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Building Credit Preventing Repair
If you want to prevent credit repair procedures, you need to keep your payments up to date. Financial emergencies may come up, so it is important that you meet minimal payments on time. If you have utilities, house payment, car payment, or other...
Credit Cards - Friend or Foe?
At one time or another most all of us apply for and get more credit cards than we need. We feel like we have to be able to purchase almost any type of item at anytime, whether we can really afford it or not. Having several credit cards allows one to...
Deciding On The Chase Credit Card
The first credit card I ever had was cosigned by my parents. My
father picked it out for me and did the bulk of the paper work,
and I can only assume the card was issued through his regular
bank. The Chase credit card I use now is the first one I...
Information on Visa Credit Cards
Visa. Clearly one of the most known credit card companies, the Visa symbol is known worldwide. There are many different types of Visa credit cards offered, and this article will review some of them to give you a better feel for the company. Visa...
Know How To Get The Best Credit Card Deal
Getting your own credit card is not as easy as you may think.
Applying for a credit card account needs a lot of thinking.
Before marching down to your credit card agent, ask yourself
some questions like do you want to pay for the credit...
No Credit Car Loans - Even With No Credit History, You Can Still Get Approved
Even it you have no credit history, you can still get approved for a car loan. With a car loan, you can purchase your vehicle and build your credit history. Online car loan lenders make shopping easy, and you can find low rates compared to...
The Three Factors of Credit-Worthiness
Between the Internet, well-meaning family and friends, and
know-it-all articles in the print media, it's hard to know where
the facts end and the nonsense begins. Facts are everywhere, but
so are urban legends, hidden agendas, and opinions posing...
What is a Bad Credit Loan?
A Bad Credit loan is a personal loan for people with bad credit rating because a bad credit rating or credit history can make your life a misery. However created, your past record of County Court Judgements, mortgage or other loan arrears can live...
Why Choose a Bad Credit Personal Loan?
One of the reasons for choosing a Bad Credit Personal Loan is that it is a loan specifically designed for the many people with a bad credit rating. However created, your past record of CCJ’s (County Court Judgements), mortgage or other loan...
Why Does A Credit Card Expire And How Do You Renew It?
Besides the long string of numbers that identify your account, there is a short little series of numbers that makes up your card's expiration date. Most of us don't even pay any attention to that date, but you can bet that the credit card approval...
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100% Financing Or No Down Payment & Bad Credit Mortgage Loans
Sub-prime lenders now offer financing packages with zero down.
Interest rates are higher on these types of loans, but they make
purchasing a house easier. And unlike a conventional loan, there
is no private mortgage insurance required. There are two types
of zero-down mortgage packages, each with their own requirements.
Types Of Zero-Down Loans
100% financing, as it names implies, offers complete financing
of your property. The other option, 80/20, finances your
mortgage with two loans. Both loans may be carried by your
lender, but sometimes the seller or a second lender is required
to carry the 20% mortgage.
100% financing is easier to deal with, but not all lenders will
offer this type of home loan. 80/20 financing is more common,
but takes some negotiation if the seller is involved.
Qualifications For Zero-Down
Each lender has their own criteria for determining who will
qualify for a zero-down loan. Most sub-prime lenders require any
bankruptcies or foreclosures to have been at least twelve months
ago. A conventional loan requires these to be discharged two to
four years ago.
While a credit score of 600 or higher is best, large cash
reserves can also qualify you. Six to twelve month's worth
of
cash reserves in the form of savings, money market, or other
liquid assets are considered ideal.
If you choose 80/20 financing with the seller carrying the
second mortgage, you can qualify with sub-prime lenders with a
score of 560.
Zero-Down Sub-prime Lenders
You can find zero-down sub-prime mortgages with both
conventional and niche sub-prime lenders. Make sure that you
request quotes from as many mortgage lenders has possible to be
sure you find the lowest rate and best terms.
You will also want to decide what type of mortgage you want. An
ARM is easier to qualify for and has lower rates. A fixed rate
mortgage offers the security of a constant interest rate over
the life of your loan.
Typically an ARM will be a better deal if you plan to refinance
within a couple of years. After you have improved your credit
history, you can refinance for a conventional mortgage with low
interest rates.
About the author:
See my recommended companies for
Bad Credit Mortgage Loans. Carrie Reeder is the owner of ABC
Loan Guide, which offers help with loans for people with bad
credit.
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