lines of credit Applying for a lot of new credit lines in a short period of time will put a lot of inquiries on your report. This can lead to a decreased credit score as well. Also, opening up too many new lines of credit in the same period can lead to a lower score. Know what it is you are looking for If possible, have a good idea of the type of house you want. It’s even better if you are able to go in there with an exact house in mind. Let them know what your terms are upfront. As in, the most you have to put down on a house and the most you are willing to pay in mortgage each month. Being prepared can go a long way when it comes to getting...

read more

Having Trouble Paying Your Mortgage? Remember These Dos And Don’ts

Posted by on 5:08 pm in Uncategorized | Comments Off on Having Trouble Paying Your Mortgage? Remember These Dos And Don’ts

When you closed on your current home, you never anticipated that you would have trouble making your mortgage payment down the road. However, life happens. Unexpected medical bills, a sudden job loss, or other large expenses can put you in a position where you’re simply not able to afford your monthly mortgage payment. If you’re currently facing this struggle, don’t panic. Instead, keep these do’s and don’ts in mind. They just might save your home. DO Contact Your Mortgage Lender Immediately One of the biggest mistakes people make when they’re having trouble paying their mortgage is doing nothing. Believe it or not, your mortgage lender doesn’t want you to lose your home; it takes a great deal of time, money, and resources on their part to go through the process of a foreclosure. By contacting them and explaining your situation, you might be surprised at just how much they’re willing to work with you in terms of extending due dates and the like. DON’T Overlook Loan Modification or Refinance If you don’t anticipate being able to resume regular payments on your mortgage anytime soon, consider looking into a loan modification program or refinancing your mortgage altogether. In the meantime, continue paying as much as you can towards your mortgage each month. If you meet certain criteria, a loan modification program can help adjust your mortgage terms to be more affordable, and a refinance can have a similar outcome, assuming you’re able to get approved for a lower interest rate. DO Ask About Forbearance for Temporary Situations If you anticipate being able to resume paying your bills in the near future, (perhaps you just got hired in at your new job but won’t be receiving your first paycheck for another month), ask your lender about forbearance. This will essentially allow you to “pause” your mortgage payments, allowing you to resume them when you’re financially able without penalty. Keep in mind, however, that interest will continue to accrue on the money you owe while in forbearance. DON’T Assume You’re Doomed to Foreclosure Finally, even if you aren’t eligible for loan modification or forbearance, it’s important to remain calm and not assume you’re going to lose your home. Foreclosure is a very long process, and there are plenty of assistance programs and other options (such as a short sale) you can explore to work out a solution with your mortgage lender instead of losing your home. Contact a business, such as Doolin Security Savings Bank, for more information about mortgages....

read more

Guidelines For Selling Gold And Silver Jewelry For The Most Cash

Posted by on 2:33 pm in Uncategorized | Comments Off on Guidelines For Selling Gold And Silver Jewelry For The Most Cash

One easy way to raise some quick cash is to sell some of your unwanted silver and gold jewelry. If you have never liquidated any jewelry or precious metals before, then there are some important guidelines that you should follow to ensure that you get the best deal possible, such as: Consider the Sentiment of Jewelry Pieces Before you choose your jewelry pieces to sell, you should take some time to consider the sentimentality of each piece. While you may need to raise some quick cash, you will not ever be able to get your jewelry back. If the jewelry pieces have more sentimental value than their gold value, then you need to really think long and hard before selling them for scrap. Otherwise, you may later regret your sale. Understand the Metal vs. Designer Price All items that are made of metals have an intrinsic market value to be melted as scrap. Jewelry items also have a designer value that is based upon their style and how they look. If you have unwanted jewelry that: contains stones is very unique is vintage in age then you should have it appraised for its designer jewelry value before selling it for the scrap gold or silver value. You may find that the piece is worth more if sold as jewelry. Know the Market’s Gold Spot Price Each day, the price of gold is determined by global demand and the metal market. When you are selling any precious metal, you should know the spot price that day for that specific metal. For example, if silver is selling for $50 per ounce, then you know approximately what the value is of your 2-ounce bracelet made of silver – $100. By knowing that day’s spot price for the metal, you can determine how much profit the buyer is getting from the metal when they turn around and sell it to be melted and sold. Shop Around for the Highest Price Finally, you can take your unwanted gold and silver jewelry items to any local pawn shop, gold and silver buyer, or jewelry store to ask if they wish to purchase it. By shopping around for the highest price, you can get the best price for your items. While you may assume all buyers pay the market price, this is not the case. You may find wide variations in the offers from one type of gold and silver buyer to...

read more