Bad Credit Blog

Do you have debt that is bogging you down and keeping you from reaching your financial goals? Using credit and debt can be a powerful tool that allows you to buy a home, a vehicle, send children to college, and even provide leverage for other purchases. But when you accumulate too much debt , it can pose a serious problem that affects other areas of your finances.

Here are some key warning signs that could mean that you’re in too much debt. While nobody wants to admit they are in debt, you can overcome it. The sooner you recognize there is a problem and begin to make changes, the better off you’re going to be. Don’t delay and put your other financial goals in jeopardy. Find out today whether or not you’re in over your head. Here are a series of statements to compare to your situation. If any of these apply to you, it is time to stop and take action to remedy the problem.

10 Warning Signs Of Too Much Debt

1. You don’t have any savings.
2. You only make the minimum payment on your credit cards each month.
3. You continue to make more purchases on your credit cards while trying to pay it off.
4. You have at least one credit card that is near, at, or over the credit limit.
5. You are occasionally late in making payments on bills, credit cards, or other expenses.
6. You don’t even know how much total debt you actually have.
7. You use cash advances from your credit cards to pay other bills.
8. You bounce checks or overdraw your bank accounts.
9. You’ve been denied credit.
10. You lie to friends or family about your spending and debt. Take Action Now

Sometimes we know deep down inside that we have a debt problem, but it is easier to deny the problem than to address it. It can be painful and require hard work, but the sooner you realize that you are in over your head, you can begin to make positive changes. Delaying changes to your habits will only prolong the problem and make it worse. If you don’t think you can tackle the problem alone, there are people out there willing to help.

Source: www.About.com

By Jeremy Vohwinkle

For more credit help, please visit our site. We have been there and know how bad credit can affect everything, including your health. Take a look!

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What is a car loan refinance? A car loan refinance is a similar concept as refinancing a home . When you refinance a car loan, you pay off your current car loan and replace it with a refinance car loan with a new lender at a different (generally lower) rate. If you have purchased a car and were given a loan with a high interest rate, you may want to think about refinancing your auto loan for a lower interest rate. Refinancing your existing car loan can save you money each month by lowering your car payments.

Is an Appraisal Needed to Refinance a Car Loan?

Some people think an appraisal is required to refinance their auto loan. This is not true. When you refinance your home, you do need to have an appraisal since the loan is based on the equity in the home. With a car loan refinance, the loan is based on how much money you need to pay off your current car loan, not on the value of the car.

Bad Credit Auto Loan Refinance

If you had credit problems, refinancing a car loan might be a good option for you. You may have accepted an auto loan with a high interest rate because of a bad credit history . But, if you have maintained a stable job since you bought the car and have been making consistent, on time payments for a year or more, you may be able to lower your current interest rate. It’s worth looking into it.

Car Refinance Example

If you financed a car loan for $20,000 over 5 years at an interest rate of 17.32% APR, the car loan payments would be $500.50 per month. If you were able to refinance this auto loan after twelve months and decreased the interest rate to 12.43% APR, the monthly car payment would drop to $457.80. By refinancing your auto loan, you would save $42.70 per month. This equates to a savings of $2,049.60 over the remaining 48 months of the loan, assuming all of the installments were paid on their due date.

HSBC Auto Finance HSBC Auto Finance is a leading provider of financing for new and used vehicles and has products that serve the full spectrum of credit consumers. HSBC Auto Finance originates or refinances auto loans through direct solicitations, the Internet and alliances. They are one of the top auto refinance companies in the US. If your interest rate is above 12% then give HSBC Auto Finance a call and see if they can get you a lower interest rate today!

For more credit help, please visit our site. We have been there and know how bad credit can affect everything, including your health. Take a look!

If you know someone struggling to quit smoking we found a great site that offers genuine  help. You can Quit!!

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By Leslie Kearney

10+ years ago credit counseling was something I had never heard of. Not that they didn’t exist, it’s just that until you need something you tend to not go looking for it.

I had been out of steady work for 6 months and temping for low pay, barely keeping my head above water. Needless to say credit card bills were not as important as rent and electricity and I fell behind and that’s when the interest rates began going up, and up, and up . . . well, you get the picture!

After finally landing a full time job I knew I needed to start getting my finances in order so I started researching.

Credit counselors are typically non-profit companies. They are direct liaisons between you and the credit card company. All those calls you get about your late payments become a thing of the past when a they step in!

They contacted all my credit card companies and negotiated a set interest rate (way below where it was). Then they faxed me the pre-filled-in forms and all I had to do was sign!

