HomeRecovery.org Guide
Foreclosure Prevention websites are easily found online. Homeowners struggling with payments, loss of income and more can find
dozens of solutions with a click of the mouse. However; without the proper research homeowners could end wasting precious time and money.
Below we have provided a basic overview of the foreclosure process that may help you get off on the right track.
Foreclosure Information Guide
Foreclosure is a complicated legal process that can take years to process. Knowing your legal rights and seeking foreclosure assistance can be the difference between keeping and losing your home.
You are not in this alone. In September of 2010 1 in every 370 homes received a foreclosure notice. Mounting debt, loss of income and job loss are the main reason homeowners are falling behind on their mortgage. Homeowners that fall behind on their mortgage and are facing foreclosure should research the foreclosure process in their state.
Below we have provided a basic overview of the foreclosure process. You have options no matter how far you are into the home foreclosure process. If you need assistance please contact us directly for options that may help you prevent foreclosure, lower payment, rate & get a fresh start.
Types of Foreclosure
There are two main types of home foreclosure. The first is foreclosure by judicial sale. This is available in every state and is the required method in many. It involves the sale of the mortgaged property done under the supervision of a court, with the proceeds going first to satisfy the mortgage, and then to satisfy other lien holders, and finally to the mortgagor. Because it is a legal action, all the proper parties must be notified of the foreclosure, and there will be some sort of judicial decision, usually after a short trial.
The second is a foreclosure by power of sale, involves the sale of the property by the mortgage holder not through the supervision of a court. Foreclosure by power of sale is faster way of foreclosing on a property than foreclosure by judicial sale. The majority of states allow this method of foreclosure. Again, proceeds from the sale go first to the mortgage holder, then to other lien holders, and finally to the mortgagor.
The Home Foreclosure Process
The foreclosure process typically takes 6-8 months but during the recent foreclosure crisis foreclosures have been sitting on the books for a year or more. If you have kept up with the news lately you may see reports of a nationwide foreclosure freeze. As of 11-10-2010 every lender has started processing foreclosures again in most states.
Pre-Foreclosure
Pre-Foreclosure is described as the period where you miss one or two mortgage payments. By issuing a Demand Letter lenders can demand complete and immediate payment of the loan, plus late charges, penalties, and legal fees. If you do not pay the total amount due withing 30-days the lender will continue on with the foreclosure process. This is your time react and correct the problem before it gets out of hand.
Notice of Default
If you have not paid your mortgage in over 90 days then legally you are foreclosure and the legal process will start. At this point in the foreclosure process the bank, an attorney, or local sheriff issues a Notice of Default (NOD) to the homeowner as a certified letter. The NOD outlines homeowner debt and last-ditch remedies for reinstating the mortgage. Meanwhile, a notice of foreclosure is recorded with a local government agency, the debt is publicly announced in a local newspaper, and a date selected for a foreclosure auction. Issuance of the NOD also triggers opportunities for investors and homeowners to negotiate short sales, which often prove beneficial.
The Auction
The auction is the final part of the foreclosure process. The lender will auction the home off at a discount to lessen the amount of their loss. After bidding is complete, a purchase contract is issued to the high bidder. If no bids are received higher than the opening bid, the lender purchases the property and puts it back on the market. This is something the lender wants to avoid so understanding your options prior to this stage of foreclosure is crucial.
If you want to learn more about your rights as a homeowner please contact us directly.
Credit Card Debt a Top Concern
Eliminating credit card debt is a top concern among millions of consumers. However, many people fail to outline a realistic strategy for reducing debts. There are many approaches that will put you on the path toward becoming debt free. Each person must assess his or her own situation and create a plan. Here are three tips to help you become debt free within a few years.
Recognize the Problem and Alter Spending Habits
Before you can take the necessary steps to reduce and eliminate credit card debt, you must first acknowledge excessive spending and resolve to change your lifestyle. Unfortunately, many people choose to live beyond their means. Furthermore, many acquire excessive debts because of trying to “keep up with the joneses.”
