Finance, Loan, Debt and Credit.

December 31, 2016

Debt Collection Rights You Should Know

Filed under: Debt — Tags: — admin @ 12:47 pm

Calling Hours
No matter what they may say, debt collectors have to adhere to certain time restrictions. A debt collection agent cannot call you before 8 am in the morning or after 9 pm at night, unless you verbally agree to something different.

Stop Calls
You can, at any time, send a written letter to the debt collection agency and request they stop calling. By law, creditors cannot continue to call after they have received the cease and desist letter.

You have the right to be treated decently and fairly by all debt collectors. They have no right to use profane language, make harmful threats, or verbally attack you in any way. If a collector does mistreat you, ask for their name and request to speak with their supervisor.

Correct Amount
Debt Collectors cannot at any time misrepresent the amount of your total debt. Do not be intimidated by someone who exaggerates the amount of money you owe in order to scare you.

Outside Accounts
A debt collection agency has no right to take money from your social security, IRAs, or any other federal benefits. Any collector stating otherwise is only using scare tactics founded on lies.

Debt Report
If you are unsure about your debt amount, debt origin, or any details concerning your debt, then you have the right to request a full debt report. The agency calling should be able to send you a report stating all the information they have on your debt.

Stop Work Calls
If debt collectors are calling your work, you or your supervisor have the right to request that all calls cease immediately.

Refute Debt
You have every right to refute debt claims against you at any time. If you feel that debt a collector is claiming untrue amounts of debt then you have every right to report it as false. At that point, the debt collectors must provide you with proof that the debt amount is correct before they can contact you any further regarding your alleged debt.

Written Notice
Once a collector has called, they must send you a written debt notice in the mail within 5 days. Since it is not the law that you must own a telephone, collectors will attempt to contact you in every way possible. You may also receive e-mail correspondence from collectors or even telegrams.

Call Amount
If you feel a single debt collector is calling you so many times a day that is has practically become harassment, then you have the right to call and speak to a supervisor about it.

Tips To Help You Eliminate Student Debt

Filed under: Debt,Loan,Student — Tags: , , , , — admin @ 12:46 am

There are many people today that are in that unfortunate situation of needing student debt help because they simply have taken out too much debt for their education. In today’s day and age, the vast majority of good paying jobs require a college education in order to acquire one. That is why many people take out loans to help them pay off the finances required to get a good college education.

The unfortunate byproduct of this is this: the vast majority of people get into the habit of relying on other financial institutions to pay off their debt for them, and not worry about getting the money themselves. The reason this possible is that just about anybody can obtain a student loan directly out of high school, whether be for the government or private institution.

Therefore, they don’t have to worry about paying is off until after they graduate. This gets them in the bad habit of believing they can get anything they want without having to worry about paying for it, regardless of whether it’s their right now or not. This is what is responsible for the huge amount of student debt many people find themselves with today.

Now, the vast majority of college students get out of college, start a family, buy a house in to get a mortgage, and it is stuck in debt for the rest of their life paying off their debt. If you find yourself in this situation, here are some important tips and information to help you shatter your debt and get on the road to achieving financial freedom.

First of all, keep in mind that you are responsible for the student debt you have acquired; don’t blame yourself for this, simply except responsibility and learn from your past mistakes. Also, you might consider taking a separate portion of your income and putting it towards investment fund.

While you are certainly will have to cut done your monthly expenses in order to do this, the long-term not benefit to be well worth the effort. If you want to achieve long-term financial freedom, this is certainly the way to do it.

The bottom line is this: the absolute only way to achieve financial freedom is to keep careful track of your expenses and income, and make sure that your expenses never exceeded. A good way to do this is to keep a balance sheet each month of all your income and expenses. Therefore, if you do this enough, this will enable you to know offhand exactly what your financial situation is like, and help you to you’re your spending decisions accordingly.

No, you may not be able to purchase the same gadgets and gadgets for a while, at least until you’ve gotten out of debt. However, the end result will be well worth the effort. Don’t delay; simply take action today, and start tracking your finances. Hopefully these student debt help information and tips will assist you to eliminate your debt and achieve the financial lifestyle you’ve always wanted to.

