Debt Management and Collections System: How It Works?

consolidate debts

Many of us have heard about debt management and collections system. But how does it really work? We’ve covered the topic very briefly already. But now we would like to discuss it at little more.

Debt Management and Debt Management Plan

If it’s hard for you to make monthly payments on credit bills, a debt management plan can be helpful for you. It’s possible to make a single payment to a credit counseling agency. After this, it will do the payments on your behalf.

Continue reading “Debt Management and Collections System: How It Works?”

Best Place to Get a Loan

best place to get a personal loan
Photo credit:

Do you need money for a mortgage, college class or car? You are not the only one.

Currently, 44 mln Americans took out loans to pay for college. Yet, we borrow not only for educational purposes. According to New York End, in 2017, the total indebtedness for U.S. households amounted to $13 trillion.

Borrowing is in DNA of each of us. The majority of us can’t afford to buy a home or a car outright. Americans can’t afford 70% of colleges.

Yet, the process of borrowing can be risky and lengthy. You should be really attentive not to borrow more than you are able to repay.

Knowing the best place to get a personal loan will help to make smart financial decisions. If you would like to borrow money to improve your financial situation and life in general, you should read about top 9 personal loan places.

Continue reading “Best Place to Get a Loan”

7 Personal Loans Facts Wikipedia Doesn’t Inform Us About

small personal loan
Photo credit:

We are used to believing that Wikipedia knows everything. Yet, there’s a huge gap in its knowledge – borrowing money. If you rely on Wikipedia when reading about this financial topic, you can make pocket-emptying mistakes.

We should know all the facts before a crisis starts. And when we need information – we are searching on the web. The main thing is to filter all the information and to choose the valuable facts. We have made it instead of you. Move on to read the list of 7 things Wikipedia cannot inform you about personal loans.

Continue reading “7 Personal Loans Facts Wikipedia Doesn’t Inform Us About”

Student Loans: How to Choose The Best

private student loans

Current student loan rates grow higher and higher. It gets really complicated to pay for studying. Students try to fill the gap between scholarships and savings with the help of the private student loans. Some companies claim that they are able to relieve your student debt. But some of them appear to be scams. Let’s discuss how to pay for college, where to get student loans, how to improve your credit history, compare the best student loan companies and select the best one.

Continue reading “Student Loans: How to Choose The Best”

Home Improvement Loans: Our Review

home improvement loans
Photo credit:

No matter whether you want to make a couple of upgrades or make an expensive new addition, if you don’t have enough money for this, you would like to take out the best home renovation loan. When writing our review, we searched for a mix of low home improvement loan rates, great scores for customer service, and terms that are easy to understand.

If you have equity in your home, it’s quite easy to get the needed funds. If you use equity as a collateral, you will get funds for a low APR – but it means that you will put equity in the first place.

There are also pros and cons of the loans for home improvement. We will talk about them later.

There are two main types of loans for improving your home: the first is home improvement loan and the second one is home equity loan.

Continue reading “Home Improvement Loans: Our Review”

Unsecured Debt Consolidation Pros and Cons

unsecured debt consolidation pros and cons
Photo credit:

Many people struggle to manage the unsecured loans that should be quickly repaid, especially if they have a couple of them. The good news is that these people have a couple of variants how to forget about the debts forever.

Debt consolidation is the process of replacing multiple loans by the only one with lower monthly payments and a longer period of repayment. There are two basic types of debt consolidation: unsecured and secured. A secured debt consolidation is the one backed by a collateral. In case the borrower does not make repayments in time, he will lose the assets.

Continue reading “Unsecured Debt Consolidation Pros and Cons”

Good News for Business Owners: Fast Business Loans!

small business loan fast
Photo credit:

Credit cards, lines of credit, and business loans comprise about three-fourths of financing for new companies, according to the SBA (Small Business Administration).

Small businesses are the most widespread in the U.S. The United States economy lives thanks to such enterprises: it employs more workers, than large and medium businesses.

