Tips That Will Enable You To Acquire A Loan

Bad Credit Student Loan Tips

When you know that you have bad credit, you can almost feel as if you’re cut off from the world, and there’s really no chance that you can receive some funding for college. Nothing could be further from the case. There are a plethora of options that you have available to you if you’re going to receive the funding, furthering your education and job prospects. While it may be tougher to receive private funding, it doesn’t mean that you won’t be able to go to school and pay for everything that comes along with it. In fact, it doesn’t even mean that you can’t receive alternative loans either, as you’ll just need someone to vouch for you.

Federal Loan and Grant Opportunities

One of the best things about federal loans is the fact that it’s not credit based. If you fill out the FAFSA which is the Free Application For Federal Student Aid, you’ll be eligible for receiving funds from the government, as they are based on financial need. Also, while you’re at it, you may want to see if you’re eligible for federal grants. The best things about this source of funding is the fact that you don’t have to pay it back, as it’s the country’s way of investing in your future without even wanting the money back. It’s easily the best kind of funding, and although it won’t be as much as the federal loans that you may take out, they still account for something.

Co-Signers and Other Bad Credit Loan Opportunities

Even if you may not think that this is enough, you can also choose to use a co-signer. As you probably know, the co-signer is someone who is willing to put their credit on the line, and while this may be a difficult thing to achieve, it’s definitely an option. If it’s not, you can always go with the non-credit loan. Generally, this depends on your area of study, and some degree options may not have it. It’s important to go to your school’s financial aid office and speak with someone who is aware of the different programs and funding sources for people who don’t have the best credit.

These are just a couple of different ways for you to receive funding, and there are more that you can explore with a little research. If you speak with a financial aid officer, they should be able to point you in the right direction.

Great Payday Loan Tips

Sometimes even the hardest workers need a little financial help. If you are strapped for cash, read more about fast loans. Surprisingly, payday loans can be a great thing to invest in. Continue reading this article for more information.

Focus not only on the loan rates, but also on the fees associated with the loan. Despite the fact that you can get a payday loan very quickly without providing much information about yourself, the lending fees can result in your owing a lot more money on the loan. Make certain that you’ll be able to pay back the principle as well as any accumulated fees.

Before you apply for any payday loan, you should seek out companies that are ranked well and that are open with the fees and rates they charge. Stay away from companies who make it difficult to find out the fees associated with their loans. Always make sure to make your payments on time or to make arrangements beforehand if you are not able to make a payment.

When you sign up for payday loans, be cautious when giving out your personal information. Sensitive information like a social security number can be gold in the hands of identity thieves or unscrupulous people. Double check the legitimacy of your lender.

Before you choose to go with a loan company, do your research online or on the phone to find out your borrowing limit. Lending practices vary company to company. This will ensure that you can pay back the loan by the due date.

Check the quality of your loan before you apply to it. Many people think payday loans are the safest loans since they have the best terms, so you’d do well to do your research to find a reliable loan lender.

Try to get a payday loan over the phone. A local company can often present a check within an hour while an online company can often deposit loan money within 24 hours. Not only can you ask any questions you have, you can also make sure you understand all the terms and conditions of the loan.

One payday loan option that is commonly available is post-dating a check for the amount owed plus additional fees for the date the loan is due. It is important that you have enough funds in your account to cover this check when it is due to be cashed. If your payment check bounces, you will be face charges with your bank and with the lender.

Do not do business with any loan provider that does not clearly disclose, in writing, their interest rates, fees and repayment policies. If this information is not presented to you clearly, you should see it as a red flag that the company may be a scam.

If you do decide to take out a payday loan, be sure that you completely repay the loan by the date specified on your contract. Your fees and interest will be increased but you will avoid overdrawing your bank account or defaulting on your payday loan. Paying promptly will minimize your exposure to interest charges.

You must have a current work history before you can qualify to secure a payday loan. Lenders usually require your three most current pay stubs from a stable job in order to loan you money. You will have to most likely submit your paycheck stubs to the lender.

If you have secured a payday loan, make sure that you will have the payback amount in your account by your loan’s due date. Most lenders withdraw the funds directly from your account. You must allow time for any deposits to be applied to your account balance if you want to avoid additional interest costs.

Come up with a strong plan to repay the loan. Most lenders require the loan to be paid in full within a matter of weeks. Ensure you are able to calculate how much you can possibly afford to give when your loan is due.

Many people end up in positions where a payday loan is the only option. It’s important to make sure that you have no other options before taking out a loan, though. If you have friends or relatives who might have the resources to assist you, you should definitely discuss your finances with them before you talk to a payday lender.

