HowToDoThings.com Recent Borrowing Articles

How To Understand Credit Reports

margnorton — Wed, 16 Apr 2008 12:54:13 -0500

Financial uncertainty, foreclosures, and tightened lending requirements define the life of many Americans today. Credit reports and credit scores have always been important but it's more crucial than ever for you to understand how credit works. Your credit history can be your friend, opening many doors for you. But if misused, it can make your life difficult, causing doors to slam in your face, as you helplessly watch. Having credit is a privilege. You should protect it just as you protect your good name. When talking to a creditor, you are at a disadvantage if you do not know how credit works. Read this and you are off to a good start.

There are three major credit bureaus in the U.S. Basically, they are all the same, but there are some differences and the reports are a different format. The bureaus are: Experian, Equifax (formerly TRW) and Trans Union.

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How To Benefit from The Fair Credit Report Act (FCRA)

margnorton — Mon, 14 Apr 2008 15:43:06 -0500

Credit mistakes happen. Even with today's technology (and good intentions), sometimes information is recorded incorrectly. Individuals with junior or senior as part of their name, victims of fraud, people in divorce situations, etc. sometimes find the information on their credit report is incorrect. When this occurs, you usually have to contact all three major credit bureaus - Experian, Equifax and Trans Union - and work with them individually to correct your report. Thanks to the Fair Credit Reporting Act (FCRA), you have certain rights if you dispute the information on your credit report. The FCRA gives you the following rights:

How To Ruin Your Credit Rating

bronwyn — Wed, 02 Jan 2008 15:38:43 -0600

Read at your own risk - these steps are guaranteed to ruin your credit rating and destroy your financial future faster than setting your wallet on fire!

How To Eliminate Personal Debt Faster

omehaney — Fri, 30 Nov 2007 17:41:40 -0600

Do you remember when it was difficult to get a credit card? Well, these days it's not too hard at all. All the major retail stores have them and with on-the-spot financing, making it easier than ever to load up your wallet with plastic. And if that's not enough, you needn't look further than your mailbox to find credit applications or even pre-approved credit cards and loans. All this readily available credit makes spending more money than you have all that much easier.

Here are a few useful steps to follow to get out of the black hole of credit card debt a little bit faster:

How To Use Credit Cards Responsibly

bronwyn — Wed, 17 Oct 2007 19:59:38 -0500

Credit cards can either be thought of as the best thing to ever happen to shopping or the reason for your debt, headaches, and sleepless nights. Credit cards are actually a wonderful tool -- when they are used responsibly. These tips will help you to stay on top of your debt and make sure that you are using your credit cards in the best way possible.

How To Use an FHA Loan

Brad276 — Tue, 20 Feb 2007 10:27:00 -0600

A Federal Housing Administration (FHA) loan is a federally-backed loan designed to allow homebuyers to get into a new home with a low down payment. While not limited to first-time homebuyers, the loan is ideal for your first home. The FHA loan will allow you to get into a home with minimal money down, even with no down payment in some circumstances. In return, you will see a slightly higher interest rate and will be responsible for paying mortgage insurance until you are able to build the equity in your home to 20% of the home's value. Here are the recommended steps to obtain and use a FHA loan.

How To Take Out a New Construction Loan

Brad276 — Fri, 16 Feb 2007 13:08:00 -0600

When looking for a new home, you have a number of options, including purchasing existing construction or building a new home to your specifications. If you choose to build, you will likely need a loan in order to finance the building. A traditional mortgage will not apply as the home is not completed and available for occupation. This is where new construction loans come into play.

A new construction loan is a short-term loan that will allow you to build the home of your dreams. New construction loans differ from traditional mortgages in a number of areas, including the terms - they are shorter term and usually carry a higher interest rate and are often variable rate as opposed to fixed. Many new construction loans also will require that you make interest-only payments during the construction, with the principle balance due at completion.

How To Take Out a Jumbo Loan

Brad276 — Fri, 16 Feb 2007 10:29:00 -0600

A jumbo loan is a home loan that is greater than the loan limit set by the Federal National Mortgage Association (also known as Fannie Mae) and the Federal Home Loan Mortgage Company (also known as Freddie Mac). Currently, the maximum value of a standard loan is $417,000 for a single home property; $533,850 for a two dwelling property; $645,300 for a three dwelling property; and $801,950 for a four unit property. Any single loan amount that exceeds those values will bump your loan into jumbo loan territory. Loans within the limits are referred to as conforming loans.

