Unsecured Credit Cards

By Daniel Wesley

Most working people who regularly indulge in shopping online have a credit card with them. The plastic money, as it is often referred to can be a very confusing and tricky tool to have. It can lead to unhealthy spending habits. It can very often lead to debts as well. But if you have good control over your spending habits, there is no other tool as convenient and expendable as this. When you apply for credit cards, you often come across terms like secured credit cards and unsecured credit cards. But what are they? Have you ever cared to investigate more in detail about them?

Unsecured Credit Cards

Unsecured credit cards are those in which you use the limit of the credit card company to shop. These credit cards have a credit limit that is based on the applicant’s credit history and source of income. It may be quite high or quite low. If the applicant has a bad or low credit score, then the credit card company may choose to refuse or decline his application. If you find that your application for an unsecured credit card is getting declined then you need to review your credit history. Please do not keep applying for more credit cards as each rejected application causes a further dent in your credit score.

Secured Credit Cards

Secured credit cards are exactly what the name suggests. They are secure. In these cards, you open a special savings account with the credit card company. If you deposit $1000 in that account, you have a credit limit of $1000 on your card. These types of cards can also be termed as debit cards, as the money is more or less debited from your account. If at all you default in payments, the money will be removed from your savings account.

Advantages

When it comes to interest rates and charges, you will find much better terms on secured credit cards. Unsecured credit cards are more likely to have higher interest rates. This is owing to the fact that you are borrowing the money from the company. Also, do not be surprised if you find that your application for a secured credit card is accepted more easily than an unsecured one. Owing to the risk factor involved, only applicants with a good payment history and source of income have a good chance of getting unsecured credit cards.

Unsecured Credit Cards For People With Bad Credit History

However, now there are special unsecured credit cards that are designed for people with a bad credit history. These credit cards have interest rates that are much higher than normal credit cards. But they are made with the aim that bad credit history cannot stop anyone from owning a credit card.

What To Look For

While looking for unsecured credit cards, make sure that you do your research. Look for cards that have a low rate of interest. Comparing rates and quotes from a few credit card companies will help you get the best rates possible. Also make sure that you sign up for a card from a reputed credit card company only. Beware of credit card scams that have several hidden charges.

Unsecured Credit Cards There are two types of credit cards. They are secured credit cards and unsecured credit cards. The unsecured ones are more popular owing to the fact that you do not have to pledge any security amount or deposit.

Credit Repair: A Do it Yourself Road Map

By Johnathan K. Bakers

As certainly as you built the debt that you are faced with, you can tear it back down. It requires taking a hard look at your personal financial situation and the debts you currently carry in an attempt to create a credit repair strategy. Debts are the bills we owe to creditors who have provided items or services in exchange for a promise of payment. One of the most common debts is that of credit card debt. Most creditors are very persistent about trying to collect monies owed to them, but when asked, they will usually extend the pay back time if you seem sincere in making full payment. Part of doing business it the concept of return clients and many creditors build their credit and collection processes around working with clients to ensure that they will, in fact, return again.

Unfortunately if you don’t talk to your creditors to explain the financial difficulties you are facing, they will turn your account to collection agencies. Once the agencies are involved, it becomes what often times feels like a personal vendetta against you as they call incessantly at work, at home, send letters and threats in an attempt to collect the debt. Some agencies, though certainly not all, will even break the collection laws in hope that you won’t realize what they have done and just pay the debt. The collection agency doesn’t really have a personal vendetta against you. They are, however, paid a percentage of the bill in exchange for collecting it. They follow the money trail and to be honest they don’t care what financial implications their actions may have upon you and your ability to maintain room and board. They are simply chasing the money.

Tearing down the mountain of debt you have built up will have a secondary benefit of repairing your credit. You should contact each creditor and work with them to set up a debt management plan that is feasible for you in your current financial state. After you have done that you can finalize a budget plan that will act as a road map to you as you eliminate each of your debts, one by one. Once you have determined your budget, you will need to ensure that you have an account available to make the payments out of. A checking, savings, or money market account works well, but if your creditors are more easily and efficiently paid on line you may want to consider opening a Paypal account and applying for a debit card from them. Paypal accounts often have rewards attached to their debit cards that actually returns 1% of anything spent with a cash reward returned to the account. Money back, even only 1% is a plus at this stage.