This fact is gradually minimizing the unemployment gap. SBA reports that there are more than 28.8 million small businesses in the U.S. It is approximately 99.7% of all the business of the country. Small business activities employ over 48% of the population, or over 56 million people. These numbers are growing all the time. They create over 1.1. million new net jobs each year.

Those enterprises are essential not only for unemployment decrease – they expand the possibilities for women and minority as well.

Business Loans

Continue reading “Good News for Business Owners: Fast Business Loans!”

‘I Need Money Now’ Emergency Can be Handled

need money
Photo credit:

Are you saying ‘I need money now to handle the emergency’? The emergent situation can happen to anyone: some sickness can attack you or your family, you may get retired or your car may need urgent maintenance. Maybe you have some emergency cash. But no one knows how much you will need in any particular situation. If it is not enough, you should look for extra financial resources.

Some options can be quite harmless, though others can be potentially dangerous for your financial situation in the future. It is possible to get money wherever you are and whenever you need. How to solve the “I need money” issue? The answer is in this post.

Continue reading “‘I Need Money Now’ Emergency Can be Handled”

How to Save on Dental Care

dental loans
Photo credit:

Taking charge of your teeth is essential not only for your health but also for your wealth. In distinction from the general health insurance, that covers all the expenses, the dental one is much narrower and may not cover all of them. When you need some extra dental treatment, like a bridge or crown, it can cost you quite a lot. If you do not have dental insurance at all, it can cost a fortune to treat your teeth. Don’t want to go out of the dental clinic with the empty pockets? Here are some tips to diminish the damage.

Continue reading “How to Save on Dental Care”

LendUp And Payday Loan Alternatives

sites like lendup
Photo credit:

We often need some extra money. In the modern world, this is not an insolvable problem. All of us use loans. Living in debt has become not just normal, but necessary for many people. So many forms of getting money and lenders are now available that it’s quite easy to get overwhelmed.

The Pew Charitable Trust 2010 report shows that payday loans are the most popular loan form. Twelve million Americans, 5.5% of the population, took advantage of an online payday loan, and LendUp is one of leading payday loan providers in the US.

Continue reading “LendUp And Payday Loan Alternatives”

Lending Money Against Bitcoins

lending money against bitcoin
Photo credit:

A few years ago cryptocurrency did not cost a dime. One day it had skyrocketed and people, who had bought it beforehand had the only way to make fortune out of it —  to sell it. But none of them were prepared for it.

Some lenders propose the new option: using virtual currency as a collateral. However, traditional banking institutions do not accept this type of collateral. But some startuppers, like EthLend and Nebeus, do it. Some lend directly, and some help find a loan from third parties.

Continue reading “Lending Money Against Bitcoins”

How to Get a Personal Loan: Your Ultimate Guide

get a personal loan
Photo credit:

Due to the rise of online lending, personal loans have become really popular over the last few years. TransUnion has been making yearly surveys and found out that the number of people taking out personal loans has increased by 18% since 2013.

More and more people are relying on personal loans to help them solve temporary financial issues. Especially millennials tend to use them as a way to finance their big purchases or consolidate debts.

So, if you’ve made a decision to take out a personal loan but don’t have enough information about the application process, here is the ultimate guide meant to help you get a loan.

Get a Loan

Continue reading “How to Get a Personal Loan: Your Ultimate Guide”

Debt Consolidation as a Great Business Debt Solution

consolidate business debt
Photo credit:

Debt consolidation is a well-known option that helps small business owners deal with the debt crisis. Sometimes it can even save your venture.

Everyone knows that economically weak countries often suffer from the increasing burden of debt. Similarly, people burdened by multiple loans can hardly pay all the debt installments in time. This puts them in a state of financial vulnerability.

Keep in mind that some solutions to such crisis may drag you even deeper into a debt pit. You have to be cautious and know exactly what to do while opting for any of them.

Bonus: Read how to make money during a bad economy.

