A Student Debt Consolidation Loan May Just Be The One

Category: Finance, Credit.

Student debt consolidation is a system that allows a student in debt to combine all his existing obligations into a single loan.

There are basically two types of loan available for a student, a federal loan and a private loan. With tuition fees, living expenses and, school materials other miscellaneous items, how important is debt consolidation for a newly grad? The main difference between the two, aside from their features, is that a federal loan is granted by the government through Federal Student Aid Programs while the latter is from lending institutions and banks. However, he may find, past graduation it burdensome to manage all his loans. Amidst a students numerous expenses, he is sure to avail one or maybe both of these loans to finance his study. This includes remembering all due dates, keeping track of balances and paying interest at various rates. Within six months after graduation or if he is already repaying his student loan, a student may apply for a student debt consolidation loan.

To relieve him of this tedious task, at his option, he may, avail of a student debt consolidation loan. It is advised, not to combine, however federal and private loans as this will result to loss of benefits attached to a federal loan. What are the Advantages? Such benefits include lower interest rates, tax deduction for interest paid and lower monthly payments due to longer repayment period. First, merging all payables into one will allow dealing with a single lender. Second, a fixed lower interest rate is charged as compared to combined variable rates from various lenders.

It eliminates the hassle of getting numerous phone calls from debt collectors. This is especially true if a secured consolidation loan is availed. Third, repayment period is quite long, about 5- 10 years for private loans and 10- 30 years for federal loans, depending on the total loan balance. Here, say a car, collateral, is required to be placed. Fourth, payment scheme is flexible. Lastly and probably the most important benefit one can get is that he can focus on building his career without worrying on payments and good credit standing.

A student may choose a system that would best fit his monthly income. Are there Drawbacks? Since interest rates are fixed, the borrower cannot take advantage of lower interest rates in case of deflation. It depends. Also, once the loan has been approved, it can no longer be cancelled. Some things that should also be taken into consideration if the borrower is married and is planning to combine his debts with his partner are death and divorce.

That is why it is important to analyze and check ones financial situation before entering any agreement with a lending institution. When the partner dies, the other shoulders everything else, or in case of divorce, they still need to work on splitting the bill. There are many credit unions, banks and lending institutions that are accessible through the Internet. Choosing the One. It is necessary to search, compare and ask, research around. Keep in mind that no matter where a person is in the complicated universe of payables and loans, there is always one package that will meet his needs.

Past clients can provide feedback on how well the potential lender handled his debts. A student debt consolidation loan may just be the one.

There Is Tons Of Advertising For Credit Debt Consolidation Programs And Services

Category: Finance, Credit.

There is tons of advertising for credit debt consolidation programs and services. After they have worked their magic, you ll be left with, only one monthly payment to make.

Even if you re in debt up to your eyeballs and haven t kept up with your payments for months, these companies say that they can help you consolidate your debt despite your bad credit. There are two types of debt consolidation companies, the first kind legitimately want to help people with bad credit. Sadly, the latter kinds of debt consolidation companies are more common than the former. The others have much worse intentions and try to take advantage of people deep in debt by making outrageous promises. The main difference is that the professional and legitimate companies will charge fair prices and in the end produce an actual result. In essence debt consolidation companies will talk to your creditors and try to lower your interest rates and monthly payments. While the disreputable companies will price gouge even though in most cases they provide no real results and leave their customers with just as much debt.

Once they have reached an arrangement with your creditors, they will tell you the total amount you owe per month. That is the plan that the decent companies stick to. You will then send this money to the debt consolidation company, and the debt consolidation company will distribute the money to your creditors. If you happen to sign up for the services of a bad debt consolidation company your experience may be a nightmare. This means that your creditors, who aren t receiving the money you send, will continue to harass you and report your account as unpaid to the credit reporting agencies. The companies running scams often keep much of the money you send them for various fees. This is why it is very important to research any debt company that you wish to work with.

