24 Hour Mortgage Info |

If you’re looking for credit repair secrets, here are 5 negotiating tips. They work regardless of how good or bad your credit might currently be. Let’s get started.

Tip #1 Ask

The credit card industry is competitive. They know it too. You can switch from one company to another with a phone call. They want to keep you as a customer so they’re willing to make all sorts of offers if you just call and ask. If you need a reason, tell them because you’ve been a good customer. If that’s not true, tell them you need a better rate to help you financially which is true no matter where you are financially.

I know one person who called her credit card company to close the account. She was wanting to pay down her debt and didn’t want to think about the possibility that she might use the card again. The company made her all kinds of offers from lower interest to lower payments. It reminded me of an outright settlement. In this economy, creditor are becoming more flexible because it’s harder to make the same profit they did before.

Tip #2 Manage your balances well

When you have additional spending limit on your cards, you can do a balance transfer if one card doesn’t give you as good a deal as you’d like. If you’re wanting to extend your credit lines, the best way to do that is to maintain a balance of around 30% of your limit. That way the creditor is making money on interest and can see you’re handling it responsibly.

Tip #3 Get creditor to fight over you

Having a better deal somewhere else is the easiest way to get a good deal. Credit card companies know they are a dime a dozen and will give you whatever deal necessary to keep you. If you can make a balance transfer out of their account, they’ll be more willing to work with you. If not, make the transfer and then see what kind of deal they’ll give you to get it back.

Tip #4 Maintain better credit

Hopefully this goes without saying. The better customer you are, the better terms they’ll give you. If something happens and you won’t be able to stay on time, consider whether it makes sense to only fall behind on some of your accounts. For example, if you have a zero percent interest rate credit card, you might want to stay current on that one and let the rest slide.

Tip #5 Do the math

There are more things you can negotiate than just the interest rate. When assessing the value of an account, consider any additional fees, any bonuses for using the card, if a low rate is temporary, etc. You can even ask to have negative items removed from your credit report if you ask. The only limit is what you’re willing to ask for.

At the end of the day, the key to negotiating is to know where you are and where you want to be. Then get out there and keep asking until you get what you want.

Find out how to do your own credit repair without an agency. Visit www.creditrepairsecrets.org for free credit repair secrets.

Technorati Tags: budgeting, consumer credit repair, credit, credit history repair, Credit Repair, credit repair advice, credit repair help, credit repair secrets, debt, Money Management

Fair Isaac has finally released their anticipated FICO 08 score model. This new credit scoring formula has many differences from the previous FICO model.

FICO 08 is the first major change in Fair Isaac?s underlying scoring model since the early 1980?s. Fair Isaac estimates this new scoring model will better predict risk of default by 5-15% over prior models.

Many experts estimate it could actually improve the current risk model by upwards of 50%. FICO 08 was pushed to be released in 2009 in response to changing economical conditions.

FICO is used by most large banks and financial institutions so understanding the new changes are crucial. Many lenders will quickly be integrating this new scoring model into their lending decisions.

Many of the basic principles of FICO will remain the same. The score range of 300-850 will continue with the new model.

One of the best changes is that collection accounts with initial collection balances less than $100 will NO LONGER have any impact on the credit score.

Very small collections such as small medical bills will no longer have an affect on the credit score if the initial balance on the account was less than $100 at the onset of the account on the credit report.

The new model will also be more forgiving on consumers who are late in one area, but not late in other areas on their credit. So if a consumer is occasionally late on a credit card account, the score change will be less than if that consumer was consistently late on all their payments.

The score impact of an authorized user account will also change with FICO 08. There will be no more credit points given for ?piggybacking?. This is when a customer with credit problems is added as an authorized user to an account of someone with good credit to boost their scores.

With FICO 08 their will only be a score improvement for authorized user accounts for the consumer?s immediate family.

If the consumer has too few accounts, completely closed accounts, or has inactive accounts, the damage to the score will be more than other FICO models.

