Tag Archives: contact
What is a bad credit loan? (Page 1 of 2)
Bad Credit Loans
A bad credit loan is a type of loan that is offered to individuals that have poor credit.
How do you know if you have bad credit?
First, before you apply for a loan, you should write the credit bureau to get a copy of your credit report.
How can you tell if you have bad credit?
If you are receiving calls from a collection agency, you have bad credit.
You have bad credit if you have three or more late payments on your credit report.
But there is more!
You also have bad credit if you have any of the following on your credit report:
Unpaid closed accounts. This could be credit cards, auto loans, home loans, apartment lease, cellular phone, cable bills and much more.
Any account that is closed and was not paid off will show a charge off on your credit report.
This is one of the worst items that you can have on your credit report. It tells the person that checks your credit that you will never pay off the bill.
You can also get bad credit by co-signing for another person.
For example, you could co-sign for a person to get a new car, loan or apartment. If the person you co-signed with is ever late of a payment, that would cause you to have bad credit.
How To Clean Up A Bad Credit Report
If you would like to clean up or repair your credit, your first step is to order your credit report.
Once you have received your report, you should either pay off any unpaid bills on your report or contact the account holders to make some type of payment arrangement.
It is always better to pay the bill off if possible. If you owe a large amount of money, you may want to contact a debt consolidation service.
For a small fee, they would contact each account holder to work out a payment plan that you could afford.
They would combine all of your bills into one monthly payment. This service would improve your credit history over time.
If all of your accounts are paid off and still show a history of late payments, you could hire a credit restoration service. Credit restoration or credit repair companies can contact the credit bureau to try to get them to remove the late payments from your credit report.
These types of services can only help you to clean up your credit history if you have already paid off your accounts. The reason why your account must be paid off for a credit repair company can be able to help you, is because the credit repair service will send a letter to the credit bureau requesting to have all the negative items removed from your credit report.
The credit bureau will send all your account holders a letter stating that you would like to remove the negative information that they sent to the credit bureau about your account. If your account holder does not respond to the credit bureau’s letter, the credit bureau would have to remove the information from your credit report. There is a much better chance that the account holder will not respond to the credit bureau if your accounts are closed and paid off. If your accounts are not paid off, the account holder knows if they respond to the credit bureau, the negative items will stay on your credit report.
VA Loans
A VA (Department of Veterans Affairs) loan is designed to assist the heroes who served in our armed forces and helped protect our country. Any retired soldier can obtain VA loans, even if they only served during peacetime. There are several eligibility requirements that you should know about when determining of you are eligible for a VA loan.
Retired soldiers who have served a certain span of time are eligible. The required period of time that you must be enlisted varies depending on whether you were active during peacetime or a time of war. During a war, eligibility is given after 90 days of service, but eligibility during peacetime requires 181 continuous days. Wartime and peacetime are actually defined as certain calendar periods. For more information, contact your local VA. Its important to note that if you were dishonorably discharged, you are ineligible regardless of the amount of time you served.
Some spouses are eligible for VA loans, too. If you are the spouse of a POW or a soldier missing in action, you may be eligible. Also, a spouse (who did not remarry) of a soldier who died while serving, or due to a service related disability, may be eligible. Contact a VA loan official to discuss your eligibility.
If you fulfill the requirements, contact a VA loan organization for a copy of Form 26-1800 (request for a Certificate of Eligibility) and fill it out. You local VA may be able to assist you in finding loans, but they wont respond to requests for eligibility forms. That must be handled through the actual loan organization.
You are also eligible if you are still currently on active duty, as long as you have served the required number of days (depending on wartime or peacetime). If you arent in any of the above categories of eligibility, you can become eligible after serving 6 years on Selected Reserve. This six-year requirement doesnt have to be consecutive. Again, a dishonorable discharge from the Reserves will make you ineligible.