In this article, let’s take a closer look at the pros and cons of bankruptcy and how it should affect your decision on whether to seek bankruptcy or not.
The Pros of Bankruptcy
When bankruptcy is filed for the right reasons, it can have advantages or benefits to an individual. First of all, it releases you from the pressure and stress of having creditors constantly obliging you to pay. Some creditors are known to harass their debtors and such harassment can rob you of your privacy and peace. Once you’ve filed for bankruptcy, all creditors are prohibited from keeping in contact with you or do any kind of debt collection practice. This will certainly give you peace of mind and relief.
If you do get approved with a Chapter 7 bankruptcy, you will be set free from all debts you have with all your creditors. This means, you can have a fresh start again and start living a life free from debts. In case you do not qualify for Chapter 7, a Chapter 13 bankruptcy would put under a bankruptcy repayment plan where you’ll be required to submit a certain percentage from your monthly wage as payment for your debts. Even if a Chapter 13 doesn’t completely exempt you from your debts, going through a bankruptcy repayment plan can still be a great help in managing your debts.
The problem of identity theft and credit card fraud is an undeniable fact in our society today. In the United States alone, millions of consumers fall victim to ID theft and fraud each year, and the number of victims continue to increase with the passing of time. With the introduction of credit cards that functions as debit cards, cases of ID theft have also grown more than ever.
Why are debit card users a favorite target of identity thieves? Why are prepaid debit cards susceptible to credit fraud? Why should you pay close to attention on how you use your debit card? How can you safeguard your personal information especially when using debit cards and credit cards? Here are some tips to help you protect yourself from the unnecessary heartache and trouble that ID theft can bring.
1. Always be on the alert. Usually, people who become victims of ID theft are caught unaware or have been caught letting their guards down. If you own a debit card or a credit card, you need to especially alert at all times. Never give any of your card information to any person or company without making sure that they can be trusted. Don’t be tempted to purchase from unknown sellers particularly over the web just because they offer lower prices on their products. It’s better to buy only from a reputable merchant with a reliable track record in selling.
2. Don’t carry all your credit cards and debit cards in your wallet. Obviously, such a practice puts you more at risk in case your wallet gets stolen or misplaced. It is best to carry only one card in your wallet and keep the others in a safe storage.
As a card holder, what can you do to stay out of credit card debt? Here are 6 tips on how to handle your account the smart way:
1. Be aware of your credit card’s exact terms. How well do you understand your credit card’s Terms & Conditions? Surprisingly, many cardholders are not even aware of their exact interest charges, transaction fee costs and penalties. If you’ve had that credit card for a long time, has there been any change in your interest rate and fees? Do you take the time to read your credit card mails? Remember, your credit card company can increase your charges at anytime as long as you’re given the 15-day advance notice.
2. Ask for a lower rate. If your credit card has increased your interest rates, you can call them up, speak with the manager and ask for a lower rate. Don’t be afraid to point out the interest rates that other credit card companies offer. If you feel that you need to threaten your credit card issuer of leaving, go ahead and do so. However, it’s best to raise your issues politely and with dignity. If your credit card company refuses to give in, you can try calling them again after a month or two.
When burdened with bad credit and a low credit score, getting the financial help you need may prove to be a difficult challenge. Understandably, many lenders prefer to lend money to people with excellent credit. High-risk borrowers must face the dilemma of finding lenders who are willing to give them loans with easy approval and reasonable rates.
With the introduction of bad credit payday loans, those with bad credit now have the option to borrow the cash they need without hassle. Even with poor credit, payday loan lenders are willing to extend financial help even for just a short term.
Payday Loans for People with Bad Credit
Yes, payday loans, also called “quick loans” are loans that are especially designed for short term financial needs. Regardless of the status of your credit, you can apply for a payday loan and get approved easily. Nevertheless, payday loans are limited only to small amounts ranging from $500 up $1,000. There is no need to submit collateral in order to be approved.
Everyone who wants to own a credit card is looking for a good deal. This is why we often hear the advise, “Shop around first before signing up for a credit card,” or “Compare different credit cards before making your final choice”.
But what does a good credit card deal really mean? How can you be sure that you already found the best credit card deal in the market? How can you find the perfect credit card that matches your needs and lifestyle?
Finding a Good Credit Card Deal
Not all credit cards will be suitable for all. Every individual has his/her own personal needs. Each one has his own unique lifestyle. Thus, there is really no standard credit card that will serve everyone. To find the credit card that works for you, you need to know the specific details about what you’re looking for in a credit card.
For instance, you’ll want to ask yourself, “what is the status of my credit rating?” Will I be eligible to apply for a standard credit card? If you currently have a bad credit rating, then bad credit credit cards would be your best choice. There is a wide range of bad credit credit cards to choose from and if you do your research carefully, you should be able to find a credit card that will help you improve your damaged credit.