FICO 08 now contains more scorecards with between 12- 16 estimated. This is versus the 10 prior scorecards that existed with older FICO model. These scorecards are secret mathematical models that are used to assign a credit score.

Each scorecard is specific to an industry. For example the Auto Industry Option Scoring Model uses its own scorecard and weighs past auto history heavier than all other accounts while computing a credit score.

FICO will be a big upgrade for Fair Isaac. Most lenders and all three major credit bureaus are quick to implement this new scoring model due to its increased ability to accurately predict risk.

For more questions on credit scoring and enforcing consumer credit rights visit www.PerfectCreditFast.com.

Technorati Tags: bad credit, car loan approval, credit fix, credit improvement, Credit Repair, elite credit, elite credit inc, good credit, loan approval, mortgage approval, mortgage loan approval, need credit

Recently I was applying for a loan and needed to increase my credit score. I needed to get above 650 to qualify for the rate I wanted. My current score was 590. I was able to repair my bad credit fast and got my score to 700 in less than 60 days.

Statistics show 52% of consumers don’t know what factors into there credit report. 90% don’t know what’s in there report and 75% of credit reports have some type of error.

The method I used to repair my bad credit fast took less than 60 days. With this in mind you should not apply for a loan until you have confirmed your score is where you want it to be.

Once you apply for a loan the lender will pull your credit report. Usually the same day. If you have followed my methods your score will be where you need it to be.

First go to annualcreditreport.com This is a totaly free service with no obligations. Unlike the advertised sites, such as freecreditreports.com, annualcreditreport.com is not a membership site that will bill you if you don’t cancel. This site allows you to see your credit report once a year for free.

Since I was in a hurry I chose the option to view it online. I then searched it for any late payments. The first thing I did was dispute any medical bills listed as late. My brother works in the medical billing field, he told me they don’t have enough time to respond to credit bureaus to confirm late payments. I then went on to dispute all other late payments.

We want the creditors to have the burden of proof. sometimes they will not respond at all sometimes they will respond late. Either one of these will benefit us. Even if they do respond late we can use the “challenge process” later to get them removed permanently.

Next we need to notify the credit bureaus in writing which items we are disputing and why. Include any relevant information such as account numbers payment dates if they support your position etc.. They will have 30 days to to investigate or remove any items that they did not get a response to.

The consumer credit reporting act states that the credit bureaus must give you a copy of your report after they have made any changes per your request.

The steps to repair bad credit fast is not a hard one. I was able to lift my score 110 points in less then 2 months. To get an easy to follow guide to better credit go to repairbadcreditfast.info

Technorati Tags: Credit Repair, do it yourself credit repair, how to, improve credit rating, personal finance, real estate loans

For any individual considering filing for bankruptcy, a key concern is of course what is the long term impact on your financial life of bankruptcy. One of the major issues some people are worried about is home foreclosure, and specifically which will be worse for them and their credit score, foreclosure or bankruptcy. But bankruptcy and foreclosure will impact your credit score differently, and are two different processes, so it’s not easy to compare apples to apples. Here is how you might approach making a decision.

To begin, a foreclosure stems from your mortgage loan, which is mostly like any typical type of secured loan, like a car loan. In the event that you are unable to pay, the lender will be protected because the debt is secured by your home, therefore the lender will repossess, or foreclose, on your home to pay your debt. In the same way as another asset such as a car, a foreclosure will be a major black mark on your credit and bring down your score.

Bankruptcy is somewhat different, because it is an organized way to wipe the slate clean of nearly all of your debt, both secured and unsecured. Generally, you can either get rid of, or discharge, debt, or set up a court-approved repayment plan. When it comes to which is worse a foreclosure or bankruptcy for your credit score, the big credit scoring companies will never tell you exactly. However by the time you have gotten over your head in a big way enough to go to bankruptcy court, your credit is probably already pretty poor, so that a bankruptcy will not hurt your credit score too much more.