Continue reading “Debt Consolidation as a Great Business Debt Solution”

Top 5 Points to Keep in Mind while Availing a Home Loan

tips for a home loan
Photo credit:

Purchasing a house will become one of the biggest expenses of the entire life. The mortgage is the thing that you will deal with for the next years. Therefore, your attitude to choosing a mortgage loan and a lender should be as responsible as possible.

Five crucial things will help you to get prepared to mortgage and succeed in the repayment process. By following this simple guideline from Personal Money Service a loan referral site, you will manage to go through the mortgage without stress and unpredictable troubles.

Continue reading “Top 5 Points to Keep in Mind while Availing a Home Loan”

Steps to Help You Avoid Repossession of Car Loan

car loan payment
Photo credit:

Have missed a car loan repayment and now worry about the consequences? It may happen to everybody. You don’t need to panic but remember to act fast.

Here is what you should think about. Thirty days after its due date your car payment may be considered delinquent on the credit report. And as you know, your credit score is important when applying for any loan or refinancing.

So, if your credit score is hurt, it can decrease your chances of getting approved for the future loans and refinancing your car.

Bonus: Read why you need to be careful with a long-term auto loan.

Continue reading “Steps to Help You Avoid Repossession of Car Loan”

Earn Scholarship by Learning How to Handle Money: Is It Possible?

scholarship at personal money service
Photo credit:

If you are a student looking for awesome resources to pay for the college, the scholarship is a great option. Who doesn’t like free money?

There are different ways to earn scholarship money but most programs have application processes with certain demands. Usually, students are required to submit quite a lot of information including GPAs, transcripts, test scores, resumes, and so on.

Some scholarship programs may even ask you to write several essays and grade requirements, while others don’t demand any essays at all. All in all, why not try it when you don’t have much to lose?


Here is how teens can now get an easy scholarship for just learning how to handle money.

Continue reading “Earn Scholarship by Learning How to Handle Money: Is It Possible?”

Where Can I Get a Personal Loans Near Me?

We’ve all had a financial emergency to deal with. Maybe you need money to get your car repaired urgently, to boost your business, or for some reason. If you don’t have the greatest credit score, maybe you feel your chances of getting instant financial help are melting away.

You may wonder where you can find personal loans for bad credit near me. It may be a good idea to search for a suitable lender locally, but why don’t you consider online options? Maybe online personal loans are exactly what you need. Let’s find out more about “loan places near me”.

loan places near me
Photo credit:

Continue reading “Where Can I Get a Personal Loans Near Me?”

Advantages of Repaying Your Debt with 401(k) Plan

no debt problems
Photo credit: Canva

Did you know that college students usually graduate with about $25,000 in student loan debt? Statistics shows that about 1 million graduates have debts after graduation, which can be higher than $50,000. Having such big debts it may be tempting to withdraw funds from your 401(k) plan as it seems they are just collecting dust until you retire.

In this article, we are going to share with you some useful tips on how to pay off credit card debt and when repaying the debt with 401(k) account makes sense.

Continue reading “Advantages of Repaying Your Debt with 401(k) Plan”

Credit Unions and Traditional Banks: What is Your Best Option?

credit union vs bank
Photo credit:

There was a time when to use one or another financial service you had to apply to the bank and there was no other alternative option. But fortunately, this time has left behind and today consumers are free to choose financial institutions to apply to (read about consumer loans).

If you’re not satisfied with the service provided by your bank and you consider changing it, then wait a little and consider other options. One of such options is to apply to a credit union. Many consumers today favor credit unions over banks because quite often these financial institutions offer more variable products and services than some banks do.

But in some occasions American banks can suit you better than anything. Here is a comparison of banks and credit unions to help you to make the smartest financial decision.

Continue reading “Credit Unions and Traditional Banks: What is Your Best Option?”

