What Can I Do To Improve My Credit Rating?

It may surprise you but it's true that most people spend more money than they earn. Think about that for a moment, does that sound possible? Well it is if you purchase items using credit!

Using credit is nothing to be ashamed of and can be a great way to purchase things and then pay the amount back over a set period of time. However as many people have found out, things can go horribly wrong if you don't keep up with payments. One of the ways to make managing your credit bill easier is to improve your credit rating. What this will do is first improve your chances of successfully applying for credit and it can also reduce the overall money you will be paying.

So how can you improve your credit rating? These are the main ways to improve your credit rating.

Pay on Time Yes, it may be basic but you'd be surprised how many people don't make their credit payments on time. If you're late in paying your fees, you will be charged an additional fee, not to mention you will be damaging your credit rating.

All late payments will be recorded and a history of your credit situation is recorded. Payment time is quite a significant element to your overall credit score and can account up to 30%. If you do find yourself being late on several payments, best thing to do is catch up and stay on track. Your recent payment history is more important than your past history, so you can turn things around.

History Matters Unfortunately your history isn't completely a thing of the past when it comes to credit. However having a history of credit card or a loan will work in your favor provided you have a positive history. If you do have some sort of history it will work in your favor as it proves that you are able to make timely payments and have experience with credit.

Credit Cards Credit Cards can be a blessing but they can also ruin your life if you're not careful. It's actually better for your credit rating if you have at least one credit card as it shows you have experience with managing credit. However don't have too many credit cards as it gives the impression that you don't have the money to purchase items outright. If you have too many maxed out credit cards you will probably find yourself being refused any more credit. It's really important you pay off your credit card(s) as quickly as you can.

The key to improving your credit rating and having a pleasant experience with credit is to pay your credit payments as fast as you can. That doesn't mean paying one credit card off with another credit card! There's no huge mystery behind it, simply don't spend what you cannot afford to pay back. A little credit bill may not put you in a dire financial situation, but remember, everything in moderation even credit!

About the Author
Darrell Knox is a writer and entrepreneur with 15 years of home business and marketing experience.Website: http://www.acemendcredit.com/fuel.pl/--.html/.html

Clean up Your Debts - Secured Consolidation Loans

Our dreaming for things we can't afford leads us to take debts. Besides this, debt also arises when we make credit purchases or when we receive our monthly bills for electricity, water, and credit card unpaid bills, house rent etc.

When all such debts are more than what we can afford we face trouble in repaying them. In addition, repaying these debts installments involves all hassle of calculating interest rate at variable rates. This also leads to miscalculations which affect your budget and monthly expenses. Secured consolidation loan can help you in bringing your debt count to zero with ease.

Secured consolidation loan are for consolidation of your debts by reducing them in numbers. These loans are secured by your home or any other valuable asset or property as collateral. Being secured it offers you to make repayments at lower rates, which is much lesser than what you are paying now with too many debts.

With the loan amount you can clear off all those debts with ease leaving you with a single monthly repayment. People facing the trouble of bad credit due to numerous debt and arrears can also make use of secured debt consolidation loans to enhance their credit score.

Secured consolidation loan can get you amounts between 5000 to 75000 and even more in certain cases. However, the amount of loan you can avail depends upon your credit history, repayment capacity and the collateral you are offering. As the repayment period is quite longer ranging between 5 to 30 years.

A secured debt consolidation loan should be selected with certain care and alertness. A secured debt consolidation loan take at undesirable terms will be difficult for you to pay afterwards. This requires extensive survey from the borrower for interest rates and repayment terms and conditions for a secured debt consolidation loan.

Internet plays a vital role here as it saves you from visiting each lender personally to get the quotes. You can get free online quotes and compare them with online tools. There are tools such as debt and repayment calculators, repayment table, and budget planners to get a better understanding of the loan package. You can apply for a secured debt consolidation loan by filling a simple application for with the requisite details.

Secured debt consolidation loan are becoming popular as more and more people are facing the problem in paying debts day by day. Secured debt consolidation loans acts as the best solution for getting rid of debt related troubles.

About the Author
Andrew Baker has done his masters in finance from CPIT. He is engaged in providing free,professional, and independent advice to the residents of the UK. He works for the LoansFiesta for any type of loans personal loans, Secured consolidation loan , bad credit personal loans, unsecured loans, low cost secured loans, debt consolidation loan in UK please visit http://www.loansfiesta.co.uk

Debt Consolidation

10 Things Commonly Unknown About Home Mortgages

When you buy a home for the first time there are a lot of things that the average person does not know about mortgages.