Because jumbo loans are not supported by the two listed Federal Mortgage agencies, they usually carry a higher interest rate. Other than the higher interest rate, jumbo loans are identical to a traditional, conforming loan. You can usually obtain a jumbo loan through the same channels as a conforming loan as well.

How To Use a Payoff Calculator For Debt Reduction

Beth141 — Tue, 06 Feb 2007 13:25:00 -0600

A debt calculator is a device you can find online which will help you figure out how long it will take you to pay off certain debts. Using a debt calculator is fairly easy and can be a helpful tool in creating your budget. Here are some steps to take when using a debt calculator.

How To Repair Your Credit Report

Mary311 — Fri, 02 Feb 2007 18:44:00 -0600

A poor credit score can be very damaging to an individual in a number of different situations. Poor credit can result in an individual being denied a loan for a car, a home or any other purpose. Even when low credit scores do not result in the individual being denied these loans, they may result in the individual receiving unfavorable loan terms such as high interest rates. Additionally, poor credit scores can also result in an individual having an application for a rental agreement denied. This is because both financial institutions granting loans and leasing agents renting out apartments and homes want to be reasonably sure the individual will be able to repay the loan or pay the rent in a timely fashion and may not be willing to take a risk on individuals with poor credit. Fortunately, there are steps you can take to repair your credit:

How To Get an Emergency Cash Loan

Ashtyn198 — Tue, 19 Dec 2006 20:14:00 -0600

If you run into a situation where you need money immediately, an emergency cash loan may be your only hope. You can get emergency cash loans from a number of sources. Typically, whether you receive a loan or not may depend on the amount you need and whether or not your credit appears good enough to make the loan worth the lenders while.

The best thing for you would be to have your own emergency money set aside for a rainy day. Of course, this is not always possible. If you are in a situation when you need some financial help quickly, then the following sources may be of help to you in your time of need.

How To Get a Commercial Real Estate Loan

Ashtyn198 — Tue, 19 Dec 2006 20:09:00 -0600

When it comes to buying commercial real estate, financing is one of the most important parts of the process. Whether you're interested in buying commercial real estate to rent it out or to use it for your business, it is necessary to acquire financing unless you can afford the entire building purchase. Of course, most people, even those with excellent resources, are not able to pay for commercial property out of their pocket.

If you are interested in commercial real estate and are hoping to build a potential business or make money off of selling commercial properties yourself, then you will need to familiarize yourself with the commercial real estate lending process.

How To Find Alternatives to Student Loans

Ashtyn198 — Mon, 18 Dec 2006 10:06:00 -0600

If you are planning to go to college it is likely you are already aware of how expensive it can be. While it is possible to go to school for free, for now, the loans you accrue will have to be paid eventually. It is easy to go to school and not give your loans a second thought. However, when school is over you might end up shocked by how much you actually owe. There are thousands of people who pay for years on their student loans before they finally pay them off.

However, there are some reasonable alternatives to student loans. While some are more reasonable than others, the options make it possible to lower your student loans by a considerable amount or to see that you do not need loans at all.

How To Get a Debt Consolidation Loan

Ashtyn198 — Wed, 13 Dec 2006 12:35:00 -0600

The decision to consolidate your bills into one payment can be a very wise decision if you have numerous open accounts. Many people choose to consolidate because of the simplicity involved in only having the one bill. Others like the fact that they do not have to pay various interest rates to numerous sources. In short, having the one bill makes things simpler. It also saves plenty of money in the long run, as it will be easier for a person to pay down one bill as opposed to many.

The number one way to get a debt consolidation loan is by using collateral, such as your home. Incidentally, consolidation loans are also sometimes known as Home Equity loans, because you are borrowing money off of the equity that you have earned in your home. Generally, the longer you've owned your home and the more money you've paid on it, the more you will be able to attain.

How To Enroll in a Debt Management Program

Ashtyn198 — Wed, 13 Dec 2006 10:37:00 -0600

Making the decision to enroll in a debt management program takes a great amount of thought. There are numerous organizations with the label of debt management so you will want to do your homework to ensure that you are choosing the right program for you.

