CJW asked:


I have a loan with CashCall and the apr is 52%. I’m making payments, but they aren’t even making a dent in the balance of the loan. I regret doing this loan, and need any advice on how to repay or refinance that I can get.

Erin

Wizdam asked:


SOME PEOPLE W/CREDIT ISSUES ARE NOT ALWAYS COMPLETELY AT FAULT BUT BECAUSE OF POOR CHOICES IN CO-SIGNING HENCE THE BAD CREDIT

Suzanne

hans o asked:


Got in he payday loan web and need help getting out

Martin

Devora Witts asked:


Though most student loans are unsecured and the interest rate charged is subsidized, these loans are not always available for everyone. Thus, those who do not qualify for federal student loans or private subsidized student loans often wonder whether it is possible to obtain a private unsecured loan in order to finance college studies. The answer to this question is not a simple one.

There are many variables to be taken into account in order to answer whether financing college studies with unsecured loan products is possible or not. There are some particular issues that need to be addressed prior to answering this question: The loan amount needed, the repayment program expected, credit requirements for approval and income requirements for approval.

Loan Amount Needed And Unsecured Loans’ Figures

The amount of money needed to pay for college is usually rather high. Thus, you will need a fair loan amount to cope with these needs. The problem is that unsecured loans do not provide very high loan amounts and thus, you may get the money needed to pay for a year or two of college studies but not much more than that. So, unless you plan to generate a better income in the future that may let you obtain another loan, chances are that unsecured loan financing will not be the answer to your needs.

Unsecured loans are however great for financing additional college expenses while a federal loan or private student loan is used to finance the main college expenses. Unsecured loans can become a great tool to fill in the gaps generated by expenses that these other loans do not cover for. Besides, the flexibility that unsecured loans provide makes them an excellent financial product for students that usually have a part time job or other moderate income sources.

Credit Requirements On Unsecured Loans

In order to get approved for unsecured loans you will need a good credit score. This is due to the fact that unsecured loans have no collateral guaranteeing the loan repayment and thus, the risk for the lender is higher than with secured loans. Therefore, most lenders will not take a higher risk by lending to someone with stains on the credit report such as defaults or bankruptcies.

Yet, it is possible to obtain a bad credit unsecured loan if you know where to look for them. Do not expect however, to get competitive interest rates or very advantageous loan terms. Your possibilities as regards to loan amount and repayment program length will be limited and you will need to show proof of a suitable income for affording the monthly payments and other expenses without sacrifices in order to get approved.

Income Requirements On Unsecured Loans

To obtain an unsecured loan you will basically need to show proof of income. This implies showing copies of your paychecks, or tax presentations if you work on your own. It is possible to obtain a loan based on your claimed income but these loans are far more expensive than regular unsecured loans and are harder to qualify for in terms of credit requirements.

Furthermore, in most cases, you will need to show the lender that the amount of the monthly payments will not exceed 45% of your available income. This is due to the fact that the lender wants to make sure that you will honor your obligations even if unexpected expenses rise and you need to dispose of an important part of your income in order to face them.



Alex

David Peters asked:


Whether you want to buy a home, finance your education or redo your house, there are many kinds of loans that can help you achieve your goals. Here is a helpful loan guide to introduce some of the most common loans available today.

Bad Credit Personal Loan

A Bad Credit Personal Loan is a loan ideal for people bad credit ratings. Your past record of County Court Judgments, mortgage or other loan arrears can live on to deny you access to finance that other people regard as normal.

If you own a home and have equity in your property, a Bad Credit Personal Loan can bring control back to your life. Secured on your home, a Bad Credit Personal Loan can give you financial freedom.

With a Bad Credit Personal Loan you can borrow up to 125% of your property value in some cases, which can help you.

Bridging Loan

When you need a loan to “bride” the financial gap between monies required for your new property completion prior to your existing property having been sold, a bridging loan can help.