Through the home buying process most of us learn a great deal, but had we known these things before hand the process might have been a bit easier, and there are even ways that you can save money! Knowledge is key when dealing with mortgages, and here you will find ten things that you may not have thought of before.

0% Down Really Can Happen
You truly can buy a home with zero payment upfront. No, this isn't available to everyone, but for first time homebuyers and those with limited income they may find that zero down is a real option for them. In fact, not only do you not have to put any money down you'll also find that there are government agencies that will pay your closing costs for you. Even for those that don't qualify for the zero down loans there are some great mortgage rates that will allow you to get into a home with relatively little down.

You Might Want To Consider an Adjustable Rate Mortgage
In the past adjustable rate mortgages or ARM's have gotten a bad name because they are associated with interest rates that fluctuate each year. The thing is that ARM loans come in many varieties such as a 5-1 arm, which will be fixed for the first give years and then resets each year after that. This can be an ideal way to save money because ARM loans have interest levels in the 5.8% range while a traditional mortgage is in the 6.3% range.

Adjustable Rates Can't Fluctuate All That Much
As mentioned above, ARM loans have gotten a bad reputation in the past because the interest fluctuates over time. What most people don't know is that the rates cannot simply go through the roof, as they typically have a cap on how high they can go. This makes an ARM loan a great choice for a lot of people because the rate can't go all that high and you can often start out with a much lower interest rate for the first one to five years.

Interest Rates Can Save You a Bundle
If your home mortgage currently has an interest rate of 7.5% and you've seen that current interest rates are less than 6.5% it may not sound like a lot, but it can save you more than $100 a month if you refinance at the lower cost. Of course, you still have closing costs when you refinance, but if you are going to live in the house for at least two or three years you'll find that you will break even quite quickly and then continue to save money over the long run. One interest point can make a lot of difference over the course of a year, and certainly over the course of a 30-year mortgage.

Mortgage Brokers May Be Worth Your Time
If you don't know a lot about mortgages and you need a bit of guidance, you may find that a mortgage broker can help you decide what type of mortgage is perfect for you and your circumstances. Mortgage brokers can help do a lot of the leg work researching the products and loans offered by certain institutions or lenders and then help you decide which the best is for you.

Your Credit Union is a Great Resource
When you check with your credit union or bank you may find that they simply are able to offer you the best interest rate you can find. A credit union can often offer mortgage rates for up to 1% less than financial lenders. The Internet is also a great mortgage resource, as it is a very competitive market and you can find many lenders that are willing to work with you no matter the situation.

You Don't Have To Use a Mortgage Broker
A mortgage broker can be really helpful if you don't know any thing about mortgages or if you have a troubled credit history. But, if you are one of the lucky home buyers that has perfect credit and is able to put 20% down on the purchase price you'll find that your lender and your realtor can often get all of the work done, so there is no need for a broker.

The Internet Has Great Tools
There are a lot of tools on the Internet that will offer to do your math, such as calculate mortgage payments, how much of your payment will go toward the principal, and more. These tools are often helpful in deciding how much you can afford to pay each month.

Paying Points on Your Mortgage Can Work Both Ways
For some people paying points makes sense, and for others it does not. If you pay points up front you can often get a lower interest rate. The lower interest makes senses if you plan to live in the house for an extended period of time, but if you don't you're probably better off skipping the points.

You Can Take Your Mortgage with You
Starting in 2003 you could get a mortgage that was as portable as you are! These mortgages can be transferred from home to home when you move, paying only a small interest fee each time it is transferred to a new home.

As you can see, these ten things can help you get the mortgage that's right for you. Armed with the right information mortgages aren't so confusing!

About the Author
Andrew owns a website that provides useful tips on home mortgage loans. You can visit his website at: http://www.buy-and-sell-house-fast.com/ for more tips.

Mortgage

Say goodbye to multiple loans with debt consolidation

Suppose it is the 10th day of the month and you have just received a call from one your many creditors reminding you about the date of payment of the monthly instalment you owe to him. Just as you keep the receiver down, another lender calls you and tells you that you have missed the payment for the current month and that a late fine of 5 pounds will have to be paid by you along with the monthly instalment.

