Tuesday, October 30, 2012

Mortgage Loans With Bad Credit: What Details Lenders Want To See

Seeing an application for a mortgage loan with bad credit get the green light is usually thought to be unlikely. With the size of the financing required to purchase a new home, the inclusion of bad credit would, at the very least, complicate matters. But the truth is that mortgages are available even with low credit scores.

The growth of the online lending industry has resulted in a variety of loan and mortgage options well suited to applicants with a less than impressive credit reputation. As with all loans, criteria are the key to any loan approval, with poor credit history only having a limited influence in the entire process.

What is most important is that key information is included in the application, such as the usual criteria, a low debt-to-income ratio, and a large down payment. And, while some serious compromises will need to be made, not least higher interest rates, mortgage loans can be given the green light.

Typical Criteria to Meet

The initial challenge when applying for a mortgage loan with bad credit is to satisfy the basic criteria set down by the lender. There are no surprises with relation to the nature of these criteria, with proof of age (over 18), confirmation of legal residency or US citizenship, and proof of sufficient income, the three key issues to establish.

Of the three, it is the issue of income that is the greyest area. This is because even a large income is not necessarily enough to secure approval with poor credit history. This is because the principal component is affordability, and that relates to the amount of excess income there is with which to make mortgage repayments.

This is where the debt-to-income ratio comes into the equation, and whether or not there is enough cash free to make the repayment as set out by the mortgage loan agreement.

Influence of the Debt-to-Income Ratio

The only real influence that a low credit score has over an application for mortgage loans with bad credit is to set the interest rate to be charged. Basically, the lower the score the higher the interest rate, while the higher the score the lower the interest rate. In effect, the affordability of the loan is affected.

But it is the debt-to-income ratio that finally decides whether approval with poor credit history is viable, or if it is only going to cause greater financial hardship. The ratio is set to a rate of 40:60, meaning a limit of 40% of an income can be used to repay loans. That way a majority 60% is available to cover everyday and unexpected expenses.

However, this also means that, if the repayments for the mortgage loan push the share of income spent on debts above 40%, the application will be rejected. To this extent, spending some time in advance lowering the existing debt (through consolidation loans) can be worthwhile.

Making a Significant Down Payment

A very effective way of improving the chances of securing a mortgage loan with bad credit is to reduce the actual size of the mortgage to be borrowed. This can be done by increasing the size of the down payment made on the property. Usually, the down payment is about 5% of the purchase price, but by increasing it to 10% or 15%, the remaining price share is lowered, meaning a lower mortgage is required.

The result is that it becomes much more likely to get mortgage approval, with poor credit history very much taking a back seat. And the benefit is the overall cost of the mortgage loan becomes much lower, with a small principal meaning a lower interest and, therefore, smaller monthly repayments.

Saturday, October 27, 2012

Selecting Magazines For A Dental Office

Dental Assistants are very wise people and this is especially true when they go about their duties in selecting magazines for a dental office that they work in several days a week. They know that the people who come to their office are very apprehensive about seeing a dentist and sometimes need a good diversion to keep their mind occupied while they are waiting to be called into the back.

Many dental patients begin to feel very relaxed when they see magazines that have good articles in them. Dental Assistants know this and when selecting magazines for a dental office, they make calm choices such as Reader's Digest, Fish & Stream, or Time Magazine. These magazines will generally contain informative articles that make people feel that the time they had to wait in the dentist's waiting areas was used to learn something.

Selecting magazines for a dental office might be easy because some dentist's will bring the magazines from home. Of course, they will always darken their home addresses but everyone in the office knows where they came from. The dentist might not realize that he is giving his patient's a preview into his personal life and they now know what his personal preferences are inclined toward by the magazines that he reads.

The dentist in turn, gets to find out a little bit about his patients too. By carefully selecting magazines for a dental office to use, he has established a benchmark to gauge his patient's personal interests. If they choose the magazines on finance over the ones that cover the latest computer programs then he has a good idea on how they would feel about an increase in rates at the end of the quarter.

The dentist will also know whether his patient has any moral values too. Some patients will take some of his magazines home to read without asking and then they will suddenly reappear when the patient returns for their next check-up. While borrowing is not really stealing, there is a value involved and some dentists will bill their patient's for magazines that are removed from their buildings.