Collection agencies are a negative drain of energy. By setting up a plan that alleviates the threat of collection, things seem less stressful and more manageable. If you find that you are unable to either create your own budget or contain your spending within that designed budget there are other debt reduction and credit counseling resources available to you. They can help identify spending habits and behavior modifications to assist you in reaching your goals without incurring additional new debts. For low income or individuals with bad credit there are even government loans and grants available to help ensure your success. A professional credit counselor can help you identify the various possibilities available to you that can tear down

Focusing on the topic of investing, the columnist writes first and foremost for http://www.debtania.com. His publications on how to eliminate credit card debt are found on http://www.debtania.com in addition to other online publications.

Get Free Information About Your Credit Score

By Joseph Ducat

Have you recently been turned down for a loan and want to know the reason? Well, the answer may lie in an important statistic called a credit score. This is a measure of how your creditors view you--a good score indicates that you are worthy of credit, otherwise a poor score signals that you pose a risk to creditors. If your credit score has a bad rating, then you will find it difficult to qualify for loans, insurance, credit cards, and so on. If you experience a rejection, you should check to see if your credit score is the problem.

Fortunately, you can get this kind of information from your credit report. And there is a law, the Fair Credit Reporting Act, which compels any organization that turns down your application for credit, insurance, or employment to provide you with your report if you request for it within 60 days of being notified of the rejection.

Credit reports are compiled by three nationwide consumer reporting companies. They are Experian, Equifax, and TransUnion. You can purchase a copy of your credit report from one or all three of these agencies, or from other companies that offer the credit reports as part of a larger package. The cost involved generally ranges from $10 to $15.

However, you are legally entitled to receive a free copy of your credit report once every 12 months from each of the three consumer reporting firms. You can access it from a centralized website at annualcreditreport.com. Of course, if you want to subsequently track changes on your credit standing, you will have to purchase the rest of your credit reports for the next 12 months. With that in mind, it is easy to see the advantages of a paid package that includes a lengthy credit monitoring period. But you can definitely get the initial credit report for free.

Once you have your credit report, you can find out whether you have a bad credit rating or not. If the news is bad, there are a number of actions you can take. You can choose to dispute an error or fraudulent item in your credit report. You are entitled to ask the consumer reporting agency to verify the disputed item in your credit report, and they have to do the verification for free. Of course, you will have to send them a dispute letter and copies of documents that can help to verify your claim, so there are still some costs involved. But it is still relatively inexpensive to get most discrepancies in your credit repaired.

Find out more helpful information about consumer reporting agencies and other credit topics at http://getbettercredit.info

Dealing With Financial Emergencies

By Jacob Joseph

DEALING WITH A FINANCIAL CRISIS
Have you recently been laid off from your job? Behind on your bills? Living paycheck to paycheck? No matter what financial crisis is effecting you, the first thing you need to do is take a step back and assess your situation and what all of your options for resolution are. The information below will help you make wise choices that will help you rebound from your financial woes.

Evaluate your situation
Answering the questions below will help you grasp the full intensity of your situation:

-- What is the total amount that you owe?
-- Who do you owe the money to?
-- When does the debt/s have to be repaid?
-- Are you being offered a repayment plan by the creditor/s?
-- Have you discussed all available alternatives with your lender/s?
-- What will the impact of not paying your debt be?
-- How long will it take for this emergency to be over?

Explore your options
Below are some scenarios offering resolutions to common financial crisis.

-- Can't pay smaller bills?
When paying small bills like credit cards, cable bills, phone bills, etc., contact the companies directly to see if some sort of arrangement can be made that will allow you pay off the debt over a longer period of time.

-- Having a problem paying larger bills?
If you are having problems paying your home mortgage or car loan, you need to get in touch with your lender as soon as possible. It is typical for lenders to offer a forbearance and modification program that will help you deal with your short-term financial issues. If the problem extends beyond the forbearance and modification period, you will have to consider dipping into savings or getting in touch with a HUD-approved housing counselor for help. You may want to consider applying for a home equity loan or refinancing your mortgage to help pay your debt.

-- Too much debt?
If you have a great deal of credit card debt, but a steady income, you should develop a strategy for eliminating the debt. You need to determine what you can afford as your monthly payments. First, determine what your obligatory debts are each month. Subtract this total from your income to help determine what can be used to pay off credit card debt.

