lighthousegtr asked:


I have been separated ( not legally) from my wife for about a year and a half. She has opened and run up to the limit and past a number of credit cards in her own name. Now she is considering Ch.13 bankruptcy.
There are 2 accounts that we still have together. Her car and one consumer loan . She pays for her car, but I have been making the payment on the consumer loan. If she does file Ch 13, how might I be affected ?
We live in California.
If she includes the 2 accounts we still share, how might I be affected? Could I be forced into Ch 13 , as well ?

Chad

pootie tang asked:


With everything in the news lately about the mortgage and credit crisis, it got me to wondering - when is the blame going to fall where it belongs? Why is it so hard to understand that there are companies out there who are simply taking advantage of consumers? There are laws against usury, but there are always loopholes and these predatory lenders exploit them to the fullest. They hire lawyers that advise them of how to get around the laws.

Of course, the consumers are always partially at fault, either by not reading terms and conditions or ignoring important loan language that ends up with them not being able to pay their bills.

When will the government stand up and hold these companies accountable? They are ruining people’s lives.
I agree with you guys, I do. I don’t think it’s right for the government to be bailing people out of bad decisions by offering handouts. And it is definitely the consumers’ fault for putting themselves in these predicaments. My question is - when and how will somebody keep this from happening in the future? The law needs to be firm with lending practices so the consumer and the financier are working in harmony. Right now it seems to me that there are too many companies operating in the gray area between what is ethical and what is legal.

Mario

Liam Gerken asked:




A recent report has revealed that doorstep lenders are homing in on the UKs most financially deprived areas in an attempt to win customers who are being declined credit elsewhere.

Doorstep lending has been around since the early nineties, and although business died down for some time; as high street banks began to cater for bad credit customers the credit crunch has left the majority of these customers in a state of desperation.

As the name suggests, doorstep lending involves lending firms going direct to consumer’s doors where they often offer small cash sums, over short periods of time. The loan is then repaid on a weekly basis to a local agent who calls at the borrower’s home.

This considerable pressure, coupled with the vastly inflated interest rates has resulted in doorstep lending practices being heavily criticized by consumer groups over the years. Doorstep lenders defend their high interest rates, which can be as steep as 60% for a

]]> http://consumerloanportal.com/finance/loans-doorstep-loans/feed/ http://consumerloanportal.com/finance/positive-credit-report-can-help-borrowers-access-cheap-loans/ http://consumerloanportal.com/finance/positive-credit-report-can-help-borrowers-access-cheap-loans/#comments Thu, 02 Sep 2010 02:51:33 +0000 admin http://consumerloanportal.com/finance/positive-credit-report-can-help-borrowers-access-cheap-loans/

Abbi Rouse asked:




Those people looking to apply for a loan need to take steps to make sure that their credit report reflects them in the best light possible, it has been suggested.

Speaking earlier this week, Neil Munroe, external affairs director for Equifax, reported that as numerous high street lenders and credit card companies are lowering their borrowing limits, applicants more than ever need to look into managing their financial history “pro-actively”. In addition, the credit information provider asserted that consumers are seeing some providers increase interest rates on personal loans and other types of borrowing, which in turn may limit access to cheap loans.

As a result, those people looking to take out a loan have been urged to get a copy of their financial history before making an application as doing so can help them secure a more competitive rate of interest on their borrowing. The Equifax official pointed out that when making a decision on whether to issue money to consumers, loan lenders make checks with credit reference agencies to judge applicants’ previous ability to keep up to date with borrowing repayments. Additionally, he asserted that providers also make use of a “credit scoring” system, which helps them to decide whether or not to lend and what level of interest to attach to loans. Thus, Mr Munroe stated that those with the most attractive credit score will find they have the most borrowing options available and will be able to secure the cheapest loans possible.

He said: “Whilst we don’t want to encourage people who are already struggling with debt to take on more loans, there is a good proportion of individuals who are creditworthy who might be refused for example simply because their electoral roll information on their credit file is not up to date. The problem is that any information that does not match the application could mean a refusal. And lower scores could mean that individuals are not offered the best rate of interest on a loan or credit card.”

The director added that it is for these reasons that it is important that consumers “regularly” get copies of their financial history and credit rating. Mr Munroe also asserted that “this is certainly worth doing if they are planning to take out a new loan or credit agreement”.

In addition, he pointed out that a low credit score could be caused by something “as simple as not being registered to vote”. However, Mr Munroe claimed that it is “pretty easy” in instances like this to get such information updated.

As a result, those looking to make their financial report look as attractive as possible were advised to make more than the minimum repayments as much as possible on existing borrowing. By doing so it was suggested that not only will borrowers benefit as they give their file a more positive appearance from paying back debts quickly, they will also be shelling out less money in interest each month.