Conduct the necessary research. Never go with the first loan provider you encounter. Compare different interest rates. This is time-consuming, but it could help you save a lot of money. Sometimes the companies are helpful enough to offer at-a-glance information.

After reading this article about payday loans, you should feel more confident about making informed decisions about them. Many people have a practically irrational fear of payday loans, but by avoiding them, they also avoid a very useful and practical financial opportunity. By planning things out when it comes to a payday loan, you can accomplish what you need, without hurting your credit.

Tips to Consider Before Applying

Payday Loans – 4 Reasons to Rethink

Payday loans are a type of short term loan that you can use to quickly get cash until your next paycheck. They are easy to get and generally online require proof of employment and a checking account. Basically you will write the company a postdated check that won’t be deposited until after you get paid again. This type of loan doesn’t even require a credit check.

Personal loans are convenient, but they aren’t the right solution for every problem. They are expensive and generally charge high fees and interest. These loans can have APRs as high as 500% if you aren’t careful. They are only a temporary solution and should be used with care and discretion. A payday loan may be right for your situation, but it might not be. Keep reading for five reasons why a payday loan might not be worth the risk.

Loans Are Expensive

One of the biggest risks associated with a payday loan is the expense. When you go in for a loan you will write a check that the company will cash at a later date. If you receive $100 you will generally have to write the check fo

A Cash Source When Most Needed

The wonders of the internet has made life much more convenient for us all. Even when a fast cash loan is needed, the online lenders tend to show a willingness to overlook a bad credit score and issue online personal loans without much complication.

For some of us, there can be hesitation in carrying out online transactions. This is understandable, with online security a concern in ecommerce, in general. However, so long as the expected safeguards are provided when making any online applications for personal loans, there is little to worry about.

Once satisfied with the security situation, the range of benefits that come with online loans can be enjoyed, from the ability to get faster approval online for unsecured personal loans to lower interest rates and better terms. Of course, there are criteria and conditions that must still be met.

Advantages over Traditional Lenders

It might seem that sticking to tried and trusted lenders, such as banks, is the best choice but online loans prove to be the better option in almost every regard. Because of the sheer level of competition on the internet, interest rates are generally lower, often beating the rates available from banks to applicants with excellent credit rating.

What this means it is viable to make online applications for personal loans that are large, since the monthly repayments are less. However, keeping the principal low means approval online for unsecured personal loans are even more assured.

Of course, the greatest advantage of turning to the internet is that the best deals are more easily searched. Even with thousands of lending companies in operation, the search can be easily narrowed to fit the specific criteria of an applicant. In this way, that right online personal loan can be found almost immediately.

Better Terms and Conditions

In general, the terms and conditions applicable to loans from online lenders are pretty much the same as those applicable to the more traditional lenders. The only real differences are the interest rate and the significance bad credit score has.

The fact is that online applications for personal loans are usually subject to no credit checks. This is chiefly because online lenders wish to offer something to the consumer that places them above the local banks and credit unions, where credit checks are generally carried out.

However, this system works because of the criteria required to successfully secure approval online for unsecured personal loans are also met. These criteria include the normal identification, proof of employment and proof of income.

However, it also includes access to a bank account so that a direct automatic payment can be arranged with the bank. So, once the monthly salary of the borrower is deposited into the account, the loan repayment will be received. In this way, issuing an online personal loan is not as big a risk to the lender as it might seem.

Quicker Approval

Arguably the biggest advantage in turning to online lenders is that approval for loans is received much more quickly than from banks and credit unions. The fastest time from traditional lenders is generally 24 hours, but with online applications for personal loans this time can be slashed to just a few hours. If approved, funds can be transferred directly into the account of the borrower within 24 hours.

Once securing approval online for unsecured personal loans, funds can be transferred directly into the account of the borrower within 24 hours. What this means is that, with online personal loans, when the need for cash is at its highest, the emergency can be catered to more efficiently.

Faster, Easier and a Better Deal

The modern way of securing a loan is to apply to an online lender. It might seem a little bit of a risk, with our local bank at least familiar and responsible, but the benefits that come with applying online make it difficult to ignore, for bad credit borrowers. Simply put, applying for online personal loans with bad credit generally proves more worthwhile.

Traditional lenders have lending policies that tend to be more cautious than those championed by the new generation of lending firms that operate over the Internet. Criteria are stricter, approval times are longer and loan limits are usually much lower. They also tend to charge higher interest rates, making them the more expensive option.

