Loans

IF the lender doesnt require it, YES.

The answer to this question depends on the type of loan. If you are referring to a mortgage, you are paying down your interest first and principal later. Answer: Most loans are made under a simple interest accrual. Assume you borrow $1,000 at 10% for 12 months, at the end of the first 30 days, the interest due is calculated by taking the outstanding principal balance, multiplied by the interest rate, divided by 365 (days in a year) and then multiplied by the number of days since inception of the loan or the last payment. Each month, the first money of a payment is applied to the interest due for that period and the balance is applied to principal, therefore, with every payment, you are paying interest on a declining principal balance, so more goes towards principal and less towards interest. That is why, especially on larger loans, it is very beneficial to not only always pay on time, but to pay extra whenever you can, the extra payment you send in will all be applied to principal.

The answer is it depends. Assuming that the way that you get the present value of the loan is by applying a discount rate to the payment stream to both loans, the obvious answer would be that the desirable one is the one with the lowest present value. However, things are not so simple. You also have to take into consideration the impact on your cash flow. The following thoughts will give you an idea of where I am coming from. - By paying a lower payment, you will have extra cash available to invest. - What kind of return can you make on this extra cash? - This is the main reason why borrowers want longer maturities.

Co-signing is all about CREDIT. If the buyers credit has improved enough or the buyer has paid enough on the loan to have EQUITY, the lender might remove the co-signor. Its up to the LENDER.

Sure. There are methods of invesitgating individuals which may show all public records, no matter where they are filed. The typical procedure during the loan process, however, is pull a tri-merge credit report showing all three bureaus. The only public records which are typically addressed are those showing on the report.

Contact a local attorney. Cosigning does not give him any rights to the title, but if he is listed on the title as a CO-OWNER, then who made the payments has no bearing on his right of possession. He has no legal obligation to give up his share in the vehicle unless you have some other document in which he has agreed to relinquish ownership in exchange for something of value.

No! You would have to have your parents cosign for you. Having a fairly good paying job, owning a boat, condo, house, property is classified as "collateral" and the loan is put against that. The reason for this is if you choose not to make your car payments or can't make your car payments then the bank will take whatever collateral you have put against the loan. The bank is in the business of lending, but also getting their money back! Marcy

YES It is possible to procure a loan under these circumstances. These type of transactions are often referred to as "predatory lending". The potential borrower needs to be extremely cautious before entering into any agreement. These lenders charge maximum interest rates and add on many fees and conditions. The borrower can be certain there will be precisely worded stipulations contained in the agreement. Those clauses will allow the lender to take quick, legal, and binding steps to appropriate property if there is the slightest default in terms.

The mortgage lender will supply the borrower with a complete amortization schedule when requested. The schedule will show previous payments made and the application of all future payments until the completion of the loan.

That insurance will probably cover the BANKS interest in the vehicle and any liability that may be assigned to it, but little or nothing for you.

i am assuming the following: your vehicle totaled, you do not have GAP insurance and the value of your vehicle was less than your payoff...unfortunately you will still owe this balance, most lien holders will do what they call a 'transfer of collateral'' meaning they will finance (assuming you are in good standing) if you want. your replacement vehicle and put this balance on top of that note....immediately making you really upside down AGAIN ...pleeeeeeeeeeeeeease get gap insurance on this one, talk to your lien holder about it...gap insurance pays the 'gap' between the value of the vehicle and the note balance..

You may be able to lower your cost of credit by consolidating your debt through a second mortgage or a home equity line of credit. Think carefully before taking this on. These loans require your home as collateral. If you can't make the payments

Both are equally as bad. Credit Cards more so. Is easier to get things if creditors see your paying on one "big" thing. Where as it looks like you do not have control over your spending with High credit card debt.

You have to be a little more specific with your question. Credit scores are computed using sophisticated computer alogarithms. But basically they look at the ratio of your credit card limit to how much debt you have actually used on each card. For example, if you have a $1000.00 limit on a card and you have used $900.00 of it, that will have more of a negative effect on your score than if you were only using $500.00 of the available credit. If you have multiple cards then the total of all is considered. With auto loans, it is different. The most important score determining factor is whether you've been making the payments on time.

If the account is a joint account (bill comes in both of your names), then yes, it will be reported to both of your credit reports.

The person that makes the most money is the FICO score that will be used to determine your interest Rate.