In this case, you’ll want to make sure that the credit card company reports to the three major credit bureaus (Experian, Equifax, TransUnion). This way, all your payments will be reported to the bureaus as soon as you submit them. Doing so will reassure you that your credit report is improved one step at a time.
If you currently suffer from bad credit, perhaps you’ll be glad to know that bad credit payday loans are available for you in case you need cash in a hurry. What are payday loans and what are the advantages of getting a bad credit payday loan? Are payday loans for everyone? Why should you be careful when getting a payday loan?
Payday loans for Poor Credit
Primarily, the advantage of a payday loan over regular loans is convenience. In fact, payday loans are also called “quick approval loans” or “easy approval loans” because anyone can readily avail of them without hassle. What are the requirements for a payday loan?
The requirements for getting a payday loan are simple. The borrower must be of legal age or at least 18 years old and with a monthly income of at least $1,500. There is no need to submit any form of security or collateral for the loan. There is also no need to submit a lot documents to be approved. The application can be submitted online and you can expect to get an approval within minutes. After that, you can claim the cash you need from your payday lender immediately.
Would you like to apply for a secured credit card? If you have a less than perfect credit score, you’re not entirely helpless. This year, you can start improving your credit score with the help of a secured credit card. Here are ten questions you may want to check out before applying for one:
1. What is a secured credit card?
A secured credit card is opened with a security deposit on your account to make up for your low credit score. The amount of your deposit also serves as your credit limit. If you put in $300 as your security, you can also avail the same amount in your credit. By keeping up with your payments on time, you can slowly build up your credit line and the status of your credit score.
Most major banks do offer a secured credit card for their clients. You can check out the web for a list of secured credit cards available in the market. Do check out credit card review web sites where you can compare your options more easily.
3. What kind of charges should you expect?
Secured credit card issuers usually charge an annual fee for their members but rates vary between each company. Be careful when choosing your credit card issuer. Make sure that you won’t be paying an unreasonable yearly fee just to renew your membership.
If you’re looking for ways on how to get out of debt effectively, then this article is made for you. Consider the following pointers on how you can be set free from the pain and burden of debt.
Don’t borrow more than you need. Some people got stuck in huge debts just because they borrowed more than they needed for their purpose. For instance, getting a home equity loan can be a very risky move since it puts your home property on line. Even worse, the money you got from the loan can easily be spent on unnecessary or unimportant things.
When repayment time comes, it could be very difficult to keep up while all the money you loaned has already been spent. The same thing can happen with debt consolidation. Yes, a debt consolidation loan can be considered but never try to borrow more than what you need to pay your creditors.
Communicate with your lender. The risk of debt problems can be minimized if borrowers openly communicate with their lenders. If you know that you won’t be able to make it on your due date, call your creditor right away and explain your situation.
Why won’t be able to pay on time this month? When do you plan to submit your payment? Ask your creditor to extend your due date and don’t afraid to ask if the penalties can be waived. Also, request your lender not to report it as late payment if you can pay within 30 days.
Applying for an auto loan is a frequent need for consumers. A car is an expensive investment and usually, one’s savings or salary isn’t enough to cover for a car’s full payment. But what if you have bad credit? Will it affect your capability to avail of a car loan? Can you still get approved for an auto loan even with bad credit history? How can you avoid predatory car loan lenders that may take advantage of your bad credit?
Did you know that it’s possible for a car loan lender to impose higher rates and fees than what you originally signed up in your contract? Yes. This has happened to many car loan borrowers a lot of times and if you’re not aware of this scheme, you may get tricked as well. Let’s talk about how car loan scams are executed and how you can stay away from car loan scammers.
Usually, a dealer may trick you into filling out a bad credit loan application with the promise of a quick approval. An unsuspecting victim may drive home with a new car without the slightest hint that he/she has been scammed. After a week or two, the same dealer may call up to inform you of the new rates and fees you will be paying for. Instead of the rates that were stipulated in the agreement that you signed, you are now being charged with higher interest rates and charges.
When applying for a new account such as a new credit card or loan, it is a smart move to first check your credit report. Why so? In case there are errors in your report, you can dispute them right away and request for correction.
Furthermore, if you have a low credit rating, you can work on raising your score first to qualify for the best lenders. Remember that the best rates and terms often require good to excellent credit.
Looking for the Right Credit Repair Help If you have a problem with your credit, a credit counseling agency can be of help. However, consumers are warned against agencies who may claim to give your credit a “quick fix” or “instant repair”. Since you want to improve your credit at the soonest time, you may be tempted to sign up for such agencies in the hope that you can rebuild your credit quickly.