Why 0% Credit Cards Aren’t the Best Choice Sometimes

credit cards with 0%
Photo credit:

It’s hard to find someone who wouldn’t like to get something for free. As for interest rates and loan deals «0» is a magical number and that’s why consumers literally chase after such offers. Most of them think that there’s nothing better than interest- free credit card.

Quite often people use such cards to deal with the massive debt they have. Opportunity to use the money within definite time period attracts many but not everybody knows that when interest free period will be over then high interest rate will be charged.

Consumers must understand that there’s nothing the credit company will do without making its profit. If there’s something for free then start looking for downfalls.  In any case, there are lending products which are good alternatives to interest-free credit card.

Bonus: Learn how to get free money from the government.

Continue reading “Why 0% Credit Cards Aren’t the Best Choice Sometimes”

Free Application for Federal Student Aid 101: How to Get the Money Aid

apply for a student loan
Photo credit:

We all know that college education is extremely expensive today. It’s almost a luxury so in case you want to go to college you should get ready in front and it’s worth paying special attention to financial side of the question.

Probably you’ve heard about FAFSA but you don’t have enough information to understand how it can help you out.

Free Application for Federal Student Aid provides an opportunity to receive financial assistance from the government and to cut college costs.

Sounds good, isn’t it? But keep in mind that getting such assistance can be a complicated process and it’s necessary to get to know the details. There are tips and hints to help you to ease the process and to avoid wrong steps.

Continue reading “Free Application for Federal Student Aid 101: How to Get the Money Aid”

So What Is Merchant Cash Advance Exactly?

What Is Merchant Cash Advance
Photo credit:

There lies a history behind the term. In general, it is an alternative for the small business funding. If to be more concrete, a creditor does a one-time payment in exchange for the future credit card sales. Such financial operation was structured at first.

But as time went by, a meaning of the term has widened. Now it means different kinds of small business funding with a set of certain characters. These refer mostly to the terms shortness and regularity of the small payments. Sometimes the term is also used for the short-term business loans.

Continue reading “So What Is Merchant Cash Advance Exactly?”

How to Refinance Student Loans?

student loan refinance
Photo credit:

Student loans have been in demand for the last few years. Herewith, the overall student loan has now reached the point of more than $1 trillion. From the one side, students have no other choice but taking a huge loan before they can actually start a perspective and a well-paid career. This would help them earn more than they invested in their education.

From the other hand, it creates a lot of questions around the procedure of receiving a student loan since there is no particular guarantee that students would be loyal to their college debt payments in the future.

Continue reading “How to Refinance Student Loans?”

Merchant Cash Advance – an Alternative Lending Option

business loan

In view of some crucial circumstances, many entrepreneurs simply cannot be approved for a bank loan. It may seem like they no longer have any chances to find enough necessary business funding.

If you too think this way, then you have never heard of alternative lending platforms. In fact, one of the good ways to handle your primary expenses is turning for a merchant cash advance.

Bonus: How to get your business funded in 2017.

Continue reading “Merchant Cash Advance – an Alternative Lending Option”

Debt Mistakes Everyone Makes

common debt mistakes
Photo credit:

A lot of people have experienced difficult situations when they urgently needed extra financial help. For instance, you’ve spent a fortune on Christmas presents to all the friends and relatives. Or you’ve splurged too much on product advertising. In the case of any financial emergency, the most common misstep is maxing out the credit cards.

Everybody can make debt mistakes. The crucial thing here is what you should do once it happened. In this article, we will share with you the tips of three personal finance experts on what debt mistakes they’ve experienced and how they managed to overcome them.

Continue reading “Debt Mistakes Everyone Makes”

4 Most Common Types of Business Lines Of Credit

Types of Business Lines Of Credit
Photo credit:

When you’re running a separate business on your own, whether you like it or not, you’ll start thinking of ways how to support your business financially. The reasons could be various: unstable cash flow, change of your marketing strategy, business expansion, unexpected bills, payroll issues etc.