December 30, 2016

Another Credit Card Debts

Filed under: Credit — Tags: , , , — admin @ 12:47 pm

In the current volatile global economy, people often seek ways to alleviate the financial burden on your bank accounts. Many families are stretched to their limit of debt credit card, student loans, inflation and mortgage rates, and seek ways to cut costs wherever they can.

For some, it is clipping coupons, instead of eating in the dining car and save on rising gas prices. For others, there is no way to reduce costs by more than they already have. In this case, the bankruptcy in May is the only way to consolidate debt. While bankruptcy is not a decision to be taken lightly, more people are choosing to file bankruptcy than ever. Many states require that anyone considering filing for bankruptcy to meet with credit counselors. These credit counselors to assess the financial situation of each person, and continues to all viable options. Bankruptcy is a last resort and only used to support a family or an individual afloat, rather than a simple rescue. However, if a person is bankrupt, there are several options.

Most families and individuals file Chapter 7 bankruptcy. This allows people to celebrate the country’s needs, such as a house or a car, provided they are worthy of standing with creditors or the creditors are willing to work with the person to maintain their creditor / debtor state. After a U.S. bakruptcy is discharged from bankruptcy court, the debtor, then, essentially, as a clean slate.

Debt credit card are mostly gone. It offers many people a fresh start after the mistakes of the credit in the past. Although this appears to be an easy solution to the debt settlement, many people are not fully aware of the impact of the bankruptcy filing of its long-term credit. It is difficult to rent an apartment with a balance on your file. And the creation of any new loan becomes extremely difficult. For some, it is not necessarily a bad thing not to be able to extend credit.

Income Insurance Mortgage Payment Protection

Filed under: Insurance,Mortgage — Tags: , , — admin @ 12:47 am

If you have a mortgage hanging over your head then you do need to take into account how you would be able to carry on paying the repayments if you lost your income. While no one likes to think that they might lose their income redundancies can happen. You could also become sick or have an accident that meant you would be unable to work for many months. While you might be able to keep your head above water for a couple of weeks, it would be almost impossible for months. One way of protecting your mortgage and other outgoings is by taking out income insurance mortgage payment protection.

A policy can be taken out with an independent provider and this is the cheapest way of securing against an unknown future. All policies offered by standalone payment protection specialists would have exclusions in them. These are what you need to check to be sure of eligibility. It is essential that you compare them along with cost of the premiums as each provider can put in different exclusions with some being frequently found in all cover. If you then had to make a claim on the policy you could do so after a set amount of time and receive the income you insured against as a tax-free payment.

The terms and conditions of the income insurance mortgage payment protection policy are also where you can find when the cover starts to payout and for how long. Some providers would payout on your policy once you had been unemployed or incapacitated for 30 days, while with others you might have to wait for anything up to the 90th day. How long you would be able to claim would also depend on the provider. Some will payout on the cover for 12 months while other providers might offer a payment each month for 24 months. How much you would payout in premiums each month would be based on the amount of your income you wished to protect and your age. If the policy you take out is based on age, then the younger you are the bigger savings you are able to make.

Income insurance mortgage payment protection should not be confused with income protection insurance. Income protection insurance is a very similar type of policy that can be taken out to protect your mortgage repayments and other outgoings. While this is also a very valuable form of protection the terms and conditions of it are totally different. Therefore you have to decide which form of protection for a lost income would be the most suitable based on your circumstances. Income protection insurance would also supply you with an income if you were to lose your own, however it would do so for a lot longer period than income payment protection. This policy would payout to you for up to retirement age if it was needed. You would have to wait for longer before the benefit would begin though, and there are also many other terms and conditions which would have to be met for you to be eligible to take on the policy.

December 29, 2016

Student Debt Consolidation Program : Put Reigns On Loans

Filed under: Debt,Student — Tags: , , — admin @ 12:47 pm

A student debt consolidation program may be the answer to your problems. We are living in a world where every child wants to get independent as soon as possible. Everybody wants to become self sufficient at an early date. The result is that you spend more and more out of your pocket and when your pocket becomes empty, you start borrowing from everywhere else. This is the start of the loan syndrome. As you enter high school, you start taking loans to finance your higher studies. Loans add on with each class, and by the time you reach college, you are neck deep in trouble.