Bridging loans are short-term loans arranged when you need to purchase a house but can’t arrange the mortgage for some reason, such as there is a delay in selling your current home.

A useful factor about bridging loans is that a bridging loan can be used to cover the financial gap when buying one property before the existing one is sold.

A bridging loan can also be used to raise capital pending the sale of a property.

Bridging loans can be arranged for any sum and can be borrowed for periods from a week to up to six months.

Similar to a mortgage where the amount borrowed is secured on your home, the bridging loan advantage of a mortgage is that it attracts a lower interest rate.

While bridging loans are convenient, the truth is that the interest rates can be very high.

Business Loan

Designed for an array of startup business needs including the purchase, refinance, expansion of a business, development loans or any type of commercial investment, a business loan helps startup businesses.

These loans are generally available at really competitive interest rates from leading commercial loan lenders.

A business loan can be secured by all types of business property, commercial and residential properties.

These loans can offer up to 79% LTV (Loan to Valuation) with variable rates, depending on status and how long the term is.

Business loans are usually offered on Freehold and long Leasehold properties with Bricks and Mortar valuations required. Legal and valuation fees are payable by the client.

Car Loan

There are basic types of car loans available are Hire Purchase and Manufacturer’s schemes. Hire purchase car finance is arranged by a car dealership, and in essence means that you are hiring the car from the dealer until the final payment on the loan has been paid, when you receive ownership of the car, usually through a deed.

A Manufacturers’ scheme is a type of loan that is combined and advertised by the car manufacturer and can be arranged directly with them or through a local car dealership. You will not own the car until you pay back the loan in full, and the car could be repossessed if you didn’t pay your bills.

Cash Loan

Cash Loans are also known as Payday Loans, and these loans are ideal for people who hold down jobs who find themselves in a situation where they are short of immediate funds.

A Cash Loan can assist you in this situation with short-term loans, which is useful.

Loans are repayable on your next payday, although it is possible to renew your loan until further paydays down the road.

To apply for a Cash Loan you have to have a job and a bank account with a checkbook. A poor credit rating or debt history is initially not a problem.

Debt Consolidation Loan

Debt consolidation loans can give you a fresh start, allowing you to consolidate all of your loans into one simple loan, which will give you just one easy-to-manage payment, and in most cases, at a lower rate of interest.

These debt consolidation loans are secured on your home and can sweep away the pile of repayments to your credit and store cards, HP, loans and replace them with one, low cost, monthly payment that is calculated to be well within your means.

With a Debt Consolidation Loan, you can borrow up to 125% of your property value in some cases, which depends on the lender.

This type of loan can reduce your interest costs and monthly payments. Finally, you can get your life back in control.

Home Loan

A Home Loan is a loan secured on your home. You can unlock the value tied up in your property with a secured Home loan, and many people choose to do so with this kind of loan.

The loan can be used for any purpose you wish, and is available to anyone who owns a home. Home loans can be used for home improvements, buying a new car, taking a vacation, paying of credit cards and debt consolidation.

Home Improvement Loan

A Home Improvement Loan is a low-interest loan secured on the property you own, and is only for homeowners.

With a Home Improvement Loan, you can borrow money with low monthly repayments.

The loan can be repaid over any term between 5 and 25 years, depending on your available income and the amount of equity in the property that is to provide the security for the loan. You need to talk to your lender about that aspect.

A Home Improvement Loan can help you with installing a new kitchen, bathroom, extension, loft conversion, conservatory, landscaping your garden or purchasing new furniture. You can even use it on non-house expenditure like a new car or repaying credit card or other debts, which makes it convenient and useful for multi purposes.

Home Owner Loan

A Home Owner Loan is a loan secured on your home that you own. You can unlock the value tied up in your property with a secured Home Owner loan. The loan can be used for any purpose, and is available to anyone who owns their home. Home owner loans can be used for any purpose such as, home improvements, new car, luxury holiday, pay of store card or credit card debt and debt consolidation.

