Category: Personal Finance

rednano 1st June 2020
Getting Your Payday Loans Without Stating Your Income
Getting Your Payday Loans Without Stating Your Income

Payday loans are advertised everywhere it seems. Payday loans are also poor for your pocketbook. For quick cash, many will resort to payday loans to “tide me over ’til payday.” But, payday loans come with a steep interest rate. Some payday loans will come with interest rates as high as 400 to 500 percent, depending upon whether you roll them over from one payday to the next.

Most payday loans are arranged so that a borrower writes a post-dated check to the lender, for say 2 weeks. When the 2 weeks are up, the payday loan is cashed, which includes the predetermined interest. Because of the Federal Truth in Lending Act, the lenders must disclose the interest charged to the borrowers and finance charge. Let’s say for example that you take out a payday loan for $500 for two weeks and pay the lender $75. You’ll write the post-dated check out for $575, receive immediate cash of $500 and at the end of two weeks the lender will cash the check. The interest rate on this loan comes in at a whopping 391-percent annual percentage rate. There may be an additional finance charge as well.

Before you decide on the quick fix that payday loans offer or get yourself in a situation that your alternatives are few, consider a loan from a credit union or small lender, employer, family member or even a cash advance from your credit card vendor. Most people who resort to payday loans do so time and again, so a little planning for a cash crisis may help avoid the steep interest rates.

If you continue to get a payday loan fix, then start making additional plans to get off the wagon. Talk to your creditors for more time to pay bills. Get overdraft protection for your bank account. Make a budget and stick to it, factoring in a little extra personal cash for impulse buys. If you believe you have been defrauded by your lender for unscrupulous practices, then file a complaint with the Federal Trade Commission. The FTC helps prevent fraudulent, deceptive and unfair business practices and help the consumer avoid such places of business.

On the other hand, you may be in a bind and need the instant cash that payday loans provide and are confident that paying them back will not be a problem. There are many sources for payday loans online that can help you get out of your cash bind. Remember, though to take the time to choose carefully and comparison shop since as a consumer you do have many choices in lenders.

Stated income loans require little verification to receive money. Stated income loans generally require no pay stubs, W2’s or tax returns. For those who have difficulty verifying their earnings, stated income loans may just be the answer. Usually this group includes borrowers that make tips, bonuses and commission as their sole form of income or are simply self-employed or are retired and live off of their investments.

It may sound too good to be true, but it isn’t. There is a proven, yet renegade method to build your home for free.

When considering a stated income loan as an alternative to traditional borrowing methods, one does have to have verifiable employment and some cash reserves or assets. Stated income loans are also known as No Income Verification Loans (NIV).

Several different types of stated income loans exist, depending upon the lender. Some stated income loans are available for those with FICO scores as low as 580 – 640. Usually the borrower’s statement or assertion of their income is enough to get the loan along with some assets. There are, however, some leaders that offer stated income and stated asset loans, which means that neither the income nor the assets are verified by the lender. These loans generally carry a slightly higher interest rate for the borrower since the lender accepts more risk with this method.

There may be some other caveats when applying for a stated income loan such as being with the same employer for 2 years, several credit accounts and no bankruptcies within the last 3 years. Also, the borrowers title must match closely to the stated income. As an example, a high-school janitor reporting $10,000 per month in earnings would be suspect.

Stated income loans can be used for new purchases, refinancing your current home and home equity lines of credit. Some lenders even offer stated income loans for commercial and non-residential real estate as well.

Stated income loans may also be desirable for privacy-advocates who are willing to pay a little more in interest rates in order to keep their money matters private. No matter which kind of borrower you may be, stated income loans are at least worth considering if an alternative is what you need.

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rednano 8th May 2020
Best Mortgage Advice For Real Estate Buyers
Best Mortgage Advice For Real Estate Buyers

It is good to know that most buyers don’t think about choosing the best candidate for the loan. Understanding how to pick the best financial institution has emerged as a critical aspect of purchasing home.

You can agree with me that to most people getting a mortgage is a necessity. Over the years, we have witnessed a sudden increase in the price of homes. This means that purchasing the right home with cash is impossible. That’s where mortgage lenders come in. They will provide you with money to purchase your desired home. Keep in mind that mortgage lenders are in business. They are in the market to attract buyers like you. With that in mind, you can find better terms if you consider doing a little shopping around.

It is worth considering and comparing different mortgage lenders before making your final decision. You are likely to save a considerable amount of money if you put more effort into the process. Most naïve homebuyers prefer big national lenders such as the Bank of America. Before making your final decision, keep in mind that most of these national lenders don’t have the best mortgage programs.

Where can you find the best deals? The most excellent deals can be found when you have a mortgage broker. Mortgage brokers are beneficial more so in finding the most appropriate lenders who have the best rates for your preferred loan program. You might end up saving tens of thousands if you get the best mortgage lender. What if you don’t do your homework? In such cases, you will land undesirable mortgage terms. Follow these helpful tips so that you don’t regret putting in the time and effort.

