Logo Company – Homepage Link http://homepagelink.net/ Thu, 23 Sep 2021 00:11:49 +0000 en-US hourly 1 https://wordpress.org/?v=5.8 https://homepagelink.net/wp-content/uploads/2021/07/icon-1-150x150.png Logo Company – Homepage Link http://homepagelink.net/ 32 32 Survey: For Americans with Unsecured Debt, Credit Cards Are Main to Blame https://homepagelink.net/survey-for-americans-with-unsecured-debt-credit-cards-are-main-to-blame/ https://homepagelink.net/survey-for-americans-with-unsecured-debt-credit-cards-are-main-to-blame/#respond Wed, 22 Sep 2021 15:37:25 +0000 https://homepagelink.net/survey-for-americans-with-unsecured-debt-credit-cards-are-main-to-blame/ A late-August 2021 US News & World Report survey shows that among Americans with unsecured debt, more … A late-August 2021 US News & World Report survey shows that among Americans with unsecured debt, more than 53% say it comes mostly from credit cards. Credit card debt is considered unsecured debt, which means it is […]]]>

A late-August 2021 US News & World Report survey shows that among Americans with unsecured debt, more …

A late-August 2021 US News & World Report survey shows that among Americans with unsecured debt, more than 53% say it comes mostly from credit cards.

Credit card debt is considered unsecured debt, which means it is not tied to any asset, such as a house or a car. Respondents were asked what types of debt make up most of their unsecured debt, and in addition to credit cards, they cite:

– Personal loans, at nearly 21%.

– Medical debt, 12%.

– Payday loans, more than 5%.

About 52% of respondents report having between $ 10,000 and just under $ 40,000 in unsecured debt.

[Read: Best Balance Transfer Credit Cards.]

What interest rates do they pay

Almost 8% of respondents say they don’t know what their highest interest rate is, which is worrying. Among those who know their rates, here are the conclusions:

– About 35% declare an interest rate of 10% or less.

– More than 20% have a rate between 11% and 15%.

– More than 19% have a rate between 16% and 20%.

– Almost 16% have a rate between 21% and 25%.

– Almost 7% have a rate between 26% and 30%.

– Almost 4% have a rate greater than 30%.

Your interest rate depends on the type of debt you contract as well as your creditworthiness. With debt comes interest charges. Some types of unsecured debt, like credit cards and payday loans, charge compound interest.

This means that you pay interest on a balance that includes the interest charges from the previous month. With compound interest, your debt can grow quickly. Once you have fallen into this dangerous spiral, it is difficult to get out of it.

Why Americans struggle to get out of debt

Almost 42% of respondents say they have more unsecured debt than a year ago. When asked what the biggest challenges are in paying off their debt, about 20% say they are unforeseen expenses.

Other findings:

– About 19% have problems paying their bills on time.

– More than 15% have problems budgeting for payments.

– More than 15% cite irregular income as the culprit.

– About 13% say rising interest charges are a big factor.

– More than 7% have difficulty following multiple accounts.

How to pay off your debt

The first step is to identify what is preventing you from facing your debt. And if you determine that you have room for improvement in several areas, that’s okay too. Be honest about your situation, then you can focus on one or more of these solutions:

– Automate your finances.

– Get a debt consolidation loan.

– Apply for a balance transfer credit card.

– Create an emergency fund.

– Get credit counseling.

Automate your finances

Almost one in five respondents say they do not pay their bills on time. If the problem is that you don’t have any money when the bill is due, you should contact your lender and explain your situation. Depending on the lender, it is possible to get into a hardship program while you catch up with your bills.

If it’s a timing issue, see if you can change the invoice due date. Move it over to a week when you have the cash to cover expenses.

But what if it was just a matter of forgetting? The simple solution is to automate your payments for as many invoices as you can. When you set up automatic payments with your bank or credit card, your lender deducts what you owe from your authorized bank account.

But make sure you have the funds in your bank account to cover the amount. Once you’re up to speed and pay your bills on time, you can start looking for ways to help you pay less interest on your debt.

[Read: Best Debt Consolidation Loans.]

Get a debt consolidation loan

When asked how to pay off their debts, about a quarter of respondents choose a debt consolidation loan as the most attractive option. With this type of loan, you consolidate your debts in order to reduce your number of creditors. And I hope you will get a lower interest rate and a lower monthly payment.

You need to make comparative purchases online. Compare rates and make sure you get the best deal you can qualify for.

It is important to note that it is not a good idea to consolidate medical debt. This can add interest charges to already heavy debt. Medical debt consolidation also removes consumer protections that apply to medical debt.

For other types of unsecured debt, however, a debt consolidation loan is a good option for those who do not have excellent credit scores. But if you have good credit, consider a balance transfer credit card.

Apply for a balance transfer credit card

With excellent credit, you should qualify for a credit card with balance transfer. These cards often come with an introductory annual percentage rate of 0% for a period of time, such as 12 to 18 months.

This gives you a chance to pay off (or at least decrease) the balance during the interest-free period. If you go this route, figure out what your monthly payment should be so that you have a zero balance before your regular APR starts.

[Read: Best Low-Interest Credit Cards.]

Build an emergency fund

If their debt was paid off, almost 23% of respondents said they would use the extra money to top up their emergency fund, which is a great choice. An emergency fund helps you survive a sudden financial crisis.

Even if you are in debt, try to allocate money from time to time to your emergency fund. Even a little bit helps.

Get credit counseling

If you think your debt is insurmountable, seek help. No matter how serious your situation, there is a solution. It may take a long time to repair, but starting today is the right decision.

You can contact the National Foundation for Credit Counseling to find a reputable credit counseling agency.

More American News

What is a delinquent credit card account?

Can I get a personal loan with bad credit?

What is a maximum credit card?