Credit cards serve a valuable purpose. They are great during emergencies and when you are financially strapped. However, if you are charging more than you can afford to pay, this creates a huge problem. As you endeavor to eliminate debts, be determined to stop using credit cards. Do not cancel credit accounts. However, you may consider cutting your cards or storing them away.
Pay Double, or Triple the Minimum Payment
If you are hoping to reduce credit card debts, you must be willing to pay more than the asking minimum payment. In fact, paying only the minimum will make it practically impossible to become debt free. Instead, attempt to double, even triple your monthly payments. If possible, make a large payment toward reducing your balance. This method is most effective.
Obtaining a lump sum of money is challenging. You may choose to use a tax return or bonus money received from work. Getting a part-time job may also provide you with the extra cash. If you own a home, take advantage of your home’s equity. Home equity loans or cash-out refinancing generally present homeowners with enough cash to payoff high interest credit cards and other debts.
Use a Debt Management Company
If you need assistance with managing large debts, think about contacting a debt management agency. Trained debt management specialists will review your credit and outline a plan for reducing debts. Furthermore, the company will contact creditors and negotiate a lower interest rate. By doing so, a larger portion of your monthly payments will go toward knocking down the principle balance. Thus, helping you achieve your ultimate goal of eliminating credit card debt.
Increase in Credit Card Debt
Credit card debt is increasing every day, with credit cards becoming easier to obtain, consumers balances are on the rise, and people are even using one credit card to pay off another. Credit card debt is also becoming a problem on college campuses and it is a major factor in a lot of bankruptcy cases, with near $20 billion discharged in chapter 7 bankruptcy cases each year. It is an outbreak in world but even more so in the western world, most notable in the US.
A debt consolidation loan could help you to consolidate the high debts on your current credit cards to a lower interest rate and probably a lower payment. Consolidation loans are intended to help consumers pay off their bills and lower debt. When you have many cards with large amounts of debt and high interest, debt consolidation can be a life saver.
Rates on credit cards vary quite a bit, so a good idea is to know all your rates and try to transfer balances to lower rate cards when ever possible. It is also possible that consumers can call their creditors and negotiate for lower interest rates, usually it’s best to consolidate the debt at a lower rate when possible. If you fail to make your monthly payments as agreed, your interest rate will then go to the penalty rate which is usually quite high.
Overwhelming credit card debt is also causing students to be hounded by creditors and in many cases, declaring bankruptcy said Candy Acezedo, director of education at Consumer Credit Counseling Service. A high debt can also force a student to take a part time or regular job, which often will have a negative effect on their studies.
The best way to stay out of trouble with debt, is to just use your head and don’t spend money you know you will have a hard time paying back. If you are already drowning in debt, there are free credit counseling agencies that can be found online, that will be able to help get you started in the right direction.
Eliminating Debt with USDebtAid.org
Acquiring too much debt can put a major strain on a household. To eliminate debt, many people consider bankruptcy. With the new bankruptcy laws, it has become difficult for some people to eliminate debt. However, many will continue to qualify for bankruptcy protection. The effects of bankruptcy are long term.
Before considering bankruptcy, it helps to explore solutions to debt elimination. Here are three tips that can help reduce debts.
Limit Credit Card Use and Pay More than Minimums
People file bankruptcy with varying credit amounts. Some have acquired over $10,000 of credit card debt, whereas others only have about $2,000. Individuals with small debts can usually payoff the balances without bankruptcy. However, these persons must be willing to make sacrifices.
If attempting to eliminate debt, stop using the credit card. Paying only the monthly minimum, and then going on a shopping spree defeats the purpose. Before you can successfully eliminate credit card debts, you must commit to using cash for all purchases. Additionally, the majority of minimum payments barely reduce the finance fees. To notice a significant reduction, endeavor to pay the minimum payment, plus an additional $50 - $100.