-- Do you have debts that are in collections?
Collection agencies typically handle unpaid debts like medical bills, credit card debts, utilities, etc.. If your debt is in collections, you are going to receive a great deal of letters from the collecting party. You need to establish contact and try work out a repayment plan. They will likely offer you the opportunity to settle your debt at a reduce rate.

-- Have you recently lost your job?
Paying bills becomes very difficult if you become unemployed. In the event that you become laid off, you should see if you are eligible for unemployment. If you do start collecting unemployment, you still should start seeking a new job immediately. You do not want to prolong your job search and them be in a situation with no job and no unemployment funds. A good idea would be to get in touch with your creditors, let them know of your situation and see if any sort of plan can be worked out that will offer some extension of payment for your bills.

-- Has an unexpected illness effected you or a family member?
Medical bills are very expensive, and add up very quickly. Make sure you are in constant contact with your insurance company and the medical billing department regarding your case. It is possible that you will be able to pay your medical bills off at a reduce rate, over an extended period of time.

Taking initiative
Below are a variety of ideas that will help you deal with a financial emergency.

-- Credit cards
Credit cards are probable the most sensible way for dealing with a short-term crisis. In order to maintain your current credit score, keep your credit card balances lower than 35% of your limits.
-- Savings
If you have money saved for emergencies, use it! You can avoid paying interest or fees on funds that you borrow from savings. However, if you touch your 401k, you may have to pay a 10% penalty. This 10% is likely going to cost less than a credit card or loan.
-- Debt help
Star Loan Services offers a free debt consolidation program that will help eliminate your debt by as much as 60% at a reduce rate, with eliminated interest charges.
-- No credit check emergency loans
If you don't have any money in savings and you need quick cash, then you should consider applying for a cash loan of up to $1000 with no credit check. These types of loans allow you to borrow small amounts of cash, at low interest rates (usually between 7-20%).
-- Unsecured personal loans
These loans are ideal for those with steady incomes looking to borrow larger amounts of money. You can borrow from $1000 - $500,000. Available loan terms are between 1-6 years. Interest rates for these types loans typically range between 5-22%.
-- Using the equity from your home
We offer a variety of home loan products that will allow you to use the equity from your home for settling debt.

Be calm!
Don't let a financial crisis take over your life. Considering the options and suggestions above will help lessen the impact of your money woes. Remember, everything always works out in the end!

Jacob Joseph is a financial expert for http://www.starloanservices.com. At Star Loan Services you can get a

free copy of your credit report and apply for vaious types of loans and credit.

Doing Your Homework When Shopping For A Car Loan

By Wm Blake

Some simple research can put you in a better position when you're looking for a new car loan, or refinancing an existing one. Arming yourself with the proper information ahead of time can save you both time and money in the long run.

Know your FICO score and other items on your credit report. The FICO score is calculated using various ratings, such as how much debt you currently hold, whether you pay your bills on time, etc. This number is used by every lender as part of their approval procedure, and will have a great deal of impact on whether you qualify for a loan and if so, what kind of deal you will qualify for.

You can get current copies of your credit report from the 3 major reporting services:

Equifax: PO Box 740241, Atlanta, GA 30374 www.equifax.com

Experian: PO Box 2002, Allen, TX 75013 www.experian.com

Transunion: PO Box 2000, Chester, PA 19022 www.transunion.com

Next, don't assume the lowest interest rate is always the best deal. Many dealers offer 0% interest, especially right before the new model are due to be released. In some cases it may be better to opt for a cash rebate rather than a 0% loan.

For example, if you opt for a 4% loan (36 months) with a $2000 cash rebate your payment can be lower in some cases than they would with a 0% loan but no rebate.

It's a good idea to get pre-qualified for financing, before going shopping for a new vehicle. You'll know ahead of time how much you can afford and you'll have a better idea of a budget for your new vehicle.

This also puts you in a better negotiating position with the dealer. Their deals are partly based on whether you use their financing or not. If you have alternate financing available, you may be able to negotiate a better deal if you use their financing.

Make sure you run the numbers both ways to see which is the best offer before you agree to dealer financing. In some cases, it can even be worthwhile to finance through the dealer and then refinance shortly after purchasing with your own lender. There are normally feeds involved for doing this, and some agreements may not allow refinancing so be sure to read the offer thoroughly if you are considering this.

Finally, be sure you weigh the advantages and disadvantages of leasing versus purchasing. There are some cases where the tax advantages of leasing can wind up being a better deal than purchasing.