It is important to work with someone you feel comfortable with. A debt management program is a very good option for people who feel like they are getting nowhere or that they are drowning in debt. If you are close to going bankrupt, you might want to consider debt management instead. The same can be said about people considering consolidation.

How To Learn About Debt Management Plans

Beth141 — Mon, 11 Dec 2006 17:38:00 -0600

If you have a lot of debt and it feels like it's out of control or headed that way, you may want to consider enrolling in a debt management plan (DMP). Set up by debt management professionals, a debt management plan can help you get on a reasonable bill paying schedule. A debt management plan is basically a payment schedule wherein you pay a debt management/credit counseling agency to negotiate terms of repayment with certain of your creditors (credit card companies, etc.). Sometimes, the agency can get fees waived or payments reduced for you. Each month, you deposit money with the agency and they pay your creditors. Debt management plans can help people who are drowning in monthly debt, but they aren't free, and unscrupulous companies surface all the time, taking advantage of people in financial crises. It is important to learn about debt management plans before signing on to one. Here are some ways to do so.

How To Use a Bridge Loan

Brad276 — Wed, 29 Nov 2006 13:48:00 -0600

For most people, one of the most difficult parts of buying a house is being able to time the sale of your old home with the purchase of the new one. The equity built in your existing home is usually used to cover a significant portion, if not all, of the down payment on your new purchase. Fortunately, banks created what is called a bridge loan to help make this portion of the homebuying experience easier. A bridge loan is designed to allow you to use your current equity to purchase a new home before you sell the current residence.

A bridge loan has the following features:

How To Get Signature Loans

Brad276 — Wed, 29 Nov 2006 09:06:00 -0600

There are times in life when we all need a little extra money. Depending on your situation, a signature loan may be the right choice. A signature loan is an easy to obtain loan with a number of benefits. They are ideal for a single purchase or expense, such as a home improvement or vacation expense. Signature loan benefits include:

Competitive fixed rates, usually much better than a credit card rate
Reasonable monthly payments
Flexibility on the principle and repayment time of the loan
Borrow just what you need to keep your payments lower
Money is borrowed on your signature, not your assets

How To Consolidate Your Debts

Ashtyn198 — Mon, 27 Nov 2006 15:36:00 -0600

The average person has more credit card debt than he can handle. Unfortunately, due to interest rates and higher minimum payments, if a person only pays the minimum allotted payment on his credit card, it can take him years to pay off his debt. Additionally, if you have more than one credit card, it can be very difficult juggling different interest rates, payments, and payment dates.

A consolidation loan can help to handle all of these problems. Rather than fighting to make ends meet, a consolidation loan will allow you to make one payment to further your goal of removing your debt. Following is a list of options you have when attempting to consolidate your debt into one payment.

How To Get Credit Card Debt Relief

Beth141 — Sat, 25 Nov 2006 16:43:00 -0600

People use credit cards for many reasons: to handle emergency situations, to pay for necessities when cash is short, to make special one-time purchases, to live beyond their means for whatever reason. Despite all these different motivations, one thing many credit card users have in common is quite a bit of stress-inducing debt. If you're looking for some relief from your debt and the anxiety and bad credit score that may come with it, here are some things you might want to try. I have used of a few of these techniques and feel better for it.

How To Get Debt Counseling

Beth141 — Sat, 25 Nov 2006 16:07:00 -0600

If you feel like your finances are out of control, you're not alone. Credit debt, mortgages, student loans, car payments: It all adds up for many of us. Sometimes figuring out how to subtract from your total debt, as opposed to adding to it, is tough. Getting out of debt sometimes requires expert help. Debt counseling is one way to get such help. Here are some things to know about debt counseling.

How To Borrow Money Quickly

Ashtyn198 — Fri, 24 Nov 2006 00:35:00 -0600

When it comes to financial matters, there are times in everyone's life when something unexpected happens. In many cases, this means that money or the need for money will come into play. If your car breaks down or you have a similar emergency, then you are going to need to have the cash on hand to fix the problem and fix it fast. Of course, if you do not have access to the money that you need, you may end up having to borrow it from someone. The good news is that there are numerous ways to borrow money quickly.