Survey: For Americans with Unsecured Debt, Credit Cards Are Main to Blame originally appeared on usnews.com

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Afterpay-Westpac ‘Retro’ painted with a payday loan brush https://homepagelink.net/afterpay-westpac-retro-painted-with-a-payday-loan-brush/ https://homepagelink.net/afterpay-westpac-retro-painted-with-a-payday-loan-brush/#respond Wed, 22 Sep 2021 06:10:07 +0000 https://homepagelink.net/afterpay-westpac-retro-painted-with-a-payday-loan-brush/ Afterpay’s new “Retro” feature retroactively splits a payment into four installments, which critics say isn’t better than a payday loan or payday advance. Announced Wednesday and slated to launch next month, Afterpay’s collaboration with Westpac retroactively splits a payment into four installments, based on one transaction in the last 72 hours. The Retro feature actually […]]]>

Afterpay’s new “Retro” feature retroactively splits a payment into four installments, which critics say isn’t better than a payday loan or payday advance.

Announced Wednesday and slated to launch next month, Afterpay’s collaboration with Westpac retroactively splits a payment into four installments, based on one transaction in the last 72 hours.

The Retro feature actually means up to $ 200 is credited to customer accounts.

Users must be a “Money by Afterpay” customer, and while there is no additional charge to use the product, the usual Afterpay late fees apply.

Afterpay vice president Lee Hatton said the new feature gives consumers an alternative to high-interest payday advances or “pay-on-demand” apps.

However, Gerard Brody, CEO of the Consumer Action Law Center, told Savings.com.au that the new feature is “just another credit agreement.”

“This… underscores why we need national credit laws to apply to buy now and pay later, including responsible lending laws,” Brody said.

The collaboration with Westpac on the new Money by Afterpay application – where the “Retro” function is located – effectively marks the transaction account of the big bank in white label.

Payments expert Bradford Kelly told Savings.com.au he was surprised Westpac was collaborating on such a move.

“Where’s the regulator? Asleep at the wheel. If that doesn’t get the regulators’ attention, nothing will,” Kelly said.

“I am shocked that a bank, let alone Westpac, is associated with such a blatant product.

“Customers who need $ 200 – and let’s face it, it’s not a question of budget – are at their wit’s end when it comes to credit.

“Why go to the bottom of the barrel when the gutter is right over there?”

A spokesperson for Afterpay told Savings.com.au that Retro’s intended use is for budgeting, not lending.

“The retro is part of a customer’s overall BNPL Afterpay limit, not something more,” they said.

“It is important to note that Retro is available for purchases that customers have already made with their Money by Afterpay debit card.

“Like Afterpay, Retro is purchase-related and is not a cash loan.

“Retro doesn’t cost anything for Money by Afterpay customers, provided they pay on time.

Why is this happening?

Following a less than stellar earnings report and a mixed reaction to the Square takeover, experts say Afterpay’s decision is to acquire customers quickly.

Colin Biggers and Paisley (CBP) law firm partner Toby Blyth told Savings.com.au that the alliance between Afterpay and Westpac is for marketing purposes and ease of scale.

“This is a marketing alliance with Westpac to deliver a new product to Westpac’s own customer base and to evolve Afterpay, given market concerns about the profit and viability of Afterpay in the larger market basin. international, ”Blyth said.

However, Mr Blyth also questioned the direct monetary benefit for Afterpay.

“He cannot charge the merchant, who has already paid the merchant’s fees on the original debit card transaction that is in fact being refinanced,” he said.

“Westpac may pay what is in effect an introducer fee to Afterpay and recover the costs through late fees.

“Banks have extensive experience with the loss call effect of ’55 interest-free days’ and the like.”

Former Citi and Diners Club executive Grant Halverson also explained the reasons for the move.

“BNPL is clearly lending or why does Afterpay have bad debts or collection fees of $ 200 million – the largest expense with 24% of revenue and over 1% of sales?” Mr Halverson told Savings.com.au.

“BNPL aftermarket has been around for years and is nothing new – it is very popular in Asia, Latin America and Africa.

Mr. Kelly was frank in his assessment of the Retro movement.

“They have exhausted their customer growth in Australia and now need to go even deeper into the risky and dashing part of the credit market,” he said.

Global context

Just last week, UK provider BNPL Curve launched ‘Flex’ – a premise similar to Retro – which retroactively applies BNPL payouts to transactions.

However, Curve goes further and allows clients to “convert” transactions made a year ago into “free” or “low interest” loans, according to its CEO Shachar Bialick.

“Curve Flex is almost certainly the most flexible credit solution on the market,” said Mr. Bialick.

“Being able to turn back time and pay later will forever change the way UK customers think about managing their personal finances and cash flow.”

As of September 2020, Flex Beta customers have converted around 7,000 transactions into what Curve openly calls ‘installment loans’, worth £ 1million (AU $ 1.89million).

See also: Would Credit Regulation Kill BNPL?

Is a credit crisis imminent?

BNPL is currently not subject to the National Consumer Credit Protection Act of 2009 (NCCP) because the NCCP does not apply to short-term loans of less than 62 days.

A Senate investigation in September 2020 also concluded that BNPL providers can self-regulate.

However, that could all change next month as regulators revise the credit framework, according to Mr Halverson.

“ASIC has a new design and distribution obligation [DDO] powers in October – will they use them, who knows? ”he said.

“They certainly should, because it’s not just BNPL – there is now a proliferation of ‘copiers’ who are pushing this loophole to the extreme.

“The net result is that more young consumers are having financial problems. “

DDO powers give ASIC – the Australian Securities and Investments Commission – the power to enforce new provisions, including stop orders and exemption powers.

The new authorities could extend to any financial product requiring a product disclosure statement, as well as credit products covered by the NCCP and short-term contracts not covered by the NCCP.


Photo by Dan Gold on Unsplash

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Online Payday Loans In Las Vegas https://homepagelink.net/online-payday-loans-in-las-vegas/ https://homepagelink.net/online-payday-loans-in-las-vegas/#respond Sat, 18 Sep 2021 10:36:06 +0000 https://homepagelink.net/online-payday-loans-in-las-vegas/ What is a payday loan? Payday loan is a loan for a large amount and for a short period of time with a sum of money, usually $ 500 or less, to be repaid with the borrower’s next paycheck. Payday loans are generally given to people with bad credit or no credit and simply require […]]]>

What is a payday loan?