Payday Loan

Payday Loans also known as Cash Loans are arranged for people in employment who find themselves in a situation where they are short of immediate funds.

A Payday Loan can assist you in this situation with short-term loans to help you get through tough financial times.

Payday Loans are repayable on your next payday, although it is possible to renew your loan until subsequent paydays. To apply for a loan you have to be employed and have a bank account with a checkbook. A poor credit rating or debt history is initially not a problem.

Personal Loan

There are two categories of personal loans: secured personal loans and unsecured personal loans – See individual titles below. Homeowners can apply for a Secured personal loan (using their property as security), whereas tenants only have the option of an unsecured personal loan.

Remortgage Loan

To help you change your mortgage rate without moving, you may want to look into getting a remortgage loan. Remortgaging is the process of switching your mortgage to another lender that is offering a better deal than your current lender. This process is done to help you save money. A remortgage can also be used to raise additional finances by releasing equity in your property.

You can borrow money and rates are variable, depending on status.

Secured Loan

A secured loan is a loan that uses your home as security against the loan. Secured loans are suitable for when you are trying to raise a large amount; are having difficulty getting an unsecured loan; or, have a poor credit history. Lenders can be more flexible when it comes to secured loans, making a secured loan possible when you may have been turned down for an unsecured loan. Secured loans are another option if you need a new car, or need to make home improvements, or take that vacation. You can borrow any amount of money and repay it over any period from 5 to 25 years. You can choose a monthly payment that fits in your current circumstances and makes life easier on you.

Secured Personal Loan

A Secured Personal Loan is another useful type of loan that is secured against property. Secured personal loans are suitable for when you are trying to raise a large amount; are having difficulty getting an unsecured personal loan; or, have a poor credit history. Lenders can be more flexible when it comes to Secured personal loans, making a Secured personal loan possible when you may have been turned down for an unsecured personal loan. Secured personal loans are also worth considering if you need a new car, or need to make home improvements, or take that luxury holiday of a lifetime.

You can borrow any amount you need with a secured personal loan and repay it over any period from 5 to 25 years.

Student Loan

For students in college, a student loan is used to help students fund the cost of their education. Applications are made through a private institution or the government. A student loan is a way of receiving money to help with your living costs when you’re attending college. You start paying back the loan once you have graduated, provided your income has reached a certain level.

Tenant Loan

A tenant loan is an unsecured loan that is given to people that do not own their own property. A tenant loan is always unsecured because in most cases, if you are renting an apartment, you do not have an asset against which you can secure your loan. Tenants sometimes find that some loan companies will only lend money to homeowners, which can be frustrating. If you are a tenant you need to look for a company, bank or building society willing to give you an unsecured loan.

Unsecured Loan

An unsecured loan is a useful personal loan where the lender has no claim on a homeowner’s property should they fail to repay. Instead, the lender is relying solely on the ability of a borrower to meet their loan borrowing repayments. Because you not securing the money you are borrowing, lenders tend to limit the value of unsecured loans to protect themselves.

The repayment period will range from anywhere between six months and ten years, depending on the lender. Unsecured loans are offered by traditional financial institutions like building societies and banks but also recently by the larger supermarkets chains.

An unsecured loan can be used for almost anything you may want, from a vacation to buying a new car, funding a wedding or adding on home improvements.

An unsecured loan is ideal for those who do not own homes and cannot obtain a secured loan for example; a tenant living in rented accommodation.

Unsecured Personal Loan

An Unsecured personal loan is a useful personal loan that happens when the lender has no claim on a homeowner’s property should they fail to repay. Instead, the lender is relying solely on the ability of a borrower to meet their loan borrowing repayments.

The amount you are able to borrow with this type of loan can vary. The repayment period will range from anywhere between six months and ten years. An Unsecured personal loan can be used for almost anything – a luxury holiday, a new car, a wedding, or home improvements.

