The downside of credit cards

A lot of people don’t know that, even if you make payments every month towards your credit cards, if your card balance stays near the maximum of your credit limit, that can lower your credit score. So, if you max out your card for a vacation and your card stays maxed out, that can lower your score, and hurt your ability to get credit when you need it.

Let your car be your credit

But what a lot of people also don’t know is that their car can be a great source of credit. A car title loan can even improve, not lower, your credit rating, and y’uh-huh, it’s true, still get you that vacation. If you own your own car, and it is less than eight years old, you can use it as collateral against a car title loan to get you some of the fine things in life you may have been missing out on.

Or, if you have a maxed out credit card that you just cannot seem to pay off, use the cash value of your vehicle to get a loan and pay it down. Poof! Instant better credit because you have paid off that debt-and instant better chances for more credit later.

What about downright bad credit?

Especially if you have bad credit, or a poor credit history, or even if you have declared bankruptcy recently, your car can be used to secure a loan for the things you need. You can use the loan to pay down some of those debts, or help to re-establish your credit history, or improve your credit rating. Or, maybe, your car needs work, but you just don’t seem to have the cash to pay for repairs right now.

Use your car to fix your car

Still another thing a lot of people don’t know about car title loans-they can be used to repair your vehicle. So, if you have had to worry about not making it to work in the morning because your car might not start? Worry no more. Get a car title loan, and use the money to get that car back on the road, your credit back into shape, and you, back in the driver’s seat of your life.

Bad credit isn’t the best experience of a lifetime, but it can be fixed. And even in these economically challenging times, you may have more assets to work with than you think.

Know where you stand

First, always get a current credit report. Be sure that your credit rating is accurate. Errors are not uncommon. If there has been a mistake on your credit report, get it fixed. Next, consolidate your loans, if you can, so you make one payment each month. And put those credit cards on ice-literally, if you have to! Then, put yourself on a budget. The whole family can help figure out where you can cut costs, and save some cash. Finally, only use cash to pay for everything you buy, and track your spending. Now you will know where you stand, and how much money you have available to you, each month for life and debts.

A surprising source of credit

Here is something you might not have realized that can help ease your way out of debt and to better credit-your own vehicle.

That’s right. Your vehicle may offer you some help in repairing and rebuilding your credit. If you own your vehicle, and it is less than 8 years old, car title lenders may have help for your bad credit problem.

How car title loans work

Car title loans work in different ways. One, you may be able to re-finance your car to get extra cash to help pay down those pesky bills. That helps you eliminate debt, and it helps you rebuild your credit with one stroke. It may also make the pain of bill repayment and credit repair a bit easier to bear.

Other ways car title lenders work is by helping you to repair your vehicle. If you haven’t been able to work, or you can only work in areas where there is public transit, car title lenders may be the answer to your ride problem. Car title lenders can help you to use the value in your car to repair your vehicle-and get you back on the road to better credit, and a better life.

Bad credit can sometimes seem overwhelming. But there are more ways to credit repair than you might have thought of before, and car title loans may be a good choice for you. Assets such as your vehicle can help you to pay down debt, repair bad credit, and re-start your own engine.

So many people procrastinate and do not file before April 30th. Of course, if you don’t file by that date and you owe, interest can accrue faster than interest on a credit card. Getting those nasty reminders to file your taxes only adds to the anxiety and as we all know, the government will not go away.

Perhaps getting some advice as to what you can do to avoid this from happening next year is food for thought. A very simple strategy to avoid having to owe the government is asking your employer to take off more tax on every paycheque. It may be a small adjustment to make every time you’re paid, but it will pay off. If you end up paying too much, then you will get a refund. This is smart advice for those who are in no financial position to buy RRSP’s or to execute other financial strategies to get a refund every year.

Now that there is some relief for next year, it doesn’t help matters now. You know you’re going to owe and wanting to file your taxes has become a source of stress.  There’s no need to panic because there are always options.

