How Do Home Equity Loans Work?

You suddenly find yourself in need of a substantial amount of money and fast. One of the options open to you is to avail of a home equity loan. The question now is, how do home equity loans work?

You must understand the advantages and disadvantages of a home equity loan so that you know what you are getting yourself into before you find yourself without a house. A home equity loan is one type of a second mortgage. However, this should not be mixed up with a home equity line of credit which is more like a credit card. You are given a credit limit and paying for your debt can increase your credit that you can potentially borrow against.

Read more

Need to unlock your home's equity - but have a few questions? Why not consider a free private email consultation with me, Darrin Roseborsky? There's no obligation or commitments to worry about. Just helpful answers to your questions. Use the short form in the top-right corner to get started. And in a few minutes, you'll have the answers to all of your questions.

Refinancing For People With Bad Credit

It is quite a challenge when it comes to refinancing for people with bad credit because lenders are very careful when it comes to approving loans, and like it or not, they will look into your credit history. Your credit information are stored in databases so that applying for any type of loan can mean that the lender will look up into your records and see that you have not been as prompt in paying your debts as you should be.

When Should You Refinance?

Refinancing for people with bad credit is always on a case to case basis. Each situation is unique and different so it doesn’t really mean that if you have the opportunity to avail of this option. However, you can always ask a lender if you qualify.

You know it’s a good idea to refinance if you can achieve a lower rate than the present interest of your loan. If you are refinancing to pay out your other debts then it’s recommended to opt for a cash-out refinance. Nonetheless, applying for this program needs an income that can put up with the higher payment.

Read more

Get Yourself Out of Debt through Debt Management Plan

Are you finding it difficult to rise above your debts? In the current economic times, many will answer this questions a yes. A debt management plan can help you clear your debts easily and quickly, bringing you peace of mind.

Here are some of the tips that can help you well in clearing your debts through an effective debt management plan:

Cut Down On Expenditure

The first thing you need to do in a debt management plan is to come up with a plan that will help you save lot money. This can be done by cutting down on the expenditures. It may sound harsh but it is advisable to let go of some of your costly habits such as impulsive buying. This will help you lead a stress free life and improve your financial situation.

Read more

Transferring Credit Card Balances - Does It Make Sense?

A question about transferring credit card balances came through the site the other day, so I thought I’d address it for all our readers.

The question was: “Is it better to have fewer credit cards maxed out…or more with lower balances if the rates are the same?”

This is a great question, and very common. Your credit score can be broken down and based on a few factors.

The first factor is repayment history. If a person is habitually late on payments, then the delayed payments will reflect negatively on a credit score.

Second, your credit score is based on the percentage of the amount of credit limit used. If a person is habitually over limit their credit limit, most companies reviewing your credit report consider consistent overages almost as bad as missed payments.

So, to answer this question, a person is better off to have multiple cards with lower amounts on them then a few cards maxed out.

For example if you have $10,000 in credit card debt you are better off to hold $5,000 on 2 different cards that have a $10,000 limit (I.E. 50% of the high credit limit on both cards) then have $10,000 on a card with a $10,000 limit.

Transferring credit card balances as outlined above (as a short term solution), may be a better option for some people.

All the best

Darrin

Credit Card Debt Assistance | New Consumer Protection Rules

The Canadian government has issued brand new credit card debt assistance through new consumer protections designed to protect Canadians from unfair practices by their credit card companies. The new rule, which will set a uniform 21 day grace period before interest could be charged on new purchases, is designed to give you some options and prevent you from possibly having to pay interest on new purchases beginning the moment your card is swiped at the point of purchase. Read more

Canada Credit Repair Scams Rise as Economy Falls

As the economy sinks further and further into recession and Canadians struggle to juggle their bills while fearing for their economic well-being, it looks like in Canada, credit repair scam artists are poised for a big come-back.  Here are a few things for you to consider so you can avoid being caught in their web of deceit.

Legitimate Credit Items Can’t Be Wiped Clean – Your mom was right.  If you did it, admit it, and move on with your life.  Nobody’s perfect, so realize that no credit repair company in Canada can legally wipe legitimate items off of your credit report.  A common tactic used by some of these companies is to shower the credit reporting agencies with so much paper contesting the legitimacy of the debt that they’ll give up and remove the contested item or items.  It’s a pipe dream.  Even if they succeed, your creditor will simply put it back on your report and you’ll be back where you started – minus the money you will have spent on the credit repair agency’s fee.

Read more

5 Easy Steps To Effective Credit Clean Up

Have your old bills and other credit issues followed you like a lost puppy into the New Year?  If so, it’s time for you to take charge of your financial life and resolve to take the steps today that will improve your chances of getting the refinance loan you might need tomorrow.  Here’s a simple step by step plan that will have you singing credit clean up before spring.

Assess the Damage – Get a copy of your credit report and see what it has to say.  Most Canadians are shocked to learn what’s on their credit report – and what’s missing.  The only thing a potential lender has to judge your ability to repay a loan is your credit report, so if it’s not accurate it will be impossible for a lender to make a reasonable assessment of your ability to repay a loan.  Credit clean up tip # 1: Assess the damage. Read more

Canadian Economy: Future of Unprecedented Uncertainty

The Canaidan economic outlook is worsening by the second, but Prime Minister Stephen Harper believes that few governments in the world are as well-positioned to weather the storm as Canada.  Citing a willingness to take whatever steps are necessary to prevent the Canadian economy from sinking to the same depths as the U.S. economy, Harper promises that he’s on top of the ever-changing situation and has an aggressive plan to help Canada emerge stronger than ever.  

Take a look at the International Herald Tribune article and judge for yourself.  I’d really like to know what you think…

 http://www.iht.com/articles/ap/2008/11/20/business/NA-Canada-Economy.php

Late Payment Fees: 3 Tips To Use When It’s Not Your Fault

Your phone rings and you’re surprised to hear that it’s your credit card company telling you that your payment isn’t large enough to cover your minimum monthly payment - and now you have late payment fees. You very confidently tell your credit card company that they’re mistaken and you demand that they double check their records. They do and the response is the same.

According to their records you’re late – and as a result you’re being hit with a late payment fees and another ding on your already-battered credit report.
Read more

Credit Protection Insurance Easy Money for Credit Card Company; Waste of Money for You?

Credit protection insurance has seen a resurgence in popularity in recent months as more and more Canadians begin worrying about their economic stability. I stand by my contention that in most cases it’s an overpriced waste of money and should be avoided. In case you’re not familiar with what it is, I’ll give you Read more

Next Page »