Consolidate your credit card debt

With the popularity of plastic money in the present age, credit cards are gaining immense importance. With the growing increase in usage of such cards the credit rates are also reaching the horizon. Debts are thus becoming a common happening in our daily lives. People who are under the claws of credit card debts need to give a serious thought to debt consolidation and lighten their burden. In the US more than half of the population has an average of $8000 debts, only because of the usage of credit cards.

You must be eager to know:

• How does debt consolidation helps in case of credit card debts?
• How consolidating my credit card debts could be beneficial?

A credit card debt consolidation loan can be a resource to consolidate the outstanding balances on your cards into one single loan. They can also be transferred to one single card that has a lower interest rate than the ones you are currently paying. The path to savings should be very cautiously chalked out and one needs to make calculated moves all the time. When you are paying high interest rates on some of your current credit cards then it might be a wise idea to go for a balance transfer onto another credit card or cards that have relatively low interest rate. Know more about balance transfer in the "members only" contents. We offer free membership. Calculate the interest on your credit card debts and transfer it accordingly.

The ideal way to consolidate your credit card debts!

In order to make you understand better we have a small example of how consolidating your credit card debt could be beneficial.

Let's say you have $100 in outstanding credit card debt and the average annual percentage rate (APR) on that card or cards is 18 % ( which is the average). If the outstanding balance remains at $100 then over the course of a year you would pay approximately $18 in interest charges alone. If you consolidate your credit card debt into a single loan with a lower interest rate or if you do a balance transfer onto a credit card or cards with a low interest rate you would save a significant amount of money.

If the new loan or credit card have a 9% APR then you would save roughly $10 in interest charges over the course of that same year. If you save $10 for a debt of $100, then think about a debt of $10,000. This trick will save you $1,000 over the course of that same year. Just think of $1, 00,000 debts; you can save $10,000. And this amount of $10,000 can be used to repay some of your debts. Life becomes easy with simple calculations and cautious moves.

If you are under a mountain of debts our experts will help you to consolidate your debts and help you tread you into a debt free land. Consolidating your debt is perhaps the fastest, safest and best way today to get rid of your financial obligations and we are experts in this field. Fill our free membership form to view all the alternatives. With debt consolidation we are here to consolidate all your financial loans in a single monthly payment. Thus we help you take the first step nearer to freedom. You can take a look at the following articles:

http://www.debtconsolidationcare.com/card-counseling.html
http://www.debtconsolidationcare.com/creditcard-terminology.html
http://www.debtconsolidationcare.com/creditcardfaq.html
http://www.debtconsolidationcare.com/credit-counseling.html

---

About The Author -

Author's Name : Janet Williams

bill@debtconsolidationcare.com

Janet Williams is a contributing writer to www.debtconsolidationcare.com and is currently working on a special section in the site called do it yourself where you can eliminate your debts and become debt free.

(July 2005)

Are There Good Mortgages for Mobile Homes and Manufactured Housing?

Are There Good Mortgages for Mobile Homes and Manufactured Housing?

Why do so many mobile home and manufactured housing buyers settle for what ever mortgage the dealer throws in front of them? Do they really think they deserve to pay 9-12% interest just because they are not buying traditional housing? There is no reason to pay those rates just because you are financing under $100,000.00. Fannie Mae, HUD, and FHA all have programs with rates between 7.125 and 8.5% interest on mortgages below 60,000.00 and 6.125-7.5% on Mortgages below 100,000.00.

They do have common sense conditions as to the construction, anchoring and foundation. Many of these conditions are based on location and safety but again they are common sense and can be rolled into the mortgage as a construction to permanent loan (also known as a C/P). By going with one of these programs you automatically qualify for reduced insurance premiums because your house will conform to Fannie Mae, HUD, or FHA standards. You also have the piece of mind of knowing your home is as safe and weather resistant as possible.

Compare the above rates to what you pay now. And realize that there is no good reason to pay more. If you have a credit rating of over 485 you can qualify for one of the rates above. There are other factors like Loan to Value, Debt to Income Ratio, Primary Residence, that can affect the rate. However there is no reason to pay higher then the highest rate mentioned above.

Let me know if you found this article useful.

