Bad Credit: Options for Refinancing a Mortgage

Like many people, the recession hit me pretty hard. Thanks to a job loss, I got behind on some of my credit cards. Even though I did mange to make the mortgage payment every month, my credit rating nose-dived. While things did get better, I still wondered if it would be possible to refinance my mortgage with bad credit. After talking with a few lenders, I found out that my situation was not unique. I also found lenders who were willing to work with me. I managed to get terms that will save me money over the life of that mortgage. If your credit has taken a beating, don't assume that refinancing is out of the question. I'll share how I researched options and found a lender who offered a good deal. You could find that refinancing your mortgage is within your reach.

Evaluating Whether a Payday Loan Is Right for You

Finance & Money Articles

Figuring out whether a payday loan is right for you is an entirely contingent phenomenon. It depends on several factors: if you are responsible enough to pay back the loan in a timely fashion and if you can get a good deal on a payday loan and are not getting ripped off in the process.

A payday loan essentially operates as such: you will receive the cash for a payday loan up front and will be forced to give a copy of your legal identification, as well as a check for the amount of the loan with the interest of the loan included. After 2 weeks, the lender will cash the check. If this seems like a form of lending that you would be interested in, then read on and discover whether a payday loan is right for you.

Interest Rates

This should be the first thing you look into. An interest rate is the percentage of the upfront cash you'll be paying back to the lender. So, if were to receive a payday loan of $1 with 1% interest, then you would be paying the lender $1.01 at the end of the loan period.

There are a myriad of ways that you can take out a payday loan, and they are all competing with one another to get you to use them. They all are going to be advertising one thing to you, namely—their interest rate. The lower the interest rate, the better off you'll be. Many lenders often offer a bonus lower interest rate to first time customers and those repeat customers who have proven themselves to be good at paying back the interest in a timely fashion.

Check Other Options

Before you go investing in a payday loan, it is absolutely imperative that you check into other options. Remember that your first idea is not always your brightest, and if a payday loan is your first idea, then well, there's a chance it is not the best of ideas.

Also, check out other forms of loans, first and foremost. You might find that a personal loan might offer you a better interest rate and that there are no upfront fees for which you have to pay. This is not to say that this will be the case or that a payday loan is, in and of itself, a bad idea. This is to say that you should shop around and see if a payday loan is ultimately the choice you want to make.

Read the Fine Print

Don't just read the fine print of a particular payday loan you're taking out. Read the fine print and literally everything about it. As you can imagine, there are many lenders out there who are very much into the notion of taking advantage of people who need to take out a loan, especially if they can sense it is your first time taking a loan.

Do not be afraid to grill your potential lender about every little thing you can think of and never feel pressured by a lender to take whatever offer they're serving up to you. Many lenders make their money by receiving even more interest from terrible borrowers whom the lenders know won't be able to pay back their loan on time. Consider yourself chum in shark territory when it comes to these lenders and protect yourself accordingly.

So, is a payday loan right for you? Hopefully, this brief article has shed a little light on your situation and helped you come to a decision. To start comparing your options or get the process started, visit resources like


29 July 2015