Payday loan is a loan for a large amount and for a short period of time with a sum of money, usually $ 500 or less, to be repaid with the borrower’s next paycheck. Payday loans are generally given to people with bad credit or no credit and simply require income and a bank account. Financial experts advise avoiding payday loans, especially if the borrower may not be able to repay the loan immediately, and offer alternative loan options instead.

Where can I get a payday loan in Las Vegas?

Getting a payday LV, or anywhere else in Nevada, is an easy process. First and foremost, you need to determine if a payday loan is the best option for you in a financial emergency. Before taking out a payday loan, explore traditional bank loans or borrow money from friends and relatives. Then, when you have decided that a payday loan is the best option for you, you will need to complete an application. This can be done over the Internet, over the phone or in person.

How Much Money Can You Borrow In Las Vegas With A Payday Loan?

LV payday loans are accessible up to $ 4,000 in the state. You will have to meet more stringent conditions determined by factors such as your credit rating, income, and your ability to repay the loan. Whenever possible, use installment loans in Las Vegas to borrow larger amounts.

Online Payday Loans

Suppose you have an urgent financial difficulty, such as complex and expensive treatment, the purchase of household appliances, or car repair. In this situation, you may need to turn to payday loans online. Borrowing money from friends isn’t always a good idea because they can’t always help. You can also go to the bank, but keep in mind that institutions have strict standards for potential borrowers. It is more convenient to take out payday loans from the credit companies. You will benefit from the following advantages:

  • The ability to get money without having to leave your home.
  • A minimal set of documents
  • In a few minutes, you will be able to apply it.

Online Payday Loan Approval

To get a loan online these days, you will need a good internet connection. Apply for a payday loan using your PC or any mobile device with stable internet access. Before the money is transferred to your bank account, your request must go through a verification process.

What are the loan company requirements for applicants?

  • To begin with, a person must be at least 18 years old to be eligible for a payday loan.
  • Have a stable income supported by supporting documents.
  • A person cannot serve in the military.
  • A person should not depend on others.

Do not try to embellish the facts as they will be carefully checked. Remember that the majority of companies offer payday loans for those with bad credit. Don’t despair if you have a negative credit history; you still have a chance to be approved for payday loans.

How many payday loans can a person get?

Payday loans are regulated by law. Lending agencies must strictly follow state lending regulations, and a single borrower can take out a single payday loan. Loans can be granted with a 90 day grace period in between. This means that in any given year, a person can be eligible for four payday loans. Before you apply for a loan or apply for a loan, make sure that you will be able to pay it back.

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“Fintech” industry: is it there to help you or to eat you alive? https://homepagelink.net/fintech-industry-is-it-there-to-help-you-or-to-eat-you-alive/ https://homepagelink.net/fintech-industry-is-it-there-to-help-you-or-to-eat-you-alive/#respond Sat, 18 Sep 2021 00:31:29 +0000 https://homepagelink.net/fintech-industry-is-it-there-to-help-you-or-to-eat-you-alive/ Would you share the complete record of your personal banking transactions and purchases if this turned out to be the best way to get a new loan? Utah is home to a host of emerging financial tech or fintech startups that are creating a host of new options for consumer and business financial services that […]]]>

Would you share the complete record of your personal banking transactions and purchases if this turned out to be the best way to get a new loan?

Utah is home to a host of emerging financial tech or fintech startups that are creating a host of new options for consumer and business financial services that were once the exclusive purview of the traditional banking system.

But the same data access that has helped revitalize the FinTech industry and led to new options for, say, consumers who need to borrow money but don’t have a credit history. or small business owners who don’t qualify for regular banks, has a side too.

These questions, and many more, were explored at the University of Utah’s inaugural Fintech Summit on Friday.

Utah Senator Mitt Romney joined Taylor Randall, the new President of the United States and former Dean of the David Eccles School of Business in the United States, for a conversation to open the hybrid live / broadcast event .

Romney spent years in the private equity world before leaving in 1999 to oversee the 2002 Winter Olympics in Salt Lake City. He noted how different today’s financial industry is and that high-risk companies, like tech startups, that once struggled to find access to capital were playing by a new set of rules.

“The money for early stage, high risk businesses was not available,” Romney said. “Now the funds available far outweigh the opportunities to apply those funds in a meaningful way.”

And new “fintechs” are finding ways to connect their clients to these funding sources through avenues that traditional institutions simply couldn’t or wouldn’t want to follow.

University of Utah President Taylor Randall, left, listens to Senator Mitt Romney of the Utah GOP during a discussion at the inaugural Fintech Summit at the Garff Executive Education Building at the University of Salt Lake City on Friday, September 17, 2021.
Scott G Winterton, Deseret News

A little-known principle of the ten-year-old Dodd Frank Wall Street Reform and Consumer Protection Act, a massive piece of legislation designed to help address vulnerabilities exposed by the Great Recession, gave American consumers the right to access their financial and banking information in a machine-readable format.

Consumers can now grant access to their personal account to potential “fintech” lenders, who typically use an algorithmic approach to assess deposit history, spending, savings, and more. of the applicant to determine the creditworthiness of the loan. Everything happens through a smartphone app and can be accomplished in a matter of minutes.

Supporters say it’s a boon for those who don’t have access to traditional banking institutions, are members of marginalized communities, or simply don’t have a sufficient credit history to qualify under traditional banking requirements. And it’s an approach that works like a meritocracy in helping to elevate inclusion and reduce the racial / ethnic and socio-economic biases that have been exposed in some traditional banking practices.

But University of Utah law professor Chris Peterson, who attended a summit roundtable on FinTech regulatory issues, said all data can also be used as a weapon against people. even who are looking for alternatives to traditional banks because of their situation.

“I’m really worried about the alternative data being used not only to determine who has access to credit, but how to market to people… when they’re most vulnerable,” Peterson said. “Some of these loans I’m really concerned about that aren’t that good for people, and you have some sort of alternative data that determines when they’re most vulnerable, when they’re most likely to make a bad decision. . “

Peterson said a bad fintech player could, through authorized access to a client’s account data, determine when that person is typically in the greatest financial difficulty, such as right before their regular paycheck, and target them. with an online ad or e-mail offer that may come with an exorbitant interest rate or imbalanced repayment terms.