No one is exempted from the risk of debt problems. Everyone can get stuck in debt at the most unexpected times. The sudden loss of job, divorce, sickness, failed business – these are just some of the factors that are beyond a person’s control. This article focuses on the real causes of debt and what you can do to avoid it:
Spending more than what you can afford. Are you frequently spending beyond your means? To answer this question, list down all your expenses for the month and compare it with your income.
Is there enough money left to pay your most important bills such as utilities and debt repayment? Are you able to set aside some of your money for savings? Or does a large percentage of your income go to splurges or unplanned purchases? If you have no idea about your spending habits, it’s about time to evaluate yourself.
For people with bad credit, applying for a loan can be a daunting experience. The lenders that offer the best deals often require good to excellent credit. If you have bad credit, does this mean yours is a hopeless situation? Certainly not!
Lending companies recognize the fact that not all prospective borrowers have good credit. In fact, many people suffer from bad credit history- and all of them are potential clients. If lending companies will refuse everyone with bad credit, these companies would be letting go of a huge population of potential customers. For this reason, lenders have created loans that are especially meant for people with bad credit.
For bad credit loans, submitting collateral is required to make up for the risk of having bad credit. Although bad credit loans may come with higher interest rates, these loans can provide you with the financial aid you need. Nevertheless, the process for getting approved and receiving your actual loan may take a few weeks. The question is what if you need the money in a hurry? What options are available for you?
Fast, Easy Bad Credit Loans For people who need financial assistance in a hurry, applying for a quick loan is a possible option. As their name suggests, fast and easy loans provide quick, emergency funding. Application is submitted online and approval takes only a few minutes. Within the same day, the borrower can receive the money he needs. But what if you have bad credit? Are quick loans also offered for people with bad credit?
When stuck with a bad credit history, one needs to act quickly.The fact is, there is something you can do about bad credit.In this article, let’s tackle the positive steps you can take so you can turn your bad credit into a good – to excellent one.
Check your credit report.The first thing to do is to understand the cause of the problem.Why do you have a poor credit score?Perhaps there might be false charges in your report that contribute to your poor rating.
If you find errors in your report, contact the credit bureau right away and have these errors corrected.Checking on your credit report will also help you see the status of your accounts with each of your creditors.This way, you can create an efficient repayment plan to resolve the problem.
Get a bad credit credit card.Bad credit credit cards are tools for rebuilding damaged credit.In fact, even those with no credit history can also use a bad credit credit card to establish one.Find a credit card that reports to the three major credit bureaus to ensure that all your payments will be properly reported.
Acquiring a home loan is a very serious responsibility and involves big risks.The risk gets even bigger with bad credit home loans.Obviously, home loans for bad credit require higher rates than mortgages offered to those with excellent credit.For this reason, anyone who plans on getting a bad credit home loan must take all the necessary precautions before signing up for a loan.Here are the 7 biggest mistakes one can commit when applying for a bad credit mortgage.
Not taking the time to shop around.True, many lenders offer home loans for people with bad credit but not all of them give the best deals.What may seem like the best deal offer may turn out to be not good at all.To compare lenders more accurately, be sure to check the APR of the loan as this includes the interest rates plus other fees associated with a loan.
Not preparing your credit report.The status of your credit history will play a huge role in the rates you’ll get.Obviously, the better your credit score is, the better your home loan rates will be.Check your credit report and see if you can make some improvement in your credit rating before applying for your home loan.
Not getting a pre-approval.Getting pre-approved is free and easy.More importantly, it enables you to set a realistic budget for the home you will purchase.It will also save you time trying to check on houses that do not really fit your budget.
Every business owner wants to stay away from bad credit. But in reality, many entrepreneurs get stuck in debt as a result of poor financial management. How can you avoid being in this situation? This article discusses the possible risks of incorrect credit card use and how a bad credit card debt loan can be a practical solution.
The Risk of Business Credit Cards Business credit cards are easy to use. But sometimes, this convenience can lead to uncontrolled spending and debt. Have you taken a look at how you’ve been using your credit cards for business? Are you in the habit of submitting only the minimum due payment each month? If you don’t often pay off your balances in full, you could be in trouble.
Being charged with the interest rates and late penalty fees can get you in a serious debt situation. If you think you will never experience financial crisis, this is the perfect time to start thinking differently and anticipate the possible risks. Pay off your credit card balances as soon as you can before things become complicated.
Even with bad credit or with a low credit score, it is still possible for people to obtain credit cards.Credit cards for people with bad credit are easily accessible for anyone to have.While this option opens a wonderful opportunity for people with bad credit to start working on their credit history, there are also risks involved.
In this article, we’ll discuss how bad credit credit cards can become a cause of worsening debt problems.We’ll also take a look at some guidelines that consumers must follow upon owning a credit card.
Choosing the wrong bad credit credit card.
Choosing the right type of bad credit credit card is crucial.It is no secret that these cards have higher interest rates than regular cards.Different credit card companies impose different interest rates so it’s up to you to look for the issuer that offers the best deal.