Perhaps, the first thing you would come with is taking a traditional small business loan. At the meantime, this type of funding is a wonderful solution to one-time financial needs, let it be, purchasing a better inventory. Here you can at least roughly weigh the amount of money needed to cover these costs. But what to do with urgent situations requiring from you a super-fast reaction?

Business Loans

Continue reading “4 Most Common Types of Business Lines Of Credit”

What Happens If You Miss Your Student Loan Payments

student loan refinance
Photo credit:

It’s not a good idea to ignore your finances as it may lead to crazy fees and penalties. Students usually don’t realize it at once, but over the years, they will have to learn it the hard way. In this article, you will learn about what may happen if you’ve ignored your student loans, and actions you need to take immediately.

It can be really tempting to forget about loan monthly statements and let them get lost in your email inbox or among other bills. However, you should bear in mind that not paying your student loans can have long-term harmful effects on your credit as well as on your monthly paychecks.

Continue reading “What Happens If You Miss Your Student Loan Payments”

What Is a Consumer Loan?

get loans

Haven’t you ever needed money on a nonsense basis? Just for Christmas presents or a new dress for the anniversary. Everyone will more likely know themselves in it. In the eve of the Christmas and New Year’s holidays, we especially need money. Personal Money Service knows the solution for you! Consumer loan would be the best decision!

Continue reading “What Is a Consumer Loan?”

People Need a Loan: 6 Reasons Why

According to, more than 43% of American families do actually spend more than they can financially afford. A consumer society made everyone spend beyond their actual financial opportunities.

Of course, all of us dream of having their own house, a big car and all other material things to enjoy our life to the fullest. Meanwhile, we might afford to go to the restaurants or buy brand clothes once in a while, there are costs an average American wouldn’t be able to pay right away.

Need a Loan?

take a loan

Photo credit:

Continue reading “People Need a Loan: 6 Reasons Why”

Why People Choose Installment Loans Online?

get an instllment loan
Photo credit:

Short and long term installment loans online are extremely popular nowadays among Americans. They are usually compared to payday loans, which also gain popularity. However, most of the Americans still are cautious about installment loans online.

The reasons for the uncertain attitude differ. Sometimes it’s based on the bad experience of the distant relatives. Sometimes it’s influenced by the negative reviews of the conservative financial experts. The truth is that installments loans online can be handy with the right exploitation.

So, what is it really is and why do people apply for the installment loans? You will learn from this article.

Get a Loan

Continue reading “Why People Choose Installment Loans Online?”

Debt Consolidation for Small Business

Debt Consolidation for Small Business
Photo credit:

The last few years were especially difficult for the small business. The unstable economic situation plays a substantial role. Still, there are specific negative tendencies – typical for the small business owners. Rash decisions, ill-conceived strategies, and overvaluation of financial opportunities – all this can let your small business down.

The disappointing statistics of the last years only confirms the unfavorable tendency. 8113 small businesses across the world announced about their bankruptcy. In comparison to the last year, it’s 57% higher.

So when it comes to bankruptcy vs. debt consolidation, the majority chooses bankruptcy.

The trustworthy financial experts have found the way to cope with the main difficulties of the small business managing. By considering the following recommendations, you will overcome the financial difficulties without stresses.

Continue reading “Debt Consolidation for Small Business”

Things to Know about Low-Interest Personal Loans

personal loans with low interest
Photo credit:

Americans are so used to take loans and credits during their life that it has recently emerged a frequent tendency. No matter what reasons made you apply for a bank or other financial institution, you can always be offered a low interest loan.

A personal loan with low interest rates is quite a convenient option for people planning to take a long-term loan. This option is winning only if you have excellent credit records. In case of poor credit rating, there’s hardly a chance to receive this type of loan unless you are ready for a collateral deal.

Not only does your credit history matter – in fact, you should meet several more criteria that higher your chances to get approved the lender.

