Sunday, January 13, 2013

Victim warns others to watch out for loan scams

A personal loan scam victim warns residents to be vigilant of phone calls from fraudsters.

LISA (not her real name), from West Suffolk resident, lost £110 after sending over a code for an online voucher as a fee for someone who contacted her by phone promising a loan.

They agreed over the phone that she will be receiving the money within 15 minutes; the money was supposedly for Lisa’s new furniture.

But instead of receiving the said money, she was asked to pay an additional £295 in voucher form Good thing is that she refused.  She rather contacted the police and is now warning residents not to fall prey to such schemes.She said: “I feel absolutely gutted and stupid that I fell for it.

They’re very crafty and I just don’t want anyone else to fall for it. “The company has been harassing me with over 20 calls a day, emptied my bank account and left me nervous of borrowing from other providers.” She added.

This incident isn’t new to Suffolk Police.  They have been receiving details of similar occurrences from residents and are also urging people not to provide personal information to cold callers.

Ukash was the code given by Lisa, which can be bought from high street shops with cash and spent online using the code rather than providing bank or credit card details.

A police spokesman said: “They are never genuinely used as advance fee payment for loans or other similar products.

They are simply designed for the purchase of goods from the internet or other retailers.

“Anyone offering a genuine loan will not ask for a cash payment up front for the service. “Fraudsters will try anything to get you to part with your cash so if you receive any unsolicited calls from people asking you for cash or voucher details then please do not give it to them.”

This is a great example that anyone can be a victim of these scams.  We must be very watchful and on guard of ourselves in all time.

We will never know when fraudsters will attack in any form or ways they can possibly think of

Tuesday, January 8, 2013

How To Apply Home Loan With Bad Credits

We all know that to easily apply for loans, applicants must have the best qualifications or some may even refer to it as “triple threat”.  One must have an excellent credit rating, a large down payment, and low debt-to-income ratio with steady significant income.  This isn’t easy for everyone, some may have bad credit but they do not have to forget about the idea of owning a home.  If previously been turned down for a load, homebuyers can still get a home loan.
Do not loose hope because even with bad credit you can help improve your chances for obtaining a mortgage, here is how:

Flaunt other assets.  If you do not have large amount of cash on hand or in banks, and or large cash reserves for down payment, you can show loan officers the financial assets you do have.  Make a list cash value on your home loan application, if you have a sizable 401k or other retirement accounts make sure to include them.  This will prove that if you’re ever in a bind paying your mortgage, you’re able to pull from one of these other sources to make ends meet.  Showing a low loan-to-value rating is a huge plus if you’re seeking to refinance.

Stress job stability. Make sure to mention that you have been working for the same industry or better same company for years, this will have to offset a bad credit history.  It will also help if you mention regular pay raises and if you have a cost-of-living increase every two years, or an annual merit-pay increase.  It will be impressive if you mention how your income has risen over the years.

Show discipline. It is a factor if you show that you are disciplined, consistent and stable.  Establish to the lenders that your bad credit is a thing from the past.  Show them that you know how to save, that a part of your monthly salary goes to a savings account or you have been contributing yearly to a retirement account.

Willingness to stay put. Strong ties to the community can help, (i.e., relatives living in the community) Prove lenders that you are going to stay put in that home for some time/
Don’t bite off more than you can chew.  Be reasonable and start on something that you can afford.  Know that you can always move up later, its better to own a house you can afford than to do a higher lift out of your level, this can put you on a more bad credit afterwards.
Have proof. Prove that you never were late on your rent.  It’s another thing to be able to show them. Be prepared to give documentation to back up all of the items on your compensating factors list.

Everyone deserves second chance they say, true enough.  All you have to do is prove yourself to be worthy.  There will always be doubts but the bottom line is there are certain red flags that give home loan lenders pause.  If you have bad credit history, highlight positive aspects of your financial profile.