Finding yourself at a loss, you ask your wife how many loans you have actually borrowed and get a confused reply: "It is 5...or 6...? I am not very sure actually?!"

The situation described above may seem ludicrous, but there actually are many people in UK at present who are similarly bewildered at the beginning of every month when the due dates of the monthly instalments come and go. It is for such puzzled and troubled people that a debt consolidation loan is meant.

The primary purpose of a debt consolidation loan, as is clear from the term itself, is to consolidate all your present debts into one so that they become manageable for you. Other advantages of a debt consolidation loan are:

o Improvement of your credit record
o Freedom from multiple creditors and their frequent reminders
o A long repayment term which brings down your monthly instalments
o Lower and sometimes fixed interest rate

Like some other loan products, debt consolidation loan too can be secured or unsecured.
A secured debt consolidation loan requires collateral to be furnished by the borrower and therefore it turns out to be a low-risk enterprise for the lender. He thus can allow you low interest rates and long repayment term.

An unsecured debt consolidation loan, on the contrary, requires no collateral to be furnished by the borrower and hence it becomes a high-risk loan product for the lender. He, thus, can not afford to allow low interest rate and short repayment term for the loan. As a result the monthly instalments for the borrower will become high. But, considering the risk which the lender faces in disbursing such a loan, the disadvantages can be overlooked by the borrower.

Debt consolidation loan are available to people with poor credit record as well. So, if your multiple loans have resulted in missed payments, arrears, defaults, county court judgements (CCJs) and bankruptcy being written against your name, you need not worry.

Before you apply for a debt consolidation loan, log on to some online sites and compare the interest rates offered by the best lenders UK. This will help you choose the best deal for yourself and save you valuable time.

About the Author
The author is a finance expert and is currently working with Shakespeare Finance Ltd.

Debt Consolidation

Do You Need a Mortgage Loan?

Mortgage loans are available from a variety of sources. Banks, savings and loans and lending companies all have funds available for mortgages, as does the government. If you are buying a house and are trying to obtain a mortgage loan, the best thing to do is to shop around using the phone book or internet. The borrower wants to find the best terms for the loan.

Mortgages differ in terms of length of time and rate of interest. The term of the loan and the interest rate are directly related: the longer the term of the loan, the higher the interest rate. The interest payment is compensation to the lender for the use of his funds.

The amount of money that you can borrow for the mortgage is dependent on several factors, basically what you can afford. Your income has to cover the monthly payments and still leave you with money to live on. The most important factor in qualifying for mortgage loans is the debt-to-income ratio. This is what percentage of your income is used to pay debts.

The more bills you have, the higher your debt-to-income ratio. A debt-to-income ratio of twenty-five percent is considered to be good. A shorter-term loan means higher monthly payments. But it also means that you will build up equity faster, pay off the loan quicker and pay less interest.

Longer-term loans have lower monthly payments because the borrowed amount is spread out over more years. It also takes more time to build equity and results in higher interest payments over the term of the loan.

Mortgage loan interest rates can also be fixed or variable. Fixed interest rates means the lender in locked into the specified rate of interest. The borrower is protected if interest rates rise but if interest rates fall, he's locked-in at the specified rate. The borrower still has the option to refinance at the lower rate. An adjustable-rate mortgage (ARM) is where the relevant interest rate is tied to an index of interest rates.

The applicable interest rate, then, varies according to the index; the ARM raises when the index rises and the ARM falls when the index falls. The terms of adjustable-rate mortgages are stated and should be looked over very carefully. On the surface this kind of mortgage looks very desirable, but if interest rates are rising, so is the interest the borrower is paying on the mortgage. Since most mortgage loans are long-term, twenty-five or thirty years, there is no way to know what economic conditions or interest rates will be like then.

What looks like a good deal now, when interest rates are relatively stable (until recently) may turn out to be a nightmare in fifteen or twenty years. So whether the borrower borrows at a fixed or a variable interest rate is one of the most important decisions to be made when obtaining a mortgage. Refinancing is always possible.

There are also government backed loans available from the Veterans Administration and the Federal Housing Administration. For both of these there is a maximum amount that can be borrowed that isn't dependent on location or on the cost of the house being purchased. This is why it is best to shop around for mortgage loans to see what the best deal is.

