How to Use a Mortgage to Manage your Debt and Improve your Credit
What if there was such a thing as a magic card that you could carry with you, which had the power to open doors for you all over the world? You show someone your magic card and ‘voila’, you can have what you wish for. You would want to protect that card very carefully, wouldn’t you? Your credit is a little like that. Your good credit is a passport to financial opportunities. A poor credit rating can be a terrible obstacle… and repairing your credit is often a slow and difficult process.
What you may not know is that you can actually use an Ontario mortgage to re-establish your credit. Canadians are carrying heavier loads of personal debt than ever before. For some, the cost of servicing those debts is itself an obstacle to correcting the problem. Each month can be a chase to make the interest payments to keep the debt afloat. But if debts are rolled into a new mortgage, your credit can improve rapidly, assuming of course that you don’t rack up any new debts!
Here’s how it works:
Perhaps you have maximized your credit cards – and maybe even have a short-term loan or line of credit that you are also trying to pay down in addition to your regular mortgage payments. You may be considered a “high risk” borrower under these circumstances, even if you are managing to squeeze out your payments each month. Your overall payment history is satisfactory, but your debt load is heavy. If you consolidate your debts into a new mortgage, you can better manage those debts while also restoring your credit rating.
You may not have considered using a mortgage to refinance and manage your debts, but there are a few significant advantages. Your status as a homeowner can give you access to a lower overall borrowing rate. A house is considered very reliable security, so mortgages often offer the best rates available anywhere. In addition, your credit history enjoys an almost immediate boost, as you begin to make your monthly payments. There are many innovative mortgage options available today, including a new mortgage product that has been designed specifically as a credit repair tool.
This specialized mortgage is good news for clients who are trying to distance themselves from their past credit problems. Debt is controlled quickly – since the new mortgage offers an interest rate lower than credit cards that can dramatically reduce the interest charges on your debt — and your credit typically improves in only a few months.
You probably already know that it makes sense to consolidate your debt into one payment. You can generally enjoy substantial savings on interest charges; you have a more manageable monthly payment and better monthly cash flow. Consider how a new mortgage can help you manage your debts – and make it a goal this year to improve your credit rating.
The House Team is commited to providing quality information to help people make informed decisions about their mortgage financing needs.
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Student Loan Consolidation: Make your Student Loan Repayment Easier to Manage
Are you a May graduate with student loans looking at six-month grace periods that are ending sometime this month? If you’ve got multiple student loans going out of grace and into repayment, you’ll soon be faced with trying to juggle multiple bills, multiple due dates, and multiple monthly payments.
But you could eliminate the hassle of multiple student loan payments and help make your student loan repayment easier to manage by consolidating your eligible federal student loans with a Federal Consolidation Loan from NextStudent, a leading Phoenix-based education funding company.
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What’s Federal Student Loan Consolidation?
Student loan consolidation allows you to combine your eligible federal student loans into one single consolidated loan with one lender, one monthly bill, and one convenient monthly payment. To be eligible to consolidate your student loans, you can’t currently be enrolled in school more than half time. The student loans you’re looking to consolidate must be in repayment, in a grace period, or in an authorized deferment or forbearance period.
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Consolidating Federal Parent PLUS Loans
Parents with federal parent loans are also eligible to consolidate. Parents can consolidate the PLUS loans they took out to help you pay for school as soon as the PLUS loans have been fully disbursed and have entered repayment, even if you’re still in school full time. Although your parents can consolidate their PLUS loans, you won’t be able to consolidate your own student loans with your parents’ PLUS loans.
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Take Advantage of All the Benefits of Federal Student Loan Consolidation
No fees
No cost to apply
No credit checks
No co-signers required
No prepayment penalties
Fixed interest rate
Repayment terms up to 30 years
One single monthly payment for all your eligible federal student loans
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There are never any charges or credit checks to apply for a Federal Consolidation Loan with NextStudent. And there are no prepayment penalties, so you’ll never be charged extra fees just for paying more than the minimum each month or for paying off your student loan consolidation early.
Student loan consolidation lets you lock in a monthly payment with a fixed interest rate. You may also be able to cut your monthly student loan payments by as much as 50 percent when you consolidate your federal student loans with NextStudent. A federal student loan consolidation could extend the repayment term on your student loans by up to 20 years; by extending your payments over a longer repayment term, a consolidation loan could lower the amount you have to pay each month.
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Private Student Loan Consolidation
If you have private student loans in addition to (or instead of) federal student loans, you won’t be able to consolidate your private student loans under the federal student loan consolidation program. But you may be eligible to consolidate your private loans separately with a NextStudent Private Consolidation Loan, which offers the same convenience of a single consolidated loan for your private student loans.
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NextStudent believes that getting an education is the best investment you can make, and we’re dedicated to helping you pursue your education dreams by making college funding simple. Learn more about Student Loans, Private Student Loans and Student Loan Consolidation at NextStudent.com.
Jeff Mictabor is an enthusiast on the topic of student loan issues in the news. He has been writing for the past 10 years for a variety of education publications. He now offers his writing services on a freelance basis.
Repairing Credit Rating – How You Can Manage Your Credit Quickly and Easily
The credit rating is very important in one’s life. The credit score decides your financial future. You may need the loan for a new business venture, home loan or any other reason. Your rating is thoroughly examined by your creditor prior to deciding the interest rate. Your loan and interest rate are decided by your creditor on the basis of your credit score. If your credit rating is bad and you want to increase your credit ranking then there is good news. Repairing your rating is easy in the slow market condition. The below mentioned points will help you in repairing credit rating:
1. The credit rating is damaged by the late payment of bills, debt settlement, bankruptcy etc. To repair your credit ranking you should start making payment on time. This will boost your credit ranking very fast.
2. You can apply for a secured credit card. With a secured card, the creditor will take some security amount or an asset. They can recover their debt in case of default.
3. Do not pay any of your bills by cash. You should start to make all your payments by checks. The payments by checks are documented.
4. Check your credit ranking. Sometimes your score may have some wrong data. The credit rating giving firms will not inform you about this. You should dispute the wrong entries in your credit score. You can get your score free of cost once in a year. If the credit giving firm is not able to justify the entry then they will remove the disputed entry. The entire process of credit ranking correction takes a month.
They are many credit repair agencies in the market these days that can get your ranking on the right track. They charge very nominal fees for their services. Having a professional for the job has advantages.
Many people are unaware that the credit report can be used as a tool to erase bad credit. This can result in a boost to your score by a possible 200 points. Many negative items found on credit reports are disputable and can be removed legally to erase bad credit. Click the following link for free information on safe and legal ways to repair your credit:
William Roberts is an advocate for consumer rights and a member of organizations helping citizens rebuild their financial state.
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