Oct/110
Writing Off a Mortgage – Does This Help?
Filing bankruptcy is not a solution to pending loans or creditor’s harassing calls. You have an option to write off your loan legally. But make sure that you reach out to a genuine company which is backed by government authorities or any other government bodies so that you are safe and are carrying out all the procedures legally.
What do you mean by a write off of debts?
If you have mortgage dues and are unable to pay back your lender, you can see if your creditor’s agreement signed between you and the lender has any loopholes. If your loan was approved with out any proper documentation, you can prove it to be an ‘unenforceable agreement’. In other words this creditor’s agreement is invalid and no lender can claim any loan amount due. This agreement will be cancelled and the creditor is free from the clutches of the lender.
Who can help?
It is important to reach out to the right company which can help you prove that your agreement is unenforceable. Only if there was no proper documentation it can be proved as being unenforceable, not other wise. This company will see if there is any such loop hole. They should be backed by a Government authority.
What kind of finances can be covered under this?
Construction loan, car finance, insurance, unsecured loan, secured loan and consolidation loan and credit card debt etc can be covered and written off easily. This has come into practice due to the application of Consumer Credit Act 1974.
Soon after, your company has proved this loophole, the agreement between you and the lender no more exists. It becomes nullified and no lender can claim back the money from you.
Oct/110
The History of Mortgages in the United States
Owning a home is part of the American Dream. But fundamentally connected to home ownership are mortgages. Because most people can pay the entire price of a home all at once, they take a mortgage–in essence a loan–that allows them to pay for the home over an extended period of time. Mortgages are crucial in the United States today, and they have a long history as well.
According to some recent scholarship, mortgages date at least as far back to the late 12th century England. In that time, under English common law, mortgages served a very similar function as they today in the United States: a debtor could take a loan from a creditor to purchase property. While the creditor officially owned the property, the debtor could sell it off if the need arose.
The history of mortgages in the United States dates back to the Puritan settlers who came from England and brought their customs and practices with them. Mortgages likely continued rather steadily until the mid- to late-19th century, when the western frontier of the United States became increasingly settled by white settlers. As more land became available for purchase, people needed money to buy the land. So, more money began to be loaned and borrowed.
When the Great Depression hit in the 1920s, however, the mortgage market collapsed: people had borrowed and lent too much money. Credit was no longer available as it had previously been. So, to save the market, the federal government under President Franklin Delano Roosevelt stepped in. It took a number of steps to make available to people. A large part of its strategy was to take the risk away from lenders by insuring payments. Also, the federal government created the mortgage government-backed company Fannie Mae to help people obtain credit more easily.
After World War II, however, the United States fortunes turned around, both literally and figuratively. Reinvigorated by its victory in the war as well as the boom its economy experienced preparing for and fighting the war, the Untied States saw a sharp increase in mortgages. WWII veterans, having returned from the war contributed to this boom, as when they returned they searched for jobs and homes to build their families. As the U.S. continued to grow throughout the period of the Cold War, an increasing number of people wanted to purchase more and more expensive homes and needed credit. As a result, the U.S. government also created the institution Freddie Mac “to increase the supply of mortgage funds.”
Through the 1980s to the present, the mortgage industry has gone up and down. At one point in the 1980s, interest rates were as high as 21%. And today, of course, many banks have closed or have had to be rescued from failure because of providing too many risky mortgages.
Although as of the current moment, the mortgage market is not a field in which people want to invest, people can still pursue investments through hard money. To find more about hard money,
Oct/110
Compare Secured Loans and Save Money
People apply for loans for a variety of reasons. Maybe to buy a car, for some home improvements, or consolidate existing debts. With so many loans available,it is important to know the guidelines for choosing the best one.
Choosing the type of loan will be made depending on a few factors: the amount that you require,the presence of a property to guarantee the loan, repayment period or credit rating.
In those cases where a big amount is needed,the best choice is a secured loan. For those who don’t know, a secured loan is a loan where the borrower puts in balance some property of his (house, car, jewelry) to cover the lender’s loss in case he fails to make the repayments. This loan is generally carrying low interest rates and people with a bad credit rating who might not have been approved otherwise for unsecured loans, are often approved for secured loans. They particularly advantage the lender, because of a win-win situation- either he gets the loan back plus the agreed interest, either he gets some repayments and the collateral used as a security.
The lack of risk for the creditor puts you in a situation of advantage, because you are in a position to negotiate. It would be wise to get your own appraisal so you know where you stand. To start out, go to multiple banks and credit unions and see what they have to offer.Cash stores could be skipped, since they charge higher rates.