About the Author
For more mortgage loan information, visit http://www.1st-low-rate-loans.com

Mortgage

5 Tips To Prepare For A Home Loan Application

So you need to get a home loan to finance that new house? There are some things you must know to prepare yourself adequately for a favorable application.

1) Know your state of finance. Tabulating the numbers is the key to avoid future disappointment. Is the price of the new house within the range you can afford? How much you can afford will also be influenced by home-related cost like furniture, home accessories and gadgets, insurance, utility bills etc. Self-awareness through budget planning--a few months beforehand--enables you to anticipate for the amount of loan required so that you can repay it promptly.

2) Know your credit report is in good stead. Your credibility is what the lending company looks for in your financial background before it can approve a loan. You can find out your credit score through reports generated from Equifax Score Power, True Credit, or Consumerinfo. A low score almost always leads to high interest rates. Many factors determine your score, including length of history, income, a profiling of your debt and credit obligations etc. If there are areas in your report which can be improved, like closing unnecessary accounts, take the necessary actions and wait around 60 days for the latest status to take effect, then get another copy of your credit report.

3) Know all that you need about the fees and interest rates. Do a comparison of all the lending companies before settling down on the suitable one. Check that all terms and conditions are understood, and there are no other hidden cost. If you have questions, simply ask to clear the air.

4) Know what's the repayment method is like. Depending on the company's policy, you may pay back a portion of the loan plus interest, just the interest for the whole length of the loan plan or the complete sum including interest after the plan is completed. Discuss with the loan officer about your personal repayment capability to reach a mutual agreement.

5) Know what documents are needed for the application. Again check with the loan officer early to give yourself time to prepare them, which are likely to be your pay slip, home insurance policy, driver's licence and social security information. Finally, if you can apply for a loan online, you are most encouraged to do so. Instant Internet access gives you convenience and cuts short the time instead of you having to wait in the office for the paperwork to be done.

About the Author
Home Loans and Bad Credit directory

Mortgage Terms Demystified And Explained

If you are looking for a property but are confused about all the jargon involved in mortgage lending, then this guide could help you. If you are confused between caps, bridges and balloon payments, then here are some useful tips about how to understand various mortgage terms.

ARM and FRM
ARM stands for Adjustable rate mortgage, and FRM stands for fixed rate mortgage. An adjustable of variable rate mortgage is one that has a changeable interest rate, which is usually linked to the performance of a particular financial index. A fixed rate mortgage is the most common type of mortgage, and has a non changing rate of interest over the entire mortgage term.

Balloon payments
Balloon payments are the final lump sum payments that you make on a mortgage. If you have an interest only mortgage or one that includes you paying a large percentage of the capital at the end of the mortgage, then you should make sure you know the exact amount you need to pay. If you cannot make a balloon payment then there is the possibility that you could lose your home.

Caps and bridges
A mortgage cap is a limit on the amount of interest you can pay on an ARM. For example, if you have a cap of 1% then and you currently pay 5.5%, then you can only be charged between 4.5% and 6.5% if things change. A bridge refers to a loan you can receive in order to buy a new home before your current one is sold. The loan 'bridges' the gap of finance that you are suffering. You can use your current home as the collateral for the loan and pay the money back once you have sold the property.

Amortization
Amortization is a term that confuses many people, as it is not obvious from the word what it is referring to. Amortization simply means the process of paying both the capital and interest back on your mortgage in monthly payments. If you have an interest only mortgage then you won't be subject to amortization.

Compound interest
Compound interest is something that you should be aware of, as it can cost you a lot of money. When calculating your repayments, you are sometimes the subject of compound interest. This means you are paying interest on the amount capital amount of the loan, as well as interest on the unpaid interest of the loan. In effect you are paying two types of interest, hence the interest is compounded. If you are looking for mortgages then get the lender to explain the level of compound interest that you will pay.

If you don't understand, ask
These are some of the terms that are often used when talking about mortgages, although there are many others as well. Getting a mortgage is a big step, so if you are unsure about what something means or do not understand, then ask the lender to explain it to you. If you choose the right lender then they will be happy to explain the terms and processes of mortgages to you so that you know what you are signing for.