Some of your other options include trying to obtain an unsecured loan through a bank or refinancing your house or car to pay off debt. The companies that send you emails and advertise on late night television in most cases are not the ones you want to work with. Talk to your bank or mortgage broker. Another approach that may work for some people is to apply for a zero or low interest credit card and transfer all your debt on to it. You may also want to visit with a financial planner to assess your budget and find ways to stay out of debt in the future. This approach, has a few, however setbacks.

Also, you need to do something with the rest of your credit cards like getting rid of them to avoid the temptation of starting new balances. If your credit is truly terrible the credit card company might raise your interest rate unexpectedly. You also need to be able to make the minimum payments on that card or even pay as much as you can in order to pay off your debt as quickly as possible. Remember to run a thorough internet background check on any company that you work with to weed out any potential scammers. Overall if you have bad credit, debt consolidation is possible, but make sure you re working with a reputable company that really does want to help you get out of debt.

Read more...

Having A Credit Card Or Even More Than One It Is Not Uncommon Anymore - Finance and Credit Articles:

Having a credit card or even more than one it is not uncommon anymore. It is easy to get a credit card report online and fill in an application for a credit card.

What Are The Perks For This Credit Card - Harriet Vina about Finance and Credit:

Choosing a student credit card is often a burdensome process. But the Chase Student Flexible Rewards Card takes much of the guess work out of the process.

This, Could Be The, Mr Willey Claimed First Step For Many People In Protecting Their Credit File

Category: Finance, Credit.

Missing payments on loans, credit cards and other sources of financial demand could be place many consumers under more financial pressure than they originally think, new research shows. Indeed, this was shown to have outstripped loans, mobile phones, electricity bills, satellite television and internet debts combined.

Findings from moneysupermarket reveal that about 5 million were not able to meet a demand on their spending over the course of 200Overall, credit card repayments were indicated as being the most likely bills to be missed, accounting for seven per cent. However, by failing to make payments on any one of these areas was suggested as potentially doing damage to their credit report. Research from the price comparison website also indicated that people over the age of 25 are the most likely to miss credit card bills. Such damage to a financial file could well mean that consumers see that their access to cheap loans and other types of low- rate borrowing is reduced. In particular it was suggested that 25 to 34- year- olds will not be able to not meet such demands on their spending, with 12 per cent of people from this age group failing to so. Commenting on the study, head of credit, Steve Willey cards for moneysupermarket, said: "Close to three million credit card holders will have paid out over 35 million pounds between them in penalty fees. Meanwhile, some five per cent of 18 to 24- year- olds have missed payments on mobile phone bills, the highest proportion out of all Britons.

But it is the damage to their credit rating that is more costly to them and to the other 5 million consumers who have missed payments elsewhere. He suggested that by making sure they are able to make repayments, consumers may be more likely to secure access to cheap loans and other forms of competitively- priced borrowing in the future. Consumers may feel by missing a payment they re saving a few pounds but in the long run, missing the occasional payment will affect your credit rating as lenders assess your overall ability to repay on a regular basis. Mr Willey added: "It s vital consumers do everything they can to protect their credit rating and this means keeping payments up to date. He stated that by setting up a direct debit system, consumers may find that they are constantly able to meet demands on their spending. A poor credit score stays with you for a long time and can mean being rejected for credit or being offered a product at a worse rate. " The moneysupermarket head went on to suggest that it is always better for consumers to make the minimum monthly balance on demands for payment on credit cards, loans and bills" rather than not pay anything at all" .

This, could be the, Mr Willey claimed first step for many people in protecting their credit file. Such a loan may see borrowers merge numerous constraints on finances into a single low- rate loan. For people worried that they will be unable to manage various demands on their spending, applying for a debt consolidation loan could provide useful help. Debt consolidation might be of particular help to consumers struggling with their money management in the wake of Christmas. Last month, director for Thomas, James Falla Charles, suggested that the new year is" absolutely the right time" for consumers to get to grips with their finances.

Financing Car Loans Also Requires Caution

Category: Finance, Credit.

Auto car loans is quite a hot topic these days, arent they? Thats because auto car loans are easily available rather, brimming over but they arent hassle free.

