There are many benefits of credit counseling. Credit counseling or debt
counseling may be one of the best options for an individual or family
caught in the ever-widening morass of high-interest rate credit cards
and other unsecured debt. A professional credit counselor will be able
to educate and coach you on how to get your debt under control, set up
affordable payment arrangements, stop incurring new debt and repair your
credit rating. A credit counseling agency will also help you negotiate
a lower interest rate on you current credit cards, and in some cases, a
lower overall balance to be repaid to the lender.
The educational component of credit counseling is critical if an
individual wants to establish and maintain a higher credit rating.
Good, professional credit counseling services are managed by financial
experts, who can steer a client in the most advantageous direction in
order to pay off his or her debt quickly and within the confines of an
affordable budget. A good credit counselor will help you to track your
earnings and expenses and set up a budget that works for you and your
family. Credit counselors will teach you how to to develop a set of
financial skills that will keep you on solid, financial ground in the
future.
One of the most critical benefits of participating in credit
counseling is the ability of a credit counselor to help you get your
high-interest rate credit card debts under control. The credit
counselor will help you to consolidate your credit card payments into
one, monthly sum. Do keep in mind that you must make your monthly
payment on time in order to ensure that your payment is credited to
your credit card account on time and in full.
Another critical component of the credit counseling process is the
ability to repair your credit score. The numerical score that you have
earned on your credit report will determine if a bank or other lending
institution will agree to lending you money in the future. The lending
institution involved could be a mortgage company, other credit card
companies or even a prospective employer. Your credit score is one of
the most important financial assets you have in today's world.
Before choosing a credit counselor with whom to work, be sure to do
you homework. This cannot be emphasized enough. There are many fine,
credit counseling agencies from which to choose and there are also,
let's just say, the less than reputable companies in the business as
well. Choose a reputable company that can demonstrate years of
successful experience and is willing to offer you references of past
clients. You may also want to check with your family and friends to see
if they have any recommendations of great credit counselors that they
have personally used. Participating in the credit counseling process
will offer you the opportunity of getting debt free in a relatively
short period of time, re-establishing your good credit and raising your
credit score.
Wednesday, May 20, 2015
Pre-Bankruptcy Credit Counseling – Mandatory Before You File
In today's economy, many people are experiencing credit problems and mounting debt that are causing adverse effects on their life. For many people in trouble bankruptcy is the best or only option for rebuilding their credit and restoring a normal lifestyle. Filing bankruptcy is a serious decision that should be discussed and understood before the decision is made.
In 2005, the US government passed the The Bankruptcy Abuse Prevention and Consumer Protection Act that requires everyone filing bankruptcy to get credit counseling and debtor education through an approved agency. All agencies must be approved by The Department of Justice's US Trustee Program, and only agencies on an approved list can provide these services. The program mandates rules in all fifty states, except Alabama and North Carolina where court officials can provide credit counseling and debtor education.
Credit Counseling:
Credit counseling must be completed 180 days prior to filing bankruptcy. Only agencies and counselors on an approved list can provide official pre-bankruptcy counseling and issue certificates of completion, so it's important to work with an authorized agency for these services. Certificates of completion are numbered and issued through an automated system to prevent fraud.
Pre-Bankruptcy Counseling:
Credit counseling sessions usually take 60 - 90 minutes and can be done in person with a counselor, by phone or online. The sessions include a thorough evaluation of your personal financial situation, a personal budget plan, and a discussion on possible alternatives to filing bankruptcy. There is an approximate fee of $50 for the pre-bankruptcy counseling session, but the certificate of completion is free. If you can't afford the fee, you can request a fee waiver with the agency. When credit counseling is completed you will receive a certificate showing proof of completion which must be filed with the bankruptcy filing.
Debtor Education:
Debtor education courses must be completed after bankruptcy is filed and before your debts can be discharged. Only agencies on an approved list can provide official debtor education courses and issue certificates of completion.
Post-Filing Debtor Education:
Debtor education courses take approximately 2 hours and can be done in person with a counselor, by phone or online. The course is designed to help you understand how to manage money better, use good credit skills, and budget your money. There is an approximate fee of $50-$100 for the course, but the certificate of completion is usually free. If you can't afford the fee, you can request a fee waiver with the agency. When the debtor education course is completed you will receive a certificate of proof of completion which must be filed with the district court where your bankruptcy is filed.
In 2005, the US government passed the The Bankruptcy Abuse Prevention and Consumer Protection Act that requires everyone filing bankruptcy to get credit counseling and debtor education through an approved agency. All agencies must be approved by The Department of Justice's US Trustee Program, and only agencies on an approved list can provide these services. The program mandates rules in all fifty states, except Alabama and North Carolina where court officials can provide credit counseling and debtor education.