About the Author
Peter Kenny is a writer for creditcards-gb.co.uk. For additional articles and an extensive resource for everything about credit cards, please visit us at Credit Cards and Best Mortgages

Mortgage

Interest Only Mortgage: It Could Cost You More

Over 200,000 homebuyers in London during 2005 took out an interest-only loan according to the Council of Mortgage Lenders (CML). None of whom had a repayment vehicle in place and of these, 60,900 were first-time buyers.

There are no figures available for the total number of homebuyers with interest-only loans. However, figures for new interest-only house purchase loans have been running at between 10 and 20 per cent for all new first-time buyers over the past 10 years, and roughly the same for other homebuyers.

With more than half of all mortgages now arranged through an intermediary, mortgage brokers could be in the firing line for claims of mis-selling if the homebuyer's loan reaches maturity and there is not enough cash to pay off the loan.

The CML is keeping close tabs on the situation and has set up a shortfalls working group to look into ways of encouraging consumers to act now to address any shortfall on interest-only mortgages.

"We are suggesting that when a mortgage comes up for review, for example, when it reaches the end of a concessionary rate, then it would be prudent to check on how the borrower intends to repay the loan," said a spokesperson for the CML.

Using an interest-only mortgage will keep your monthly payments down until you can afford the higher monthly payments of a repayment mortgage.

But because you're not paying anything off the amount you owe, you will probably end up paying more interest in the long run.

Interest only mortgages are a high-risk strategy that could come back to haunt advisers that set up the arrangement. An increase in interest rates could also hit these clients hard as they would have no fall-back option of reverting to an interest-only mortgage.

Simply enough, to combat the issue clients must be told that if they can not afford to pay for a mortgage, don't take one out.

Here's what you need to know. With an interest-only mortgage your monthly payments only cover the interest on the loan and do not actually pay off the loan itself.

If you take this option you will need to make separate arrangements to pay off the loan when the mortgage ends. You can make your arrangements through your lender - but it isn't compulsory.

If you don't arrange the funds at the end of the mortgage you may very well lose your home. Essentially, the money you pay to the interest only mortgage goes no where - you may as well rent.

You will have a substantial amount of time (depending on the actual agreement) to save regularly in order to make payments into a savings or investment scheme in order to build up a lump sum to pay off the mortgage when the time comes.

However, the returns offered by banking or building society accounts are usually too low to be used to pay off the amount borrowed.

Instead, it is common to accept some risk in the hope of a higher return by choosing schemes where returns are linked to the stock market. Although the risk is with these stock market linked schemes, there is no guarantee that your money will grow enough to pay off the mortgage in full by the end of the mortgage term.

Another option is to change to a repayment mortgage later. This might be a suitable option if your earnings are low now but are expected to be much higher in future.

Using a lump sum from somewhere else such as an inheritance or selling something such as another property or a business is another option and is also a risky one. You need to be sure that the inheritance will materialize and think about what would happen if your business was to fail.

Selling the property to pay off the loan is probably your last option. This is suitable only if you won't need to live in the property such as if it is a buy-to-let property or a second home, or you are buying something cheaper.

Whatever plans you make to repay your mortgage, remember to review them from time to time to make sure that they are still on track. In the first place, interest only loans should be a last resort and should always only borrow what you are guaranteed to be able to pay back.

About the Author
Mortgage gogetter provides upto date uk best mortgage articles.

Before You Refinance Your Home Consider This

Before you refinance your home, it is import to consider all your options. First of all, ask yourself, Will it really save me money to refinance? If you determine that it will, you then must decide what type of new loan is best for you and your unique situation.

In order to make money when you refinance, you must first consider the "break-even" period. This is the period of time that it takes for the savings on interest to cover the cost of refinancing.
How long will it take you to break even? That depends largely on the difference between the interest rate on the new loan versus the old loan. The smaller the difference, the more time it will take to break even.

Your lender will most likely tell you how long you will have to stay in your house to break even, but beware! The break-even period is NOT the cost of the new loan divided by the reduction in your monthly mortgage payments.

This equation is misleading to the customer, as it does not factor in the length of either loan. If you refinance from a 30 year loan to a 15 year loan, your break-even period could be much shorter than the number of months you will get from plugging numbers into the equation.

But if your refinance from a 15 to a 30 year loan, or even if you keep the same term, this equation could lead you to think that you will break even in a very short time, when in fact your break-even period could be much, much longer.

What type of refinance mortgage loan is best for your unique situation? Often, homeowners who have decided to refinance are tempted by the commercials advertising "no-cost" refinance loans. Can you really refinance your mortgage loan for free?