But here are the issues you want to consider. If you have not been foreclosed yet, and you file bankruptcy, you can still lose your home because the lender can ask the bankruptcy court to permit a sale of your house to pay off your debt. This type of sale would happen in a Chapter 7 bankruptcy, where your debt is discharged, but in a Chapter 13 bankruptcy you might get a chance to continue to make payments under a plan. In a Chapter 13, this type of bankruptcy might help you avoid foreclosure.

As for your credit score, a bankruptcy may not lower your credit score number too much lower, however your bankruptcy filing stays on your credit report for ten years. So with a bankruptcy, in five years you might have a better credit score but lenders could still see your bankruptcy filing from five years ago, and turn you down on that basis. Foreclosure on the other hand is like any other repossession or single bad debt. It stays on your credit report for seven years, but once you restore some good credit after a few years you could once again qualify for credit. It’s important to recognize then that your credit score is not the only thing to consider between bankruptcy and foreclosure.

Before you make a choice between bankruptcy or foreclosure, find a good bankruptcy lawyer to discuss your situation, and contact a non-profit credit counseling agency. These groups can best help you decide how your income, debt and expenses will be impacted in either case. Some people may prefer to keep their credit score as high as possible, but others may want to keep their home, no matter the impact on their score. Discuss your situation with a professional, to see what your next step should be.

Are you trying to determine which is worse, bankruptcy or foreclosure? Find information on bankruptcy at Bankruptcy Help Online.

Technorati Tags: avoid bankruptcy, bankruptcy help, bankruptcy information, Credit Repair, debt consolidation, debt help, personal bankruptcy, which is worse bankruptcy or foreclosure

Many Americas were completely unprepared for the huge-scale downturn and financial crisis that is currently happening all over the world. Because so many Americans were unprepared and easy credit dried up, their expenses and liabilities quickly outstripped their ability to pay for their lifestyles. The financial crisis causes a tightening of credit all over, in turn leading to astounding increases in bankruptcy filings in the United States.

A Chapter 7 bankruptcy is what most people imagine when they consider filing for bankruptcy. Although a few items are exempt, most of the petitioners assets will be sold. Debts that are unsecured, like medical bills and credit cards, will be discharged, and other debts will be rescheduled for payment. However, the United States Trustee over Chapter 7 bankruptcies requires that a means test be applied. This would deny Chapter 7 relief to anyone making enough money that their claim might be abusive.

Chapter 13 bankruptcy, or reorganization bankruptcy, is an alternative to Chapter 7. Chapter 13 bankruptcy reorganizes the petitioners monies so that debts can eventually be repaid. People who have nonexempt assets or properties they wish to keep find a Chapter 13 to be a useful option to a Chapter 7 that would require those assets to be liquidated. This is also a good choice for people that have a predictable income and would be able to pay off their debts if a restructuring and rescheduling took place. Under a Chapter 13 bankruptcy third parties are protected; a co-signer or spouse would have special protection. While a Chapter 7 discharges debts and liquidates assets in a matter of months, the reorganization plan that a Chapter 13 creates will be in effect for three to five years.

To be eligible for Chapter 13 filing, the debtor has to demonstrate that he will have a steady and reliable income over the period of the Chapter 13 plan. Further, once showing that this income will be available, required living expenses are subtracted from the predicted income. If there is enough money remaining to make significant headway in paying down the debt the filing will be allowed. Another restriction refuses Chapter 13 relief to people with more than $336,900 in unsecured debt and/or $1,010,650 in secured debt.

One rather peculiar restriction strictly forbids stockbrokers and commodity brokers from receiving Chapter 13 relief even if it is solely for their personal finances. Other than these basic restrictions, Chapter 13 relief is available to most people.

Filing a Chapter 13 bankruptcy is not a simple process. Most professionals that will assist a petitioner require some up front fees so it is wise to take action before the situation is completely out of hand. A Chapter 13 bankruptcy requires great discipline, but it can be a good alternative for professionals and those that can be successful in the future.

