Digging Yourself Out of Debt ! A Secured Credit Card Help Raising Your Credit Score ?!!!

If I'm digging myself out of debt now will a Secured Credit Card help me raise my credit score when I'm ready?

What are some good companies to get a secured credit card from? I am currently paying off hospital bills and never had a credit score in my life. I'm 36yo and would like to know what it's like to have credit for once.

I know credit cards are bad. I'm mature enough to handle knowing I only want one to help me raise my credit score in case I want a house or need a small loan in the future for a car, etc. Thanks for any help.

The Answer : To take it another step, secured credit cards are a PERFECT way to rebuild your credit, especially if you're able to come into a significant sum of money because the major difference between regular and secured cards is that you have to put a deposit that's used as collateral to establish a credit line in the same amount.

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You can also control the credit line by increasing it when you add to the deposit. This is especially useful if you're wanting to build your credit and save up for big ticket purchases like a house or a car because you can build or rebuild your credit by using a a secured credit to "custom build" a high limit credit card that would look good when it reports on your credit.

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High limit cards provide a considerable cushion between what you owe versus, what you're capable of borrowing, which makes up 30% of your score. Also, you would have a means of saving up for the down payment since most secured cards are usually linked to a savings account or a time deposit (CD).

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Most times when you save up your money, especially for a house and/or a car, it just sits there, but with a secured card, you not only find yourself saving up more money by adding to the deposit to boost the credit line, but you're building precious credit history in the process, so it's a win-win-win situation. And as long as you make small purchases($20-30/month) that can be paid off in full on time every month, usually after a year or so the card either converts to a regular card, or a better card's offered altogether, and most importantly the deposit's no longer needed and is given back WITH interest.

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So you;ve not only rebuilt your credit, got a decent limit credit card, AND saved up some money out the deal, again a win-win-win situation. so,if used properly, a secured card can effectively rebuild your credit. I posted several links to some secured credit cards that may work for you.

good luck

100 Percent Stated Income Loans - Yes They are Still Available, But Hurry!

100 Percent Stated Income Loans - Yes They are Still Available, But Hurry!

A stated income loan, is simply a mortgage loan wherein the borrower “states” their income, versus documenting their income, or “full doc”.

With the recent credit crunch, many lenders are tightening their guidelines for all stated income loans. I get calls everyday from Borrowers who can no longer find a 100% stated income loan. Ironically enough, I also find myself funding 100% stated income loans for other loan officers as well!
A stated-income loan qualifies a borrower by using the income the borrower states, as opposed to the income the borrower can document. With a stated-income loan, the lender agrees not to verify the income the borrower states on the application.

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Naturally a stated income loan is priced higher than fully documented loans, and the foreclosure rate is also higher. With overall foreclosure rates reaching uncomfortably high levels, stated-income loans have emerged as a possible weak point in the underwriting process. Regulators and legislators have been considering whether they should bar or limit stated income loans.

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If you are looking for a 100% stated income loan, my suggestion is to hurry and get pre-approved. I hear wind of changes from my inside sources, and the changes could come as the end of September.
I am currently funding 100% stated income loans with an interest rate of 8.5%. This is one loan, with Mortgage Insurance. Of course, this rate may change, but it is a great rate considering the state of the market.

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Although lenders don't verify income on stated-income loans, they do verify assets and employment. On a "no ratio" loan, income is not reported at all; on a "stated income, stated assets" loan, both income and assets are stated; on a "no income, no assets" loan, neither income nor assets are reported; and on a "no doc" loan, nothing is reported, including employment.

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These alternative-documentation loans are priced even higher than stated-income loans and have higher foreclosure rates, but they have not attracted the same attention. No doubt, the reason is that stated-income loans are the most common type of alternative-documentation mortgage and may account for as many loans as all the others put together.

Credit Situation , Chex Systems , Collection Agency !!!

Here is my current credit situation. Chex systems, Collection agency etc.. Need help thank you!?