But getting loan approval online is faster and easier, and with lower interest rates charged, the cost of online loans is lower. With those facts in mind, it is hard to see how the traditional lender can better a personal loan deal.

Still, it is important to look at the key aspects of any online deal before making up your mind.

Easier Application, Faster Approval

In truth, the speed of the loan application system can vary among online lenders, but generally speaking it is much faster than what traditional lenders offer. There are two reasons for this. First of all, lenders offering online personal loans with bad credit ignore the bad credit aspect of the application.

It can depend on size of the loan, with sums of up to $25,000 often available with no credit checks carried out. This means that getting loan approval online is practically guaranteed if other aspects like income and employment meet the required criteria. Sums greater than $25,000 usually require a credit check, and a form of security.

The second reason that an online loan application is faster and easier is that the application form can be filled out and submitted in a matter of minutes. With vital information provided, once the submit button is clicked, approval can be received almost immediately. This makes it an ideal for emergency personal loans.

Basic Criteria to Meet

With the loan application system streamlined, the actual information required and criteria to meet is rather basic. This means that seeking online personal loans with bad credit is arguably the least complicated system of all application systems. There is no need for documented proof to be found and faxed.

The qualifying criteria are pretty much the same as for any loan application. Applicants must be over 18, must be gainfully employed and must be a citizen of the US (or a legal long-term resident). The applicant must also have an active deposit account. Without these factors confirmed, getting loan approval online is impossible.

Personal information is provided through the bank account number, from which income can be observed, and the social security number, from which employment, tax, age and citizen status can be sourced. If these are satisfactory, then the personal loan is likely to be approved.

Finding The Right Lender

The task of tracking down the best online personal loans with bad credit is made easy with comparison sites. Here, the best deals from hundreds of lenders are processed in seconds, with the top 10 results then presented to the applicant. But it is important to make a shortlist first, and then contact the lenders directly.

Also, the Internet harbors many unscrupulous operators, so before seeking loan approval online it is essential to determine the reputation of the online lender. This can be done by checking them out on the Better Business Bureau site. Only if they pass that test should any consideration be given to applying for a personal loan from them.

Personal Loan Tips After a Bankruptcy

Personal LoanFor most people, going through bankruptcy brings with it a mix of emotions. On the one hand, there can be a sense of disappointment at having to take such a drastic measure in order to get one’s financial life back on track. There can also be some guilt that comes from not being able to repay debtors, and even a sense of failure.

At the same time, bankruptcy can bring with it huge feeling of relief for finally being out from under all of that debt. In particular, this feeling of relief can be the strongest when you are discharged from owing money to most or all of your creditors.

Defining a Bankruptcy Discharge

A bankruptcy discharge is simply a provision within many bankruptcy arrangements whereby you, the borrower or debtor, are released from any further personal liability for certain types of debts. After your discharge, you are no longer required to repay the qualifying debts.

Furthermore, this is a permanent order, meaning that creditors and collection agencies to which the discharge applies are no longer able to seek repayment from you – including calling you, writing you or seeking legal action in order to collect outstanding debts.

Note that some types of debts – such as those with a valid lien or charge upon a specific property – will remain owed by you even after the discharge. There may be other types of debts, such as some types of student loans, for which you will remain responsible even after the bankruptcy.

The Need for Money after a Discharge

As you know, once you have been through a bankruptcy, for a period of a number of years you will not be able to quality for many types of credit or loans. However, that does not mean you will not have the need for a loan: your need for cash will still be there even after bankruptcy, of course. Fortunately, some lenders special in making personal loans to people in your situation.

If you are wondering how to get a loan after a bankruptcy has discharged, personal loan options abound. Here are 3 personal loan tips for getting funded:

1. Decide whether you want a secured or an unsecured loan:

The first decision you will need to make is whether you should take out a secured or an unsecured personal loan. The main difference is that, with an unsecured loan, you will not need to put up any collateral such as a piece of physical property or a financial instrument such as a funded savings account. However, unsecured loans understandably come with higher average interest rates than do secured ones.

2. Figure out how much you need to borrow and for how long:

Now, decide exactly how much you will need to borrow. It is worth spending some extra time to be precise on this point. After all, you will want to make sure you borrow enough to meet your current cash needs, but you will want to avoid over-borrowing as well.

3. Apply to as many lenders as you can:

Now, it is time to apply to as many bankruptcy-okay personal lenders as you can find. Start by doing an extensive online search for “bankruptcy okay personal loan” and related terms. These lenders are out there and willing to take you on as a customer. Make sure you apply to multiple (e.g., 3-5) lenders, since by doing so you greatly improve your chances of getting a low loan rate.