In addition, should a change in consumers’ circumstances cause them to fall behind with making borrowing repayments, for instance if they have lost their job or got divorced, Equifax advised them to make lenders aware of this. Consequently, lenders were suggested to be likely to take such alterations into account when judging an application for a loan.

And after receiving such a loan, borrowers may be well advised to consider their spending carefully. Earlier this year, Helen Saxon, spokesperson from the Finance and Leasing Association, reported that if used wisely credit can be “a good thing”. However, she asserted that although personal loans and other types of borrowing can help many people purchase items “that otherwise they couldn’t afford or that they would have to save up for a long time for”, consumers - and lenders alike - must ensure that they will be able to afford to make repayments.

Micheal

Marcia Bartlett asked:




If you find yourself in an emergency situation and need to pay your rent in 24 hours to 48 hours, in order to avoid further negative action from your landlord, an emergency cash loan is a fast and convenient way to get the cash you need. Emergency cash loans are offered to consumers (in states, where cash advance services are accepted and legal), to those who need cash on the same day or the next business day in order to meet financial obligations such as paying rent, making car payments, groceries, children’s needs, etc.

My rent is late and I’m facing eviction from my landlord. What should I do?

The best thing you can do when facing negative action from your landlord, due to late rent is to take corrective action - immediately. The worse thing you can do is, nothing.
Contact family members or friends to get a temporary loan, if possible. If you don’t have these resources available to you, apply for a short term personal loan that is guaranteed in 24 to 48 hours, with minimal qualification requirements.

What is the best way to get my cash fast?

The most effective way to get the cash you need fast is to make it easy for your loan representative to review your loan application. The information you provide must be truthful and precise. Ensure that your employment history is accurate and that you have worked for at least a minimum of three months.

How much money do I have to earn to qualify?

Most lenders require applicants to make at least $1000 per month after taxes and other deductions. The higher the amount you wish to borrow, the higher your monthly income must be.

Ramon

Sharon Listner asked:




It’s no secret that bankruptcy takes a toll on your credit score. Your credit score also known as your FICO score is a number between 300 to 850. A 300 FICO score is the lowest FICO score that you can have. The higher your FICO credit score, the better.

A person with a credit score above 670, is considered to have a good credit score and can therefore apply for car loans, mortgage loans, personal loans, debt consolidation loans, etc, with no problems. In addition, people with good credit scores get better interest rates on loans than people with problem credit.

If you recently filed for Chapter 7 bankruptcy or Chapter 13 bankruptcy, you may be worried about your ability to obtain financing for a new/used car or refinance an existing auto loan.

The fact is owning a vehicle is essential for most Americans. Whether you live in New York city or the suburbs of Houston, Texas, having your own car, means getting to places on time - especially work. You can rely on buses and trains to get you to your destination but everyone knows that you are the whim of public transportation, which can be unpredictable.

If you have a low credit score below 600 or slightly above, the best way to find a new/used auto loan or auto refinance loan, is to do your research. Simply put, take advantage of internet resources. Why waste time calling multiple auto lenders that are listed in your local phone book, when you can apply for an online auto loan and get a response in a few days or 24 hours.

Cecil

Tom Levine asked:




Are you the victim of a high interest rate auto loan? If so, the following email discussion may help you. Read on:

DEAR LoanResources.Net:

I was very impressed with your article entitled “8 Point Checklist, Evaluating Online Lenders [http://www.loanresources.org/articles.htm].”

I have tried several sources to refinance my auto. I only have 2 more years to pay $245.04 a month. I owe 4,414.00 on the car loan.

This may not seem like a lot of money but I would like a lower interest rate on my car loan which is now $16.4% APR.

I want to still pay it off in 24 months but at a lower rate so that I can use the money saved to help pay off other bills.

In my internet searches, the auto refinance loans required that you borrow more money than I need. I tried to search for unsecured personal loans on your website and they also required that I borrow more money.

I have a very good credit record and I am working to get some of my bills paid off.

Is there anything you can suggest so that I can get a lower rate auto loan for under $5,000? Any assistance will be appreciated.

Thanks. Geraldine W.

DEAR Geraldine:

Sorry I have not gotten back to you sooner. I took a couple weeks off to be with family…Thanks for the compliment on the article!

Anyway, I read your email and I do indeed have a suggestion or two that I’m happy to share.

A COUPLE THINGS INITIALLY:

1. First, you’re paying a very high interest rate at 16.4% APR for an auto loan! I’m going to assume that your statement as to your good credit is accurate. If that’s true, then you do indeed need to fix this.