Utah Bankers Association President Howard Headlee noted that federal lawmakers and regulators have been working on ways to eradicate prejudice and inequalities in banking practices through efforts such as the Credit Act for equal opportunities and the law on community reinvestment. The challenge now is to apply these regulatory guidelines to the world of big data, machine learning and fintech artificial intelligence.

Even as regulators scramble to catch up with innovations emerging from the fintech sector, these startups are proliferating and in many ways creating greater access to credit and capital for individuals and businesses and, by default, pushing forward traditional financial institutions to do their own innovation.

A panel of fintech industry representatives at the top included Kristy Kim, co-founder and CEO of Tomo Credit.

Kim said she was inspired to start her own business when she ran into problems as a young professional who, although she worked as an investment banker in San Francisco, was unable to get a car loan because of a limited credit history.

“I had bank accounts and income. However, I didn’t have a credit score, ”Kim said.

Tomo, Kim said, uses access to applicant account data to determine creditworthiness and doesn’t bother pulling FICO credit scores. And, she says, applicants can be approved for credit limits of up to $ 10,000 in a process that typically takes about two minutes.

Square is a fintech company launched in 2009 to, according to the company, help small businesses participate in the economy. It offers a range of services that include helping customers launch websites and process online payments, manage in-person payment systems, market products and services, and manage employee payroll. It also provides financial services to its participating businesses, including issuing business loans through a financial services subsidiary.

Square Financial Services CEO Lou Goodwin said his company’s average loan size is around $ 6,000 to $ 7,000, and the funds are typically used by small business owners to solve problems. immediate and real, such as repairing or updating equipment or resolving short-term funding issues.

His company assesses credit applicants based on their business transaction data. The process, Goodwin said, is accomplished using machine learning and artificial intelligence tools managed by scientists and engineers and is independent of the underlying company or person applying for the loan. .

He noted that this is also a method which, by structure, leads to more equitable results for its clients.

“It’s all about economic empowerment,” Goodwin said. “Bringing underserved, neglected or just plain unprofitable people into the banking world” for the traditional banking sector.

And to put the influence of emerging fintechs into perspective, the Economic Times recently reported that Square was worth $ 113 billion, more than Europe’s most valuable bank, HSBC, currently valued at around $ 105 billion.

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Six Reasons Your Mortgage Application Might Be Rejected and How to Fix It Before You Submit https://homepagelink.net/six-reasons-your-mortgage-application-might-be-rejected-and-how-to-fix-it-before-you-submit/ https://homepagelink.net/six-reasons-your-mortgage-application-might-be-rejected-and-how-to-fix-it-before-you-submit/#respond Thu, 16 Sep 2021 10:47:32 +0000 https://homepagelink.net/six-reasons-your-mortgage-application-might-be-rejected-and-how-to-fix-it-before-you-submit/ Going through the mortgage process, whether you are a first-time buyer or looking for a new home, will always be a big step in your life, and potentially stressful. In previous years, getting accepted for a mortgage has become increasingly difficult as lenders are becoming more stringent and specific about what criteria must be met […]]]>

Going through the mortgage process, whether you are a first-time buyer or looking for a new home, will always be a big step in your life, and potentially stressful.

In previous years, getting accepted for a mortgage has become increasingly difficult as lenders are becoming more stringent and specific about what criteria must be met before they can be approved.

The Online Mortgage Advisor team shared some of the top reasons your mortgage can be rejected.

Six reasons your mortgage might not be accepted

1. You have a bad credit history

It’s pretty obvious, but a bad credit history means that potential lenders will be concerned about your ability to manage your debt and pay off your mortgage on time.

Even if you have no credit rating, it can be more difficult to get a mortgage because lenders have no proof that you are able to pay off your debts.

2. You are not earning enough

Affordability is one of the most important factors a lender will consider when deciding whether or not to lend to you.

On average, mortgage lenders will offer mortgages based on 4.5 times your salary. So make sure that the amount you are requesting reasonably matches the amount of money you are receiving each month before submitting the request.

3. You have used “Buy now, pay later” formulas

Buy Now, Pay Later, programs like Klarna and Clear Pay are a relatively new phenomenon, and mortgage lenders don’t particularly like them.

Lenders are cautious when they see Klarna on statements as it may suggest someone is living beyond their means, even if they are making their payments on time.

4. You only have a small deposit

If your deposit is very small, around 10% or less, it could mean you’re less likely to be accepted for a mortgage, and if you are, the rates won’t be great.

When you have a small deposit, your lender will need to invest more in the property, which means they might be worried about your repayment. Make sure you took your time to save as much as possible to have a bigger deposit.

5. You have taken out a personal loan

Even if you pay them off on time, payday loans are listed on your credit report for six years, and some lenders may think that a payday loan means you will have a hard time managing your money and therefore paying it back. mortgage.

Make sure the loan is fully paid off before you apply for a mortgage, and talk to a mortgage broker to see which providers will be willing to offer you the money you ask for.



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6. You are not registered to vote

Mortgage lenders will use the electoral register to make sure you are who you say you are.

Registering to vote increases your credit score and increases your chances of getting a mortgage. Also, the longer you stay at an address, the better, as this will show the lender that you have stability.

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What you need to know before getting an auto repair loan https://homepagelink.net/what-you-need-to-know-before-getting-an-auto-repair-loan/ https://homepagelink.net/what-you-need-to-know-before-getting-an-auto-repair-loan/#respond Wed, 15 Sep 2021 19:54:59 +0000 https://homepagelink.net/what-you-need-to-know-before-getting-an-auto-repair-loan/ Maybe all car owners have paid for an auto repair once in their lifetime. It is simply inevitable that a vehicle will be damaged by regular use. And this is a serious financial problem, as car repairs can cost anywhere from £ 300 to £ 3,000. If you are someone who regularly needs your car […]]]>

Maybe all car owners have paid for an auto repair once in their lifetime. It is simply inevitable that a vehicle will be damaged by regular use. And this is a serious financial problem, as car repairs can cost anywhere from £ 300 to £ 3,000.