If you are thinking they are the most easily available of all loans and the most hassle free, then please make note that you are just partly correct. Car loans lure you with instant car loan offers and cheap rates of interest but you need to be alert all the while and should read between the lines. There are certain things that you always need to keep in mind about auto car loans. Opt for a Certified Used Car Only. Always compare the car loan rates being offered to you by various providers with the help of an online auto loan calculator. You might want to buy a used car in that case there will obviously be a difference between the loan rates.

This will help you in analyzing which is the best option for you. However, what you have to take care in this case is to go in for a certified used car only. Financing car loans also requires caution. Do a thorough record- check of the car as well. Auto car loans can be obtained by people with bad credit as well. Also most probably people with bad credit will be able to get only a secured loan.

Of course, there is going to be more interest that will need to be paid. Beware if in spite of your bad credit you are offered a really lucrative deal with low interest rates and no security, there is a possibility that you are being duped. This depends upon the demand for your car. The price of your car can also be negotiated with the dealer. If its not too much in demand that means you can negotiate over its price definitely. If you have done your homework well, have compared the rates, and gone into, calculated the rebate the other minute details, then go ahead and fill in your online application. This will also have a bearing on your loan.

This is simple and requires basic facts from your side. After that its a game of not more than 24 to 36 hours within which you will be holding your loan check in your hand. Within the space of a few minutes you will be able to know whether you qualify for the loan or not. Isnt this fun? Its almost like going out to shop with cash in your hand.

Read more...

There Was A Time When There Where Only Two Real Features That People Compared When Choosing A Credit Card - Finance and Credit:

There was a time when there where only two real features that people compared when choosing a credit card. The second was the interest free balance transfer deal, where you could move your debt from a bank account or other credit card, and not have to pay any interest on it for the period of the introductory deal, which tended to be around 6 months.

Several Companies Giving Credit Repair Services Cannot Convey What They Pledge - Finance and Credit Articles:

More often than not we make abrupt decisions that we regret in the end. A lot of people hide the truth that they need to pay a big amount of mortgage or any type of loans and debts.

There Is A World Of Opportunity For Sure When It Comes To Credit Cards And The Payment Solutions - Finance and Credit Blog:

There is a world of opportunity for sure when it comes to credit cards and the payment solutions.

You Then Submit It To The Credit Bureau

Category: Finance, Credit.

Have you ever had a problem that just won t be resolved?

Often, there are mistakes made on credit reports that are difficult to correct. The endless phone calls, letters and hours of worry can really start to get to you. Perhaps someone else s account is showing up on your credit. I had a lender once report a late payment, while providing a payment schedule that showed I never missed a payment. Maybe a lender reported the wrong information. They refused to remove it, saying that it was indeed late, though they couldn t give the month it was late.

They had submitted the routing number as the account number, causing the missed payment. Another lender said that I sent them a check that came back as non- sufficient funds, when it had been an electronic debit over the phone. Yet they argued with me for days that they were" holding in their hands" the check with NSF marked on it. It can be frustrating. It took a phone call from my bank to straighten it up. Yet, vital.

A mistake can cost you thousands of dollars if not cleared up. Your credit report dictates what you pay to borrow money and have insurance coverage. You ve gone through the appropriate channels and provided all of the necessary paperwork. What do you do now? Yet, the creditor still refuses to fix the report. You can start by writing a statement of up to 100 words that states your dispute of the accuracy of a credit report item.

It will be added to your credit report at no charge. You then submit it to the credit bureau. The law, through the Equal Credit Opportunity Act, requires lenders to consider information that shows that your credit report may be inaccurate. It is best to do this in advance of the lender s credit check. You simply provide the lender with the documentation that proves your dispute. That way, you are all prepared.

If you win, your court costs and attorney fees will be paid. If you feel it is the credit- reporting agency s fault that the inaccuracy remains on your report, you could sue the credit- reporting agency under the Fair Credit Reporting Act for" negligent" or" willful" noncompliance. You can continue to gather your documentation and re- submit your dispute. In general, the best way to remove something is to have the creditor request it be removed. Perhaps new info and a new set of eyes at the agency will lean more your way. You may be required to provide the creditor with your documentation.

