Tag Archives: interest rate
Loans: 4 Keys To Better Loans and a Better Credit Score! (Page 1 of 2)
How you manage loans impacts your FICO score more than any other factor in your credit history. It’s true, you are scored heavily on the kinds of loans you have, how many months or years you have had those loans, how much you owe, and your repayment history, are key clues that credit bureaus use to arrive at your credit score. If you can wisely manage your loans, you will add points to your credit score quickly. Here are 4 key tips…
1. When the time is right you should try to refinance your high interest loans.
If you have high interest rate loans, especially on big ticket items like a motor vehicle or home mortgage and interest rates drop two points or more in the market, investigate refinancing some or all these loans. This is especially true if your credit score improves to above 700, even above 750 would be better. But, be wise about how you carry out this tactic.
First, shop loan sources other than the creditor that has your loan now. This way you may force your current lender to compete for your continued business by offering a more favorable interest rate. At the same time, do this only with those lenders who are obviously only interested in making money on you. Stick with lenders with whom you have a good long-term relationship but advise them that you are looking for a lower rate on your loan.
When shopping for credit give potential creditors only your credit score, not your Social Security number, for them to come up with a quote. Giving your S.S. number results in inquiries on your credit report which can damage your score. When they use only your score, no inquiries are recorded.
When seeking loans, you are looking for a lower interest rate or better repayment terms or both. By getting a better interest rate you will save hundreds, perhaps thousands, of dollars in interest. At the very least, getting more favorable monthly repayment terms that you can comfortably afford, will enhance your loan repayment history and automatically improve your score.
Refinancing is ideal for someone who is living from pay-to-pay and having a tough time making their monthly bills and who has been getting late notices or collections recorded in their credit history. It’s also a good idea for someone who has been paying bills on time with no recent negatives in their credit history and who has a good credit score. They will have an easier time refinancing for a better interest rate and more favorable repayment terms.
2. This is not my favorite solution but, if you must, there are loans available for folks with a poor credit history.
If your credit score is really low and you need a loan, you should look into services that provide loans to people with poor credit scores. But, be very careful you do not go even deeper into interest rate debt. There are legitimate lenders who know that some folks with poor credit scores will still make their payments on time if given a second chance and they are willing to speak with anyone that other lenders have denied.
Financial Rescue With One Hour Payday Loans
In todays fast paced credit drenched world it is very easy to become entangled in debt. The average household is $8000 in credit card debt. Americans carry a staggering $700 billion dollars in revolving debt like bank credit cards and retail cards. On average, Americans spend $1.22 for every dollar they earn. So if your in debt, rest assured your not alone. Sometimes everyday bills can seem like insurmountable obstacles as we put off this creditor to pay the one that is more threatening. One hour payday loans are an excellent source of quick cash that allows you to pay those bills that will come due in the time period between paydays.
One hour payday loans are readily available to anyone who is 18 years of age, has held their current job for at least six months earning $1000-$1200 a month and has an active bank account with direct deposit capabilities. The application process is quick and private as it can be done online from the comfort of your home. You simply fill out the form on your computer screen that includes the personal and banking information that the lender requires and submit the form. In a mater of minutes a you have your results. If you are approved your funds will be wire transferred to your bank account directly and will be available to you instantly. How easy is that?
One hour payday loans can be used for any purpose but are recommended for emergency use only as the interest rate can be very high, between 15%-30%. So if you take out a payday loan at a 25% interest rate you will have to repay $125 on your next payday. All transactions are conducted online so when your payment comes due the lender simply withdraws the amount of the loan, plus interest and any fees, directly out of your account. These loans are very short term so be prepared to repay your loan in about two weeks, a month tops. Because you give the lender your promise of a post dated check to repay the loan no credit check is performed or collateral is required.
Be cautious when considering whether or not to have a lender extend you a quick cash advance. As these loans are going to be taken out of your next pay check be certain you will have enough money left over to carry you through until your next payday. Borrow as little as possible to get by. Although it is possible to get an extension on your deadline, you should avoid this because interest and fees will continue to pile up. Many people have fallen into the trap of having to take out one hour payday loans repeatedly to keep current with not only their bills but the interest and fees from the loans. If you can manage to be responsible then one hour payday loans are an excellent occasional, short term solution to many of your debt problems.