I have about 1,500 in debt on a bank of america credit card. Additionally I owe bank of america about 650 over 2 different checking accounts and a savings account.A collection agency is offering me a 70% settlement on my credit card. Is this the best bet??

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I tried calling BofA to see if I could pay them directly. Is there a benefit to paying the bank directly? Or does taking the settlement make the most sense?Bank of America said they'd accept the aprox 650 for the checkings/savings accounts but would never open an account for me again.

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Fine. If I paid in full, and still had a credit card debt would they have to remove me from Chex Systems?(they added me)..If I settle with the agency, what should I ask for(in writing) in return for payment? Paid in Full, submission to the 3 credit bureaus saying I've paid etc..After I pay the CC, and the accounts and get off Chex what must I do to recover asap! I want to buy a house in about 5 years. Thank you all, I know its alot of question

The Answer : Well , if you can pay off the checking and savings accounts with Bank of America, then by all means do it. While you'll still be on ChexSystems, there's a workaround for that, the main thing is that those debts'll be paid, which is the most important part.

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The collectors are settling for 70%, which is about $1050. Now, that may sound like a good deal, but here's what you may want to keep in consideration. If you take them up on it, the report will still show the negative account, and it could include a message such as "paid as settled" or comething to that effect which would actually be worse than if you paid it off in full. What you should do is neogtiate to see what it would take to get it removed from your report completely.

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That's the only thing that will help your credit at this time, getting that negative history completely removed from your report. The collector doesn't HAVE to do it, but with careful negotiation which I've provided links below. It's possible. It takes 5 years to get off the ChexSystems database once it's paid, but like I mentioned earlier, there's a workaround for this. You can do one of 2 things.

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First, you can click this link===> http://www.secondchancecheckingaccount.n... to find banks in your area that may open a checking account even if you've been on ChexSystems, or you can click this link to open a checking account alternative called AccountNowhttp://www.accountnow.net/default.aspxIt works just like a checking account. It allows you to have your paycheck direct deposited, conduct online billpay, and it comes with a master card debit card, some of the basic features of free checking that most banks offer.

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As for rebuilding credit, your best bet will be a secured credit card. They're easier to get than regular cards because you have to place a deposit that's used as collateral to get the same amount in a credit line. But this is not always bad. Since you're wanting to buy a house, chances are you're going to have to start saving up for the down payment and/or closing costs, etc. ,

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a secured card allows you to save money while building credit at the same time. With a secured card you control the credit line by adding to the deposit, now that doesn't mean that you're going to use it in this case, what you would do is "custom build" a high limit credit card that will help your credit when it reports because the higher the limit, the more avaialble credit you have against what you owe altogether, which counts as 30% of your score.

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And the best way to use the card to treat it as if it had only a $50 limit on it at all times so to manage the balance on the card. You should barely charge just enough to where it can be paid off on time every month for it to report activity, that's it. And while doing that, increasing the credit line as much and often as possible. Usually after a year, the card either converts to a regular card or a better card's offered altogether, and more importantly the deposit's no longer needed and it's given back WITH interest.

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So after it's all said and done, you would've rebuilt your credit, come out with another regular credit card, and saved up a lump of change to use towards a down payment or whatever. It's a win-win-win situation altogether.

My Credit Score is 666 !!!

My Credit Score is 666 ?!!!

What does this mean? What does the devil have in store for me and my finances?

The Answer : This is how your score breaks down:

1. Payment history- 35%
2. Total debt owed vs. available credit- 30%
3. Length of time establishing credit- 15%
4. Types of credit established- 10%
5. Inquiries and New accounts- 10%If you're superstitious, and you feel that the devil has it out for you, you can quickly raise your score by paying down the balances on your credit cards.

A good rule of thumb would be to keep the balances at 25-30% of the limit. For example if you had a $500 credit limit, the balance should be no higher than $125. I wouldn't worry too much about the score, like some of the people have already told you, it's better than theirs and your is around the national average, so cheer up!