Continue reading “Things to Know about Low-Interest Personal Loans”

Where to Look for Help with Student Loans

Help with Student Loans
Photo credit:

Every student is terrified with a future perspective to pay off his student debt for the next 10 years after graduation. Nevertheless, getting a good higher education matters the most.

Meanwhile, some American high school graduates apply successfully for a financial aid in form of scholarships and grants,more than 60% of them has no other choice but borrowing money to cover their college costs.

In the United States, the number of student loans is much higher than in any other place. Unlike Europe, for instance, the university education in our country is not usually supported by a governmental funding.

Therefore, while you are searching for a student loans funding, it’s necessary to understand how they work in order to find the best option for you and not end up paying huge interest rates.

In this article, Personal Money Service will set the record straight about everything you may wonder about student loans, from interest rates to places, types of student loans and best places where you can apply for a one.

Get Student Loans

Continue reading “Where to Look for Help with Student Loans”

Personal Loan vs Personal Line of Credit: Which Is Right?

Personal Loan vs Personal Line of Credit
Photo credit:

The majority of us manage to make a decent living. But sometimes you can face unexpected financial expense you need to deal with. If it is hard to make a choice between these two variants, this article will help you find the right answer and choose what is better for you.

Both options provide you extra cash which is needed urgently. Each of these options is a type of credit and both of them have many similarities, at least at first sight.

In reality, lines of credit and personal loans function quite differently. That’s why deciding between the two is mostly a personal choice, although how you aim to use this money may also influence your decision. Now let’s discuss personal line of credit vs personal loan.

Make sure to learn how to get free money from the government!

Continue reading “Personal Loan vs Personal Line of Credit: Which Is Right?”

Debt Consolidation Loan – Is It Right for You?

consolidating debts
Photo credit:

Most people don’t get regular payments to deal with the debt problem. Instead, they need to cover, for example, 6 monthly debts may turn into a real disaster. Even if you choose the same due date for all the payments, it still takes much time and mental energy to control your finance.

Luckily, there is a solution created especially for this situation. You can consolidate your pesky debts and make only one monthly payment. While this is easier for your financial management, it also prevents possible mistakes, inconsistencies and late payments possible to a huge amount of debt payments.

Continue reading “Debt Consolidation Loan – Is It Right for You?”

Do I Need Debt Consolidation?

consolidate debts
Photo credit:

This question strikes everyone, who deals with debts, but not everyone, who deals with debts, needs a debt consolidation. If you can’t answer this question independently, you should definitely read this article to the end or apply for a debt settlement program assistance. Right now you can change the situation with your debts and change your life forever!

What Are Debt Consolidation Loans?

If you have gathered several debts (for instance, credit card debts, short-term loans, medical bills, installment loans), you have a chance to join them and create one big loan except several tiny ones. This is a conception of the loan consolidation – creating one loan out of dozens of small ones.

Continue reading “Do I Need Debt Consolidation?”

How to Finance a Small Business Being a Student

students finance small business
Photo credit:

You may have a startup idea, but now you are still studying or have just graduated. The main problem of beginning your business is having no money to realize this idea. But you should also keep in mind the mistakes any startup should avoid. This guideline is created to help students with lots of small business ideas, but no money for their realization. Here you will find a list of recommendations how to get your idea ready for attracting financing and sponsors.

Continue reading “How to Finance a Small Business Being a Student”

Can You Pay off Your Credit Card Debt with Personal Loan?

pay of f credit card debt with personal loan
Photo credit: frankieleon

According to the Federal Reserve Bank of New York, Americans carried approximately $700 billion in credit card debt in the third quarter of 2012. Their arrears became a substantial source of stress and more problems and required an immediate solution. Some of them turned their attention to the personal loans for fair credit.

A personal loan is a kind of loan that is taken for a personal use. Probably, they didn’t care about the consequences of this operation – the only aim they were chasing was paying their credit card debt off.

If you get in such situation, you can follow their sample and apply to one of the professional and reputable services (such as Personal Money Service), which can provide a financial help.