Is your credit in good shape? If it is, then there are numerous options available to you. For so many people, the last recession took their credit rating and obliterated it. If you’re one of those people, you know your chances of getting a loan are slim to nil. There’s no need to feel down, there are options open to you.

If you are not sure what your credit rating is, then you can find out for free. Every year you are entitled to a free credit file disclosure; this is more commonly referred to as a credit report. Once every twelve months you are legally allowed to get your report from Equifax, TransUnion and Experian. This is something that is highly recommended not only to monitor your credit rating, but it is advisable to be diligent in doing this every year to monitor the possibility of identity theft and fraud. If something nefarious has appeared on your rating, you can appeal it.

“Car title loans” are one of those options for people with poor credit. These loans are set up specifically for those who have credit that a bank may view as less-than-desirable. A car title loan is secured based on the value of the borrower’s vehicle. These loans are facilitated much faster and are by far easier to obtain than standard loans.

There’s nothing more romantic than a proposal on Valentine’s Day and to have a ring, or the means to get a ring after the proposal is a source of anxiety for many men. January’s credit card statements might be leaving a pit in the stomach and if there’s a bad credit rating then finances may not look too optimistic.

Women need not be the only recipient of engagement rings. There’s a growing movement of women who want to reciprocate to the proposal and purchase a ring for the husband-to-be. Perhaps finances are also looking dismal but there are options.

There are a couple of alternatives that make sense. Taking out a loan to create some breathing room on those credit cards and some extra cash for a ring, or taking out a loan strictly for the purposes of a ring are two ways to tackle this problem.

When shopping for an engagement ring, several jewelers will try to sell the notion that a ring should cost a certain percentage of a man’s wages. This gets a lot of men into serious financial trouble. Of course a jeweler’s main objective is profit. Finding a ring that won’t keep you in debt for decades is what really counts, and there are thousands of rings out there to choose from.

No need to worry about bad credit. Options are out there to obtain a loan that will help you create the ultimate Valentine’s Day. Loans such as car title loans are tailored specifically to those with bad credit or no credit. This type of loan is secured by the value of the borrower’s vehicle, and as a result of being secured, they are much quicker and easier to obtain than a typical loan.

Bad credit is a fact of life for many people for a myriad of reasons. No one intentionally sets out to destroy their credit rating, nor should they not have options available as a result.  With a little research to find the right loan and the right lender for you financial situation, you can make that Valentine’s Day marriage proposal one your significant other won’t soon forget.

You may be asking, just how important is a credit rating anyway? A credit rating is a legal track record of your financial responsibility. This record is housed at Equifax and TransUnion Canada and your record indicates if you are worthy of receiving credit. Landlords, utility companies and other businesses who ‘lend’ you something want to know just how responsible you are.

When you have poor credit it’s generally much more difficult to obtain a mortgage, a car, loans and even a cell phone. Poor credit can seriously hamper your ability to rent an apartment, appliances or furniture. Even those places that advertise ‘no money down and no payments til next year’ will not consider poor credit because when they say ‘OAC’, that means ‘on approved credit.’

It’s a new year and why not take the opportunity to do something to improve your credit rating? Take out a loan to help toward existing debts, making home improvements or to take a mini-vacation. It may sound crazy, but by getting a loan and making payments on time will help to re-establish your credit rating, and this is a good thing.

Many people may consider a loan to lower their credit card balances. Perhaps the thought of another monthly payment may sound overwhelming, but lowering those credit card balances also works in your favor to improve your credit rating. Many people may not realize this, but a credit card balance that exceeds 75% of the credit limit is frowned upon and is reflected negatively at Equifax and TransUnion Canada. If you have a card that’s maxed or coming close to being maxed, then lowering that balance is really important.

Getting a loan to improve your credit rating only makes sense. No matter what your credit rating is, there are options.

Life may look bleak with statements that leave you with no breathing room on any credit card. The fear of having no back-up funds in case of an emergency is now a brutal truth. It may not alleviate stress, but you are not alone. Thousands of credit card users have spent their cards to the max and are worried about how to create some breathing space.

