Just Credit Solutions

Bad Mortgage Credit And How To Fix It by Michael Lenzner

J. Bowman — Wed, 10 Aug 2011 14:37:43 +0000

If you are having financial problems, you’re not alone. Over three quarters of the population in the United States are having difficulty making ends meet these days. Even though you may be managing your money the best that you can, you still might find it impossible to pay your bills on time. And we all know the most troublesome bill of them all. That of course would be our mortgage. And we also know that if we don’t pay that one, then we simply wont have a place to live. So we keep trying to juggle what we have to make our mortgage payments and hope that it gets better soon. And unfortunately for many of us, it wont. The joy and happiness we once felt when we moved into our first home, or the excitement we shared with our spouse when we moved into a bigger home with the nice yard we always wanted, has now eroded into an unwanted stress that we can no longer bare. Once you get behind on your mortgage payments, its a very difficult hole to dig yourself out of. All of this can be extremely overwhelming to handle and thus making your life miserable. To make matters worse, your lender has now flagged you with having bad mortgage credit, and that will be a worse feeling then having no credit history at all.

So what do you do to avoid bad mortgage credit to begin with. Well to start with, if you know that you cannot make your payment on time, call your bank or mortgage company to see if they can work with you on solving this problem. Most lenders, if not all, will not only be more then willing to help you, they will also appreciate you calling and being up-front with them. If you have already missed one payment, it’s still not too late to work something out with your lender, but you must be honest with your mortgage company and also do not ever try to avoid them. If you don’t bother to call the lender, they will flag you right away as not willing to pay and thus will give you a bad mortgage credit rating rather quickly. Once you are tagged this way, you will be considered a risk for them and they will no longer be willing to do business with you. And for that matter, they will be less likely to work with you in the future should anymore problems arise.

Going forward, it will be important for you to make your payments on time. This will help you to re-gain the trust and respect from the lenders. This is definitely one of the best ways to improve your bad mortgage credit rating. By paying on time, even after having problems in the past, you will slowly begin to build a new credit history. Eventually over time, it will pay off, and the banks and lenders will once again consider you to be credit worthy.

For most people however, it just wont be that easy. After trying some simple things (budgeting, cutting back, etc.) and the situation still doesn’t get any better, you may feel the need to take some drastic measures, such as downsizing your home for a smaller home. Having a smaller home may take time to get used to, but it will bring your cost of living down considerably. Before taking such a drastic step however, it would certainly be worth your time and effort to first seek out professional guidance to help you with this situation. With some diligent research on you end, you can certainly find the resources and professionals needed to overcome having bad mortgage credit and thus begin the process of putting your life back on the right track again.

About the Author

Michael Lenzner is the administrator for the Credit-Debt-Help-site which is dedicated with providing its readers with only the best and highest rated products and services in this industry. To read more about this topic, just click on the link Bad Mortgage Credit

Just Credit Solutions, LLC is a credit consulting company founded on the principles of educating and helping the consumer on what to do if they are in need of credit help. If you or someone you know may need our services please Contact Us today! We are here to help you! The Team at Just Credit Solutions, LLC

It’s Never to Early to Build Credit History

P. Brotherton — Thu, 28 Jul 2011 21:00:23 +0000

All around the country, parents are beginning to establish credit histories for their sons and daughters. Some people tend to think this move as a wrong one. But starting credit early for your child is an incredible idea. The reason why I say this is because of the fact that when college comes around, students who already have credit history in their name will have a better FICO score than a student who didn’t have one at a young age. That student will most likely have an excellent credit score when their time comes along to buy a car, insurance, a house, and so many more things that are necessary to live with.

To tell you the truth, I recently learned that there have been a number of celebrities who have opened a line of credit for their children. One very well known celebrity, Tom Cruise, has already started by opening a line of credit for his child. I believe that what these celebrities are doing is a great move, because of the fact that it’ll get the attention of other parents, who will do the same for their children.

All in all parents are tending to doing something for their children that parents didn’t use to do. Getting ahead for your child is extremely important. Starting your child off early by adding a credit history is vital to lead your child towards a brighter future.

If you are seriously considering a credit history and score for your child, please contact a Credit Consultant at Just Credit Solutions, LLC. They would be more than willing to help develop a plan of action for you and your child.

2011 – A Great Summer To Buy a Home, by David Coster

J. Bowman — Fri, 15 Jul 2011 11:22:05 +0000

By David Coster , Total Mortgage Services, www.totalmortgage.com May 23, 2011

Mortgage rates are headed down today! When mortgage-backed securities (MBS) are popular with investors then rates fall. Today MBS are popular because stock investments are not. Let’s look at the reasons why.