If you are someone who regularly needs your car for work or for other important matters, you have no choice but to pay the price.

Of course, there are different ways to finance the cost of your auto repair. One of the most popular options is the auto repair loan. Let’s find out the things you need to know before getting an auto repair loan.

Ways to finance your car repair

There are several options available to you to cover the cost of repairing your car. You can either opt for a secure online personal loan, a credit card or a bank overdraft.

Online payday loan

An online payday loan can provide you with instant cash whenever your car needs repair. If you really want to get your car repaired, this is a good financing option despite the high interest rate.

Yes, the interest rate on an online payday loan can be expensive, but there is a cap set by the Financial Conduct Authority to ensure that you won’t pay double the amount you borrowed.

Look for a credible payday loan provider who abides by FCA rules. You can read reviews or testimonials online or visit the website on the lender. Before signing an agreement, check the documents or proof that the lender is operating legally.

Credit card

Using your credit card is another option you can take to pay for the cost of repairing your car. This alternative is useful especially if you are out of town and suddenly your car breaks down. If you don’t have enough money in your pocket, you can use your credit card to pay for the repair shop.

Overdraft

If you’ve ever tried using a bank overdraft, you can call your bank and ask them to increase your credit limit so that you can withdraw money to cover the cost of repairing your car. A bank overdraft is simply a convenience and allows for payments on time.

Auto repair loan: your best option

Yes, you can get a loan specifically designed for auto repairs. The loan amount that the lender will provide to you is strictly limited to the cost of repairing your car. Typically, it has a loan term ranging from 30 to 90 days. If you can’t pay back what you owe within the agreed time, the lender could repossess your car.

Since this is a secured loan, you can apply for this financing even if you have bad credit. It is not like personal loans which require you to have a good to excellent credit rating in order to borrow money. An auto repair loan lender will send you the money you want to borrow directly from your bank account once you get approved.

Car Repair Loan Coverage

As the name suggests, the money you can get through an auto repair loan is meant to pay the amount needed to repair your vehicle. But, besides the actual repair, you can also use it for servicing or maintenance, like checking or changing tires. Car maintenance is important to keep it running smoothly on the road and to prevent it from breaking down.

You can also find auto repair loan providers that offer auto protection plans and roadside assistance programs. Sometimes they also provide money for vehicle upgrades.

Lenders vary on the loan amounts they provide. But, when it comes to auto repair loans, you can borrow up to $ 5,000.

Tips when looking for an auto repair loan

When looking for a good auto repair loan, be sure to borrow from a credible lender. It is also crucial that it provides you with benefits. For example, some auto repair loan providers offer 0% interest if you pay off your debt within 30 to 90 days.

It is also advisable to find an auto repair loan with flexible repayment options. The lender should take your income into account when developing the loan repayment schedule. More importantly, the loan amount provided by the lender should be sufficient for the cost of the auto repair.

Finally, you should look for a lender who quickly approves your loan application. This is crucial because you cannot wait too long to fix your car.

Do auto insurance companies cover the cost of auto repair loan?

Sometimes auto insurance companies take a long time to finalize claims for an insured’s damaged car. If that person takes out a loan to cover the cost of the car, the insurance company can pay the principal amount of the loan when the application is finalized. However, the interest and costs of the loan may not be covered by the insurance.

That is why you should ask the insurance company about it. Insurance companies differ, after all, when it comes to their policies.

To take with

It can be a good option to go for an auto repair loan if your car is damaged. This loan can provide you instant liquidity to pay off the repair cost. Just make sure you know how to choose a good lender for that matter.

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Should you pay off your debts or save for your retirement? https://homepagelink.net/should-you-pay-off-your-debts-or-save-for-your-retirement/ https://homepagelink.net/should-you-pay-off-your-debts-or-save-for-your-retirement/#respond Wed, 15 Sep 2021 12:56:00 +0000 https://homepagelink.net/should-you-pay-off-your-debts-or-save-for-your-retirement/ Scenario 2: When should consumers prioritize debt repayment According to a recent report, the average APR for credit cards is 20%. If you carry a balance at a high APR, paying it off as soon as possible is essential. Or, at least, refinance it with a lower interest rate loan, line of credit, or balance […]]]>

Scenario 2: When should consumers prioritize debt repayment

According to a recent report, the average APR for credit cards is 20%. If you carry a balance at a high APR, paying it off as soon as possible is essential. Or, at least, refinance it with a lower interest rate loan, line of credit, or balance transfer. A debt consolidation loan can also be an option. By holding onto high-interest debt, you are likely increasing the time it will take to retire, while negatively impacting your net worth.

Worse, if you make the minimum payments and invest the rest, keep in mind that your credit card balance may continue to increase and it could take 10, 15 or more years to pay off. And no matter how much you owe! $ 100, $ 1,000 or $ 10,000. If you only make the minimum payment, the bank earns because of the potential $ 1,000 interest you give it.

Other high interest debt

Credit cards aren’t the only high interest debt you might have. Other loans that may carry a high interest rate include payday loans, lines of credit, and other personal loans that may have high interest rates. If you have any of these loans, they should always prioritize saving for retirement.

Debt Snowball Method

When it comes to debt repayment, I find the debt snowball method works well. It allows you to focus your efforts by paying off the smallest debt first, while the rest receive minimum payments. After you’ve paid off the first debt, you can move on to the next smaller debt. Repeat until you have no more debt, or at least no high interest debt.

Emergency fund

There is rarely a good reason to continue contributing to an emergency fund if you have high interest debt. Pay it first, then focus on funding an emergency fund after. Some may have a different opinion, but, in most cases, and as a last resort, consumers can re-advance borrowed funds in an emergency. Once the high interest rate debt is fully paid off, consider setting up an emergency fund and investing in your retirement.

