Sunday, November 8th, 2009 at
12:36 pm
Applying for a mortgage usually means you will get a blizzard of paperwork to sign.
Many of these papers are “disclosures”. These are often mandated.
Important disclosures include:
credit score information disclosure
good faith estimate
equal credit opportunity act disclosure
The credit score information disclosure lets you know what your credit scores are. These are typically ratings given to you by the three different credit bureaus. This can be the basis for understanding your credit and starting the process of working on your credit if there are issues.
Good Faith Estimate
A good faith estimate is an estimate of a range of closing costs involved in getting the loan, including:
lender
broker
escrow company
title company
hazard insurance company
appraiser
government fees
taxes
other fees
It is important to remember that these costs are just estimates. They can change. It is an “estimate” of mortgage costs, not a guarantee.
The equal credit disclosure is an anti-discrimination disclosure.
There are numerous other disclosures, but the ones of interest to most potential borrowers are the good faith estimate and the credit disclosures. These are the ones with the potential to have a direct impact on people’s financial results.
Other disclosures include authorization to check credit, verify employment status, assets, income documentation, and other pertinent information.
By: Ben Afzal
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Wednesday, July 15th, 2009 at
8:39 pm
Most people do not realize that bad credit can be a big impediment to financial freedom. Once a bad credit tag gets attached, it becomes complicated to source a loan in the form of external assistance. Still, there are some lenders who offer unsecured loans for bad credit individuals without giving any second thought.
Unsecured loans for bad credit implies those individuals who due to some reasons or circumstances could not repay the loans availed and are suffering from problems like CCJs, IVA, non repayment etc can avail this loan. This loan is approved without any collateral which makes it a viable option for borrowers like tenants and non home owners. If individuals are not ready to pledge any collateral, they can also go for this loan. Lenders before sanctioning this loan ascertain that the borrower is capable of paying back the loan amount or not. This is done by checking the employment status and the income earned by the loan applicant.
Through this loan scheme, a borrower is entitled to avail amount in the range of £1000-£25,000 within a period of 6months-10 years. The intended amount can be used to meet expenses on house improvement, purchasing a car, debt consolidation, paying education loans etc.
Before availing any loans the interest rates matter a lot to borrowers. Interest rates of unsecured loans for bad credit are considerably higher as there is no collateral and is offered to bad credit borrower. But by paying back the loan amount, borrower can improve the credit score which will be beneficial for him in the future.
With a lot of borrowers preferring online mode for applying unsecured loans for bad credit, lenders are offering the loan at competitive rates. This is also because of the prevailing competition among the lenders which makes it available to borrower at competitive rates. Besides these online application makes it instantly available to the borrower.
With the help of unsecured loan for bad credit, borrower can meet his personal needs as well as improve the credit score by paying back the loan amount.
By: Peter Taylor
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