2. Since you only need $5000, with the intention of paying it off in 2 years or less, I don’t think you should look for a refinance auto loan or a refinance on your home. Indeed, the bank is going to want to loan you much more money, usually at least $25,000. While a refinance or equity loan on your home does offer tax benefits, we’re only talking about interest on $5,000 over the course of 2 years. I have another idea you may not have considered.

HAVE YOU CONSIDERED?

Have you considered just putting the balance of your car loan on a credit card that has a lower interest rate?

1. Credit Cards are, indeed, unsecured lines of credit with financial institutions.

2. They are the perfect financial vehicle for a $5,000 transfer of debt, with added flexibility, and you should be able to find an interest rate between 9 to 11%, and better, on average.

3. IN ADDITION! Once approved, the bank will usually give you blank checks for balance transfers (sometimes they’ll just do it for you right over the phone)…,

4. AND GUESS WHAT? The majority of the time, the incentive interest rates on the balance transfers are EXTREMELY low; sometimes zero percent for up to 6 months to a year.

5. IN ADDITION! you can apply for incentive cards that provide rewards for your spending….free airline miles, cash back programs, etc. I use the American Express Blue, and I get cash back of up to 3% on everything I spend. So, for $5,000, 3% cash back, AMEX(TM) pays me $150.

How do you like them apples? The bank pays YOU to borrow money.

RECOMMENDED PLAN OF ACTION:

So, Geraldine, here’s what I recommend you do:

1. Go back to our website, and explore the credit card offers we’ve recommended [http://www.loanresources.org/credit-cards-with-rewards-1.htm]. We’ve picked out what we think are the best offers, and there are a LOT of them, so think of it as a much needed shopping trip! Pay particular attention to our links for “incentive cards”. We have two pages of them.

2. Apply for whatever card or cards suit your tastes and needs. There are so many great reward cards. Limit yourself to only your imagination.

3. Get approved, receive card, and receive balance transfer checks.

4. Pay off loan to 16.4% bank!

5. Pay off credit card loan (with extremely low rate and incentives), at your leisure!

…And enjoy the fact that you just made an excellent financial move, saved money, made money, and gave yourself the flexibility to manage your debt on your own schedule…

Hope this helps…Let me know how it all works out.

We’ve enjoyed providing this information to you, and we wish you the best of luck in your pursuits. Remember to always seek out good advice from those you trust, and never turn your back on your own common sense.

Publisher’s Directions:

This article may be freely distributed so long as the copyright, author’s information, disclaimer, and an active link (where possible) are included.

Disclaimer: Statements and opinions expressed in the articles, reviews and other materials herein are those of the authors. While every care has been taken in the compilation of this information and every attempt made to present up-to-date and accurate information, we cannot guarantee that inaccuracies will not occur. The author will not be held responsible for any claim, loss, damage or inconvenience caused as a result of any information within these pages or any information accessed through this site.

Cory

Rob K. Blake asked:




Many consumers consider consolidating debts when doing a refinance. This is something that could be beneficial to many people, but there are also some disadvantages to this action that need to be considered as well. Taking these into consideration prior to refinancing will help you in deciding if this is a proper alternative for your situation.

Pros of Consolidating Debts With A Refinance

-Less creditors
-Lower monthly payments
-Lower interest rate
-Interest may be tax deductible

One of the major advantages of consolidating debts when you refinance a mortgage is the fact that you won’t have as many creditors to pay. Instead of having to pay several creditors each month, you will now only have to pay one creditor. This makes things much more convenient when mailing out your bills or visiting an office to make your payment, as you now only have one place to mail a check to or visit.

Since the term of a mortgage is longer than a credit card or consumer loan, the monthly payment will be much lower. Also, when your bills are combined the monthly payment will be less than the total monthly payments of all the bills added together.

Another factor in why the payment will be lower is due to the interest rate. Interest rates on a mortgage will be much lower than a credit card interest rate or the interest rate you will be paying on a consumer loan.

The interest you pay on a mortgage can also help when it comes to tax time. Interest on mortgages can provide a deduction on your taxes, while interest paid on any other debts have no bearing on your taxes.

Cons of Consolidating Debt With a Refinance

-Harder approval due to larger loan amount
-The possibility of reopening credit cards
-Debt now secured by home

The more you borrow, the harder it is for a refinance to be approved. Lenders typically use what is called an equity ratio to determine things such as your interest rate and how much you can borrow. For example, if you are borrowing $80,000 on a home that is worth $100,000, you will be using up 80 percent of the value of your home. If you are only borrowing $50,000, resulting in only a 50 percent equity ratio, the loan will be approved much easier, and you may even get a lower interest rate.