To compare secured loans,you must focus on the following aspects:
*APR-annual percentage rate:it is the most illustrative figure for the loan; it includes interest rate, additional loan charges and fees; for example, a secured loan might have a lower interest rate,but with all fees and charges could come to a high APR
*Repayment period: every lender may offer a different repayment period for the same amount loaned; it is best to choose the one that makes monthly payments affordable and leaves you with money for other expenses, even if this will take longer; still, keep in mind that a longer period means more interest to pay, so do the math and be sure that this monthly comfort doesn’t get to expensive
*Early payment fees and other possible charges:
- You might be in a financial position that may permit you in the future to pay the entire loan before the scheduled date; in this case it is advised to ask if the are any early repayment penalties. In cases likes this, most of the lending institutions will try to protect their profit and charge you a fee as high as 7 or 8% of the loan’s value!
- Clarify how many repayments you are allowed to fail before repossession
- Find out if there are any penalties for late payments;how high are they; when will them add up
Conclusion: the best loan isn’t necessarily the one with the lowest interest rates.
Compare secured loans to be ensured you make the best choice. Lots of loans may seem appealing on the surface, but on the long run might have a negative impact on your finance.
Sep/110
Consumer Debt Advocate – Critical Factors to Consider Before Getting Debt Settlements
Debt settlements are an attractive opportunity to people suffocated by the huge credit card bills they receive at the end of each month. Anyhow, there are several things you need to consider before getting a settlement.
First of all, they aren’t free of charge. Before considering a settlement, you must acknowledge that you need you pay the settlement company a certain fee, usually a percentage of the sum they help you save up. And this is the best scenario. Some companies charge you even if the negotiations with the credit card company don’t go well, so you will loose money on two fronts. Before signing for the services of such a relief company, it’s always best to make clear what the payment system is.
Some operators use false advertisement, claiming they can wipe out a very large portion of your debt. Before contacting such companies, customers must be well informed about the operator’s dependability and experience.
Another factor you need to take into consideration is how this settlement will affect your credit score. The future creditors you might approach will be able to see that you haven’t paid your entire debt to your previous creditor and they are likely to refuse collaborating with you.
If you debt exceeds $10,000 and is unsecured, then you must consider getting a settlement. Creditors would benefit more from reasoning with you than they would if you resorted to filling bankruptcy, so it is very likely you can obtain a fairly convenient deal.
If your debt is finally settled for less than you actually owe, you need to remember that the difference is still considered as taxable income and talk to a tax professional about the possible tax consequences of this debt forgiveness. Do not forget that only the unsecured types of credits can benefit from debt settlements. Student credits or the credits that are backed by an asset do not qualify for a settlement.
Jan/110
Stop Debt Collectors Legally
Wondering if it is possible to stop debt collectors from calling? Are you tired of constant phone calls from debt collectors that are rude, obnoxious, insulting, and even threatening? Ever wondered who gave them the right to bug you constantly and try to pressure or scare you into making payments you can’t afford? Well, the fact is, NO ONE gave them the legal right to harass you, and you DON’T have to take it any more! You can stop debt collector phone calls, and prevent them from bugging you constantly at home and at work.
Debt collectors have to abide by legal guidelines when they collect debts. They cannot threaten to sue you, or to have you arrested, or make any other ridiculous threats. If they do, you can use that to beat them at their own game.
Debt collection agency abuse has been on the rise in the United States. Recently, the Attorney General of New York had one infamous debt collector prosecuted and locked up, and the whole story was featured on prime time news. Some of these guys actually threaten physical violence, or pretend to be police officers and federal agents! This is totally and completely illegal and if they try that on you, you can use it to your advantage.
Obviously, their only motivation is greed. Debt collection agencies buy charged off debts at pennies on the dollar. So, they could buy a $5,000 debt that you owe to a credit card company for say, $250 (just an example.) This means that if they successfully convince you to pay them the full amount owed (to the original creditor) they see a profit of $4750! (This illustration contains a big hint as to why and how you can settle your collection accounts for much less than what you actually owed.)
Debt collectors routinely sling insults at you, your work ethic, your integrity, and yet many of them are nothing more than greedy thugs that simply buy the “right” to try and collect a debt from you. But that right is extremely limited, and frankly, your rights as a consumer give you MUCH MORE POWER than they have!
The bottom line is, collector harassment is against the law, and you can effectively Stop Debt Collectors In Their Tracks, if you have the guidance and the right tools in place. Don’t put up with the abuse any longer. Give yourself the gift of peace of mind. How nice will it feel to no longer fear the sound of a ringing phone?