With all the talk of the economy, it makes you wonder what really happened. Ultimately, it was everyone’s fault; the banks and the consumer. The banks offered products they knew they shouldn’t have, and the consumer took loans they knew they couldn’t really afford. So now, in the fray of what’s happening there is danger lurking with too many low credit scores. Some may now have scores so low, that there isn’t anything the banks can do for them; this includes getting an FHA loan.
A low credit score poses a real problem. Why? Because virtually anything you do is based on your credit. Buying a home, buying a car, and even getting your car insurance will really be hard when you have a low credit score. So, known what makes it low will help you understand what life changes you may need to make, and what things you can do going forward to prevent this from happening again.
If you are paying your bills on time that is great, but you may have too many of them. Continuing to open new accounts will drive your score down, making it nearly impossible for you to balance out your debt to income ratio. You also need to keep in mind that the more of your credit you use, the more your payments will go up with your revolving accounts. With a mortgage and a car loan things work a little differently, as they are a fixed interest loan. A fixed interest loan means that you will have the same rate and same payments for the life of your loan. Revolving debt pertains to credit cards, or lines of credit on the home. The rates adjust with the prime rate and any additional add-ons the bank has, thus driving up your payment. Once you exceed 40% of your available credit on any account, this will give you a low credit score. It shows the lender or bank that you are not able to manage your credit or that you are planning to use more credit, so beware.
Paying your bills on time is great, but remember cash is king! Don’t borrow anymore than you need to no matter what the case may be. Always try to go the way of paying cash, for the exception of your home mortgage. Pay cash for cars if you can’t, but if you can’t this is a new trade line or account that you can use to help build your credit up. Building your credit up and sticking to your guns on cash will keep you away from a low credit score.
It is no secret that our economy is experiencing some difficult times right now, and that fact is not more evident than when you examine the state of affairs of most families, you see difficulties there too.
Employers are downsizing, laying people off, merging, and cutting worker’s hours which makes things very difficult for working class families, as they never really know where any money is going to come from in the event there is a financial emergency.
So now enters Fast Cash Loans, a firm that will help families be placed with a short-term lender who will be able to help. With their expert sourcing software, they can find you a lender that will fit your profile. Your credit does not even have to be in top shape, as for the most part, all you have to have is a steady income and a checking account.
The online application is easy to fill out, and once you are approved, you will receive your cash via a direct deposit to your checking account. The stipulation in the loan agreement in most cases will be that the amount of the loan plus interest will be repaid at the next payday of the borrower.
This is not too much a of a burden, as the loan amounts are rather small, in the range of $300 to $1,000, which are much less than most employee’s checks for that pay period.
When it comes to funding emergency situations such as a family member having to go to the emergency room or to the hospital, the car or a major appliance breaking down, or a relative out of town that gets sick and needs a visit.
The fact of our situation as an economy is that most working families actually have nothing set aside for these occasions, and end up doing without if and when they occur.
Most families are doing all that they can to keep food on the table and pay for the rent each month, and in addition there are school and medical expenses, utilities and all else that is required of families in this day and age.
Fast Cash Loans is a bright spot in a sea of darkness when it comes to making available ready cash to individuals and families who are in a time of need financially. It gives a nice peaceful feeling to families that can now know that there will be resources available in difficult times.