When this occurs, the patients are very cautious about selecting magazines for a dental office visit, and some patients, after word has gotten round will choose to totally ignore all of the magazines in the waiting room. Some might feel very tense indeed by the time they reach the back room. The Dental Assistant will probably not have to worry about selecting magazines for a dental office waiting room for quite a while after the billing occurs.

Friday, October 26, 2012

Exclusive Listing Agreement with Real Estate Agents or Property Brokers

The current real estate brokerage scenario offers few property options to buyers even when there is lot of inventory available in the market. The prime reason for the same is that real estate brokers or real estate agents do not share their listings with the other agents in the market. As a result, the seller gets fewer genuine buyers for his requirements and so has a lesser chance of liquidating his property faster and at a right price. There is also a fear of being eliminated from the entire transaction by not being able to track the buyer and seller. A simple solution to this problem is working on an exclusive listing arrangement with the seller.

Why an Exclusive Listing Agreement?

1. An exclusive listing generally results in a higher selling price. When the agent feels that his time and money investment is relatively safe, he will take his time to negotiate or turn down offers as he deems appropriate. As a result, he works more closely with the seller to do the transaction and get the right price.
2. An exclusive listing allows the agent to place a yard sign. With 60% of the buyers coming from yard signs, you want a sign on your yard! The agent will not place a sign without an exclusive listing agreement, as he could be working for no compensation for his efforts. A real estate agent will then essentially receive calls on behalf of you, will work on staging the property to showcase it to buyers and will make all possible efforts to sell it at the right price.
3. An exclusive listing allows the agent to invest more in advertising. When you grant the agent an exclusive listing agreement, she can invest more in advertising as the investment will be relatively safe. Otherwise, she would rather invest money somewhere else. More advertising will lead to more buyers and then these more buyers lead to better price for the property.
4. An exclusive listing gets more agents to work for the seller. With an exclusive listing agreement you are giving the agent the freedom to share your listing with as many agents as possible. Your property actually has more not less exposure with an exclusive agreement. Further, as it gets exposed to more agents, the chances of it attracting the right real estate buyers also increase.
5. An exclusive listing keeps you better informed. The agent is committed to providing you first class service and keep you better informed throughout the steps of the transaction. Information is power, and you should have as much information as possible. The agent will act as a true real estate consultant and will ensure that the transaction goes through smoothly.

Thus, the seller and the real estate consultant should work in close co-ordination and cooperate in order to ensure that they get the best price for the property that the seller owns. Instead of the seller working on the property himself as a For Sale By Owner (FSBO), he should search for a good agent who can work on his behalf.

Tuesday, October 23, 2012

Installment Loans For Bad Credit

Will My Loan Get Approved With Bad Credit?

Having a bad credit rating is costly, frustrating, disheartening, and a nuisance, but it is NOT the end of the world. While it may seem that you will not be approved for any type of loan ever again, this is not the case as we will outline below. In fact there are various ways in which people with a bad credit rating can apply and get approval for loans. For cheaper loans you will face a more difficult application process, more stringent terms and a requirement for security or a higher interest rate. If you want to borrow money and fix your credit, your option is to work with the lenders available to you and reestablish your financial reputation as a borrower.

Of course, when it comes to your credit report your goal is to have as many positive items as possible and as few negative items in your history. Find out which company is our top recommended bad credit repair service and start fixing your credit today to qualify for better loan offers.

While you work to remove the negative items being reported you can improve your credit scores by increasing the positive items reported. It may feel like forever to fix your bad credit especially when you feel surrounded by insurmountable debts and obligations with no way to meet them in sight. If you take it one step at a time, I guarantee you will get there.

Bad Credit Rating Blues

One of the most dreadful situations that can happen when you have a bad credit rating is an emergency need for urgent cash. If your credit is bad enough, with bankruptcies, foreclosures, evictions and numerous defaults, financing loans the traditional way will not be approved. Especially in a need for quick cash, you will be rejected by conventional lending institutions and banks.

This is the point most people give up. The banks turned you away so it is impossible to get a loan right? Well... You actually have an option if you need to borrow money. In fact you have several options to choose from depending on your situation and need. There exist a number of installment loans for bad credit people; loans specifically designed to give you a second chance financing opportunity in times of need.