So, now instead of making 6 payments I made one each month to the counseling agency. For a $25 a month fee (way less than the cumulated interest I was saving!) I sent them my money and they distributed it electronically to each and every credit card company.

In 3 years my credit cards were completely paid off and I was debt free. My credit score went up significantly and on my next new car purchase I was able to get 0% interest through GM financing!

Signing up with a credit counseling agency was the smartest thing I ever did. I was drowning each month, unable to make the minimums. Late fees were racking up and no matter how much I paid them the balance always seemed to go higher instead of lower! Working with them took the stress off me and allowed me to budget in the payment each month. Just like all my other bills the payment went out and was taken care of with no stress or hassle.

If you are considering using one, and you have more than $5,000 to $10,000 in credit card debt, you won’t regret it. It never hurts to do your research and talk to one. In three years you can either still be struggling to make the minimums or debt free. It’s your choice!

If you’re not sure then click here and take a simple assessment. Take the first steps toward financial freedom and see if credit counseling is right for you!

For more credit help, please visit our site. We have been there and know how bad credit can affect everything, including your health. Take a look!

If you know someone struggling to quit smoking we found a great site that offers genuine  help. You can Quit!!

Here is a great site for some wonderful Christian articles, short stories, plays, family stories, Bible studies etc. Check it out.

As interest rates drop, people’s thoughts turn to refinancing - refinancing their home loan, that is. What they don’t know is that refinancing an auto loan is easier to do, and it can save you some serious money.

How much? Say you bought a new car six months ago. And say there were a few dings on your credit so the dealer told you that your auto loan would be 11% on a five-year loan for a $23,000 car. Your monthly payments are $500.

Now let’s say that you surf the web until you find a company that offers auto refinancing. You could refinance the balance of your car loan and lower your payments to about $400 a month. That’s a savings of nearly $6,000 over the life of the loan!

Other examples could well be more dramatic. In some cases, a new-car buyer could wind up with an auto loan based on an 18% interest rate. By refinancing at a competitive rate, the monthly payments would be slashed, and all it takes is about 10 minutes to fill out the application.

So what kind of consumers should consider refinancing their auto loans? An industry expert I spoke with identified the four types and gave them each a name:

The Saver: This type of customer is always keeping an eye on the Fed (Federal Reserve) and when interest rates drop, he begins shopping for a way to improve his personal financial picture. He may also consider refinancing when his credit score has improved, which could enable him to qualify for lower rates.

The Newly Educated Remorseful: A car owner may have recently bought a new vehicle and financed it through the dealership. Then, a neighbor or friend innocently asks, “So what interest rate did they give you?” The car owner goes back to her contract and finds that the dealer made a pretty penny on her by marking up the interest rate by several percentage points. Buyer’s remorse sets in…and the search for a new auto loan begins.

The Budgeter: This customer may have bought the car on a short-term loan — say, two years. The payments are high but affordable. Now suppose this customer’s economic picture changes — he buys a house, for example — and his monthly expenses shoot up. He looks at that auto loan and wants to spread the payment out over a longer period of time. Refinancing the auto loan is just the ticket to do that.

So, if refinancing is such a great move, why don’t more people do it? Possibly, they anticipate the same kind of application-heavy process found in refinancing a home loan. Or it could simply be that people don’t know it is possible. After all, the only risk is the 5-10 minutes it takes to fill out the application. Make sure, however, that no points are charged for the refinance process.

Remember, as the federal interest rate drops, auto loan rates follow. Why throw that money away paying interest? Join the wave of the future and refinance that auto loan today!

Ref: www.Edmonds.com

For more credit help, please visit our site. We have been there and know how bad credit can affect everything, including your health. Take a look!

If you know someone struggling to quit smoking we found a great site that offers genuine  help. You can Quit!!

Here is a great site for some wonderful Christian articles, short stories, plays, family stories, Bible studies etc. Check it out.

By Dewey Kearney

Many people are afraid to sign up for credit counseling for fear that it will negatively affect their credit score. But the truth is that if you contact one to help you set up a budget or make a financial plan this doesn’t affect your credit score at all. Most agencies don’t report to the credit bureaus when you sign up for a debt-management program, either.

So what exactly is a credit counselor? Credit counselors are nonprofit agencies that act as a mediator between the individuals and their debtors.