Being stuck in a car loan with high interest rates and costs can be frustrating.At one point, you may have needed to purchase a car in a hurry but because you have a bad credit history, you may be unable to qualify for loans with a low rate.
Most car loans for bad credit come with 18% to 25% interest rate.Yet because you needed the car at that time, you may have acquired a bad credit car loan despite the high interest rate.Is it possible to improve your current situation?
How can you get off from the high interest rate so you can enjoy a much easier repayment?By refinancing your bad credit auto loan.Refinancing is like getting a second car loan- only with lower rates and easier repayment terms.
What are the requirements for refinancing a bad credit car loan?Specific requirements may vary from one lending company to another but the general rules are usually the same.
First, you need to have maintained the car for at least 1 year.Second, your records should prove that you have made consistent and timely payments from the day you started with your repayment.The value of the car you bought should also cost more than the balance of your loan.
If you’re stuck back credit and is suffering with a low credit score, a secured credit card may save you from all your troubles.Thanks to secured credit cards, many people today are given the chance to open a new credit card account and the opportunity to rebuild their credit history.Yes, a secured credit card is your best tool in boosting your credit score.
Not Just for Bad Credit
Are secured credit cards solely made for people with poor credit score?Certainly not! Most unsecured credit card issuers today require an excellent credit standing from their applicants and if you have less-than-perfect score, you may not qualify for one.
You don’t need to have a very bad credit score to be declined for an unsecured credit card.A low credit score alone can get your credit card application declined.
For those who haven’t yet established a credit history, they may also get disqualified for an unsecured credit card.Thus, having a low credit score and having no credit history can make you a suitable candidate for a secured credit card.
Boost that Credit Score
Obviously, enjoying an outstanding credit rating entitles a person to enjoy the best credit card deals and the best banking privileges.That is why you should aim to build up your credit.But having a low credit score today doesn’t mean you can’t do anything about it.
Being stuck with bad credit or having a low credit score can seriously limit your choices when it comes to financial matters.You may find it hard to get the best deals from lenders or find a credit card that will give you an approval.In connection with this, how can a guaranteed approval card for bad credit help you?If you currently have bad credit, should you get a guaranteed approval credit card?Here are important points to consider.
Not all guaranteed approval credit cards are the same.Just like with standard credit cards, not all instant approval credit cards offer the same terms.More importantly, not all guaranteed approval credit cards impose the same charges.Some credit cards with guaranteed approval charge excessive rates while others ask for reasonable interest rates from their clients.To get the best deal, you need to exert some effort in researching and studying your options.
Guaranteed approval credit cards can improve your credit.Getting a guaranteed approval credit card can be a stepping stone to help you rebuild your credit history and improve your credit score.All it takes is keeping your charges within your credit limit and submitting your payments promptly at all times.After a certain period, you should find that your credit status has significantly improved.
Continue reading: Pointers About Guaranteed Approval Credit Cards
Starting October 17, 2005, new bankruptcy legislation requirements were introduced to the public. Under the new bankruptcy law, filing for bankruptcy has become a more complicated process.
First of all, filing bankruptcy documents involves more tasks not only for the debtor but for the attorney as well. When filing bankruptcy, an individual must provide more precise information about his income and expenses. Additionally, bankruptcy attorneys are now liable in case there is any false information found in their client’s case.
This puts a greater responsibility on the part of the lawyers and they need to be more careful in preparing the necessary documents. For this reason, bankruptcy attorneys have raised their fees- even to as much as 100% increase- on account of the additional tasks and responsibilities put upon them.
Another major change brought by the new bankruptcy law is the counseling requirement. To be able to file for bankruptcy, a debtor must first go through credit counseling six months prior to his application. The government has also designated several credit counseling agencies who will be accredited to provide a counseling course. By undergoing credit counseling, a debtor will be properly advised whether bankruptcy is indeed the right action to take, considering the borrower’s situation.
Can you really get a credit card with high limit despite having a poor credit score? People with bad credit may not qualify for the best credit card deals. In this article, let’s discuss how you can request for a reasonable credit line even with bad credit. We’ll also talk about how credit cards for bad credit can be used in improving your credit report.
Factors That Determine Your Credit Limit
What factors determine one’s credit? Credit card companies generally give different credit limits depending on the cardholder’s credit history or credit score. A person’s income also plays a role in determining credit limit. A card holder who has long been a client for the credit card company can also be given special privileges. If a low credit score affects your credit limit, does this mean those with bad credit would never be granted higher credit?
There are some things you can do to find bad credit credit cards that not only give reasonable interest rates but also grant a higher credit line and better terms. For instance, the competition between credit card companies is tough. When comparing credit cards, be sure that you get in touch with the credit card company’s representative to talk about the deals.