Last year the US credit market showed boost of consumer credit. However, you have to realize that your debt is still here. The money just moves to create a visibility that you managed to avoid the critical moment. In today’s article, we decided to consider some situations when taking a personal loan to pay off a credit card debt is justified.

Continue reading “Can You Pay off Your Credit Card Debt with Personal Loan?”

Applying for a Small Business Loan: Part 2

small business loans online
Photo credit:

If you’re a young entrepreneur, who’s already tried the process of getting a business loan, you would agree on the fact that the process of obtaining this loan/grant is very intimidating and requires a good preparation to make it less dramatic and stressful. We’ve collected 5 major hints you must do before you could actually apply for it and make further appointments with a loan provider. By the way, with Personal Money Service it is always a pleasure to get small business loans online. Continue reading “Applying for a Small Business Loan: Part 2”

When Is It Clever To Use a Personal Loan?

applying for a personal loan
Photo credit: Flickr

Modern financial world is based on borrowing and lending. Your financial level depends on the credit score and payment history. If you are at a good level of credit with high and stable income, personal loan lenders will get interested in lending cash to you. There are definite reasons for this situation.

A personal loan can serve you a great source of funds that is often used for house improvements and expensive purchases. Debt consolidation is the other reason for using personal loans. People also need such big amount of cash when they need to finance their vacation. Sometimes it’s necessary to get a loan to cover taxes or big medical expenses.

While your credit level is important, you can also pay attention at lenders who deal with different borrowers. You can choose instant personal loans. This financial option is created to help people in need, as most traditional lending companies will not deal with risky borrowers. Thus, you can consider this option. But mind that you will be proposed higher interest rate due to the bad financial situation. Depending on your reasons and circumstances, this might be the best option you have.

Continue reading “When Is It Clever To Use a Personal Loan?”

Should You Consolidate Debt?

debt consolidation
Photo credit:

When it comes to loans and credits, we all feel uncertain and do not know what we should do. Debt consolidation loan help seems to be a tempting offer, as it promises you to help get rid of the credit card bills and forget about numerous payments to numerous creditors. It works on the following principle: every month one loan payment comes out of your account fully automatic and constantly you are getting back on the debt free road.
Continue reading “Should You Consolidate Debt?”

Mortgage for the Home Buyers with Bad Credit

buy house with bad credit
Photo credit:

Due to the unstable financial situation, people’s financial stability has been damaged. This influences the level of the credit scores people have. As we all know, the credit rating, along with a payment history, are the main factors which impact your borrowing abilities.

If you have the score lower than 620 you are considered a risky borrower and your financial options are quite limited. Although, people still want and need to buy new houses.

This makes the issue of mortgages extremely important. Also, we get a lot of such questions, as: “How much money do I need for a mortgage?” It is a vital question you should know the right answer to.

What should you do if your score is low, but you want to purchase a house?

While most professionals will tell you to wait and improve your situation, you still have some steps to make right now. If you are a determined home buyer and you are sure in your financial future, you should consider the strategy below.

Credit Repair

Be Ready To Pay More

Of course, this is not good news for you. However, you should be ready that the best deals are often made to those who have the score of 720. Even the borrowers with medium rating can qualify for quite profitable terms.

Low credit also makes your loan options limited. However, you still need to search for different lenders and negotiate terms and conditions. Don’t take the first proposition that seems excellent. Pay attention to extra costs and hidden payments you will have to make. Sometimes the lenders try to hide bad terms behind the attractive advertisements.

Check tips for the second mortgage loans for people with bad credit from Personal Money Service.

Consider Refinancing ASAP

At the first sight, an easy home refinance with a low credit can mean that a borrower is selling his life on a bad deal. This is true, but you can improve your situation. In case of a good financial management and clever loan maintenance, you can refinance within 2 years.

This step can improve the terms of your mortgage. You just need to show your creditworthiness and ability to pay. This will improve your financial situation, as well as your credit rating.