Low interest debt

Once the high interest rate debt is settled, you will either need to pay off low interest debt such as student loans, car loans, or your mortgage. Mathematically, it often makes more sense to invest money than to pay off low-interest debt. However, this is not a guarantee. Plus, regardless of the debt, high or low interest, there will be a payment associated with it. This payment eats away at your excess monthly income. Thus, the faster the debts are paid, the more money you can allocate to investments.

Financial advisor option

Going to a financial advisor is almost always a great choice. Advisors will often give you a perspective that you may not have considered. Also, they are personal finance experts and already know everything that is written here today.

Scenario 3: Balancing retirement savings and debt repayment

Can you have your cake and eat it too? May be! In some cases, it may be a good idea to pay off your debt and save for your retirement at a time. Granted, it will take longer before you can pay off all of your debts. However, if the debt has a low interest rate and comes with a manageable payment (i.e. a mortgage), yes, that makes sense.

Plus, if you have great credit, you may be able to get a lower interest rate on your mortgage by applying for or refinancing. With 30-year interest rates hovering below 3%, money is virtually free. By refinancing AND extending your amortization to 30 years, you will free up monthly income in your budget to allow you to invest more.

Mortgage Tip: Have a plan to pay off your mortgage, in full, right before retirement. This will not only help you sleep better at night, but it will free you up a large payment that will strain your retirement budget.

Final thoughts on debt and saving for retirement

Ultimately, the decision depends on how much interest you pay on your debt.

Before choosing either of these strategies, think about the psychological effects of not having debt or a mortgage. For some, it is essential to live without a mortgage, because they might think that the house is “the property of the bank”. Or, maybe the thought might be, “What if I lose my job?” In any case, it all depends on your level of comfort.

It should be noted that sometimes borrowers can enjoy certain tax benefits when paying off certain types of debt. For example, in certain situations, interest on mortgages or investments may be tax deductible. Tax deductions could result in a larger tax refund at the end of the year. But as always, always consult a qualified financial professional for the best advice!

This article originally appeared on FinanciallyIndependentMillenial.com and has been syndicated by MediaFeed.org.

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Best emergency loans for September 2021 – Forbes Advisor https://homepagelink.net/best-emergency-loans-for-september-2021-forbes-advisor/ https://homepagelink.net/best-emergency-loans-for-september-2021-forbes-advisor/#respond Mon, 13 Sep 2021 22:03:00 +0000 https://homepagelink.net/best-emergency-loans-for-september-2021-forbes-advisor/ While you can get an emergency loan from your credit card issuer or payday lender, we recommend that you get a traditional unsecured personal loan from a bank, credit union or an online lender. Banks If you have a traditional bank account at a physical institution, you may also be lucky to get a personal […]]]>

While you can get an emergency loan from your credit card issuer or payday lender, we recommend that you get a traditional unsecured personal loan from a bank, credit union or an online lender.

Banks

If you have a traditional bank account at a physical institution, you may also be lucky to get a personal loan from there.

Banks have different processing methods compared to other lenders. For example, many banks have higher credit score or income requirements before you qualify for a personal loan. And you may not get the money as quickly as you need it, so check how long it takes for the funds to be deposited into your account before you apply.

Credit unions

If you have a credit union account instead of a bank account, you can get an emergency loan from a credit union. Credit unions are community-based and are friendlier to borrowers with average and poor credit.

Emergency loans from credit unions vary in amount, but many offer alternative payday loans between $ 200 and $ 1,000. Keep in mind, however, that some credit unions only lend to their members or to people who have been members for a while. If you don’t meet these conditions or need to borrow more, you may want to explore other options.

Online lenders

Online lenders offer a wide variety of emergency loans and most do not require you to be a member or current account holder. Plus, many offer prequalification options so you can see if you’re qualified to borrow an emergency loan before you apply. This can help you avoid a harsh credit check which can negatively impact your credit.

While you might not feel comfortable taking out a personal loan from an online lender, keep in mind that many traditional banks also offer online applications and processing. Just make sure it is a reputable online lender with a secure website and a solid offer.

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Quick personal loans: the best lenders for quick cash https://homepagelink.net/quick-personal-loans-the-best-lenders-for-quick-cash/ https://homepagelink.net/quick-personal-loans-the-best-lenders-for-quick-cash/#respond Fri, 10 Sep 2021 07:00:00 +0000 https://homepagelink.net/quick-personal-loans-the-best-lenders-for-quick-cash/ Reached Best for Fast Funded Next Day Loans 6.76 – 35.99% The full range of rates available vary by state. The average 3 year loan offered by all lenders using the Upstart platform will have an APR of 24.4% and 36 monthly payments of $ 36 per $ 1,000 borrowed. There is no deposit or […]]]>

Reached

Best for Fast Funded Next Day Loans

6.76 – 35.99%

The full range of rates available vary by state. The average 3 year loan offered by all lenders using the Upstart platform will have an APR of 24.4% and 36 monthly payments of $ 36 per $ 1,000 borrowed. There is no deposit or early repayment penalty. The average APR is calculated based on the 3-year rates offered in the last month. Your APR will be determined based on your credit, income, and certain other information provided in your loan application. Not all applicants will be approved.

$ 1,000 – $ 50,000

580

FreedomMore

FreedomMore

Best for Fast Funded Next Day Loans

7.99 – 29.99%

The loan conditions presented are not guaranteed and the APRs presented are only estimates. To get a loan, you must submit additional information and documents and all loans go through a credit review and our approval process. The APR range is 7.99% to 29.99% and your actual APR will depend on factors such as your credit rating, usage and history, loan amount requested, stated loan purpose, and length of time. of the loan requested. To qualify for a 7.99% APR loan, a borrower will need excellent credit on a loan of less than $ 12,000.00 and a term of 24 months. Addition of a co-borrower with sufficient income; use at least eighty-five percent (85%) of the loan proceeds to directly repay existing qualifying debt; or proof of sufficient retirement savings, could also help you qualify for the lowest rate available. All loans are made by Cross River Bank and MetaBank®, NA, members of the FDIC.