Consider these 3 tips as you start out on your journey to get the cash you need now, even after your bankruptcy has discharged.

Life after a Chapter 7 bankruptcy is not as daunting as many would have you think. In fact, most of the negative information out there is spewed by the credit card companies that lose out when you file for bankruptcy protection.

The truth is, life after bankruptcy (BK) can be a rewarding experience. Think about it, you have been given a fresh start – free from debt – to start over. The most important thing to remember is ‘ Don’t screw it up!’ Have a strategy in place and commit to to it. It will take time but it’s not impossible.

In fact, there are several lenders that specialize in post-bankruptcy lending, the interest rates, fees, and terms may not be the greatest, but considering you won’t be able to file for bankruptcy again for another 8 years, you’re worth the risk in their eyes. Now it is true that a bankruptcy can stay on your credit for 10 years. However, your credit re-building process should begin immediately after discharge. For example, it typically takes 90 days to be discharged from a Chapter 7 BK, you can and should start rebuilding on day 91.

Here are the 10 Steps To Rebuild Your Credit After Bankruptcy!

First, take a moment and reflect on how you got here in the first place – namely why you had to file bankruptcy. Could you have saved more? Spent less? Planned for emergencies better? What did you learn? Self reflection is key so that you do not end up here again. I do know ‘things happen’ such as illnesses, job loss, etc but often times I meet with clients who just really over extended themselves and lived above their means. Even if it was a tragic event that led to the bankruptcy; taking a moment to learn from this experience is very significant. In my personal situation, I knew that I needed to invest in better health insurance, have a larger emergency fund, and rely on cash a heck of a lot more than credit.

Second, create a budget. This is so important! Now, more than ever, you need to get serious about having and sticking to a budget. This is your personal spending plan that tells your money where to go and how to work for you each and every pay period. This means making an effort to live below your means, not at your means. It is also good at preventing frivolous spending and determining ways to keep more money in your pockets/ bank account. If you have pinpointed your ‘learning lesson’ from step one it should be implemented here, in step two. Thus, your budget should include money set aside for your Emergency Fund/Savings Account that is funded prior to paying any other bills. This is the ‘Paying Yourself First’ practice. Being dedicated to paying yourself first and having a fully funded Emergency Fund for emergencies only will ensure that when ‘life happens’ you’ll be better prepared financially. How much should you set aside? Well, how much can you afford? I typically suggest starting with 10% of your monthly net income or $200, whichever is more feasible, and increasing it from there.

Third, Pay ALL of your current bills on time. I cannot stress this enough. The worst thing you can do is to file bankruptcy and have a past due utility bill or cell phone collection pop up on your credit report months or even a year afterwards! Haven’t you learned your lesson? This is what future creditors and your credit score will say when your report is further damaged by the reporting of negative information; in fact your score will be penalized twice as bad by the credit reporting scoring system.

If you have done a good job with number two – creating a budget- you should have no problem paying your bills on time – if not early. Probably the easiest way to pay anything on time is to set up automatic payments around your pay day. You set it once, and monitor it from there.

Now it’s time to build!

The Fourth step is to check your credit report. You want to ensure your bankruptcy is reporting accurately – courthouse information, amount, the type of bankruptcy filed, etc. And if you find an error, legally you can dispute for a deletion.

You also want to check the other accounts that were discharged in your bankruptcy. They should state they were discharged in Ch7 bankruptcy, the amount should be $0 owed/due and the all collection activities should stop, which includes any updates on your report about the debt. If you see any errors, dispute for deletion.

Fifth; re-enter the world of credit. Namely, apply for a credit card. You may be a little apprehensive, but if you plan on purchasing a home, opening a business, and rebuilding a positive credit profile, this is a MUST! How the credit scoring model works, any positive information that you have posting on your credit report will outweigh the negative information reported in the past. Therefore you have to put some positive information on there to boost your scores and strengthen your credit profile.

Where should you begin? Well, they may start to solicit you first. Review all offers carefully, interest rate, repayment terms, fees – all fees because with one particular card (First Premier) there are several so you want to be prepared. Don’t accept just anything! If you have not gotten any offers try your personal bank or your local credit union. If all else fails seek out popular, secured sub-prime credit card providers: Credit One, Capital One to name a couple. You can try obtaining an unsecured credit card but immediately following a bankruptcy I doubt if you’ll be approved. Further, the inquiry and rejection will further damage your report. Make sure you select a secured card that reports to All 3 Credit Bureaus – after all, you are rebuilding right? Reporting to only one or no bureaus at all is not going to help you in any way. You want all of that new positive credit information reporting into your score. If are rejected for a secured credit card, then you can look up ‘No Credit Check’ secured cards that report to all 3 credit bureaus online; First Progress and Opensky are popular ones.