Credit Counseling:
Credit counseling must be completed 180 days prior to filing bankruptcy. Only agencies and counselors on an approved list can provide official pre-bankruptcy counseling and issue certificates of completion, so it's important to work with an authorized agency for these services. Certificates of completion are numbered and issued through an automated system to prevent fraud.
Pre-Bankruptcy Counseling:
Credit counseling sessions usually take 60 - 90 minutes and can be done in person with a counselor, by phone or online. The sessions include a thorough evaluation of your personal financial situation, a personal budget plan, and a discussion on possible alternatives to filing bankruptcy. There is an approximate fee of $50 for the pre-bankruptcy counseling session, but the certificate of completion is free. If you can't afford the fee, you can request a fee waiver with the agency. When credit counseling is completed you will receive a certificate showing proof of completion which must be filed with the bankruptcy filing.
Debtor Education:
Debtor education courses must be completed after bankruptcy is filed and before your debts can be discharged. Only agencies on an approved list can provide official debtor education courses and issue certificates of completion.
Post-Filing Debtor Education:
Debtor education courses take approximately 2 hours and can be done in person with a counselor, by phone or online. The course is designed to help you understand how to manage money better, use good credit skills, and budget your money. There is an approximate fee of $50-$100 for the course, but the certificate of completion is usually free. If you can't afford the fee, you can request a fee waiver with the agency. When the debtor education course is completed you will receive a certificate of proof of completion which must be filed with the district court where your bankruptcy is filed.
Friday, May 15, 2015
Learn To Compare Mortgage Rate
If you are looking for the best mortgage rates, or want to compare the
mortgage rates anywhere you must for sure spend some time roaming
around and not simply depending on their current rates to offer them the
best deal available.
Home Price Landsliding
Home prices have been sloping down all over across America for quite some time. And consequently many people now owe more money on their mortgages than their homes are actually worth.
Some lenders have started to raise their rates so that they are not exposed to such elevated risk that has now become common within the market. Others, on the other hand, have actually started to pacify their rates instead so as to to gain a good deal of business from diligent and candidates.
So what you’ve to do in that position. Well, first of all you can get in touch with your current bank. If you currently have a mortgage then it is a good notion to ask for a gauge of what a refinance would cost you over the time period of 15 or 30 years term. At the same time you may also want to ask about flexible mortgages where the rate is possibly to change after three or five years. If you don’t want to own a house then you should inquire about an estimate for what mortgages would be given the properties you are currently looking at.
Check Out With Local Credit Union
You should also look to get in touch with a local credit union. Of course, you do need to first make sure that you are going to qualify for membership and this can sometimes be restricted to certain people working in certain industries or living in particular areas. If you do qualify then you can talk to one of the credit union officers about estimates given your current financial situation.
Of course, conducting the preliminary research on the web is certainly viable as well. There are many different online services that help you do a better and viable comparison as well. Of course, in order to get an accurate comparison and an accurate portrayal of estimates you will need to provide relevant financial information. Generally you need to keep a tab on your credit report so as to gain concise estimate of mortgages.
Given the access may mortgage dealers have to mortgage offers, accustomed with their experience in the real estate industry, working with a broker may make sense for you. However, do your research so as to avoid dealing with a cheapjack broker.
Home Price Landsliding
Home prices have been sloping down all over across America for quite some time. And consequently many people now owe more money on their mortgages than their homes are actually worth.
Some lenders have started to raise their rates so that they are not exposed to such elevated risk that has now become common within the market. Others, on the other hand, have actually started to pacify their rates instead so as to to gain a good deal of business from diligent and candidates.
So what you’ve to do in that position. Well, first of all you can get in touch with your current bank. If you currently have a mortgage then it is a good notion to ask for a gauge of what a refinance would cost you over the time period of 15 or 30 years term. At the same time you may also want to ask about flexible mortgages where the rate is possibly to change after three or five years. If you don’t want to own a house then you should inquire about an estimate for what mortgages would be given the properties you are currently looking at.
Check Out With Local Credit Union
You should also look to get in touch with a local credit union. Of course, you do need to first make sure that you are going to qualify for membership and this can sometimes be restricted to certain people working in certain industries or living in particular areas. If you do qualify then you can talk to one of the credit union officers about estimates given your current financial situation.
Of course, conducting the preliminary research on the web is certainly viable as well. There are many different online services that help you do a better and viable comparison as well. Of course, in order to get an accurate comparison and an accurate portrayal of estimates you will need to provide relevant financial information. Generally you need to keep a tab on your credit report so as to gain concise estimate of mortgages.
Given the access may mortgage dealers have to mortgage offers, accustomed with their experience in the real estate industry, working with a broker may make sense for you. However, do your research so as to avoid dealing with a cheapjack broker.
Subscribe to:
Posts (Atom)