For example, a credit card company recently sent me a credit card in my maiden name for my mother s account. They will not admit to having it right out. She had never requested me to be added to her account. The company swore that they had no records of my name ever being on the account, but that they would have it removed from my credit. When it showed up on my credit report after three requests to be removed from the account, I was angry. It took six months.

You are entitled to one free credit report annually from each of the three major agencies. Make sure you check your credit report three times a year. You can go to www. annualcreditreport. com for more information. Most credit scores can be purchased online for less than$ 1Make sure you check your FICO score, as it is the one used by lenders. When applying for a loan, ask what your credit score is, just for curiosity.

Read more...

The Best Cash Rebate Credit Cards Are For Excellent Credit And Are Platinum Cards - Tabitha Rini about Finance and Credit:

Cash rebate credit cards are just one of the many kinds of credit cards that offer rewards to card holders.

They Provide Intensive Credit Repair Services That Boost Credit Scores - Valeria Westervelt's Finance and Credit blog:

RCACredit is a company that serves individuals who want to increase their credit score in the credit market.

You Can Save Money By Understanding The Terms Of Your Credit Card - Nicole Moy about Finance and Credit:

If you are like most consumers, you probably haven t read the cardholder agreements for any of your credit cards.

Call And Request Credit Card Applications

Category: Finance, Credit.

"I was just informed the interest rate on my credit card is jumping from 10% to 29% . I called my bank and they told me it s because some of my other credit accounts were highly utilized. " That s exactly what happened to my friend Kyle recently.

I ve never made a late payment. Because he was close to his credit limits on unrelated accounts his bank legally jacked up his interest rate nearly 200% . Kyle didn t have late payments with the credit card that raised his rates. The practice is generally referred to as a" universal review. " And more and more lenders are using this trick to fill their pockets at the expense of an unknowing public. In fact, he didn t have any late payments on any credit cards. This situation hasn t only happened to Kyle. However, his lender simply decided that because Kyle was using his other credit, he somehow became a greater credit risk to them- so they nearly tripled his interest rate.

You see, I have several friends that hold high positions within the banking industry. This information is so hush- hush he s asked us to keep his identity secret: ".Everyday in my job as a credit analyst I see so many mistakes people make with their credit. Here s a recent comment from one subscriber who works as a credit analyst for a major national bank. You are right, most all lenders do a universal review, especially credit card companies. When we find risk we either lower the credit line, or close the, increase the APR account. When we review a card member s credit bureau report( CBR) we are assessing risk to the bank and our goal is to reduce risk and exposure. That is why account performance and utilization of revolving trades is so important. " As you can see, Kyle s situation could have been worse.

And the credit analyst went on to say. ".A lot of times we are using old income information when making a decision. The lender could have closed the account or lowered his credit limit. Usually, when we see something that doesn t fit the card member s profile, we will call to try and get updated information such as current income and reasons for recent delinquency on their credit reports or their account with us. And that information can be several years old. If we can t get them on the phone the moment we call we have to make a decision with the information we have. If the income we have on file is older than six months I can t use it and need to call.

So it is in the card member s best interest to call the credit card company and give them updated income information and any explanation for delinquency or increased utilization. " So what do you do? If I don t get the card member I have to make my decision right then- I can t wait as we review thousands of accounts a month. First of all, if this has not happened to you, I wouldn t get overly concerned just yet. To be on the safe side, whenever your income increases you should call your credit card lenders and let them know- make sure they note it in your file. Just be aware that nearly half of the credit card lenders do some sort of universal review and it s a growing trend. If your credit card lender does conduct a universal review on you and you re negatively affected by their decision- here s what to do: Contact your lender immediately and determine why the lender feels you re a greater credit risk. and then fix it, if it s fixable. If the lender s answers don t sit well with you, begin interviewing new lenders.