This is where you need a student debt consolidation program. As you pass out of college, you are required to pay your loan installments on time. Usually, under the burden, you are liable to miss a repayment and spoil your credit rating. Student debt consolidation helps students to club all their sundry payments into one consolidated payment every month and manage their finances more efficiently.

Student loan debt counseling can help students come out of debt traps. If you feel you do not have enough knowledge of debt consolidation, you can take the help of student loan debt counseling. In student loan counseling, a student counselor is assigned to help you through the student debt consolidation program. The counselors will guide you every inch of the way and make you understand the process of consolidation.

If you have taken four loans earlier and you are now feeling burdened in handling their repayments every month, a consolidation program will put them all together and make a single payment installment that is within your reach. Thus, you have to make only this single payment every month to the consolidation company. The company makes all the payments to your creditors.

Bring Your Debt Under Control

Many significant benefits accrue to the students if they decide to avail of a student debt consolidation program. The primary advantage is the saving you make on reduced rate of interest for the loan amount. This also reduces the installment amount you have to pay every month. All consolidation programs provide consolidation at lower rates of interest.

Another important benefit is that after consolidation, you do not have to pay the late fees and other charges that you were paying earlier, when your payments were mismanaged and getting overdue. The savings you make here can be utilized for the installments.

The student loan consolidation program offers other fringe benefits like deferred payment schedules and installment holidays to convenience repayments. Besides, after consolidation, it becomes so convenient to pay a single installment every month to repay your loans. You are relieved of tension and now you can concentrate on how to earn more money instead of how to pay money.

Best Sources for Getting an Overnight Money Advance

Filed under: Credit — Tags: , , — admin @ 12:46 am

In an era of tight credit and overall economic uncertainty, it’s become very difficult to get a simple loan or line of credit. But the best means of short-term, unsecured loan financing to emerge has been the online check cash advance .

This is the type of loan that basically means you borrow from yourself. You apply to a cash advance lender through an online application, providing information on your employment and where you do your banking. The lender assesses your ability to pay back on the loan based on your rate of pay. The loan is then electronically deposited by the next business morning. It’s entirely possibly to apply for this loan at 5 p.m. on a Wednesday afternoon and have the money available for use by Thursday morning.

Understanding the process removes any mysteries around how it is done. It’s basically a three-step process:

1. Shop around for the best terms – While there are differences between lenders on loan terms (upfront fees, interest charges and payback schedules), they are largely regulated by state banking laws, so the terms fall within a narrow range.

2. Apply – Most lenders’ websites are clean and uncomplicated. There is no credit check required (your paycheck is your collateral), and no collateral (property title, valuable items) required. Confirmation comes in one hour or less; 85 percent of borrowers are approved on a first application.

3. Cash-to-go – With overnight funds transfer, you are ready to use your money in less than 24 hours.

This ready cash provides significant power in the marketplace. It can be used for a short-term investment opportunity. It might be used for a home down payment, apartment security deposit or mortgage closing costs. It is unrestricted, so you can ultimately use it however and wherever you need it.

December 28, 2016

Debt Consolidation – Will Loan Consolidation …

Filed under: Uncategorized — admin @ 12:46 pm

Debt consolidation is a method of relief that can be used by the consumers to get out of their unsecured loans. This method is just an alternative to the methods of bankruptcy and settlement of loans. This method is different from bankruptcy filing and settlement in the sense that there will be no elimination of the actual debt or the actual money loaned out by the creditors. The consumers will have to pay the original amount that they borrowed in full. However, the monthly burden will be reduced.

The reduction of the monthly budget will be achieved by the reduction in the interest rate and the elimination of service fee, late fee and other associated charges. This will simply reduce the overall cost of the loan for the consumers. This cost reduction will actually mean that the monthly installments that the consumers need to pay will be reduced. On the other hand, the creditors do not actually incur loss. They will simply have reduced profit levels and they can be sure of the fact that the actual amount of money that they loaned out to the consumers will be returned and repaid.