Credit cards are a great thing until they’re maxed. Paying the minimum monthly payment will keep you in the credit company’s good books, but maintaining a balance that exceeds 75% of the allowable credit will tarnish your credit rating. There’s also the fact that paying only the minimum monthly payment on a maxed card will take you several years to bring down because generally, interest rates are exceedingly high.

If you’re able to pay more than the minimum monthly payment, then do it. However, if you’re like thousands of others, even the minimum payment is difficult to budget. Now is not the time to panic; it’s the time to stay calm and do your research on what options are available to you. It may not seem likely, but out of something negative is always something positive, you just have to look.

Now, more than ever, turning over a new leaf and taking charge of your financial health is a step in the right direction. Having the will and desire will start you off in the right direction.

Take a look to see if you can pay the minimum monthly payment. If this leaves a pit in the stomach, get on the phone and call the credit card companies. These companies can be flexible and are willing to work with you, not against you. Let them know you’re working on a plan, but you are able to make a token payment. Paying something is better than paying nothing. Ignoring a statement will only lead to these companies calling you, and ignoring those phone calls only worsen the situation. When times are tough, protect your credit rating always keep the lines of communication open with your creditors.

Now is the time to work out what money comes in monthly, and what money is required to pay the monthly bills. If there’s no way you can manage on your own then explore loan options to stay afloat. There are options and having a good credit rating is not required for some loans.

BHM Financial is a trusted name in the car title loan industry and we may have the cure to help get rid of the `bill blues.’ Check out our website today, and breathe easier tomorrow!

If you’re like many people 2009 ended with financial stress and the start of the New Year isn’t looking very bright. The holidays for many mean maxed out credit cards and payday loans leaving very little hope to stay above water let alone get ahead. Getting behind with debt payments causes stress and if you’re three months behind then categorically, those debts are considered delinquent. You’re not alone. Equifax Canada reported that as of May 31, 2009 over half a million Canadians were more than ninety days past due on their credit payments.

Trying to consolidate debt can be like hitting brick walls because bad credit impacts your ability to get a loan from many financial institutions.  But, there are alternatives to traditional or payday loans available, even to those with bad credit. One such alternative is a car title loan. These are loans which are based solely on the value of your vehicle, and because these loans are secured, the borrower’s credit rating is virtually irrelevant.

Imagine starting the New Year by paying down debt you thought you’d never be able to make a dent into. Reducing the balance of your credit cards is essential in helping to build up your credit rating. Carrying a balance over 75% of your credit limit puts you into the credit rating “dog house.”  Not only is it not favourable, but what if you had a financial emergency? Having room on a credit card is crucial should there be an emergency and you need cash instantly.

That “room to breathe” is also important for the sake of your emotional and physical health. Stress has been known to have a significant impact on an individual’s health, and the constant burden of financial stress is not only one of the leading causes for ill-health, but in relationship troubles. Paying down that credit card debt will provide relief and give you peace of mind.

Paying down credit card debt can seem like a never ending cycle. By obtaining a car title loan, you can put an “end” date on your debt. While it may take longer than 1 year to pay all of your debt, you can make 2010 the year you began your journey to being debt-free.

Retailers are able to dictate the prices, as they realize that consumers are pre-occupied with buying during the festive period, without bothering too much about the fairness of the cost. In such a scenario, credit availability becomes an even bigger issue if you have bad credit. Most conventional credit extending organizations are overwhelmed by the large volume of credit-seekers who approach them during the November-to-January period. Thus, chances of a loan request being turned down are even greater since the approving authorities have enough volume to choose those with good credit scores.

Planning to stretch your Credit Card? Think again!

Distressed people, unable to access credit, often turn towards seeking extensions on their credit cards without realizing that they are paying more than the standard interest rates. This happens because credit card companies realize that spending is largely unavoidable for most people during the holiday season and thus, they tend to manipulate the situation in their favor. This is why the holiday season is commonly associated with extensive advertising campaigns by credit card companies, coaxing people to ‘buy more’ with many hidden repayment clauses (hiked-up charges) concealed within the hard-to-understand paperwork.