Wendy Polisi is the founder of Credit Repair College and Finance the Dream. Credit Repair College empowers people to take control of their financial future by learning everything they need to know to repair credit on their own. For more information on credit repair please visit them on the web. Finance the Dream offers lease options throughout the United States.

Technorati Tags: bankruptcy, credit, Credit Repair, fast credit repair, Filing bankruptcy, Finance, Home Equity Loan, Mortgage, personal finance

There are barriers to filing for Chapter 7 bankruptcy protection and receiving the benefits of a financial fresh start and putting an end to harassing creditors, and wage garnishments. Requirements for filing a Chapter 7 bankruptcy include:

- Within the last 180 days you completed a credit counseling course on the internet, on the phone, or in person from a counseling agency approved by the Court;

- The state in which you are filing must have been your place of residence for the previous 90 days. If you have not resided in the state for 90 days then you may file in the state where the majority of your assets have been located for the last 180 days or where your principal of business is located;

- A previous bankruptcy has not been dismissed within the last 180 days for (1) voluntary dismissal after a creditor has filed for a Motion of Relief From Stay, or (2) failure to obey court orders or failure to appear before the court;

- Not having filed a Chapter 7 within the last 8 years where a discharge was received;

- Not have received a discharge in a Chapter 13 filed within the last 6 years. This does not apply if you paid 70% or more to unsecured creditors in your Chapter 13 Plan;

- Average monthly income over the last 6 months is less than the median for your county OR the average monthly income over the last 6 months minus allowable expenses is not enough to pay one quarter of your debt over the next 5 years;

- Not be a financial institution, a railroad, nor an insurance company;

The requirements for who can and cannot file for Chapter 7 bankruptcy protection are found in the federal bankruptcy code. Failing to meet one or more of the requirements does not necessarily mean that you cannot receive bankruptcy protection, it may mean that you have to file a petition under another Chapter of the Code.

Technorati Tags: attorney, bankruptcy, bankruptcy attorney, bankruptcy information, bankruptcy lawyer, chapter 7, Chapter 7 bankruptcy, Credit Repair, creditors, debt, debt relief, debts, Finance, lawyer

credit scores are critical elements of our monetary life. The variation between having a high score and a soft score can mean a enormous distinction when it comes to getting credit, from the interest rate you pay to whether you are able to acquire the credit at all.

Even if credit scores are vital, not many people really know what is key when it comes to a determining a credit score. It is much more than just paying your bills on time.

However, payment history is the largest proportion of your score. Paying your bills on time with no delayed payments is the top way to increase your credit score. Payment history counts for 35% of the complete score.

The next factor that counts for 30% of the total score is the amount that you owe compared to the amount that you have obtainable. Try not to make use of more than 35% of the total quantity obtainable to you or it starts to count against you. Your score gets worse the more you use.

Next is the time-span of credit history at 15%. The longer your accounts have been open, the better for your score. Use your older credit cards more regularly because the longer the credit history is the superior your credit score.

10% of the score is new credit, including inquiries. Do not apply for credit randomly as every time you do a negative mark goes on your report and it stays there for 2 years. New credit would also take in any recently opened credit.

The last 10 % is the kind of credit. Installment accounts are ordinarily scored superior than revolving credit. Regular credit cards score superior than department store cards.

There is the breakdown of what is critical for your credit score. It is imperative to pay your bills on time but you must also check the amount of credit that you use, set up a credit history and avoid applying for pointless and new credit.

Technorati Tags: business, credit, Credit Repair, credit repair companies, credit repair company, credit repair services, Finance

If you want to improve the odds of getting your loan modification approved, we’ll go over a few tips to do that. You can increase your chances of success by using some of these little known secrets. Let’s discuss a few of these tips.

Financial hardship is a key factor to show when applying for mortgage loan modification. You have to write your lender a financial hardship letter. A hardship letter details and explains your circumstances. You also need to tell your lender what steps you’ve taken to improve your situation. Finally, tell the bank you’re committed to continuing being a home owner.

