Repairing Bad Credit – Fast and Free!
Posted by admin on Sep 29, 2009
Bad credit can happen to anyone. Especially in America where credit is used to purchase everything from groceries to gas, having bad credit can be isolating and humiliating. But any number of things can propel us toward bad credit.
Job loss, medical expenses, and family emergencies can all conspire to pile our debt higher and higher. With interest, late fees, and over-limit fees, debt can multiply at an astronomical rate in a matter of weeks. Once you’re in the hole, getting out can seem next to impossible.
Take Charge of Bad Debt
There are things you can do to begin take charge of your bad debt. First and foremost, get a realistic view on the damage. This means opening the bills that have piled up, unopened, and making a list of all the outstanding totals. It can be grim work, for sure, and is probably not on anybody’s “Top Ten List of Ways to Have Fun”! But being honest with yourself is the first step in taking control.
Once you’ve opened all those bills and documented the totals, contact one of the credit reporting agencies for a copy of your credit report. The three major credit-reporting bureaus – Experian, TransUnion, and Equifax – are required by law to give you a free copy of your credit report once a year. Try not to be discouraged by what you see. You’re on the path to making it right!
Help for Getting Out of Debt
Now that you have a better understanding of where you really stand, it’s time to get help. There are a lot of companies out there that offer “credit repair” services – for a fee. While it might be tempting to pay someone to make your financial difficulties disappear, these services can’t really solve your problems.
A good rule of thumb? That great old standby, “If it looks too good to be true, it probably is.” Most of the services out there that offer fee-based credit repair are more interested in separating you from your money than in separating you from your bad credit rating. The truth is, there’s no fast and easy way out. Repairing your credit will take time and effort.
But there is honest-to-goodness help available! There are many organizations that offer real credit counseling and assistance at no charge, or for a very minimal fee based on a sliding scale of what you can afford. These agencies will help you outline your fixed monthly expenses (such as rent or mortgage payments, insurance, etc.). They’ll even build in the extras that we all know are a part of life – things like gifts, clothing, and entertainment.
Once they’ve factored in the realities of day-to-day life, they’ll help you determine how much of your income is really left to pay off your debt. Depending on the situation, they can even contact your creditors to arrange for lower monthly payments, a temporary break from accruing interest, or a reduced pay-off. All of these things will bring you closer and closer to repairing your credit.
The good news is that it is possible to recover from bad credit. By confronting the situation honestly, and seeking credit counseling, you have taken the first step toward gaining control over your finances – and your life.
John Edmond
http://www.articlesbase.com/non-fiction-articles/repairing-bad-credit-fast-and-free-54492.html
Need advice on foreclosure?
For lack of a better term i was forced to take out a mortgage last year on my home that was paid for. The terms and percentages were awful but thats besides the point.
My income at the time was sufficent to pay my bills and the mortgage.
I ran a successful business for a little over two years until 4 months ago when things went downhill. My mortgage payment is more than most people make in my area in 2-3 paychecks and now im unemployed with a SMALL list of other monthly bills besides the mortgage. I do have about $40k in other unsecured debt from the business and other unsecured creditors from when i was young that i never took care of.
I have thought about bankruptcy, chapter 13 is a no-go mostly because i cant afford the mortgage payments now so why would i waste my time with a 13?Otherwise it could work,but otherwise i dont really need a bankruptcy if were not including the house mortgage because i could just set up monthly payments with my creditors at a small payment.
7 minutes ago – 3 days left to answer.
my monthly expenses are slim so im not worried about that.
My problem seems to stem from my home, i have about 40k worth of equity in a 117k home.
With that kind of equity, it really does not make sense to file a chapter 7 because in my state you lose all equity besides 5k no matter what.
It really doesnt make sense to do a 13 because as already stated i cant afford the payments now,much less the payments to all my creditors plus the mortgage.
And the only other options are selling, of which is not really an option because foreclosure has already been initiated.
Or a deed in lieu of foreclosure, but then im giving them all of my equity for "free" although the foreclosure would likely not show up on my credit report and i could begin to repair the other damage.It would be faster to do this than to wait 10 years for a BK to come off the credit or 7 years for a foreclosure to come off.
OR just let it be foreclosed on……thats not appealing at all ofcourse.
ADVICE?
Have you checked out the HUD website yet? They have a hotline you can call to ask questions re: foreclosure of your home. The website below takes you right there. I think this would be a good option, because they will be impartial rather than trying to talk with your lender. Good luck to you–I hope things work out.
References :
http://www.hud.gov/foreclosure/index.cfm
Consult these people they will help you in avoiding foreclosure. They offer Free consultation and have helped many save their homes.
References :
http://www.mortgagebuyerbasics.com/
I may not be the right person to answer this, but at http://www.homelandassistance.com they can help you.
References :