An Unsecured personal loan is ideal for people who are not homeowners and cannot get a secured loan. For example, this is a good program for renters.



Dora

toolate asked:


Wells Fargo doesnt apply to my state. i have a credit score mid to upper 700’s
i dont have bad credit! so people need to read the whole question, but thank you to those who have read the entire thing!

Tommy

sharris772000 asked:


I am trying to get a personal loan, My credit is good but maxed! I’m looking for a unsecured personal loan around 60K over a 60 month period. anyone know of anything?

Delores

redberri21 asked:


I am deffaulted in a student loan, and I’m trying to find someplace that will give me a loan for 25,000 dollars to pay all of my expenses. Does anyone happen to know a lender that does high-risk personal loans for people with bad credit?

Carlos

jayash.110206 asked:


I asked a similar question recently and all the responses I received were presumptuous or facetious. However, it was the litany of scam artists that made me the most furious because not only did they waste my time, but they repeatedly insulted my intelligence, esp. the ones operating out of the United Kingdom.(ATTENTION: Beware of lenders claiming to be employed or subsidiaries of INSCAPE LOANING/INVESTMENT COMPANY.) Therefore, if you have some credible and pertinent information that may help me find the financing I need, please respond. All inane commentators and attention seekers please find someone else to play with. Any serious and sympathetic contributors will be well appreciated. P.S. Please, no referrals to pay day loans.
Thank you all for your time and assistance.

Debbie

Martin Lukac asked:


To understand loans and mortgages we need to understand loan limits first. If your loan amount exceeds the amount below, you will qualify for a Jumbo Loan, which carries higher interest rate.

One-Family (single family homes) $417,000

Two-Family(duplex) $533,850

Three-Family (triplex) $645,300

Four-Family(fourplex) $801,950

FIXED Loans:

30 Year Fixed Mortgage Rates

This loan program is fixed for 30 years. Your interest rate will not change for 30 years. This is ideal for people who plan to stay at their present property for a long period of time.

20 Year Fixed Mortgage Rates

Fixed for 20 years. Your payment will be higher than 30 year fixed loan becuase your loan term is only for 20 years. Interest rate will not change for 20 years.

15 Year Fixed Mortgage Rates

15 year fixed loan has a loan term of 15 years and will not change during this period. Your monthly payment on this loan program will be much higher than 20 years fixed or 30 years fixed. Use this loan program if you plan to sell your home in 5-8 years. Interest rate will not change for 15 years.

ARM (Adjustable Rate Mortgage)

ARM Loans are fixed for a certain period of time, where after that period ARM loan becomes an adjustable loan. How do they work?

Each ARM Loan Program has these options:

1) Index: Most comon index-LIBOR

2) Margin: Is given to you by your lender, and it is the difference between the index rate and the interest charged to the borrower

For example 5/1 ARM. This loan is fixed for 5 years after which in 6th year it becomes an adjustable loan. Your loan officer will tell you what your index is and what your margin is. Usually 5/1 arm is tied to 1-year treasury index and margin is around 2.00%-3.00%

Your index + margin = Fully Index rate . Your new note rate (interest rate) after 5th year.

What about the 6th year? What would your payment be?

Let’s say that your loan officer told you that your margin is 2.5% with 1 year treasury index. You will have to look up 1 year treasury index for a specific month.

1 year treasury as of Oct.2005 is 4.18, and you know that your margin is 2.5%. Therefore you new interest rate is 1 year treasury 4.18% (index) + 2.5% (margin) = 6.68% for the begining of 6th year.

Index rate are move on monthly basis, therefore your payment may flunctuate each month. In most cases banks wills end you a statement advising you that your rate will change.

3) To protect consumers from high index rates, lenders implemented a CAPS.

An example of this is a 2/6 cap, which allows the interest rate on your ARM loan to go up or down by no more than two percent every adjustment period, and has a total limit of six percent for cumulative changes. Therefore a 2/6 cap on a 5% ARM will allow a maximum rate (6 + 5%) of no more than 11%.