Work on your credit score

People with better credit scores will end up finding a fantastic mortgage. Do you know that you must have a perfect credit score to get an outstanding loan? You will be more attractive to a good number of lenders if you have a good score. Most of these mortgage lenders will be willing to give you better deals. Are you sure that even a single percentage point of your loan rate can save you tens of thousands? You can attest that our needs are different. However, it is advisable to wait a while and improve your credit score. This is the right time to learn how you can improve your credit score.

Know the difference between a broker and lender

Do you know that mortgage brokers and lenders are not the same thing? How does a mortgage broker work? Typically, mortgage brokers find lenders who are willing to lend money to buyers. Mortgage brokers can find the best mortgage deals. They will help you find a good lender with a better mortgage than you would be able to get on your own. That’s the main reason mortgage brokers charge fees for their services.

Ask for a reliable recommendation from someone you trust

Do you know anyone who has purchased a home recently? Such friends will give you some reliable advice on how you can find the best mortgage deals. They will also recommend different lenders who might be willing to provide better mortgage deals. A family member or co-worker will be ready to tell you bad things about the lender they used. Their advice is very valuable simply because it will help you get an idea of the different mortgage options.

In addition, your realtor will be an excellent resource when it comes to lender recommendations. In case you have an agent, you can rely on their insight. Over the years, agents have been helping numerous clients in purchasing homes. Hence, they are always up-to-date on the lender’s clients.

The most friendly mortgage brokers will educate you on the entire mortgage process. Furthermore, they will assist their customers in avoiding the most terrible mortgage mistakes. You are more likely to make mistakes that will cause your loan approval to be canceled by the lender.

Check online reviews

You might be aware that understanding how to pick a lender involves due diligence. You should consider backing up the advice given by your friends with your research. You can check reviews from different buyers who have worked with the specific lender. They will not only give you useful knowledge, but they will also tell you about their experiences.

Although online reviews are easy to post, most unhappy clients are motivated to write a review to warn potential customers against working with the specific mortgage lender. In addition, you can read multiple reports from the same lender. In most cases, people write reviews assuming that they should go a certain way to their liking. While at times they are correct, most of the time they are wrong.

Get the details of what the lender is going to charge you

Besides the interest rate, other numerous potential costs can be tacked on by lenders. Some of the fees are reasonable while others are not. The most common types of fees include an origination fee, rate lock fee and processing fee.

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rednano 3rd May 2020
Tips To Help Manage Your Personal Finance And Invest
Tips To Help Manage Your Personal Finance And Invest

According to statistics, many people in the world don’t know how to manage their finances. Most of these people end up in horrible financial situations that keep getting worse all because of lacking the knowledge of managing their finances. However, if you find yourself floating in the same boat, there is no need to be worried as there are ways of getting away from such situations, and we will provide them to you in this article. These ways will help you in being orderly when it comes to your finances.
Just like any other task, managing your money can seem daunting, especially if it is your first time. The good thing is that you will get the hang of it as the days go by.

1. Track your expenditure

This is the first thing you need to do before you embark on the better management of your finances journey. Few people can state their monthly expenditure off the top of their heads. One needs a notebook to write down whatever purchase they made, or no matter how small or for a trivial reason, it is important to write them down. You can choose to track either daily, weekly, or monthly. This will help you to understand your expenses and draw the line on what is or isn’t important.

2. Create a budget

After understanding your expenditure, it is important to draw a budget. This budget drawn will keep you in check as soon as you decide to spend on something that is trivial. The budget should address all matters concerning your finance, for instance, paying off any debts that you might have. On matters to do with debt payment, you are always advised to pay a higher amount than the minimum. The said budget should also incorporate expenses such as mortgage and retirement.

3. Cut down on unnecessary expenses

There are some expenses which you should probably slash them if they aren’t very important. These expenses could range from memberships, subscriptions to activities that you don’t do as much. This exercise will help you be accountable for every single penny.

4. Debt consolidation

Most people who need help in managing their finances have some debts on their sleeves to repay. The debts could be student loans, credit debts, and other loans. Some options will allow you to settle many unsecured debts as one bill instead of settling each of them on their own. These options include personal loans and credit cards.

5. Open an emergency fund

As we all know, unexpected events happen in our lives from time to time; it is important to have an emergency fund. We should have the discipline not to use the money until an event such as losing our jobs, losing our hopes, or illness occurs, then we can use it. The money in this fund should be left alone as it accrues some interest.

6. Save for retirement

It is never too early to start saving for your retirement as the sooner you start, the more money you would have accrued once you retire. When deciding on the percentage of the money you would save for retirement, it is important to consider the amount of money you earn and the target money you want to have when the time comes for you to retire. Most people are usually advised to save 10-15% of their earnings on retirement.

7. Find other ways to invest

Saving is never the best option as the money the economy shifts every day, and there could be an increase in inflation, which would otherwise lead to your saved up money losing value. Therefore, other options of saving, especially assets, can guarantee better safety as its value increases too. One could decide to look up the stock market or invest in companies that have the potential to earn profits. Instead of your money is in the bank, it could help you earn some money as the company you invested in appreciates. You can also decide to start a business no matter how small it is.
There are many ways to manage your finances and achieve your goals and dreams within no time, all the while sorting out your debts.

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