Some conditions make it a necessary decision to purchase a house right now. Your credit score impacts the terms you get now, but it doesn’t determine the whole repayment period. So, be sure to check for possible options in some time.

Search for Options

Today the most common type of a mortgage is a 30-year plan. For borrowers with low credit this is not considered to be the best options. Depending on your situation, a loan with adjustable rate can be right for you. You should consider your financial abilities to improve your score. This will determine the period of the low initial rate that is offered by these ARMs.

Searching for a lender will also make it possible to find a good deal. Some people understand that bad credit is not always a result of bad financial solutions and missed payments. Sometimes the reasons are legitimate, so not all the borrowers with a poor rating are risky.

Consider a Co-Signer

co-sign a loan
Photo credit:

Mortgage application allows you to have a co-signer. In case you have a family member or a friend with good payment history, you can ask for help.

If you are a responsible person, such step can not only give you a chance to recover your finances but also improve the rating of your co-signer.

While this is challenging, it remains still possible to obtain a mortgage with a bad score. At first, you need to be sure that your budget is ready to such regular payments. Then you need to ensure a lender to give you a mortgage on good terms.

The last step is a clever financial management you will have to lead. The mortgage repayment can improve your finances and reveal the other options unavailable for people with a low score.

How to Get a Second Mortgage

how to get a second mortgage
Photo credit:

You know how much money you need to borrow for your first mortgage, but there comes a time when you  begin considering a home equity loan. A home equity loan is a second mortgage. This type of credit gives you the opportunity to borrow money using your house as collateral for the new loan. It is also covered every month additionally to your mortgage.

A home equity loan provides you with a possibility to get the necessary amount of money without paying a high interest rate on your credit card (learn the pros and cons of using credit card for your business). But you should understand that in case you default on this mortgage, your lender has the right to take your house. That’s why before taking a second mortgage it’s important to make a great research. Continue reading “How to Get a Second Mortgage”

Choosing a Mortgage: How Much Money to Borrow?

buy house with bad credit
Photo credit:

The decision of purchasing a new house raises a lot of considerations, calculations and questions. Generally, most people have to take out a mortgage to afford such expensive buy. That is why financial aspect of this issue is quite difficult.

You need not only to decide how much money to borrow, but also to take all the surrounding costs and expenses into consideration. For the beginning you should understand all the important definitions about mortgage. They will help you to determine what mortgage size you need.

Bonus article: Use these 5 tips to buy home!
Continue reading “Choosing a Mortgage: How Much Money to Borrow?”

Unsecured Personal Loans: Pros and Cons

get an unsecured loan
Photo credit:

First of all, it’s necessary to explain what an unsecured loan is. It’s a credit product which doesn’t require putting something as collateral. For example, if you default on a mortgage, the bank can take away your house to get the part of their money back.

If your loan is secured against your car and you fail to repay it, you may lose your vehicle. Unsecured loan is called so because it’s not secured against something so in case you default on it, you harm your reputation and your credit. As every loan, it has its pros and cons. Let’s figure out what they are! Then it will be easier for you to make a decision whether to apply for it or no.

Continue reading “Unsecured Personal Loans: Pros and Cons”

Easy Steps to Obtaining Small Business Loan

get a business loan online
Photo credit:

While small business needs money investments for development, the same necessity makes banks and other creditors loan money in this business. Most banks consider loaning to small business a risky step, so they have quite high requirements.

Sometimes it becomes easier to get appropriate assistance from private loan companies. Despite the lender you choose, you still need revise your financial situation and get ready for this step. Learn the next strategy to make the process of getting quick business loans online easier.

Build Relations before a Critical Moment

Business is like a big family which requires you to behave well and clever to make necessary relations and get successful result. This means that you should bother about your reputation before you actually need money. Establish relations with the people from lending sphere. Notice that people deal with these they already trust. So, make sure you have earned this trust.
Continue reading “Easy Steps to Obtaining Small Business Loan”