In some cases you will see 2/2/6, which means 2% adjustment with 2 year prepayment penalty and total of six percent of cumulative changes.

4) With an arm you can have either a fixed rate or you can choose an Interest Only structure loan.

1/1 ARM Mortgage Rates

1 year ARM (Adjustable Rate Mortgage) is fixed for 1 year and in 2nd year it becomes an adjustable.

3/1 ARM Mortgage Rates

3 year ARM (Adjustable Rate Mortgage) is fixed for 3 years and in 4th year it becomes an adjustable.

5/1 ARM Mortgage Rates

5 year ARM (Adjustable Rate Mortgage) is fixed for 5 years and in 6th year it becomes an adjustable.

7/1 ARM Mortgage Rates

7 year ARM (Adjustable Rate Mortgage) is fixed for 7 years and in 8th year it becomes an adjustable.

10/1 ARM Mortgage Rates

10 year ARM (Adjustable Rate Mortgage) is fixed for 10 years and in 11th year it becomes an adjustable.

Interest Only Loans

For example, if a 30-year fixed-rate loan of $100,000 at 8.5% is interest only, the payment is .085/12 times $100,000, or $708.34. This is an example of interest only payment.

Each loan payment consists of Interest and Principal. Here you will be paying an interest each month and your principal will be adding to your balance, thus increasing it. You may also pay both principal and interest.

If a lender offers you an Interest only Loan these loans are tied to an index just like ARM loans.

MTA Index: The MTA index generally fluctuates slightly more than the COFI, although its movements track each other very closely.

. 1 Month MTA ARM Mortgage Rates

. 3 Month MTA ARM Mortgage Rates

. 6 Month MTA ARM Mortgage Rates

. 12 Month MTA ARM Mortgage Rates

COFI Index: This index rise (and fall) more slowly than rates in general, which is good for you if rates are rising but not good for you if rates are falling.

. 1 Month COFI ARM Mortgage Rates

. 3 Month COFI ARM Mortgage Rates

LIBOR Index: LIBOR is an international index, which follows the world economic condition. It allows international investors to match their cost of lending to their cost of funds. The LIBOR compares most closely to the CMT index and is more open to quick and wide fluctuations than the COFI.

. 6 Month LIBOR ARM Mortgage Rates

. 12 Month LIBOR ARM Mortgage Rates

Pay Option ARM Loan

Pay Option ARM in a new loan program allowing customers to choose from up to 4 different payments. This loan program is part of an ARM, but with added flexibility of making one of the 4 payments.

Your intial start rate varies from 1.000% to anywhere around 4.000%. The intial start rate is held only for one month, after that interest rate changes monthly.

4 major choises are:

1) Minimum payment: Fot the first 12 months interest rate is calculated using the start rate after that interest rate is calculated annually.

Example:

Loan Amount: $200,000.00

Initial Rate: 1.25%

Index: 3.326 (MTA as of October 2005)

Margin: 2.75%

Payment Cap: 7.5%

Fully Indexed Rate: 6.076% (ndex + margin )

Minimum Payment Changes:

Year 1 $666.50 Minimum Payment

Year 2 $716.49 = $666.50 + 7.50%

Year 3 $770.22 = $716.49 + 7.50%

Year 4 $827.99 = $770.22 + 7.50%

Year 5 $890.09 = $827.99 + 7.50%

The Option ARM’s 7.5% payment cap limits how much the payment can increase or decrease each year, except for every fifth year (beginning in the 10th year on certain programs), when the cap does not apply. In the event your balance exceeds your original loan amount by 125% (110% in N.Y.), the payment amount may change more frequently without regard to the payment cap.

Becasue you are paying “minimum payment” this option will defer a payment of an interest which will be added to your balance.

