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BAD CREDIT SOLUTIONS
Finding a Loan With Bad Credit
by: Colin McDougall
No matter what your credit history is the simple fact
is that at some point in your life you will need a loan.
If you have a few black marks on your credit report and
you are feeling that your bad credit will not enable you
to qualify for loans, do not feel despair because there
are banks that will lend to people in your situation.
If you are seeking a bad credit personal loan there are
a few things to consider. Since you are looking for a
loan and you do have poor credit you should make sure
that your loan will be reported to the major credit bureaus.
It is important to check that your loan reports to the
credit bureaus because this is your chance to improve
your credit rating. I mention checking that your loan
will be reported because many people will obtain something
like a prepaid credit card thinking that this will help
build their credit rating when this is actually not a
loan, it is actually a debit card that carries a credit
card logo.
Finding a lender that offers bad credit personal loans
is not a problem because there are millions of people
in the same situation as you who have had credit problems
in the past but now have a different situation possibly
because of a better job and can now afford to make their
loan payments but that bad credit rating is still haunting
them. Bad credit personal loans are becoming more and
more competitive because of the fact that we are living
in turbulent times and people have run into credit problems.
While this industry is quite competitive and you will
find better deals than a few years ago, you will still
pay a higher interest rate than somebody with good credit
because bad credit personal loans are still viewed as
high risk to financial institutions.
Before you apply for a loan you will want to make sure
that you can comfortably cover the payment, this is your
opportunity to get your credit back on track - don't turn
this into a situation where your credit will end up worse
than it was. It is important that you pull out your pay
stubs and review all your living expenses such as rent,
car (gas, maintenance, insurance, etc), food, utilities,
clothing and all other living expenses and make sure that
you are not going to over-extend yourself. It's too easy
to put yourself on the road to financial ruin, always
remember to be responsible with your debt load and that
banks will lend you money to the point where you will
be dependant on loans of the rest of your life - after
all that's the banks business is to make money from loans.
I personally have never taken out a loan to the maximum
of what a bank will lend as it is almost always too much
because they usually calculate your loan on before tax
dollars and the fact is you need to live off of after
tax dollars.
About The Author
Colin McDougall is the editor of the credit review site,
Only the best credit cards online. You can visit this
site at http://www.only-the-best-credit-cards-online.com/
mcdoog2112@shaw.ca |
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