Considering the predicament of those with bad credit, a car title loan may be the most sensible solution. For starters, this kind of credit is extended without questioning an applicant’s credit history, making it ideal for those who are struggling with a poor credit history. Car title loans are also referred to as easy loans for ’sub-prime borrowers’ which underlines the fact that they are ideally suited for people with bad credit scores. Secondly, car title loans are uncomplicated, as the amount of documentation involved in the entire process is negligible when compared to loans sought from banking institutions. Further, the processing of the loan is transparent, wherein an applicant is duly informed about the loan structure, including the rate of interest charged and the repayment schedule. An applicant needs to be equipped with basic information such as proof of ownership of the vehicle against which the loan is being sought, along with easy-to-furnish documents like residential proof or driver’s license.

The final decision rests with you – whether you want to risk being entrapped with devious, credit card companies or multiply your quotient of happiness by seeking sensible and secured credit in the form of a Car Title Loan.

Fortunately, there is hope for those with bad credit who still need, want and deserve to take out loans.  Of course the very act of borrowing money and successfully paying it back will increase your credit score, so it makes sense that finding a solution of this nature will not only benefit the lender and the recipient of the loan, but will assist in improving the overall economic climate as well.

Securing a bad credit personal loan or car title loan can prevent someone from crossing the line from bad credit over to bankruptcy. Car title loans for bad credit are secured using the title of your car. These loans use a paid-off automobile as collateral. Typically, your loan is repaid in monthly installments over a period of one to four years, and is for an amount that is 50% or less of the value of the car. It is possible to obtain car title loans with bad credit. There are many lenders on-line who offer these secure loans, so do your due diligence and research a reputable lender with flexible terms to suit your budget. Car title loan lenders are a very helpful alternative to banks for bad credit loans, and an option many people are turning to in order to get back on track financially.

In addition, the benefits of car title loans outweigh any possible drawbacks.  Unlike other loan application processes, the long, drawn out application process is reduced drastically, allowing you to complete the process within the comfort of your own home, and in just a short period of time. No more fretting over medical bills, holiday gift shopping or school supplies for your children.  The time is now to take advantage of what many Canadians are finding to be a solid stepping stone in this economy.

Is ‘Car Title Pawn’ the same as ‘Car Title Loan’? To be very precise, the use of the word ‘pawn’ in this form of easy financing is bit misplaced. Car title loans may share the core concept of an item being used as collateral for securing the loan but unlike pawnshops, the car owner gets to keep his car and can use it through the duration of the loan. This is unlike pawnshops wherein the collateral has to be surrendered and can be retrieved only upon the timely payment of the loan. The term ‘car title pawn’ probably originated due to similar-sounding tag lines that were advertised by early Car Title Loan providers.

Car title loans are often advertised under different names to attract customer across various categories. This is applicable to the term ‘car title pawn loan’ wherein by highlighting the pawning aspect of the loan, the car title companies can reach out to folks who have a bad credit history and might be considering pawning some of their personal valuables to gain short-term credit. From an overall perspective, car title loans are more structured, secured and definitely more undemanding than seeking credit through a pawnshop – seeking a car title loan does not mean pawning your car.

Locating Car Title Companies – finding a car title loan company is easy online, but finding a reputable lender is the important part. Do thorough online searches, and call, or make email-based enquires to find the lowest interest rate quotes. Look for lenders with flexible terms and read your loan agreement from start to finish.

Some companies have a dedicated evaluation system wherein an approximate evaluation of the vehicle is done without actually (physically) inspecting the vehicle. This is done by asking some basic questions over the phone, such as the year of purchase of the car, total mileage and history of any major repairs. Based upon this basic questionnaire, an approximate value on the car is quoted which in turn helps to estimate the maximum Car Title Loan that can be provided.