Monthly Archives: June 2014

Take The Fear Out Of Qualifying For A Mortgage

Not knowing if you will qualify for a mortgage loan may be a bit scary. But to increase your odds of getting approved there are a few helpful steps:

You need to wait for at least two years after the final discharge of any bankruptcy you may have filed.

A waiting period of three years from foreclosure finalization is required for any foreclosure filings.

For the previous one year (12 months) you should have no late payments on your credit report. Mortgage lenders will still consider your application if, for several years you maintained a great credit record but still had an occasional late payment. These payments should not have been late for more than thirty days.

If you are currently renting they may ask for a history of your rental payments. Be prepared to shown that you have consistently paid your rent on time for two years. A reference letter from your landlord will go a long way.

Your application may be disqualified if the guaranteed government loan for your student loan is considered in default. If this is the case the lender may reconsider if you have negotiated an acceptable repayment plan and stayed current with the new arrangements for one consecutive year.

Before you apply for the mortgage loan, pay any accounts on your credit report that you may have had in collections.

Any court-imposed judgments must be paid in full. Make sure if any of the cases involve child support that you are caught up and current.

If your income is based on commissions or you are self employed you will need to provide proof of a steady income for a minimum of two years. The lender will then be able to properly determine your average year’s income. That allows them to determine your ability to repay the loan. Not being able to provide this proof may disqualify you.

They may chose not consider income from a second job when determining your eligibility for the mortgage loan. They will only consider the income if you have earned a consistent amount of money from both jobs for the past two years.

If you received child support you may or may not want that include in their determination. In order to claim it as income you must be able to provided proof that is being paid in a consistent and on time manner. They may choose to exclude child support payments if it has been recently awarded.

Any litigation you may be involved in must be settled before you apply for a mortgage loan. This includes any legal matters like an ongoing divorce or any law suits you maybe involved in.

Your ability to repay the mortgage loan will be carefully scrutinized by the lenders. They will also determine how much of loan payment you can afford to pay monthly. By taking the information you have provided and entering it into a formula they can pretty accurately predict if you are credit worthy. If their formula says you are a good credit applicant and you should be able to pay the monthly amount stimulated, you will more than like be approved.

Before applying for a mortgage loan clean up your credit report. A clean credit report is paramount in a lender’s decision to give you a loan. Small “stains” are your report may not completely eliminate you but you will pay a higher interest rate. You should now be able to estimate whether you will qualify for a mortgage loan.

Tax Benefits for Students

Tax benefits change year to year but there are always some deductions for students and their parents. We are not income tax experts, please check with your tax professional before filing. This article is intended as a guideline only.

Some examples of tax benefits available for the 2006 tax year –

Hope Scholarship – This is actually a tax credit, not a scholarship. The credit is subtracted from the amount of tax you actually owe, not your income. You cannot get a refund of this credit, it can only be deducted from the amount you owe. The amount of the credit depends on several factors such as income, cost of tuition and fees, and the amount of certain scholarships received. To receive this credit you need a form 1098-T from the school which is used to fill out IRS form 8863. Your 1098-T form should include contact information for someone at your school who can help you with questions or filling out the form. You can only claim this credit for two years of schooling.

Lifetime Learning Tax Credit – This is also a credit, deducted from the amount of taxes you owe as opposed to a refund. The credit is run pretty much the same as the Hope Scholarship, it uses the same 1098-T and IRS form 8863. The only difference is it is not limited to 2 years.

The Tuition and Fees Tax Deduction – This is an income deduction that you can use even if you do not itemize. You may deduct up to $4000.00 of tuition and fees, no other expenses are eligible. These must be fees you actually paid, no tuition or fees paid by tax-free scholarships, grants or any other assistance are eligible. There was a last minute extension by congress to allow this deduction this year so it is not properly printed on the tax forms. People claiming this deduction are encouraged to e-file because it has been added to the IRS software, otherwise you must follow special instructions to make sure the form is filled out properly. You will need a form 1098-T from your school and a 1040 tax form.

Interest deduction – You can deduct up to $2500.00 of interest paid on student loans, provided it is not deducted somewhere else on your return.

Remember these benefits and amounts change year to year so make sure you have current information when filing your taxes!

Personal Loan at High Risk -urgent meets all the urgent wants despite a bad credit

Borrowers in urgent require of cash can create use of a high risk urgent personal loan. These personal loans can be benefits by people with an awful credit score. These loans give borrowers with urgent funds when they require it the majority. These loans as well present a confident answer of high risk personal loans. These loans are very well-liked due to their bendable nature and convenient usability. A lot of people use these loans to clear their mounting debts. They can be used for extra reasons as well like paying schooling fees, buying a vehicle, paying the work and promoting the business. The most benefit of these loans is they are accepted very fast. It is not hard to obtain a loan approved. Even if you are a non-homeowner and have nothing to present as security, you can still be eligible for the unsecured form of the high risk personal loans. The borrower can free of charge himself from the section of high charge of notice while availing high risk personal loans. The borrowers require not worry about the long period of the refund term too. Hence, completion of instant monetary requirement is easily likely with these loans. These loans are obtainable in a suitable way. The borrower wants to fill in a request form and submit it. This form demands useful data about your employment and personal information. Secured high risk personal loans, call for the position of collateral. This entire process requires a small width of time, consequently that the borrower can find his hands directly on the loan total. These loans are as well referred to as non conforming loans also. The cash lenders rest the rules for such loans. Bad credit record with late payments and arrears are accepted. Even if you suffered bankruptcy, you can be relevant for these risks. If you cannot show sure earnings, you may require placing some upfront payment ranging from ten per cent to twenty per cent of the loan applied for. A bad credit cash loan can assist a borrower meet all the urgent wants despite a bad credit. Those who are in requiring of fast cash can profit from these loans. A bad credit score can affect the chances of availing loans fast. So, these loans offer a respite from credit troubles. A borrower can overcome financial troubles through these loans. These loans can offer with provisional financial help. They should not be used for lengthy period purposes. These loans can assist a borrower overcome bad credit score speedily and as well rebuild the injured credit score. Whether a borrower’s bills are past due, in a checkup urgent situation or have urgent vehicle problem, these loans can assist a huge contract.