How To Get Credit and Debt Counseling

Beth141 — Sun, 19 Nov 2006 16:48:00 -0600

These days, many people are overwhelmed with debt. Realizing they can't get out of their financial problems alone, they seek credit or debt counseling. How does one go about getting this kind of counseling? Here are a few things to consider if you are beginning your search.

Know the difference between credit and debt counseling. The first step in getting debt or credit counseling is to know the difference between the two terms.

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How To Fix Your Credit

Stacy214 — Sun, 29 Oct 2006 06:40:00 -0600

Contrary to popular belief, having a bad credit rating is not a life sentence. You can take measures to fix your credit. Millions of people have succeeded in taking back control of their finances-and so can you.

How To Consolidate Your Credit Card Debt

Brad276 — Sat, 14 Oct 2006 14:44:00 -0500

The average American family now has over $10,000 in credit card debt, according to recent reports. Many of these families carry the debt over a number of high interest credit cards. If you carry a considerable amount of debt from month to month on different credit cards, you may benefit from credit card debt consolidation.

While the typical loan consolidation is done to lower interest rates or lowers the monthly payments by increasing the life of the loan, credit card debt consolidation is different. Credit card debt typically does not have a specified amount of time in which it needs to be paid back; you cannot lower your monthly payments by simply moving the debt around. There are a few benefits to credit card debt consolidation.

How To Learn About Reverse Mortgages

Brad276 — Wed, 11 Oct 2006 08:43:00 -0500

Over the past few years, cost of living prices have increased to levels never before seen. As a result, retirement and fixed income living has become more difficult. Reverse mortgages were created to allow individuals over the age of 62 to utilize the equity in their homes to live off of; without penalty of having to pay back the principle.

The way that a reverse mortgage works is that you access the equity and the money is not paid back until the homeowner dies or moves and the home is sold. A reverse mortgage has its advantages.

Reverse mortgage allows you the flexibility in using the equity in your home by taking out cash in the form of:

Monthly withdrawals.
A large lump sum.
Accessing the equity like a line of credit, using it when needed.

The money you borrow does not need to be paid back and is typically interest-free.

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How To Learn About New Bankruptcy Laws

Beth141 — Fri, 22 Sep 2006 15:34:00 -0500

If you're thinking of filing for bankruptcy, you probably know in the last two years, there have been major changes to the bankruptcy process. These changes are significant. For instance, while in the past, Chapter 7 Bankruptcy (wherein debts are wiped out and no repayments are required) was relatively easy to get, now most people who have income will be forced to file Chapter 13 Bankruptcy (wherein they will still have to make some payments on a percentage of their debts even after filing). Filers for bankruptcy will also have to take credit counseling now, will have to do more paperwork (of course), and it will be tougher to file more than once in the same decade. A good list of changes exists at About.com.

How To Use Credit Repair Services

Robin103 — Wed, 20 Sep 2006 07:53:00 -0500

Credit repair services make confusing claims. They claim to be able to repair "bad" credit, leaving you with the impression that if your credit is legitimately bad, they can erase the bad data on your report. Many people with poor credit ratings buy into their claims, hoping to be able to increase their credit score in order to improve their chances of getting a loan, credit card or other form of credit. However, what they find out is that any credit repair service that promises to erase legitimate bad credit is either lying or engaging in illegal activity.

If you are considering using a credit repair service, there are several things you need to do and consider.

How To Answer Your Bankruptcy Questions

Beth141 — Tue, 19 Sep 2006 12:46:00 -0500

Whether you've decided to file for bankruptcy and want to learn more about the process or you're just considering bankruptcy and want to learn about the new laws relating to it, you need some answers from people "in the know." There are a variety of sources of information that can help you answer your bankruptcy questions. Here are a few ways to get the ball rolling and find the answers you need regarding this serious financial decision.

How To Avoid Bankruptcy

Julie317 — Mon, 11 Sep 2006 13:50:00 -0500

Bankruptcy is not a thing that anyone wants to go through, but is a decision many people face. The good news is that there may be one last thing you can try to avoid bankruptcy. The steps below will show you how to divide up your monthly disposable income and try to set up a payment plan with your current creditors.

The first step to avoid bankruptcy is to gather up all of your past due bills.
Determine how far you are behind on all of those bills.
Take your monthly net income and deduct your rent, food, gas, utilities, and current monthly bill payments.