Driving the popularity of MBS today is the need for investors to find “safe” investments in which to place their money given fears of stock investments falling in value. Why are stocks falling in value? Three words offer an explanation: Italy, Spain and China.

We live in a truly global economy where as the saying goes, “When one economy catches a cold, all economies feel sick.” The fact is that global economic growth is interdependent on the buying and selling activities of people and businesses all over the world. When one nation’s economy weakens it tends to slow growth in other regions as well—the weakness is contagious. Today Italy, Spain and China are not feeling particularly well and all world markets are reacting negatively.

Italy’s debt rating was lowered by a major ratings agency indicating the ratings agency believes there is a greater risk that Italy will not be able to repay its debts. Spain was placed on a “negative” ratings watch list, indicating that conditions in the country have worsened and may be headed for a ratings downgrade. How have conditions worsened? Interestingly, over the weekend the incumbent socialist political party was soundly defeated in local elections. The surprising thing is that it was the socialist party fighting to dramatically cut government spending. With the socialists’ losses, the ratings agency is concerned that the will to follow through with spending cuts may be gone.

The third principal driver of mortgage rates today (as it is many days) is China. Reports released today indicated the economy in China has slowed markedly. While the perception of this report is initially negative, it could be good news in the longer term. The fact is that the rate of growth in China was unsustainable. Efforts by China’s economic officials to slow growth and reduce inflation appear to have worked. Ultimately, this is good news both for China and the global economy.

Mortgage rates could be in for a wonderful period as the summer months are typically weak for stocks and stronger for investments such as MBS. It looks like a great summer to buy a home or refinance a loan!

Credit Inquiries And You? What’s the Gig???? by Larry Bettag

J. Bowman — Wed, 01 Jun 2011 15:04:42 +0000

Recently I wrote a post about credit scoring entitled What You Need to Know About Credit Scoring. There were 5 variables that affect the credit score of the borrower. Needless to say, I really think that while credit inquiries have the lest amount of weight towards your credit, it also happens to be the most misunderstood category.

The 5 Categories that Specifically Impact your Credit are:

Payment History
Outstanding Credit Balances
Credit History
Type of Credit; and
Inquiries
Like I said, Credit Inquries are the least impactful, but probably the most frequently misunderstood. So… what’s the 101 on credit inquries?

What’s an inquiry?

Basically, it’s when you specifically authorize lenders to look into your credit, specifically from a credit bureau. IF THE CREDIT INQUIRY WASN’T AUTHORIZED BY YOU, THEN IT’S NOT A HIT AGAINST YOUR SCORE!!! Know that so that you don’t freak out!

Does applying for new credit affect my credit scores?

The short answer is probably. The reality is the more you apply for NEW CREDIT, the more likely it is that you need credit to live. In other words, you’re having a hard time making ends meet and, therefore, are applying for new credit to shoulder some of they debts. If you need credit to live….in general, that ain’t a good thing! Looking for credit too much means that your score is probably gonna drop!

How much will credit inquiries affect my score?

Bottom line…it depends. So abstract. So cliche. Really it will affect each person differently based upon their own credit history. For example, don’t use credit often and have an inquiry….then don’t worry about it. But if you need a briefcase to hold all of your credit cards together, then this inquiry is more apt to hurt a bit….at least a lot more than for the dude who has perfect or a stellar use of credit. Here’s a good stat for you….Statistically, people with six inquiries or more on their credit reports can be up to eight times more likely to declare bankruptcy than people with no inquiries on their reports. I don’t know the science of credit scoring, but I do know that there’s a reason for everything.

Are all Credit Inquiries treated Equally?

Nope, nada, fogettaboutit! Credit inquiries that go to rate shopping are treated with less scrutiny than those inquiries used to obtaining new credit. You have a 14 day shopping range to look into credit for a mortgage, or getting a better rate. CAPECHE? Bottom line is that for multiple inquries for rate shopping, the scoring ignores mortgage, auto, and student loan inquiries made in the 45 days prior to purchase/closing.

The Importance of Home Inspections

Dave Morgenroth — Wed, 20 Apr 2011 23:29:52 +0000

Why should homebuyers have a home inspection before purchasing a home? It’s the largest purchase most people will make in their lifetime, and most buyers don’t know everything they should about the conditions of the exterior, roof, interior, appliances, electrical, plumbing, insulation/ventilation, and HVAC systems in the home. The main goal of the home inspector is to help the buyer feel confident in their purchase decision, that the home they’ve bought is the right one or possibly the wrong one, based on the information gathered at the inspection.

Its extremely important for the buyer to attend the inspection. It’s a great learning experience to walk the property with the inspector, ask questions, take notes, and become acquainted with the home. The buyer will learn where the main shutoffs are located for the gas, electricity, and water. The inspector will disclose any major concerns present, safety issues, recommended repairs, and those components that the buyer should plan to replace in the near future. The inspector will also stress all the positive aspects of the home and provide valuable information regarding recommended improvements and maintenance items, to keep the home in good working order.