One thing that seems to cause problems for many people after consolidating their credit cards is the temptation to use them again after they have been consolidated. This leads to problems because now not only do you have to make payments on the money you used to consolidate these bills through your refinance, but you will also have to start making payments to these credit card companies again.

Another thing to keep in mind when consolidating with a refinance is that the bills you are paying off will now be part of what you owe on your home. This means that if you default on your payments, the bank can foreclose on your property.

Knowing the cons as well as the pros of consolidating with a refinance can help in making the correct decision as to if this is the correct choice for you. While many people may not be aware that consolidating debts with a refinance has some negative aspects, they are something that should be thought about before making a decision.

Norma

Nickname? asked:


Please give me a formula in which i could solve theses problems by (you don’t need to solve all the problems to get the best answer but it is prefered:
1.Workers at a particular company have won a 7.6% pay increase. Moreover, the increase is retroactive for six months. Have x as the employee’s previous pay. Solve the amount of retroactive pay due the employee, the new annual salary, and the new monthly salary.

2.The public utilities commission has decided that the electric company overcharged its customers for two months’ last year. To make up the difference to the customers, the commission therefore orders the company to decrease next month’s bills by 10%. The city also levies a 3% utility tax, which is to be applied to the bill before it is discounted. Also, the 10% discount does not apply to the utility tax. Assume electricity costs $0.16 per kilowatt-hour. What will be next month’s electricity bill, if x is the kilowatt-hour of energy consumed

3.Negotiating a consumer loan is not always straightforward. One form of loan is the discount installment loan, which works as follows. Suppose a loan has a face value of $1000, the interest rate is 15%, and the duration is 18 months. The interest is computed by multiplying the face value of $1000 by 0.15 to yield $150. That figure is then multiplied by the loan period of 1.5 years to yield $225 as the total interest owed. That amount is immediately deducted from the face value, leaving the consumer with only $775. Repayment is made in equal monthly installments based on the face value. Thus, the monthly loan payment will be $1000 divided by 18, or $55.56. This method of calculation may not be too bad if the consumer needs $775, but the calculation is a bit more complicated if the consumer needs $1000. If x is the amount the consumer needs to receive, and y is the interest rate and z in the duration of the loan in months, then what is the formula to calculate the face value required in order for the consumer to recieve amount needed? What is the formula for the monthly payment?
If possible please leave an explaination
I need this BADLY!

Matthew

Darryl Parker asked:




There is hardly anyone who is not affected by the present economic problem all over the world. The monthly salaries are mostly being cut. Even hourly pay rates have been slashed down. Many companies are retrenching most of their employees. How can anyone live an affluent life? It will be hard to pay back the loans secured by you previously. These loans comprise your home loan, credit card borrowings, vehicle loans, etc. In such a condition, debt consolidation consumer loans can bring some respite to you from sleepless nights.

How does a debit consolidation loan help?

It aggregates all your different loans into a single loan making it possible for you to liquidate all of them. After consolidation, rather you will pay back only a single monthly installment that will take care of all the debts, and it will be easier for you to control your monthly budget. If you go for a loan your repayment period will be extended.

Advantages:

You can get many advantages from loans. You get the biggest benefit from debit consolidation as you are required to pay only a single installment of loan every month. The applicable interest rate on debt consolidation is usually lower than that charged on any other type of loan. It relieves you from paying heavier installments to pay off your loans as you have to pay only small installments.

Best Option for a debit consolidation loan for you:

At the time of deciding the most suitable loan for you, it is better first know about the several types of schemes accessible. You should be clear about your financial status before going for the debit consolidation. There are several categories of debit consolidation programs such as a personal consolidation loan, a home equity loan, home refinance and the credit card loan consolidation. Every program has its advantages and disadvantages. It is recommended that you should take the guidance of a debit consolidator to select a scheme suitable for you.

Can you get a debit consolidation loan?

You cannot be sure to get a loan. In case you have only a small loan that ranges from $2000 to $5000, most likely you may not be eligible to get a debit consolidation. In such a situation, you will require to contact a credit guidance organization that can tell you the way to take care of your finances. You should only utilize the facility of consolidation consumer loans, and in case, if the total amount of your loan exceeds $10000.

Documents required for applying a debit consolidation consumer loan:

For applying to a financial organization to get a debt consolidation loan, you should keep the essential details ready with you. These details comprise of your latest credit card statements, details of your other loans and mortgages, bank dealings, some of your present monthly salary slips to validate your income.

These are useful tips for debt consolidation consumer loans that you can use for your benefit.

Tim