The interest rates will be reduced by the creditors because they will receive the threat of bankruptcy from the consolidator dealing with the case on behalf of the consumer. The consolidator actually negotiates with the creditors and says that the consumer is willing to repay in full but, because of the decreased income level, the consumer is finding it difficult to repay the debts as per the existing terms and conditions and is seeking some kind of relief and the best thing that the creditors can do to help the consumer is to reduce the interest rates. This will decrease the repayment burden for the consumer. If the creditors do not agree, the consolidator uses the threat of bankruptcy and states that the consumer will then have to file for bankruptcy. This is where the creditors agree.

Thus, in this method the actual debt is not really eliminated. Only the interest rate is reduced and some of the fees and charges applied on the principal debt are eliminated to reduce the repayment burden for the consumer.

Credit Planning – Miscellaneous Tips, Part 1

Filed under: Uncategorized — admin @ 12:46 am

Using all the knowledge you’ve gathered so far, take your individual circumstance, overlay it with the possibilities, and then piece together the very best outcome. Always remember, bad credit removal is paramount in any deal in my opinion, and going for anything less in an attempt to keep money in your pocket is a very bad idea. Any adverse settlement information will be reported as a new, recent credit report entry and will hurt a score-particularly if it’s being reported by an original creditor.

The only scenario where anything less than bad credit removal is acceptable is when your entire plan hinges on a single holdout, which is very unlikely, or when you just don’t have the funds to make it all work at or near ideal. Having anything adverse on your credit report that’s unpaid is unacceptable, even if you’ve deleted the bulk of adverse entries, since such a mark will usually get you denied by any reputable lender. So what’s the point in paying any of them under such circumstances?

It’s a personal decision, of course. Perhaps paying all but one intransigent creditor would make sense if that one holdout is nearing the statute of limitations for reporting or if the information can be deleted using a credit bureau dispute. If you feel morally obligated to pay even under such circumstances, by all means do. Most people go delinquent because they couldn’t pay in the first place and then feel compelled to make good when their financial outlook improves. But carefully consider that one holdout can ruin everything by creating a situation where you’ve expended considerable resources to improve your credit only to find that prospective lenders will still deny you.

Yet even after a paid settlement has been agreed to and satisfied, keep in mind that, using a credit reporting agency dispute, you can even try for a removal of the entry after you’ve settled with the creditor. And if the creditor reports an aspect wrongly after settlement, which creditors will often do, even a declaratory judgment (nonmonetary) action is an option to remove it.

Of course, you can seek numerous variations of deals involving payment terms and debt reduction, and you can even get new payment terms that are greatly modified or extended, especially on open accounts or accounts not yet in collections. If you go for reducing the debt on a payment plan, then having the interest rate placed below 10 percent on credit cards will help as well. I would shoot for 6 percent on unsecured credit. On autos, 6 percent is also a good rate. Just ensure that in any deal this is worded as a permanent lowering, or a fixed interest rate.

If you can get a home equity loan or second mortgage, place the money in your bank account and then use the money as leverage to get bad marks removed, this is acceptable. If this isn’t possible, then forgo any “debt consolidation loan,” since such a loan will only be possible if the lender can pay off your existing creditors directly, which will defeat the purpose altogether; you’ve done nothing for overall debt reduction or credit restoration. Your lack of leverage in this scenario will make getting the bad credit removed far more difficult. With the money in the bank, you can negotiate the best terms for each individual account, getting your debt reduced and getting the bad credit removed. Once you’ve gotten your debt reduced on each individual account and have your credit file cleared up, then if there are remaining creditors you may opt for a debt consolidation loan if it will substantially lower your interest rate and the closing costs are nominal to zero. Further, waiting until your credit report is squeaky clean to obtain such a loan will yield the best interest rates. Now that’s having your cake and eating it too!

December 27, 2016

Understanding Mortgage Interest

Filed under: Uncategorized — admin @ 12:46 pm

Mortgage interest is the interest you will pay to the lender for the amount you borrow to buy your home.   On a mortgage, the interest is figured on the principal, which is the loan amount still owed.  It is also heavily weighted toward the beginning of the loan.  You will pay far more interest than principal on early mortgage payments, with the balance slowly shifting over the length of the loan.  Lenders do this in order to earn as much interest as possible.  