Minimum Payment Adjustment Period: The minimum payment is usually set to 12 months, unless negative amortization limit is reached.

Minimum Payment Cap: This is a limit on how much the minimum payment can change. Your payment cap will be 7.5% for the first five years. On your next payment due, your minimum payment cannot increse or decrease more than 7.5%. If it does than a loan is recast.

Recast (Recasting) or re-calculating your loan is a way of limiting negative amortization (neg-am). Option ARM’s recast every 5 years. When the loan is recast, the payment required to fully amortize the loan over the remaining term becomes the new minimum payment

2) Interest Only Payment: With Interest Only you will avoid deffered interest, becausue you are paying principal and interest. If you pay only Interest or Principal your loan balance will increase because you are adding either pricipal payment or interest payment to your loan balance, thus leading towards Neg-Am Loan.

Your payment may change on monthly basis based on ARM index (LIBOR,COFI,MTA).

3) Fully Amortizing 30-Year Payment: It’s calculated each month based on the prior month’s interest rate, loan balance and remaining loan term. When you choose this option, you reduce your principal and pay off your loan on schedule.

4) Fully Amortizing 15-Year Payment: It is calculated from the first payment due date.

Negative Amortization Loan (Neg-Am Loan)

Negative amortization loans calculate two interest rates. The first is called the payment rate the second is the actual interest rate. The true interest rate is calculated as simply the index plus the margin without periodic caps. Borrowers are given a choice of which rate to pay. Thus advertisers of negative amortization loans often refer to these loans as “payment option” loans.

A loan that allows negative amortization means the borrower is allowed to make a monthly mortgage payment that is less than the interest actually owed during that month. For example, let’s say we have a $200,000 loan with an adjustable rate that’s currently sitting at five percent. Simple interest on this loan is easy to calculate. Multiply the interest rate by the loan amount and you have the annual interest of $10,000. Divide $10,000 by 12 months and the monthly “interest only” payment is $833.33 or simply here is the formula for your monthly payment for interest only loans: loan balance x interest rates / 12 = monthly payment.

Now, let’s say that there’s a provision in the loan documents that allow the borrower to make a minimum payment based on a “payment rate” of four percent. So your lowest payment would be $666.67 because the “payment rate” is based upon four percent, not the actual interest rate, which is five percent.

So if you make make the lowest allowable payment you are actually losing $166.67 in equity. The balance of the loan increases to $200,166.67.

Exotic Mortgage

You may have heard this term before. So what are they?

The latest and most exotic mortgages out there include:

1. The 40-Year Mortgage: This is similar to a 30-year fixed rate mortgage, except the payment is being stretched over an extra 10 years. The lender will charge a slightly higher interest rate, as much as half a percentage point.

2. The Interest-Only Mortgage: With an interest-only mortgage, the lender allows the borrower to pay only the interest for the first so many years of a mortgage. After the grace period, the loan essentially becomes a new mortgage with the interest and principal being stretched only the remaining years. Please refer above for Interest Only Loans.

3. The Negative Amortization Mortgage: This interest-only type of mortgage allows a buyer to pay less than the full amount of interest. The difference between the full interest payment and the amount actually paid is added to the balance of the loan. Please refer above for more information.

4. The Piggy Back Mortgage: This is actually two mortgages, one on top of the other. The first mortgage covers 80% of the property’s value. The second covers the remaining balance at a slightly higher interest rate.

5. 103s and 107s: You may not need to save for a down payment at all. You could borrow 3% or 7% more than your home is even worth. These loans give you the option of borrowing money needed for closing costs and moving costs. You can include it all in the mortgage.

6. Home Equity Line of Credit: These aren’t just for those who own a home! They are commonly known as HELOCs, and they can finance an original home purchase using a credit line instead of a traditional mortgage. HELOCs are variable-rate mortgages tied to the prime rate. If you use this mortgage as your first mortgage, all of the interest is tax deductible.



Brent