If you set up a new home budget and free up some money, this gives you more space for monthly payments. You have to be aware of your expendable income to be able to define an affordable monthly payment. Reassure the banking company that can pay that amount now and will be able to keep it up in the future.

Inform your lender about your financial position by filling out the essential financial statements. Never try to leave out information and be meticulous when filling out the forms. Make it easy for the lender by providing your financial statement and a financial statement offer for the future.

Be sure to do your research and plan ahead when applying for mortgage loan modification. As soon as you’re aware of the approval criteria, you dramatically step-up your chances of success. When applying for mortgage loan modification, know that you need to hurry. You’re responsible for doing the required steps in order to save your house!

Technorati Tags: Credit Repair, credit report, credit score, debt, Home, Home Equity Loan, lender, lending, loan modification, modifying mortgage, money, mortgage loan, mortgage loan modification

Whenever you read a general article about mortgages the term foreclosure is oftentimes accompanying it. This recession in the U.S. today has sacrificed the jobs of millions and caused unemployment to skyrocket. Millions are at risk of losing their homes right under their feet. The news doesn’t provide much comfort too. What can we do as Americans in this stressful declining mortgage market?

In order to find a solution to the problem one needs to understand what a mortgage is. Webster defines mortgage as, the pledging of property to a creditor as security for the payment of a debt.Which can also be taken as, you apply for a loan through a bank, receive that loan to buy your property and have to pay funds back to the bank. If in any circumstances you are to default on your payment to the bank that trusted you with their funds they can take your home. There are several avenues you can take to avoid such action being taken against you. You can choose to refinance your home, apply for a reverse mortgage, or receive a loan modification.

Most people choose to refinance their home versus any other option. Millions of people refinance their property aspiring to get a lower yearly interest rate. When considering refinancing your property read all fine print with your contract and try to obtain a rate between 2-4%. Refinancing is supposed to drop the rate of interest you pay on your property yearly and therefore reduce your monthly mortgage rate.

Are you at least 62 years old, own your home, and have a low mortgage balance remaining on the home you reside in? Reverse mortgage will probably be the best avenue you can take. Reverse mortgages allow homeowners to change equity in their homes over to cash and pay off their mortgage all together. This home loan never has to be repaid and is tax free because it’s included as your yearly income. The only downside to reverse mortgage is the debt on home increases, equity diminishes, and the upfront costs and expenses can be pretty expensive.

A new trend in helping to solve the foreclosure dilemma is loan modifications. Loan modifications enable you to find an affordable mortgage payment for your situation. You negotiate terms on your current loan instead of having to reapply with different companies. Loan medications save time and money. In order to be able to obtain a loan modification there are a few standards that must be met. Loan modifications were put in place for people going through a financial hardship for example unemployment. The unemployed must provide proper documentation outlining the hardship, you must be at least three payments behind on your current mortgage, and have not filed a bankruptcy. If, you feel you may qualify for a loan modification contact your current lender or service owner for your property.

There are several solutions to solving your mortgage issues. The best advise to give is to weigh the pro’s and con’s to each method mentioned. And determine which method is right for your current situation.

Technorati Tags: credit, Credit Repair, debt, Finance, Foreclosure, Loan, Mortgage, mortgage foreclosure, mortgage loan, real estate

One of the most effective ways to build your personal credit is to add new, positive accounts to your credit report. When you add new accounts, your high credit limit (the total credit available to you) will be increased. This is a big turn-on for potential lenders; the “pre-approved” offers will start arriving in your mailbox. The goal, of course, is to earn better credit as reflected in a higher credit score.

But, as in many things in life, there’s a catch-22. In order to GET good credit, you usually must HAVE good credit. Ask anyone with a high credit rating, and they’ll tell you they are flooded with offers of credit cards with reasonable rates every single week. However, there are ways for those of us with less than stellar credit ratings to add new credit accounts to our files. In this article, we’ll briefly describe a few methods, some good, some questionable.

Read the rest of this entry »

Technorati Tags: Credit Repair