Pricing for an inspection is typically based on the age, current conditions, and size of the home. Older homes, home with visible wear and tear, and those with significant square footage will require more time. Newer dwellings, townhomes, apartments, condominiums, and other smaller dwellings will take much less time. As noted earlier, the buyers should look at the money spent on the inspection as purchasing confidence in their buying decision. If the home is found to be in mint condition with little or no defects, then the buyer has purchased piece of mind. If several major defects are found during the home inspection, then the money spent will have been found to be a good return on investment if there will be significant expense to bring the home up to more acceptable standards.

A written report will be delivered by the inspector to the buyer shortly after the inspection is completed. The inspector will discuss the findings with the buyer at anytime, and answer any questions upon request.

Home inspection… a wise decision whether you’re buying, selling, or simply preserving the value of your home!

Your Credit Score Affects Your Insurance Rate

sherry — Tue, 05 Apr 2011 21:49:25 +0000

Your Credit Score Affects Your Insurance Rate
Posted by Sherry Louk, FICO Certified Credit Consultant

I had the opportunity to participate recently at a think tank in which a representative from a major auto and home insurance carrier spoke. Since joining Just Credit Solutions, LLC last year, I have learned many new things regarding what affects my credit score and what does not.

It is not surprising to learn that our credit scores impact our insurance rates as well. Each insurance carrier has designed an algorithm to come up with an insurance scoring model. This particular company gives scores 1-16. Your insurance carrier may score differently. A One is the perfect score, and you guessed it, you pretty much have to have an excellent credit score and a few decades worth of clean driving.

It is within the consumers’ power to lower their insurance premium!

What goes into the algorithm? Data such as your credit score, debt to income ratio, maxed out credit cards, driving record, the number of claims you have filed, whether you’ve been in an accident that wasn’t your fault.

The reason they care so much about your finances is because someone with little resources that has an auto accident or damage to their home is more likely to file a claim than to take care of it themselves. Additionally, once you file a claim you lose your “Good Client” rating and that lowers your score and costs you! My agent said 7-11 is about average. I’m average! But being average still means you pay more than the above average consumer who falls between 2-6.

More people in America have a credit score below 600 today than in 2007. That means most Americans can’t qualify for a home loan and they will pay $500-$1000 more a year in insurance premiums

How can you improve your insurance rating? Well, first and foremost improve your credit score! At Just Credit Solutions, LLC we take our job seriously. Our goal is to help each individual with a personalized plan to improve their score and then teach them how to keep it going so they can reach a high score of 740 and above! When our client’s credit score climbs we encourage them to call their agent and tell them they’d like to be re-evaluated. Now this is not wise to do if you’ve had any driving violations in the past 2 years, but if you’ve kept your driving record clean your improved credit score will save you some cash!
Save Some Credit Points with One Credit Inquiry!

You can save money by shopping rates with different carriers to find the one that has everything you want including a great rating. But remember to get the shopping and decision made within 45 days. Legally you have the right to shop as many insurance agencies as you like for 45 days, and only get hit with one inquiry on your credit reports, no matter how many agents pulled your credit during the 45 days. An inquiry stays on your report up to 2 years and steals a few points off the top of your score. So keep your time frame for shopping rates tight!

Just Credit Solutions, LLC Joins Forces with LivingWell Cancer Resource Center.

J. Bowman — Thu, 24 Mar 2011 07:07:17 +0000

On Saturday, May 14, 2011, staff members of Just Credit Solutions, LLC will join the over 1,500 participants in the LivingWell Cancer Resource Center’s, 6th Annual BridgeWalk event. We are so excited to be able to support this amazing non-profit organization located just down the street from our offices in Geneva, Illinois.

LivingWell is dedicated to providing adults and children living with cancer and their loved ones, the support and educational services they need while going through this difficult time. LivingWell currently offers 30+ programs and services all free of charge to those touched by this life changing journey.

LivingWell continues to grow at a rate of over 20%. Supported wholly through contributions, 88 cents of every dollar raised, funds their free programs and services to all who enter their doors. We at Just Credit Solutions, hope to not only raise funds to support LivingWell’s in their biggest fund raising event, but also want to raise awareness of all they have to offer to our surrounding communities.

We invite you to sponsor our Team with a small donatio, join our Team and walk along the Fox River with us, or even start your own Team. You can visit www.livingwellcrc.org and click on the BridgeWalk logo. We are “Team Just Credit Solutions.” Together we can help make a difference in the life of a cancer survivor!

WHAT’S YOUR MONEY PERSONALITY? FIND OUT HERE!