Do your homework before rushing into a purchase and you'll be able to save time and money, as well as having the satisfaction of knowing you got the best deal possible.

William Blake writes about reducing debt and other finance-related topics such as secured credit cards for the Debtopedia website. For more helpful information, visit http://www.debtopedia.com

Step by Step to Credit Repair Explained in 2 Minutes

By Ije Valent

First you have to learn how to analyze all the data presented on your credit report then become a master at disputing these claims. With the credit bureau you will have to find anything that is incomplete, inaccurate or just wrong. If anything has been recorded wrongly you have the right to dispute it even if you do posses the debt. The bureau then has 30 days by law to correct any wrong items or delete entirely from your report. It might take them up to 6weeks to send you a new report and you should check if the disputed items have been removed or updated. If you have not received a reply within 6 weeks send a follow up letter with all the older correspondences and remind the credit bureau about the 30 day law.

There are ways to get around the technicalities of the dispute. Always make sure that you do not dispute more than 3 items at one time. Once those 3 items have been updated or removed entirely, then you move on to the next 3. Understand also that sometimes when you dispute, the negative entry does not just automatically come off your credit report. You have to be very persistent and keep on writing to the credit bureau till they eventually come off. Understand that credit repair is not a sprint but a marathon.

Areas to be disputed include “Charge offs”, “Paid as Agreed”, “Tax Liens”, “Late Payments”, “and Bankruptcy”. These constitute the majority of negative items that occur on a credit report. On each and ever one you have to quote the “account name” and “account number”, then write detailed letters to each of the three credit bureau stating that all accounts have either been paid in full or do not belong to you. Credit bureaus usually perform an investigation into the debt by contacting the creditor. What you should know is that many creditors either don’t have the time or don’t have any documents to prove the debt. A lot of times if a negative item is more than 3 years old, many creditors will not respond to the credit bureau inquiries because of lack of records. This means that the negative entry must be deleted from your credit by law.

Steps to Dispute

1) Obtain your credit report

2) Decide which items you want to dispute.

3) Write letters.(The acceptable format can be found at ASANIWELLS WEBSITE, see link below)

4) Always hand write your letters.

5) Keep copies of all correspondence.

6) Keep separate file copies on each credit bureau.

7) Keep on writing and following up as they reply.

Learn more about credit repair and obtain official letters at www.1800aaacredit.com

The ASANIWELLS FINANCIAL GROUP is dedicated to helping ordinary people change their lives for better and erasing the stigma of having a bad credit score.The Asani Wells financial group consists of ex-Bureau employees and agency solicitors who have combined years of knowledge of the credit score system into this easy to read downloadable EBOOK. Please visit http://www.1800aaacredit.com for more details.

Debt Consolidation Tips – Vital Clues For Easing Debt Burden

By Elaine Owen

When you have finally decided to make efforts towards clearing debts and have chosen a popular path by the name of debt consolidation, you must consult to some expert of the field for maximum benefits. We can here offer some debt consolidation tips that may make you more aware of what is necessary required for freeing you from shackles of debts.

Debt consolidation implies that you intend to replace higher interest rate debts and for doing so you consolidate debts under a new lender or a settlement agency. So the first tip is choosing the right option out of many available in the debt consolidation market. For instance you can take a lower interest rate debt consolidation loan or a home equity loan which come against your valuable property. If your intention is to get rid of those nagging creditors then you need not to put your home at stake for a new loan and instead, you can pay a monthly amount to a debt settlement agency who will disburse it to your creditors for a fee.

Secondly in taking a loan for paying off debts, compare different debt consolidation loan providers and see who offers the lower interest rate required for beneficially paying off debts. Make sure that in doing so you avail larger repayment duration also so that the debt consolidation loan is no more a burden after you have cleared all debts. Prefer choosing a fixed interest rate debt consolidation loan so that you escape any sudden escalation of interest rate in the market. Thirdly make all efforts to negate your bad credit to some extent by paying off some easy debts or showing good bank balance so that the loan availing becomes easier. Also make sure that a debt consolidation company is not hiding any thing from you and every thing should be there written on the deal with the lender or debt settlement agency.

Writing for loans for Elaine Owen is not just about giving advice to people but offering sensible ways to revamp their financial condition in a reconstructive way. To find debt consolidation tips, credit card debts, avoid bankruptcy, bad credit debt consolidation, debt consolidation visit http://www.e-debt-consolidation.co.uk