Surprisingly the approval requirements are easy. Bad credit installment loans are a good option for people who need money and have been rejected by conventional lending institutions. The installment structure of the loan provides an organized consistent repayment schedule that is easy to manage and the approval requirements are easy in these specialized loans.

Installment Loans for Bad Credit

Payday Loans

A payday loan is one of the fastest options if you need quick cash. There are many online and offline companies that provide this kind of loan. As the name implies, this loan is paid on an installment basis scheduled on every payday of the borrower. Your average payday loan will continue repayment as scheduled automatically until the balance is repayed.

Online installment payday loans are gaining in popularity because they provide a completely hassle free method of borrowing money. To apply, you need only to register online and complete the application through the online application form, providing your information and bank account details so they can fund your loan. Once the application has been submitted, approval will be made in a span of an hour or two. Once approved, your money will be automatically credited to your bank account within a few hours. Your first scheduled payment will be due on your next payday; depending on the terms of your particlular loan applied for, payment will be automatically debited on the approved schedule, effectively in installments.

As installment loans for bad credit go, they are extremely flexible, and easy to get approved. If you cannot meet an installment date, you can inform them to only deduct the interest from your account. Once you have enough money to payoff your debt, even if it is before the end of term, you may do so and rebates will be deducted from the balance of your loan.

A cash advance installment loan of this type comes with a few negatives that you should be aware of. First and foremost, payday loans are not the cheapest means of borrowing money. Borrowing costs are high, and the repayment periods are typically short.

On the other hand, the benefits of a bad credit installment loan of this type can outweigh the costs because you do not have to apply in person, and specially during emergency situation, the speed of funding has proven invaluable for a lot of borrowers.

In most cases, to be eligible for this kind of loan, you need to be a US citizen, employed with a minimum of ,000 monthly income and have a valid bank account.

Secured Installment Loans for Bad Credit

This is a type of bad credit installment loan that can be approved provided that you have something that can be used as security in the event that you default on your scheduled payment installments.

There are a few ways a secured installment loan is usually structured. You can give the lender some collateral in the form of property with value. For example, real estate property and automobiles are two commonly accepted forms of collateral. The added security will entice lenders that would not otherwise lend money to people with bad credit. On the other hand, the collateral will be seized if you are not able to adhere to the agreement that you signed with the lending institution.

For small installment loans, there are lending companies that accept jewelry and small items with value like electronics and appliances as collateral for the proposed bad credit loan. A pawn shop taking high value items in return for a scheduled payment loan is an example of this type of secured installment loan. These loans are not the best value in the world but can be especially helpful in a financial pinch.

Another option to secure your loan with the lender is to get a guarantor that will be willing to sign an agreement that in the event that you fail in paying for the loan, they will be the one to cover it for you. In this case, credit investigation and due diligence will be performed for your guarantor, but you and your bad credit history are able to sidestep the qualification process. Your guarantor must have a good credit rating and must have a substantial income to be allowed to stand in security for your loan and sign with you.

Finally, some lending companies approve loans even without a guarantor or collateral provided that you pay a cash security deposit and agree to a higher interest rate on the money you borrow. The rates are much higher than prevailing loan interest rates so make sure you have explored all other bad credit loan options before you pay too much.

Unsecured Installment Loans

In the case you have no property of value that can be used as collateral and no guarantor willing and available to sign with you, you can opt for unsecured installment loans for bad credit.

Unsecured bad credit installment loans are provided by personal loan lenders, credit unions, consolidation lenders and government aid programs.

As bad credit loans go, this is deemed a high risk for lenders. Since they have no guarantee that the money they let you borrow will be returned, it poses great risk on their investment. As such, expect a very high interest charge from lenders offering unsecured installment loans for bad credit. Additionally it will rarely be offered a high loan amount exceeding 00 or so unless you have a significant income that can be proved. It is also reasonable that the payment terms will be shorter compared to loans that are not as high risk. Normally, the loan period will last up to a maximum of six months.

For more information you can visit our recommended personal loans for bad credit, we review and rate the personal loans offering the best rates, easy approvals, and fastest funding direct to you, get started today...