Kevin Hidden

---

This article is from Kevin Hidden at www.mortgageseeker.biz.

Kevin can be reached at support@mortgageseeker.biz

(April 2005)

How will you repay your home equity plan?

Before entering into a plan, consider how you will pay back the money you borrow. Some plans set minimum payments that cover a portion of the principal (the amount you borrow) plus accrued interest. But (unlike with the typical installment loan) the portion that goes toward principal may not be enough to repay the principal by the end of the term. Other plans may allow payment of interest alone during the life of the plan, which means that you pay nothing toward the principal. If you borrow $10,000, you will owe that amount when the plan ends.

Regardless of the minimum required payment, you may choose to pay more, and many lenders offer a choice of payment options. Many consumers choose to pay down the principal regularly as they do with other loans. For example, if you use your line to buy a boat, you may want to pay it off as you would a typical boat loan.

Whatever your payment arrangements during the life of the plan--whether you pay some, a little, or none of the principal amount of the loan--when the plan ends you may have to pay the entire balance owed, all at once. You must be prepared to make this "balloon payment" by refinancing it with the lender, by obtaining a loan from another lender, or by some other means. If you are unable to make the balloon payment, you could lose your home.

If your plan has a variable interest rate, your monthly payments may change. Assume, for example, that you borrow $10,000 under a plan that calls for interest-only payments. At a 10 percent interest rate, your monthly payments would be $83. If the rate rises over time to 15 percent, your monthly payments will increase to $125. Similarly, if you are making payments that cover interest plus some portion of the principal, your monthly payments may increase, unless your agreement calls for keeping payments the same throughout the plan period.

If you sell your home, you will probably be required to pay off your home equity line in full immediately. If you are likely to sell your home in the near future, consider whether it makes sense to pay the up-front costs of setting up a line of credit. Also keep in mind that renting your home may be prohibited under the terms of your agreement.

---

This article is from one of The Federal Reserve Board's webpages

(Febuary 2005)

Lines of credit vs. traditional second mortgage loans

If you are thinking about a home equity line of credit, you might also want to consider a traditional second mortgage loan. A second mortgage provides you with a fixed amount of money repayable over a fixed period. In most cases the payment schedule calls for equal payments that will pay off the entire loan within the loan period. You might consider a second mortgage instead of a home equity line if, for example, you need a set amount for a specific purpose, such as an addition to your home.

In deciding which type of loan best suits your needs, consider the costs under the two alternatives. Look at both the APR and other charges. Do not, however, simply compare the APRs, because the APRs on the two types of loans are figured differently:

The APR for a traditional second mortgage loan takes into account the interest rate charged plus points and other finance charges.

The APR for a home equity line of credit is based on the periodic interest rate alone. It does not include points or other charges.

---

This article is from one of The Federal Reserve Board's webpages

(Febuary 2005)

Protecting Yourself

You can protect yourself against losing your home to inappropriate lending practices. Here's how:

Home Equity Loan Don'ts:

• Agree to a home equity loan if you don't have enough income to make the monthly payments.


• Sign any document you haven't read or any document that has blank spaces to be filled in after you sign.


• Let anyone pressure you into signing any document.


• Agree to a loan that includes credit insurance or extra products you don't want.


• Let the promise of extra cash or lower monthly payments get in the way of your good judgment about whether the cost you will pay for the loan is really worth it.


• Deed your property to anyone. First consult an attorney, a knowledgeable family member, or someone else you trust.
  

Home Equity Loan Do's:

• Ask specifically if credit insurance is required as a condition of the loan. If it isn't, and a charge is included in your loan and you don't want the insurance, ask that the charge be removed from the loan documents. If you want the added security of credit insurance, shop around for the best rates.


• Keep careful records of what you've paid, including billing statements and canceled checks. Challenge any charge you think is inaccurate.


• Check contractors' references when it is time to have work done in your home. Get more than one estimate.


• Read all items carefully. If you need an explanation of any terms or conditions, talk to someone you can trust, such as a knowledgeable family member or an attorney. Consider all the costs of financing before you agree to a loan.

---

This article is a segment from the FTC's webpage Home Equity Loans: Borrowers Beware

(Febuary 2005)