Sixth, use your card wisely. Spend less than 10% of your credit limit, 30% maximum. That means if you have a $300 credit limit, do not spend more than $90; for $500 do not spend more than $150; $1000 credit limit do not spend more than $300; get the picture? Low balances, good payment history, more available credit than utilized (spent) credit is key. I don’t advise keeping a balance because of the high interest rates, but I have seen that some companies – Capital One in particular – will give you an increase faster by keeping a balance for 2-3 months. If you do this, please pay on time, keep it under 30% of the credit limit, pay it off no later than 3 months and include it in your monthly budget.

And, don’t create an additional bill for yourself. What do I mean by this? The easiest way to factor credit cards into your monthly budget is to set up automatic payments for a utility, cell phone or some other monthly bill that’s already in your written monthly budget; charge it and just pay it off right away the following month. This way you are not creating an additional bill and the expense is already included in your budget, you’ve just changed your method of payment from auto-debited withdrawals from your bank account to automatic credit card payments.

Seventh, increase that limit. Most people start off with a $300-500 credit limit, which doesn’t do too much for building your score, so you want to get it to $1000+ as soon as possible. If purchasing a home is on your short term list you want it over $2000. Why is this important? The lower the credit card limit the less it will count towards increasing your score. If you’re with a good secured credit card company, this means increasing the amount of your security deposit. If you’re with a less than stellar secured credit card company that still reports to all 3 credit bureaus but doesn’t offer incentives such as switching to an unsecured credit product in 6-12 months; then you may want to use the less than stellar secured card for 6 months, and then re-apply for another card with a more reputable company. By then you may be eligible for one of Capital One’s or Credit One’s unsecured products.

Eighth, get more than one card. Two to three should suffice. Using the above example, let’s say you got a $500 secured card, paid it well for 6 months and applied for an unsecured card and was approved for $500. DO NOT CANCEL THE SECURED CARD. Increase the deposit to $1000, if you can, but do not increase your spending. The increase of available credit will eventually factor into your credit score and give you a nice little boost. After all, 30% of your credit is based on your debt utilization and 35% is based on your payment history. By increasing your credit limit, adding on additional credit card that you will use just as wisely, keeping your balances super low, and paying on time; you are well on your way to good credit again! With six more months of positive payments on both of your cards you can ask for a credit limit increase with the unsecured credit card and apply for one more at that time as well. You’re 12 months in at this point and should have substantially better credit than when you started this journey.

To experience an even bigger jump, see if you can have a close friend/family member add you on as an authorized user to their credit card account. This account should have stellar payment history and super low balances and be 3 years or older in age. By becoming an authorized user, all of that good payment history will be placed on your credit report boosting your score even more!

Ninth, mix up that credit. This basically means adding an installment loan. This is usually feasible at month 6, 9, 12 and/or 18 depending on your situation. This is easier to obtain when you are an active member of a credit union; if you’re not, another option would be through a company such as Avant, Prosper, or Lending Tree. People with federal student loans that they are paying on a regular monthly basis won’t have to do this right away, but those that only have the credit cards they’ve recently acquired on their credit report will. This can be in the form of a personal loan/line of credit or a car loan. Your interest rate will be less than stellar but make sure the loan is affordable and can be paid off relatively easy. Namely, don’t put a strain on your budget. When I got my first personal loan I didn’t even spend it. I put it in my checking account with my credit union (who I got the loan through) with a few hundred dollars extra for interest and set up auto-payments for 6 months. I did this 3 times; paying the loan off in 6-12 months, until I saw a nice little jump in my score. I never did get a car note after my BK because living below my means with as little debt as possible was my ‘lesson learned’ from the whole experience.

The Tenth and final step is to monitor your progress and pinpoint areas of improvement. I personally signed up with a credit monitoring service that monitors all 3 bureaus, however, signing up with a free service, such as is fine. It only monitors Transunion and the credit score is far from accurate but the data is usually okay – not great, but okay. Your main objective is to see how you’re doing; is your score moving up or down? Is your credit utilization rate okay? Could you do more to boost your score and strengthen your overall credit profile?

Monitor your budget on a bi-weekly or monthly basis. Could you be saving more? Are there ways to cut some more spending from your budget? Do you need to find a way to bring in more income to cover your necessities (food, shelter, transportation, etc)? Make changes/improvements based on your assessment.

Following these 10 steps consistently should put you well on your way to an excellent credit score.