$ 7,500 – $ 50,000

620

Point Ready

Point Ready

on the LendingPoint website

Best for Fast Funded Next Day Loans

9.99 – 35.99%

The approval of the loan is not guaranteed. Loan offers and actual loan amounts, terms and Annual Percentage Rates (“APRs”) may vary depending on how LendingPoint’s proprietary underwriting and scoring system examines your credit, situation. financial, other factors and supporting documents or information you provide. Original or other charges of 0% to 6% may apply depending on your state of residence. Upon LendingPoint’s final underwriting approval to fund a loan, said funds are often sent via ACH on the next non-holiday business day. LendingPoint offers loan offers from $ 2,000 to $ 25,000, at rates ranging from a minimum APR of 15.49% to a maximum APR of 34.99%, with terms of 24 to 48 months.

$ 2,000 – $ 36,500

580

Discover

Discover® Personal loans

Best for Fast Funded Next Day Loans

6.99 – 24.99%

It is not a commitment to lend with Discover Personal Loans. Your approval for a loan is determined after you apply and is based on your application information and your credit history. Your APR will be between 6.99% and 24.99% depending on creditworthiness at the time of application for loan terms of 36 to 84 months. For example, if you get approved for a loan of $ 15,000 at 6.99% APR for 72 months, you will only pay $ 256 per month. Our lowest rates are available to consumers with the best credit. There are many factors that are used to determine your rate, such as your credit history, your application information, and the length of time you choose. Not all applications will be approved.

$ 2,500 – $ 35,000

660

Main

OneMain Financial

on the OneMain Financial website

Ideal for same day loans

18.00 – 35.99%

Not all applicants will be eligible for larger loan amounts or more favorable loan terms. Loan approval and actual loan terms depend on your ability to meet our credit standards (including a responsible credit history, sufficient income after monthly expenses, and the availability of collateral). Larger loan amounts require a first lien on a motor vehicle less than ten years old, which meets our value requirements, titled in your name with valid insurance. The maximum annual percentage rate (APR) is 35.99%, subject to state restrictions. APRs are generally higher on unsecured vehicle loans. Depending on the state in which you open your loan, the origination fee can be either a fixed amount or a percentage of your loan amount. Lump sums vary by state, ranging from $ 25 to $ 300. Percentage-based fees vary by state, ranging from 1% to 10% of your loan amount, subject to certain state limits on the amount of fees. Servicemen on active duty, their spouses, or dependents covered by the Military Loans Act cannot pledge a vehicle as security for a loan. OneMain loan proceeds cannot be used for post-secondary education expenses as defined by CFPB Regulation Z, such as college, university or professional expenses; for commercial or commercial purposes; buy securities; or for gambling or illegal purposes. Borrowers from these states are subject to these minimum loan amounts: Alabama: $ 2,100. California: $ 3,000. Georgia: Unless you are a current customer, a minimum loan amount of $ 3,100. Ohio: $ 2,000. Virginia: $ 2,600. Borrowers (other than current customers) in these states are subject to these maximum unsecured loan amounts: North Carolina: $ 7,500. New York: $ 20,000. An unsecured loan is a loan that does not require you to provide collateral (like a motor vehicle) to the lender.

$ 1,500 – $ 20,000

Nothing

The average score is 600 – 650

Lightstream

LightStream

Ideal for same day loans

2.49 – 19.99%

The terms of your loan, including the APR, may differ depending on the purpose of the loan, amount, term, and your credit profile. AutoPay 0.50% points discount is only available if selected prior to loan funding. Rates without AutoPay will be 0.50% higher. To get a loan, you must complete an application on LightStream.com which may affect your credit score. Subject to credit approval. Conditions and limitations apply. The advertised rates and conditions are subject to change without notice. Example Payment: Monthly loan payments of $ 10,000 at 6.14% APR with a term of 3 years would result in 36 monthly payments of $ 304.85. Truist Bank is an equal housing lender. © 2021 Truist Financial Corporation. SunTrust, Truist, LightStream, the LightStream logo, and the SunTrust logo are service marks of Truist Financial Corporation. All other trademarks are the property of their respective owners. Loan services provided by Truist Bank.

$ 5,000 – $ 100,000

660

RocketLoans

Rocket loans

on the secure NerdWallet site

Ideal for same day loans

5.97 – 29.69%

All personal loans are made through Cross River Bank, a commercial bank licensed by the State of New Jersey, FDIC member, Equal Housing Lender. All loans are unsecured and fully amortize personal loans. Eligibility for a loan is not guaranteed. Please refer to our Disclosures and Licenses page for state-required disclosures, licensing, and lending restrictions. The borrower must be a U.S. citizen or permanent U.S. resident alien who is at least 18 years old (in Nebraska and Alabama, a borrower must be at least 19 years old). All loan applications are subject to credit review and approval. The loan terms offered depend on your credit profile, amount requested, length of loan requested, credit usage, credit history, and other factors. Not all borrowers receive the lowest interest rate. To qualify for the lowest rate, you must have excellent credit, meet certain conditions, and select automatic payment. Prices and conditions are subject to change at any time without notice. Please refer to RocketLoans.com and our Terms of Service for additional terms and conditions.

$ 2,000 – $ 45,000

640

See my rates

on the secure NerdWallet site

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How Mental Health Is Affected By Bad Credit https://homepagelink.net/how-mental-health-is-affected-by-bad-credit/ https://homepagelink.net/how-mental-health-is-affected-by-bad-credit/#respond Thu, 09 Sep 2021 07:00:00 +0000 https://homepagelink.net/how-mental-health-is-affected-by-bad-credit/ The COVID-19 pandemic has taken its toll on the physical health of millions of people in the United States and around the world. And for many, there has also been an impact on mental health. “COVID has made many people aware of their financial situation and has proven the importance of good financial health,” says […]]]>

The COVID-19 pandemic has taken its toll on the physical health of millions of people in the United States and around the world. And for many, there has also been an impact on mental health.

“COVID has made many people aware of their financial situation and has proven the importance of good financial health,” says Rebecca Brooks, owner of R&D Financial Coaching. “But stress and uncertainty have also led many people to feel a strong sense of scarcity and fear – avoiding debt, wanting to repay as much as possible, and increasing their emergency fund balances.”