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How To Get a Loan If You Have Bad Credit

Stacy214 — Thu, 31 Aug 2006 05:54:00 -0500

Don't swear off loans just yet-paying cash for everything does next to nothing to help reestablish your credit. The loans you'll qualify for after having bad credit aren't the cream of the crop, but will help to reestablish your credit.

Undeniably, past credit mistakes will limit your ability to obtain loans. The good news is that you can secure certain loans in relatively easy fashion. These smaller loans-when used properly-can help you establish good credit again, thereby reinstating your eligibility for the bigger and better loans.

How To Get Credit Counseling

Beth141 — Mon, 21 Aug 2006 13:40:00 -0500

If you're in over your head when it comes to debt, you might want to seek some professional help. Credit counseling sounds very inviting. But what is Credit Counseling, exactly, and how does one go about getting it in a way that is actually beneficial?

Learn what credit counseling is and isn't. In my personal attempt to relieve my own debt, I never did much research into what credit counseling was. So, after doing a preliminary internet search, I decided to consult a source familiar with having huge debt: the Federal Government. They have a website which clearly explains what credit counseling is, and, unlike some places that sound like they should be situated in a seedy strip mall somewhere, I knew the Feds weren't trying to sell me anything; they don't have to try, as I'm legally obligated to pay them once a year anyhow.

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How To Get Direct Loans

Beth141 — Mon, 21 Aug 2006 12:59:00 -0500

If you're applying to college or currently attending college, you or your parents may be eligible for a Direct Loan. These are government loans that will help defray the cost of your education. They must be repaid, but they can help people afford an education which would otherwise be unaffordable. If you're considering applying for a Direct Loan, here are some steps to take in the process:

Get to know what a Direct Loan is. A Direct Loan is a loan for students wherein the college gets money directly (no pun intended) from the federal government. Not all colleges participate in this program. Direct Loans for students are usually called Stafford Loans. When the parent of the student takes out the loan, it's called a PLUS Loan. (Note: there's another similar loan called the FFEL Stafford Loan.)

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How To Apply for a Credit Card

Stacy214 — Mon, 21 Aug 2006 04:50:00 -0500

Credit card applications are abundant nowadays. You can find them in banks, credit unions, department stores, supermarkets, and on websites. With so many cards competing for your business, applying for a credit card means doing more than just filling out the application and handing it in. There are a few things to know before applying for that oh-so-fabulous credit card. Just as with a job interview, you'll want to put your best foot forward. Credit card companies will give the better deals to applicants who prove to be responsible in life.

How To Get Payday Loans

Julie317 — Tue, 15 Aug 2006 10:24:00 -0500

Payday loans can be a great way to get a short term loan quickly when you are in need of fast cash. Getting a payday loan is also relatively easy, even for those who have a bad credit history. Many payday loan companies will give you a loan as long as you have a current paycheck stub and an open checking account. The process is also fast and easy. Detailed below are the steps you need to take when getting a payday loan.

How To Take Out Fixed Rate Loans

Brad276 — Sat, 05 Aug 2006 07:24:00 -0500

Fixed rate loans are a popular option when it comes to borrowing significant amounts of money. A fixed rate loan allows you to budget a monthly payment for a period of time that is never going to change. If your loan payment is $100 a month today, in 20 years it will still be $100 a month.

Before taking out a fixed rate loan, you first need to evaluate your needs and your means to repay the loan. Ask yourself the following questions:

What is the fixed rate loan for? Determine if the purchase you are looking to make is worth the additional monthly payment you will be incurring.
How much do I need? Prior to applying for any loan, you will need to have an idea of how much you want to borrow.
What can I afford to pay on a monthly basis? Create a budget to make sure that you can afford to pay back the loan.

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How To Learn About Pre-Paid Credit Cards

Brad276 — Sat, 05 Aug 2006 07:12:00 -0500

For all their benefits and drawbacks, credit cards are a part of our culture. Nearly everyone has at least one card, and recent studies show the average American household to have over $5,000 in credit card debt.

Recently, pre-paid credit cards have become more popular. What is a pre-paid credit card?