The answer is yes, but be careful. While there are true no-cost loans available from credible lenders, there are also dishonest lenders who can take advantage of you if you do not know your stuff. A true no cost loan means that the lender pays all the costs and fees on your behalf, does not charge you any lender or broker fees, all without increasing the final loan amount. Dishonest lenders include their fees within the loan, keeping them hidden, thereby increasing your monthly payments, which could actually cost you more money than paying the fees up-front.

Another important decision to make when you refinance is, Should I choose a fixed or adjustable rate mortgage? If you currently have an adjustable rate mortgage, or ARM, then refinancing to lock in a low interest rate can be very advantageous to you. If, however, you do not intend to stay in your home for more than a few more years, and your rate will not adjust for another couple of years, then refinancing from an ARM to an FRM could cost you much more than it saves.

When you decide to refinance your mortgage, it is important to consider all your options. It is also important to have a thorough understanding of your current situation, so you can compare loan offers and select the best one for you. Refinancing should put you closer to your long-term financial goals. Something that looks like a good deal in the short term may become a decision you will regret later on. Do your research, know your options, and you will be happy to sign on the dotted line.

About the Author
Robert Michael is a writer for Apre Finance which is an excellent place to find finance links, resources and articles. For more information go to: http://www.aprefinance.com

Refinance

Your Guide to Bad Credit Loans

Have you ever been in a situation where you were declined of a loan because of a bad credit history? Getting a loan with a bad credit may be difficult but that should not keep you from getting a loan.

Bad credit loans can be frustrating. What are bad credit loans? These loans are approved depending on your credit history. Remember that bad credit loans should help you in times of emergency. They are not there to burden you more. Here are some tips to guide you when getting a loan.

1. Apply a loan from small credit institutions. Getting a loan from big companies can be difficult because they have higher standards and stricter guidelines. Try applying at smaller credit institutions. Most of the time, these companies are more than willing to give you the chance.

2. Go to your savings institution or bank. There is a higher chance of getting a loan since you already have a business with them. Dealing with them would also be easier and the more chances that the loan would be approved.

3. Seek help from a relative or a friend. You may ask a friend or a relative to co-sign for the loan. However, make sure that the person who will co-sign for you has a good credit. That is because credit institutions would also check their credit records. Your loan would not be approved if the person who will co-sign for you also has a bad rating.

4. Make a research. There are credit institutions who concentrate with people having bad credit loans. Also, take note that credit institutions who focus on people with bad credit charge higher interest rates. That is because of the higher risks of the loans not being paid. You need to research well. Make sure that the credit institution you choose has lower interest rates than others.

5. Try applying for a secured loan. Secured loans have lower amounts, which is why it is easier to apply. You will be paying the loan on a monthly installment and with an agreed timeframe.

6. Make sure you are familiar with the important factors when applying for a bad credit loan.
Review their terms and conditions before applying. There are late payment increases, prepayment penalties and balloon payments that you should beware of.

7. Most importantly, fix your credit. Make sure that you check your credit reports regularly to monitor your credit status and find ways to fix the bad rating. Remember to eliminate the bad habits that led you in that situation. Do your best to get a better credit rating and prove to the lenders that you are able to pay your obligations.

With these guides, you may stop worrying but always keep in mind that nothing is better than having a good credit rating. Remember that discipline is the key to get you out of a bad situation. Having a bad rating does not mean that you are no good but you need to prove that you can also maintain a good credit rating.

About the Author
Dave Poon is an accomplished writer who specializes in the latest in Finance. For more information regarding Bad Credit Loan please drop by at http://www.bestbadcredit.com/

Refinance

Credit Score Essentials

Baseball coaches won't make a player a designated hitter unless their batting average proves that they're able to hit the home run! Likewise, banks and credit card companies won't lend money to people unless there's proof that they'll repay the loan. Lenders look for that proof in your credit score, the "batting average" of your overall credit history.

What's in your credit score? It's much more than a number attached to your credit report. It's an important piece of financial information that lenders look at when deciding whether or not you are a worthy investment.

You need to build the highest credit score possible to prove to banks and credit card companies that you'll repay the money they lend you well. Credit reports are scored on a scale between 350 and 850, and the closer your score is to a perfect 850, the higher likeliness your loan or credit request has of being approved!