Average Americans only stay in their homes for 5 to 7 years, so the lenders collect large chunks of the interest on entire 30 year loans in those periods.   For example, if you took out at mortgage for $ 100,000 at 6% interest, your very first payment would be $ 599.55.  $ 500 of that would be interest, and just $ 99.55 would go toward the principal.  If you continued to pay just the monthly amount of $ 599.55 over 30 years, you would end up paying $ 215,838.00 for your $ 100,000 house.  For calculations on different loan amounts, you can use an online calculator.    

Mortgages are paid off on an amortization schedule.  This means that you are paying interest on the remaining loan amount until that loan is paid off.  Because of this, if your mortgage allows it, making extra payments that pay down the principal directly can end up saving you a lot of money.   This is especially true for extra payments that are made early on, since mortgage interest is so weighted toward the first years of the loan.   On a typical loan, even at a relatively low interest rate, you will often pay as much or more in interest than you will in principal.  To figure out how much you are paying in interest over the total life of your mortgage, use an amortization calculator.  This tool will also often give you the amortization calendar of your loan, so you can see how much of your payment goes to interest and how much goes to principal over the years of the loan.  

While it may seem like highway robbery to pay twice as much or more for your home then it is currently worth, you also need to consider that this system makes it far easier to get into your own home.  Prior to the 1930’s, you would have needed as much as 50% of the cost of the house in order to get a loan.  Today, 20% down is the accepted norm, but you can often get a mortgage with an even smaller down payment.  Also consider that home values trend upward over time.  So by the time you pay off your 30 year mortgage, your house may actually be worth what you paid for it, and you will be able to recover the full amount if you sell.  

Of course, in reality, very few people stay in their homes for that length of time, and if they do, they are not likely to sell it at any point.  Keep in mind that a house is a place to live, and not an investment. While mortgage interest drastically increases the cost of your home, the good news is that you can minimize its cost over time.  You can do this by paying extra down on your principal, and thus reducing the amount that interest is charged on.  

While you can make extra payments on your own, it is often difficult to set the money aside and to know exactly when and how much to pay extra. There are now software programs available to help you make these determinations.  These programs can look at your budget and show you how to leverage your income to pay down your mortgage as fast as possible.  While there is extra expense involved with using a software program to help you pay down your mortgage, it does make it easier and more efficient.  The savings from such a program should more than pay for it.  

When looking to get a mortgage or to pay off your current mortgage, it is extremely important to understand the role mortgage interest plays.  Many people just look at the monthly payment and don’t consider how much of it is going toward interest and how much is actually going to pay off the house.   One strategy when figuring out how much you can afford on a monthly basis for a house is to back the number down by $ 100 per month.  If you can afford $ 1,000 per month, back it down to $ 900.  Find a house that you can get a mortgage for $ 900 per month.  Then consistently pay the full $ 1,000 per month.  You will pay down your principal much faster with this strategy.   If you can pay $ 1,000 per month over 30 years at 6% interest, you can afford a $ 166,000 house.  If you decide to pay only $ 900 per month over 30 years at the same rate, you can still get a $ 150,000 house.  In fact, you can probably negotiate a $ 166,000 house down to $ 150,000 and end up with the same house for $ 100 less per month.  And if you put that extra $ 100 toward the principal you will make serious progress toward paying off your house.  If you opt for the $ 166,000 house your first payment will be $ 995.  $ 165.25 will go toward principal, while $ 830 will go to interest.  If you decide on a $ 150,000 house, your first payment will be $ 899.  $ 149.33 would go toward principal and $ 750 to interest.  If you then pay the extra $ 100, you will pay $ 249.33 toward principal.  In the first scenario, only 17% of your first payment will go toward principal.  In scenario two, 28% will go toward principal.  

If you have knowledge about how mortgage interest works and how it will effect the cost of your home, you can make better decisions on how much to borrow and how best to pay off your home.  Educate yourself on this issue, and you can save thousands, even tens of thousands.      

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