How To Apply For Government Home Loans

Julie317 — Thu, 03 Aug 2006 07:29:00 -0500

Government loans are available through the FHA to those wanting to buy a home. FHA home loans help particular groups of people qualify for a home loan that they otherwise may not receive by guarantying the loan, which will be made by a regular lender. There are different types of home loans that the FHA will guarantee and you must meet all qualifications for your particular loan program. The following steps outline the best road to take in order to receive a loan that is guaranteed by the FHA.

First, you should visit the FHA website to see if you can qualify for any of the loans they offer. There are three main loans available to those looking to purchase a new home:
- A loan for first time homebuyers. You must be buying a home for the first time, meet credit qualifications, and be approved by an FHA lender to receive this loan.
  
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How To Declare or File Bankruptcy

Julie317 — Wed, 02 Aug 2006 10:51:00 -0500

Bankruptcy can be a tough and painful decision that no one wants to make. Unfortunately, thousands of people every year are faced with this difficult reality. Chapter 7 bankruptcy allows you to have your items of value sold to repay your creditors a portion of your debt. If there is any debt left you will no longer be responsible for it. This may be best for those who have little or no valuable items that they would like to keep. If you so have items of value that you want to keep, a Chapter 13 bankruptcy would be best. This bankruptcy allows you to come up with a payment timeline (up to 5 years) to pay off your creditors. If you are considering bankruptcy or just want to learn more on the subject, the steps outlined below will show you how to file for Chapter 7 bankruptcy or Chapter 13 bankruptcy.

How To Decide Between Types of Bankruptcy

Julie317 — Wed, 02 Aug 2006 09:24:00 -0500

Deciding between the two main types of bankruptcy -- Chapter 7 and Chapter 13 -- is the first step you need to make towards filing. Chapter 7 bankruptcy means that your assets (the items of value that you own) are liquidated (where your assets are sold, turning them into cash) and the proceeds given to your creditors. When you choose Chapter 13 bankruptcy, you are given a payment timeline of no more than 5 years to repay your creditors. Payments will usually be made on a monthly basis, and you may be able to pay less than the actual debt amount. If you have already secured a bankruptcy lawyer, she can help you determine whether you qualify for both types and, if so, which type would be best for you situation.

How To Get Credit Cards After Bankruptcy

Julie317 — Wed, 02 Aug 2006 00:01:00 -0500

Rebuilding your credit profile is important after a bankruptcy. The sooner you are able to establish good credit and show potential lenders that you can borrow responsibly, the sooner you will be able to borrow money for larger items, such as a house or car. Rebuilding can be easier than you may think, especially if no debts survived your bankruptcy. The steps below outline the best way to obtain credit cards after a bankruptcy.

How To Get a Student Loan

Julie317 — Tue, 01 Aug 2006 10:43:00 -0500

Student loans are a great way to pay for your higher education. The best thing about many student loans is that you can receive a deferment of payments until you have been out of school for 6 months. Once these 6 months are up, payments are generally placed at an affordable monthly rate. There are several different kinds of student loans out there, which are offered by many different loan companies. There are loans that are secured by the government and those that are not. The steps below outline how to receive a government-backed student loan, an option that should be evaluated before you seek out other loan alternatives.

Fill out the Free Application for Federal Student Aid (FAFSA). This is a requirement to qualify for federal grants and government-backed student loans.

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How To Use Home Equity Lines of Credit

Brad276 — Sun, 30 Jul 2006 14:34:00 -0500

If you own a home, chances are that you have built up equity. Equity is the difference between what the home is currently worth and the current principal balance of your home mortgage loan.

You may choose to utilize the equity in your home in the form of a home equity line of credit. This increasingly popular loan allows you to borrow money against the equity you have built in your home for anything from college payments to home improvements and remodeling to vacations to credit card debt.

Most major banks will now write home equity lines of credit loans. Simply contact your bank of choice by phone, in person or over the Internet for details on how to apply for a home equity line of credit loan.

Once you have received your home equity line of credit, there are a number of ways you can use it.

How To Take Out Home Equity Loans

Brad276 — Sun, 30 Jul 2006 14:18:00 -0500

The last ten years have seen an unprecedented increase in home values. In many areas of the country, housing prices have more than doubled in that short period of time. As a result, many homeowners have built a significant amount of equity in their homes.