Mortgage lenders will ALWAYS use the person who has the highest income as the primary borrower. Sometimes in the case of married couples it is better to only use one spouse (who ever has the higher score) as long as the income from one will satisfy the debt-to-income ratio required by the lender. The higher score will generally affect the interest rate while the income does not.

...and some lenders will use the lesser of the credit scores reguardless of income.

The lender can require just about anything, but it is more likely that they will want every name on the title to be on the loan, not the other way around. If anyone should insist the cosigner's name be on the title, it would be the cosigner himself. That will give him a right to take possession of the vehicle if he is stuck with the payments.

I am a Mortgage Loan Consultant and I have made it my area of expertise in working with people with bankruptcies, bad credit, and foreclosures. Firstly you do NOT have to wait 2 years to refinance after a chapter 7 discharge, those are for fannie Mae loans. You can refinance a chapter 7 a day after discharge. A chapter 13 can also be refinanced before discharge since it's on a payment plan for 3-5 years from filing date. You can get a chapter 13 refinance as little as 12 months from filing, not discharge and you can payoff your chapter 13 in the process if you have enough equity in your home. There are major differences between a chapter 13 and chapter 7 refinance but that is for your mortgage broker to be aware of.

I work in conjunction with a mortgage broker who is able to get financing for people 12 months out of bankruptcy.

I filed bankruptcy in august of 03 and here it is may of 04. I raised my credit scores higher than they were before i filed bankruptcy, but they are still too low. You will only get a mortgage for 70-80% (20-30%down) if you only wait a year. If you wait until it is discharged for 2 years, you will save a ton of money on the downpayment AND on interest. After you file bankruptcy, you need to write letters to everyone you were discharged, so they put on there that you have a zero balance. Keep track of all of this. It is very stressful, but it works.

There are several sub-prime mortgage companies who will lend to borrowers one day out of bankruptcy (one day after your discharge).

I am not a professional lender, but I think the short answer is, "Because it is the right thing to do." Think about it for a second. If a relative was asking to borrow $100,000 for a home worth close to the same amount... and that relative also owed your mother $2,432 but never paid her or was creatively slow in paying your mother, what would you do??? Wouldn't you want this relative to pay your mother first? Just on principal? In theory, it frees up payments - so they would be more likely to receive payment. I don't agree with this way of thinking because if a person can't pay their own collection accounts then there is a giant risk in lending large sums for a home. Additionally, I think all collection accounts should be paid in full before taking out a mtg. loan because there may be risk in those creditors laying claim to your home. This would put the mtg. lender in a sorry position in the event of a default. I am not sure on the law on this, it's just a guess. Good luck. Not all lenders require this. Shop around. Fact is, many, (most?) collection accounts never get paid, and banks are in it for the money, for what's right or wrong. So your not paying an old unsecured debt really has no bearing on the current secured debt a mortgage creates. The questions are, how likely is it that the mortgage company will make money off of you, and how likely is it that the mortgage company will lose money by dealing with you. Be prepared to pay a higher interest rate and downpayment, though.

No

No, you cannot get a mortgage with 0 down with a credit score that low. Sorry

Yes you actually can. Under certain government loan programs you can get a 0 down mortgage with a low credit score. For instance I had a middle score of 525 and applied for a VA loan, which requires 0 down payment. I had to write a letter to the underwriter with a very good explanation as to why my score was so low. The underwriter contacted the VA and learned that they could approve the loan if they felt I had extenuating circumstances and was a good credit risk despite my low scores. I was approved for the loan with a good interist rate. So it can be done it just requires convincing the underwriter you are a good risk.

Actually there are several ways that you can. The most popular is using an FHA loan coupled with a DPA (down payment asst. program). The money never needs to be repaid and you can qualify with a score as low as 550. You must verify income though.

Generally, late payments over 30 days late are reported to a credit reporting agency. After that, late mortgage payments can become "missed" mortgage payments. And missed payments can affect your credit score in a negative way. However, your exact late payment will depend on how your specific mortgage lender reports payments to the credit bureaus.

More likely that anything, it will affect your rates. It certainly won't help matters.

No.

When an original creditor sells a charged off accounts to another company. I asked the Credit bureau to investgate. However, the creditor is unable to remove it from my credit report. does this start the 7 year clock ticking all over again from the date the credit bureau investigate?