When financial strains set in, whether caused by a global pandemic or something else, your credit score can take a hit. For example, paying late bills, racking up high balances, or opening multiple credit cards in a short period of time because you’re running out of money can all cost you credit points.

Almost a third of Americans have subprime loans, which means a FICO score below 670, according to Experian. For some of them, 2020 has proved difficult as lenders tighten standards on credit cards and loans.

Not being able to borrow money as needed can increase financial stress or lead to financial decisions that make bad credit even worse. Understanding the link between financial health and mental health is important when trying to improve both.

What Causes Bad Credit and How Does It Impact Mental Health?

There are different reasons someone can have bad credit, starting with low wages, says Kristin Lobenstein, financial coach at the Jewish Family Service of Greater Dallas.

“When someone can’t pay their bills, they turn to credit cards and payday loans to pay even their basic living expenses,” says Lobenstein. “And if something breaks, like commuting to work or a cell phone, credit cards are the only way to survive and keep their jobs.”

Low income could lead to high debt levels or late payments, both of which can hurt credit scores. Bad money management habits unrelated to income can also be a culprit.

Thirty-five percent of your FICO credit score is based on payment history. If you usually pay credit cards, loans, or other bills late (or not at all), it can hurt your score. Likewise, having high balances or maxing out your cards can also hurt your score, as 30% of your FICO calculations are based on your credit usage.

Lobenstein says not having a budget is a problem if it results in overspending. Likewise, failure to keep up with spending can lead to bad credit if it lands you in overwhelming debt. But it’s important to remember that bad credit can also be the result of things that may be beyond your control.

For example, let’s say you get sick or hurt yourself and can’t work or you’re laid off. If you don’t have a large emergency fund to rely on, it could put you at risk for late credit card payments and other bills. In this case, late or missed payments always results in bad credit.

Whatever the cause, bad credit can affect you financially in several ways. For example, bad credit can make it harder to:

  • Get approved for new credit cards or loans
  • Rent an apartment or obtain utilities in your name
  • To buy a house
  • Benefit from advantageous interest rates
  • Being hired for certain jobs

If you’re trying to get ahead financially, bad credit can be a barrier to reaching your goals. It can harm your mental health if it makes you feel hopeless about your financial situation.

There is also a link between debt and mental health. According to the Money and Mental Health Policy Institute, 46% of people who have debt problems also have mental health problems. And 86% of people who experienced mental health issues said their financial situation had worsened.

When spending money is adaptive, for example, it can be mentally and financially problematic.

“If you think what you buy is going to make you feel better, you’re more likely to prioritize expenses or debts incurred,” says Aja Evans, a New York-based licensed mental health counselor. Learning to develop healthy coping skills that are not dependent on spending money could help reduce the risk of going into debt.

What is the impact of finances on your mental health and vice versa?

According to the Kaiser Family Foundation, 4 in 10 American adults suffered from anxiety or depression during the pandemic. That’s up from the 1 in 10 Americans who reported anxiety or depression in 2019.

So what is behind this increase?

Part of the problem is the fear and stress associated with the virus itself and what the disease can mean. But isolation, job losses and the financial fallout from unemployment also affect the mental health of Americans.

Aside from the pandemic, poor mental health can be triggered by stress at work. A World Health Organization (WHO) study found that 264 million people worldwide suffer from depression and anxiety, costing $ 1,000 billion in lost productivity. The study cited stressors at work as a cause, including:

  • Inflexible working hours
  • Inadequate health and safety policies
  • Poor communication and management practices
  • Limited control or participation in decision making
  • Unclear tasks
  • Low levels of support for employees

An overwhelming workload and workplace bullying or harassment also contribute to a work environment conducive to mental health issues. You may feel compelled to go to work for a salary, but it comes at the expense of your well-being.

Then there is relationship stress. In a study from Indiana University, for example, 50% of participants said they had suffered from depression related to the pandemic. And 50% also said they had experienced psychological assault (such as yelling and threats) from their partner. With money often cited as a source of arguments for couples, the pandemic can contribute to more frequent arguments and, as a result, more financial stress for couples.

It is important to tackle these issues to improve financial health.

“People who feel financially stable do better at work and feel more confident when talking to and interacting with others,” says Lobenstein. “People in a relationship who have open conversations about money are happier in their relationships.”

Having a history of mental illness in your family can also impact your mental and financial health. Scientific evidence suggests that having someone with mental health problems in your family could increase your risk of developing a mental health problem yourself. This, in turn, could put you at increased risk of encountering financial hardship, which can lead to bad credit.

If you have mental health issues, or know someone who has, there are resources that can help.

How to improve your credit and reduce financial stress

Simply put, bad credit can keep you from moving forward or reaching your financial goals. Bad credit can make life more difficult financially and mentally, but it doesn’t have to be a permanent situation.

Sitting down and adding up your debts can be a step in the right direction. Once you know what you owe, to whom you owe it, and at what interest rates you are paying, you can formulate a realistic plan to pay off your debt.

This step can seem overwhelming, and it is okay to seek help. For example, a nonprofit credit counselor can look at your expenses and debt, and then come up with solutions to manage them. It could be as simple as creating a monthly budget or it could involve signing up for a Debt Management Plan (DMP). Here are some options:

Evans says talking to someone can help ease some of the mental burdens you might feel about your financial situation. “Shame is one of the main culprits for negative feelings associated with finance. Saying out loud how you feel to someone you trust relieves some of the pressure you may be putting on yourself. “

You can also explore options to rebuild bad credit over time. For example, opening a credit card for bad credit can help you build a positive payment history. It could make a difference in your credit score if you pay responsibly each month and keep your balance low.

The most important thing is to do something rather than nothing.

“There are many ways to improve your credit, and by learning what to do and just taking action, your stress will decrease,” says Brooks.

The bottom line

Financial stress and poor mental health often go hand in hand. The COVID-19 pandemic may have increased your level of anxiety if you are struggling with debt or loss of income. Recognizing how financial worries can affect your mental health or vice versa can make it easier to find a solution to approach both in a positive way.

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