What is equity? Equity is the difference between what your home is worth and what you currently owe the bank for your home. For example, a home worth $300,000 with an outstanding loan balance of $200,000 has $100,000 in equity.

Banks offer homeowners a way to access the equity in their homes in the form of home equity loans. With a home equity loan, homeowner can borrow against the equity in their home to take out cash for any reason. Many homeowners choose to use home equity loans to pay for college, a new car or home improvements and remodeling.

So how do you take out a home equity loan? There are three common ways in which you can get one.

How To Take Out Interest Only Loans

Brad276 — Fri, 28 Jul 2006 14:37:00 -0500

Purchasing a new home stretches most people to the edge of their means. Fairly recently, it's becoming more common again to get an interest only loan. Typically, your mortgage payment is made up of two parts:

Principle - Principle is the amount of your monthly payment that is going directly to decrease the total amount of your loan.
Interest - This portion of the payment goes directly to the bank on a monthly basis. It does not lower the amount due on your loan.

While you may also have an escrow account set up for property taxes and insurance, this portion of your payment will not be affected by an interest only loan.

How To Determine an Affordable Mortgage Rate

Brad276 — Wed, 26 Jul 2006 19:57:00 -0500

Before most people begin looking for a new home, they first determine how much they can afford. An affordable mortgage rate will impact everything from the size of the home you look at to the neighborhood you explore. So how do you determine what an affordable mortgage rate is?

Establish a budget. In your budget, you will need to be sure to include all expenses you currently have, as well as those you expect after the purchase of a home. Look at all sources of income, and all bills that will be paid. Some expenses that a renter may not have that you will have as a home owner include:

Homeowners insurance - This will be a requirement of your mortgage company. Your annual premium can range from a few hundred dollars to multiple thousands of dollars, depending on the location, size and quality of the home.

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How To Get Auto Loans

Brad276 — Wed, 26 Jul 2006 19:44:00 -0500

When most of us purchase a new vehicle, we cannot pay for the car outright and we need to get an auto loan. The process of getting a new auto loan is often more intimidating than finding the right car.

There are a few simple steps that you can take to make it easier to get an auto loan. The first thing that any financial institution is going to look at prior to giving you a loan is your credit. You should take a few steps to make sure that your credit is as good as possible. These simple steps will help you increase your credit score and get a better loan.

How To Consolidate Your Student Loans

Robin103 — Wed, 26 Jul 2006 18:23:00 -0500

Most students struggle to pay off student loans after they have graduated from school. A few of the lucky ones have only one loan to pay off, but in order to finance their education many students have had to take out several separate loans. When it comes time to pay them back, it can be confusing and costly.

The good news is that there are Federal Student Loan consolidation programs that are available to consolidate all types of loans taken for education and to help the borrower save money in the process. When the process is complete, only one lower payment per month is due.

Eligibility - Anyone with more than $10,000 in outstanding federal student loans who is not in default is eligible. Employment, collateral, a credit check or a cosigner is not necessary to obtain a consolidated loan.

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How To Dispute Credit Report Errors

Julie317 — Mon, 24 Jul 2006 07:44:00 -0500

Checking for and disputing credit report errors is important for anyone who wants to have her credit record look as good as possible. Errors and major discrepancies do exist on millions of credit reports. Studies have shown that credit report agencies--the big three of which are Equifax, Experian, and TransUnion--have a major error rate of at least 20-30%, possibly up to 70% once all errors are factored in. Although some of these errors can be as simple as reporting the wrong month that an account was delinquent, such an error can have a devastating impact on that person's corresponding FICO score (which can consequently get you rejected for a credit line that you are trying to establish). Below are the basic steps to finding and disputing errors that may be on your own credit report.

How To Get Mortgage Loans

Brad276 — Mon, 17 Jul 2006 20:09:00 -0500

The largest purchase that almost everyone ever makes is the purchase of a home. Almost all home purchases must be financed through a financial institution due to the size of the purchase. The loan on your home is called a mortgage. Before you find the home of your dreams, you should consider getting pre-approved for a mortgage loan. There are a number of ways to do this.

The local bank. The most common way to get a home mortgage is to contact your local bank. Almost all banks, whether national like Bank of America, or local, will offer home mortgage loans. Call your local branch or go in and ask to speak with a mortgage specialist who will walk you through the steps to get pre-approved.

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