Most credit scoring systems are calculated from all the different credit data in your credit report. This data is grouped into five categories:

Payment history. How well do you pay your bills on time?
Amount of debt. Do you owe lots of money on many accounts?
Length of credit history. How long have you had credit?
Types of credit. Do you have a healthy mix of credit (credit cards, installment loans, mortgage loans, etc)?
New credit. Are you taking on too much debt?

A credit score takes all these categories into consideration. No one piece of information or factor alone will determine your score, just as one hit alone doesn't determine a player's batting average. Remember that your credit score will change with credit report changes-- if you stop paying a loan, your credit score will go down. Similarly, if you begin paying all of your bills on time, your score will increase, and you'll qualify for a loan that's the equivalent of a home run!

About the Author
This article was written by Josh at ACCION USA (http://www.accionusa.org). ACCION USA provides business loans up to $25,000 to small business owners who need financing to expand their businesses.

Dont ruin your credit rating when applying for a loan

Homeowners wishing to apply for a loan typically get it wrong. Firstly, instead of applying to several different brokers hoping one of them will be able to get you a good deal, look at the brokers and what they offer.

Many brokers only deal wth a small amount of lenders or may deal only with larger brokers who deal directly with lenders. If you apply to these brokers then you are going to end up with several credit checks done - as we know already, this is detremental to your credit rating, multiply this by applying to several brokers online and how many credit checks do you think you will have?

Applying to just one broker who deals with many lenders will cut down on the amount of credit checks and, the amount of phone calls you get from many different lenders/brokers. Simply loans UK Ltd ( www.simplyloansukltd.co.uk ) deal with over 500 lenders!

This means we have a very good chance of not only obtaining a loan for you, but also getting a very good APR for you, resulting in lower monthly payments. So stop applying to many brokers and find the right broker and apply to them and let them do all the work for you.
www.simplyloansukltd.co.uk

About the Author
Jason Byrnes Director Simply Loans UK Ltd

Finding An Easy Equity Home Loan

There are many ways into making your search for Home Equity Loan Refinancing easier. However, all of those ways come under one heading... Research!

Your first step into researching would be to find an independent mortgage advisor. Typically, you should search for one that is local, so that they can give you specialized advice, tailor-made for your local area.

You can also search for web sites that have all the information you need grouped up into one place such as www.homeequityloanrefinancing.blogspot.com - A web site devoted to offering information and advice, about equity loans and finance, for Homeowners.

Another easy way to find a home equity loan is to simply find lenders and ask. Start checking out their web sites, call up and ask questions. They will be more than happy to answer!
Finally another way to help make applying for a home equity loan simple, is to understand the approval process.

Regardless of how you come to your decision, once you do decide to take out Home Equity Loan Refinancing, the criteria you need to fulfill to be accepted for a loan, will differ from lender to lender. However, they will all follow this simple four step formula:

Step one
You apply online, or in your local bank. The Loan Officer takes your application and mails it to corporate headquarters.

Step two
Your application is reviewed. A processor at those headquarters, reviews your documents and information. They then do a credit report and requests an appraisal.

Step three
Your application is then forwarded to an Underwriter. This is the person, who typically makes the decision as to whether or not to approve or disapprove your loan application.

Step four
If your application for a home equity loan is approved, someone called 'The Closer' assembles the paperwork and mails or faxes the documents to the local office and escrow or a title company closes the loan.

Remember, always do your research, and fully understand what Home Equity Loan Refinancing has to offer both you and your family.

About the Author
Allen Stevens, is the main writer for www.homeequityloanrefinancing.blogspot.com, and has previously worked in the Banking sector for 12 years as a loan advisor. Today, he works as an Internet entrepreneur.

Home equity rates as low as 5.74% with intro rates as low as 4.74%

Forget the past, rush to bad credit mortgage

If your bad credit history haunts you all the time and your dream of becoming a homeowner is unaccomplished because of lack of funds, then bad credit mortgage may give you all that you desire.

Bad credit mortgage is one of the preferred choices today, as a vast number of people are falling into bad credit.

Bad credit mortgage gives you ample opportunity to become a homeowner and start afresh by re-establishing your credit score. It is best suited to people with insufficient savings and limited income. It takes a lot to buy a new house, but with bad credit mortgage you may rest assured. So be it County Court Judgements, bankruptcy, arrears, default or missed payments, you still have the prospect to make your credit score better.

