The reasons we as Americans buy on credit varies, but without it most of us would probably never be able to purchase necessities such as a home or automobile. Some of us will not be able to survive on a monthly basis without the use of credit cards. The nation's economy depends on credit, the promise to pay later for goods and services. We live in the microwave age. We want it now so we use credit to get it now. We that credit comes consumer debt. With the convenience of having a computer or television in the majority of the homes comes more credit charging with the end resulting in more debt turning on your television to shop the use of credit or more debt come more frequently. With the rise in telemarketing and commercializing in America it is no wonder why Americans feel the impulse to buy now, pay later.
The most common form of consumer debt is installment debt. Installment debt is debt issued with the condition of regularly occurring intervals for payment by the consumer until the principal and interest are paid in full. Simply put it is when a consumer borrows the money to purchase an item and agrees to repay the loan in equal installments over a fixed period of time. Without installment debt most consumers could not afford to purchase the big ticket items such as a car or home. In recent times the creative forms on installment debt has put consumers in bigger bind. Consumer debt has risen to $14 billion in June from the previous month to a total of $2.59 trillion. The truth of the matter is that we, as Americans, tend to want to purchase more than we can afford to purchase when we want it. But, we can afford to pay it out, over time, in fixed payments.
Mortgages, a debt owed on real property, mortgage debt is probably the largest form of installment debt. There are two categories of mortgages that nearly all lenders can offer, government-backed mortgages and conventional mortgages. Consumers have taken on record levels of debt as low interest rates; have lured them to buy bigger houses and fancier cars and to charge more on credit cards than ever before.
Not realizing the extent of the consumers' debt is one of the most common types of credit problem for today. Denial may play a partial role in this problem, but the lack of education seems to be the largest reason for consumer debt. Credit card use is up and a large number of Americans do not know the percentage rate at which the credit card companies charge. Many credit card companies have started 'personalizing' interest rates by not disclosing the interest rate until after the consumer has received the card. By not disclosing the interest rate on the application the credit card companies prohibit the consumer from shopping around for the best deal. You could just say they should cancel the credit card, but did you know several requests for consumer credit could be viewed negatively because the information is reported to the credit bureaus? This leaves use, the consumer, with a bad credit report. Household debt and bankruptcy are at record levels and appear to be on the rise. Until we the consumers begin to educate ourselves and stop living beyond our means, we only have ourselves to blame.
Email: mailto:www.gaydend@taylorgayden.com
Websites: www.vrtmg.com/dgayden
Learn how you can improve your credit scores. Join us on August, 21, 2008 at 9:00 p.m. EST for our (Webinar) Take Control Of Your Financial Future "Credit Restoration". Learn about the credit industry & and how you can improve your credit scores with United Credit Education Services.
To register for this Free Webinar Go to https://www2.gotomeeting.com/register/834962784
Please visit my website below for additional information on credit restoration.
Contact:
Donna Gayden
Office: 770-489-5649
Cell: 404-838-0265
Email: mailto:www.gaydend@taylorgayden.com
Websites: www.vrtmg.com/dgayden
Credit Score
In our society having a good credit score has become more important than ever. Your credit history and your credit score may be used by landlords, mortgage lenders, employers, utility companies, and cell phone companies. Our society is becoming increasingly dependent on using our credit score as a determining factory to grant us service or give us any form of credit. In today's time our credit history is used for more than just getting a credit card or a low interest rate on a mortgage loan. Many businesses are using our credit history to determine weather or not we are trustworthy and uphold our contract agreement.
Renting a Home
When it comes to a place to live your credit places a vital role. Landlords are skeptical on giving consumer with less than perfect score the opportunity to rent an apartment or home. The landlord base your low credit score on how you might or might not upload to the lease agreement.
Mortgage Loan
With the decline of the subprime lender, if you don't have a good credit rating you will not qualify for a mortgage loan. Before a lender approves a loan they want to feel at ease and not have to worry if the client will default on the loan. With that being said you would still like to qualify for the loan at the best rate. This is another reason is why having good credit is so vital today.
Auto Loan
With the way gas prices are rising on a daily basis having an auto loan with the lowest interest rate possible will ease the blow. Unless you have the cash to pay the full price of an auto you will have to apply for loan from the bank or credit union. Your credit not only affects weather or not you will qualify for the loan, but it also affects the type of interest rate on the loan.
Employment
A potential employer looks at an applicant credit history for the hiring process. If your credit history show that you have late payment, charge offs, large amount of debt and other derogatory information on the report, this could be a determining factor for the decision on whether or not you hire you for the job. Your credit history demonstrates your past financial history; a prospective employer might be reluctant on hiring you for the position if you have a less than perfect history.
Utilities/Cell Phone
Some of life necessities like your utilities and cell phone are also affected by your credit score. Many of the utility companies and cell phone companies will run a credit report before they will allow you to open an account. If your credit report shows a history of late and slow payments you may denied the service or be required to pay a deposit.
Since our credit score is so important in the world that we live in today. It is our responsibility to have the best credit score possible. We should all strive to be the best that we can be, and have a good credit score shows any potential lender, company and employer that we are worthy of conducting business.
Please visit the following for additional information:
Hello, thanks for visiting my Active Rain profile. My name is Donna Gayden I'm currently active duty U.S. Army. I've been in the military for 20 years. I will retire from the military March 2009. I'm currently in the process of pursuing my next career as a consultant.
Throughout my military career I have always made it my goal to help people. My goal as a consultant is to continue to help people. I can help the individual consumer by providing them help on how to eliminate debt. I can also provide help to lenders, mortgage brokers, and realtors by helping them get their clients qualified for a home purchase.
Please visit the links below for more information.
Credit Education and Restoration
Easy Auto Loans Programs (Clients with credit problems)
United Credit Restoration helps give consumers who are negatively affected by poor credit the opportunity to achieve their financial goals and dreams. Our service provides the industry's most comprehensive program to consumers who have been turned down for a mortgage, car loan, credit card or any type of credit due to credit problems. Our combined expertise and state of the art technology has helped thousands of customers to improve their credit standing and lower their debt.
As a consumer you already know that your credit score plays a significant role in your financial well being. Low credit scores can have a negative impact on many different levels. They may prevent you from obtaining needed credit such as a mortgage, school or car loan, or they may cost you a great deal of money in higher interest payments on loans, credit cards and insurance. Conversely, the higher your credit score the better your chances are of obtaining credit and loans at the best possible interest rates. If you have been denied credit, would like to lower your interest rates, or would simply like to remove inaccurate information from your credit reports, our service can help.
American Debt Enders is dedicated to helping people lead a debt free life. ADE offers Debt Settlement ,Debt Management and Refinance solutions. As a counseling agency affiliated with Consumer Debt Solutions, which is a BBB member. Visit https://www.consumerdebtsolutions.net for better business bureau information. Our NIFCE (National Institute For Financial Education) credit counselors are well equipped to provide you with guidance about our programs and how well suited your situation is for each of them. We have established relationships with the best companies in each solution area to be able to offer many more solutions than most companies, whether they are for-profit or non-profit.
American Debt Enders is a for-profit enterprise. All our consultations are absolutely free, and without obligation or pressure. During the consultation we will thoroughly analyze your problem, map out an appropriate course of action and implement the plan should you desire implementation. Consultations can be done initially, by phone or in person.
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