It could be as simple as giving them updated income information. Call and request credit card applications. And if you re comparing credit cards you already have, and cannot locate the original application you signed. call each lender and ask them for a copy of your application with your current account s terms and disclosures. To determine if a credit card lender uses universal review, do this: go to the disclosure form and find the headline" Other APRs, " then look for the term" default rate. " That should tell you what you need to know. You need to know your current terms, as they may not be the same as the original offer you received. Remember, before you begin this cat& mouse game, have a" Plan B" in place. After you have compiled your list and found a lender that will give you acceptable terms and rates, contact your original lender and tell them you are considering closing the account.

Just make sure" Plan B" doesn t use the same or worse practices as your original lender. Not all lenders use them( thank God) , but be careful of the ones that do. Just be aware of card tricks. Lenders have lowered the bar on their ethics. It s up to us to read the fine print and play their game.

Read more...

So How Do You Start The Process Of Credit Report Monitoring, And What Can It Really Tell You - Leonor Mcauliffe about Finance and Credit:

Credit report monitoring is something that is very important when you begin the process of improving your credit score.

These Steps Should Help You Get The Right Credit Card - Finance and Credit Blog:

Credit cards are an important means of establishing credit history. Here are few things to keep in mind before you apply for a credit card.

Special OPEN( R) The Small Business Network Features - Finance and Credit Blog:

If an unmatched business credit card with fee free membership reward program, from one of the leading credit card providers in USA is your priority, the Platinum Business From American Express is the right credit card for you.

Normally, It Will Take You Months And Possibly Even Years To Get Out Of Debt

Category: Finance, Credit.

Consolidating your credit card debt is actually one of the smartest decision you could ever make.

Consolidation is very common these days, and it is actually a sure way to combine your debt and make sure that you never get yourself too far in credit card debt. Credit card consolidation is ideal for anyone who is looking to have better credit now, and in the future. Even though there are many reasons why to consolidate your debt, one of the better reasons is to get a better rate. Anytime you are able to consolidate your debt and save yourself a bit of money- you should never hesitate to do so. If there is a way to get lower rates on a current consolidation, then you ll have no reason to consolidate your debt. Not only will consolidating your credit card debt save you money on interest rates, consolidating your debt will greatly reduce the stress which can come from carrying a lot of debt.

No you do need to know that when you consolidate all of your credit card payments into one monthly payment that you will have the consolidated cards terminated and the associated accounts closed. You won t have to wonder where you re going to get the money to pay all of those separate credit card payments ad you ll be able to make ends meet while still paying off your credit card debt. This can improve your credit rating, although for some people this may be a bitter pill to swallow. When you take the decision to consolidate your credit card payments, it is advisable to seek out the assistance of a professional. All in all, it s for the best. There are many financial institutions which deal with debt consolidation, but you should do some research on the companies- determine what fees they charge and look for any hidden costs. A lot of people who turn to credit card debt consolidation, let their credit cards get the best of them.

Don t be afraid to ask questions, this is a very important decision and you should be informed of all the factors involved. A credit card can be great to have, although it can be easy to abuse as well. Once you get yourself in credit card debt, it can be really hard and very stressful to get out of it. If you aren t careful in your spending, you can rack up debt before you know it. Normally, it will take you months and possibly even years to get out of debt. This is what you will give to the financial institution that you have chosen. Make a list of all the credit cards you own and how much you owe on each card.

They in turn will contact these companies and make the best deal that they can with them.

Read more...

Well, Irrespective Of What Your Personal Opinions Are, Students Are Increasingly Being Targeted By Credit Card Companies - Finance and Credit Articles:

Are no students able to take care of their money?

Another Popular Federal Government Grant Award Is Housing Grants - Finance and Credit Articles:

Each year the federal government awards approximately$ 400 billion to individuals and organizations in the form of federal government grants.

Your Credit Score And Credit Card Use Are Closely Intertwined, With Both Effecting Each Other Profoundly - Finance and Credit Blog:

Your credit score and credit card use are closely intertwined, with both effecting each other profoundly.