Just Credit Solutions — Tue, 23 Nov 2010 21:20:20 +0000

The word “money” creates different emotions with different people. Some love it. Others hate it. Some fear it. Some worship it! Regardless of how you feel about it, it’s what makes the world go round!

Dr. Kathleen Gurney, CEO Financial Psychology Corporation, says that not only
do we have a physical self, and emotional self and a social self, we also have a
“money/financial” self. In fact, she describes 9 distinct money personality types!

Which one are you?

Achiever – Usually a college graduate—mostly married! They feel work and effort will pay off in the long run. They tend to distrust others’ honesty when it comes to money. Being the “take-charge” type, they have a strong need to control their money.

Entrepreneurs – Usually rank as the higher income earners, they tend to be workaholics who are not motivated by money alone. They use it as a scorecard to measure their success. They reward themselves with the best cars, homes, wines, and investing in the stock market is their favored strategy.

High Rollers – Money brings them instant power and recognition. They are creative, competitive, and extroverted—they work hard and play harder and money for them is an emotional release. They prefer to risk their assets rather than sit back and be bored by financial security.

Hunters – Usually highly educated, average to above-average income earners who make purchase decisions with their hearts rather than their heads. They have a strong work ethic, but attribute their success to “luck” versus ability and judgment. They lack confidence when it comes to making good decisions about money.

Money Masters – They are the number one wealth accumulators—even though they don’t earn the most money. They enjoy being involved in investing their money and enjoy what money brings them. They trust the recommendations of others and make sound investments.

Perfectionists – They are afraid of making a mistake—so they also avoid making decisions with their money. They consider every angle and find fault with almost all investment decisions. They do TRY to save, but often lack self-esteem when it comes to investing.

Producers – They work hard, desire more money, but they feel that they have difficulty in “getting ahead”. They don’t understand how the money system works and lack the confidence to make financial decisions—because they don’t take the time to understand them.

Optimists – They are often near retirement age—and the money they have saved has brought them peace of mind. Their money decisions may be impulsive, but not high risk. However, they are not highly involved with investments or taxes—which could cause stress later on.

Safety Players – They are average earners and most of their money goes into safe and secure investments. They miss opportunities for more financial growth by not taking calculated risks. They feel they are doing just fine—and are resistant to making any changes to their investment strategies.

Just Credit Solutions is a credit consulting company founded on the principles of educating and helping the consumer on what to do if they are in need of credit help. If you or someone you know may need our services please Contact Us today! We are here to help you! The Team at Just Credit Solutions

TO DISPUTE OR NOT TO DISPUTE ONLINE??

Just Credit Solutions — Tue, 23 Nov 2010 20:36:00 +0000

To dispute or not to dispute online?? Who really benefits from this? Consumer or Credit Bureau?

Most of us have been to one or more websites that market how easy it is to pull your credit report, review for accuracy, select the code/reasoning that applies and submit to the credit bureaus for reinvestigation. Seems easy enough, right? If disputing online is so easy, why would you ever think you might need to manually submit the request through the mail or possibly hire a reputable credit repair company to do this for you?

Here are a few reasons why you might want to rethink disputing online.

Paper Trail: If you are disputing online you have given up your consumer rights (per the FCRA) to submit any additional documentation that would support the reason behind your dispute.

Number of Dispute Reasons: Choosing a code from a pre-selected list of possible dispute reasons severly limits the consumer from being able to tell the true story behind the reasoning for the dispute.

Time: Even though you might think the credit bureaus are investigating the dispute you just submitted, in actuality, online disputes are tracked automatically and the data is sent directly to the furnisher by way of the E-Oscar computer software program. This allows the timeframe (30 days) set in the FCRA for the dispute to be investigated much easier for the furnisher to meet.

Expeditious Dispute Resolution: Per the Fair Credit Reporting Act section 611a(8)
changes the normal requirements that a credit reporting agency would have to follow.

Stated in the “Expeditious Dispute Resolution”, “then the agency shall not be required to comply with paragraphs (2) (6) (7) with respect to that dispute”

When the agency does not have to comply with paragraph 2, 6 and 7, the agencies then do not have to:
Paragraph 2: Provide notification (with in 5 business days) of the dispute to the creditor along with any relevant information (documentation) about the dispute
Paragraph 6: Provide you with written results of the deletion.
Paragraph 7: Provide you a description of the procedure used to determine the accuracy of the disputed item.

Bottom line is that although it may appear to be the quicker route, by disputing online you are willingly giving up a portion of your rights in the Fair Credit Reporting Act that were created to protect you. Exercise your rights! Take the time to submit a manual dispute request yourself or spend the time researching a reputable Credit Repair Company that knows the laws and will work on your behalf to make sure they are enforced.