Bad credit mortgage is a kind of secured loan. The amount of money that you would be permitted to borrow depends upon the value of the house that you plan to buy. This type of mortgage is secured against the home that you are planning to buy. Therefore, the interest rate is low and monthly instalments are affordable.

If it happens that you fail to continue the repayments, your home may be repossessed by the lender. He would then further sell it off to retrieve his loss. So it's better to survey the market before you apply for a bad credit mortgage. You can get the quotes online to get a favourable deal.

About the Author
The author is a business writer specializing in finance and credit products and has written authoritative articles on the finance industry. He has done his masters in Business Administration and is currently assisting Debt Consolidation Park as a finance specialist. For more information please visit: http://www.bad-credit-mortgage-choice.co.uk

Mortgage

Unsecured loan: An ideal companion for non homeowners

An unsecured loan is a loan which doesn't require you to offer a collateral. So if you do not own a house and are in dire need of money, then an unsecured loan may give you all that you can ask for.

Availing an unsecured loan involves simple processing and ensures fast cash. Since no property evaluation takes place, an unsecured loan comes with less paperwork and no hassle. The time period between applying for the loan and getting the amount in hand is therefore, considerably less.

Usually, the interest rate for unsecured loan is higher than that of secured loan. This owes to the fact that nothing is pledged to the lender as a security. So there is a greater risk to the lender. That is why your credit history and income are thoroughly checked before your loan approval. Besides, unlike secured loan, the loan repayment duration is longer in case of unsecured loan. But this doesn't indicate that it's impossible to get an unsecured loan suited to your pocket with lower interest rates.

These days, there are numerous options available in the loan market. All that you need to do is carry out a market survey so that you get the quotes from different lenders. Then you can compare those quotes and choose for yourself the best unsecured loan plan suited to your needs. The loan amount and the interest can be repaid gradually in easy monthly instalments. You can simply apply online to get an unsecured loan and rest assured.

About the Author
The author is a finance expert and is currently working with Shakespeare Finance Ltd.

Refinance

Interest rates are rising, what can you do?

Interest rates are rising, what can you do? The recent tension in the middle east and the sharp rise in fuel prices have already caused a stir.

Today they increased interest rates for the second time this year. People were on the news saying they were already cash strapped and had been watching their spending. They are going to feel the pinch over the next few months.

As real estate property investors, what should we do then? Here's is a list of priorities that need to be addressed: First priority.

Exercise extreme caution and prudent due diligence on potential deals
Look at ways to reduce debt, particularly in the following situations:
* Personal debt (credit cards, personal loans)
* Home equity funded personal debt (equity loans used for lifestyle)
* Investment debt against non-income (i.e. growth) bearing property

Review your property portfolio
* Have strategies for protecting interest rate sensitive property
* Consider cutting the asking price for your real estate investment property that has been on the market for some time
* Re visit your calculations on your present deals based on interest rates being .75% higher. Act to protect your self and provide a buffer

Now would be an appropriate time to see your financial adviser and review your investments assets.

Second Priority
Build cash reserves. Cash is king, money talks B/S walks.
Increase your financial literacy. Anyone can make money in a boom, but it is much harder in uncertain times. Get your self more education and a mentor, attend more seminars. Renegotiate and lock in employment contracts, particularly subcontractors. Defer non-essential lifestyle expenditure.

Third Priority
If you are looking to borrow money for a real estate investment property, start working on a business plan.

Keep networking with people, you may not need them now, but you may need them in the future, proximity is power! A good peer group of people will propel your wealth creation.

Avoid Risky deals that require hard cash. Using your home equity to fund non-deductible lifestyle debt (jet ski's, holidays, motor bikes and cars etc).

Don't quit your job to become a full time investor
The financial excess that was in the boom times will quickly disappear when higher interest rates arrive. Times have changed and will change further. It's is critical that you always educate your self to the changing trends in real estate investing. If you need help then seek it out immediately, money and time spent to do this will pay huge dividends in the long run.

About the Author
www.therealestateinvester.com I am an experienced and passionate investor. I buy typical mum and dad type houses that give me cash flow and capital growth. My website offers helpful tips and ideas for any type of investor to help you with your wealth creation. Using my site will help to prevent you falling into the traps the inexperienced investors do.

Home Equity