When the FICO score was introduced in 1989 it was administered through the credit agencies and attention was paid to the use of credit counseling. Contacting a credit counselor would drop your score one or two points. That rule was changed in 1998 in response to consumers concerns.Most of the counseling companies don’t report to the credit agencies that you have signed up to receive help. The creditor may report if the debt is being repaid through a reduced payment program. This should be a minor concern if you are in debt and in need of counseling to help manage things.

I went through a personal bankruptcy in 1989 and I said to the attorney who was handling things that I was concerned about my credit rating. His response was, “Son, it’s already in the toilet. Let’s clear things up so you have some breathing room.” And he was right.

Contacting a credit counselor is the same thing. If your creditor reports that the debt was “not paid as agreed” that could temporarily lower your score. However the effect will be small in the overall scheme of things because it will help you get out of debt!

Trust us! A ding on your credit stating it was “not paid as agreed” vs. “charge-off” (never paid at all) is much better! The most important thing – is that you don’t miss any of the payments to the credit counseling agency.

Even if you are making reduced payments the creditors (like car loan lenders) will usually look at whether the payments are made on-time and how the balance compares to the credit limit.

Not sure if credit counseling is the way to go? Click here to take our online assessment. It never hurts to research it and find out. Your debt situation won’t get any better if you don’t take action, so start today!

For more credit help, please visit our site. We have been there and know how bad credit can affect everything, including your health. Take a look!

If you know someone struggling to quit smoking we found a great site that offers genuine  help. You can Quit!!

Here is a great site for some wonderful Christian articles, short stories, plays, family stories, Bible studies etc. Check it out.

No matter who you ask, everyone feels they are paying too much for car insurance! With the cost of repairing newer vehicles rising every year the cost of car insurance has skyrocketed causing some people (possibly you?) to try to get under the radar and not carry insurance. If anyone suggests that to do that – remember – it’s BAD advice. Don’t do it. If you think you have problems now they will quadruple or more if you even have a little fender bender.

In California where I lived for 30+ years the state will confiscate your car if you are in an major accident without insurance! Some states require you to have car insurance before they will register your vehicle. In Arizona, where I currently live, if you are stopped they ask for proof, and more states are starting to do that. So think twice before just letting your insurance lapse.

Most people know their car insurance rates are based on their age, driving record, residence and how many miles they drive for work. But did you also know that your rates are based on your credit score? It sounds strange, I know, but before you go shopping for car insurance you might want to pull your credit and see what your score is. Then take some steps towards improving it.

If you need car insurance right now though and are trying to get the lowest rate possible we have some helpful advice for you.

Know The Minimum Car Insurance Coverage That Is Required By The State:

Most states will require some type of minimum coverage. It will vary by state so check your state’s requirements.

For instance in Alabama the minimum requirement is only $20,000 for bodily injury for one person and $40,000 for all people and $10,000 property damage liability. That’s pretty low.
So as an example, if you hit someone driving a $40,000 vehicle causing $20,000 damage to their vehicle (that’s entirely possible with today’s cars). Your insurance will pay $10,000 and guess who is going to have to pay the difference? You!

If you MUST, get the least amount of car insurance you have to, but if you can afford a little bit more (and often it’s not that much more per month) then we recommend you do it. One way to save on car insurance though is on the comprehensive and collision coverage. This is the amount of coverage on YOUR vehicle. Now, if you are driving a relatively new car you obviously need this – if you’re hit by an uninsured driver your insurance will have to foot the bill - but if your car is 10 years old or older you don’t need it.

Most cars 10 years or older are only worth $2,000 to $4,000. If you’re car is in this category then full coverage might be costing more than the insurance company will give you if your car is totaled.

Coverage Your MUST Have:

Uninsured or underinsured coverage is something you should have. There are so many people on the road today with no car insurance, if you are hit by one of them you have two choices. Pay the bills yourself and sue them in court (good luck with that), or use your uninsured motorist insurance to get your car repaired and pay your medical bills. So even if you are trying to get the most scaled down policy possible, try to budget for uninsured coverage. It’s worth the little bit extra.

How To Shop For The Best Rates: You can get your yellow pages and “let your fingers do the walking” as they say or you can go to our website and check our car insurance brokers. They specialize in two things: 1) finding car insurance for people who have bad credit and 2) finding you the best rates PERIOD! They will shop hundreds of car insurance companies for the best rates saving you lots of time, frustration and money.

For more credit help, please visit our site. We have been there and know how bad credit can affect everything, including your health. Take a look!

If you know someone struggling to quit smoking we found a great site that offers genuine  help. You can Quit!!

Here is a great site for some wonderful Christian articles, short stories, plays, family stories, Bible studies etc. Check it out.