Negotiate a Lower Interest Rate
If you have maintained a good payment history with a credit card company, attempt to negotiate a lower interest rate. When contacting the credit card company, highlight your history with the company such as length of credit account, payment history, etc. If your credit is good, the company may consider a reduction. Before approving the request, you must consent to a credit check.
In addition to evaluating your history with the company, they will also assess whether you maintain a good payment record with other creditors. If your credit score is low, it may require the help of a debt consolidation agency to convince creditors to lower interest rates.
Once your credit card interest rate is lowered, you pay less finance fees. Thus, a larger portion of your monthly payments will help reduce the outstanding balance.
Consolidate Debts with a Home Equity Loan or Refinancing
Owning a home provides a huge advantage. Homes increase in values, thus they gain equity. As a homeowner you have the option of tapping into your home’s equity. Through a home equity loan or refinancing, you have the chance to get hold of a lump sum of money that can be used for different purposes. One such purpose includes debt consolidation.
For information on debt settlement, debt relief and credit card debt programs please visit http://www.USDebtAid.org
Credit Score Overview
A credit score is not the amount of purchase that you incurred with your credit card and neither does the term refer to the points that you save for every purchase that you make with the credit card. This is not the meaning of a credit score.
Although it does involve credit per se, it does not only refer to credit cards but to credit in general, or in more common terms, a loan. A credit score is the numerical product of your credit history, from the loans that you incurred in college to the purchases that you make with your credit card. All are being recorded and filed under one credit history that can come back and hunt you if you are not careful.
A credit score is used by banks and lending companies to make decisions on your loan applications. With a not so good credit score, you may get rejected for a loan or if you are lucky will be given a fraction of the amount that you are asking, for a higher interest rate and a shorter payment period.
A credit score, you see, determines whether a person is reliable enough to be given the money to as a loan. For although, they will be earning from you through the interest rates that they put on the loan, banks and lending companies are still cautious because they do know that they cannot just lend their money to people they don’t know if able to handle money.
A credit score depends on a lot of factor. One of which is your reputation as a borrower. Are you always late in your payments for your credit card? Are you always knee deep in debt because you cannot seem to get around to paying each one until the interests were just too high?
Do you have maxed out credit cards? Have you had any other credit or loan that you have paid for or are still paying? How many are they? Have you had any problems paying for your loans? These will figure in the credit score that you will have.
Other considerations that make up your credit score is income that you are receiving currently. People who have high income are generally perceived as someone who can handle a loan. Another factor besides the ability to pay factor is the amount of debt that you have. If the bank feels that it is too much debt for one person, they can easily reject your application.
There are many ways to get a credit score. The industry standard is the FICO score, named after its creator Fair Isaac Corporation. FICO score is being used by credit reference agencies, that will gather the materials about your credit history and then determine from their the credit score. Some use their own scoring systems that are comparable with the FICO score.
The FICO credit score can now be determined by purchasing it over the internet through the website of credit reference agency, Equifax. The fee is $12.95. The other two credit agencies, TransUnion and Exparian are also selling their own score for roughly the same amount although TransUnion packaged it with their credit history report that people can purchase online.
So now you know what the meaning of a credit score is? Let’s hope you will work on your own credit score.
For more information on credit scores visit Stuart Drossner and his blog at Stuart-Drossner.com.
Debt Leads in High Demand
Debt Leads for the Debt Settlement Industry are in high demand due to the increase in consumer debt, job loss and out of control credit card debt. The industry seems to be in a prime spot to excel over the next several years. Good debt leads from a solid debt lead provider is what fuels most debt settlement companies. They may generate debt leads with in house marketing or buy debt leads from a lead provider. Either way a good debt lead is vital to the success of a debt settlement company.
Generating quality debt leads is tricky. Debt Leads need to fit a certain criteria to be considered a quality debt lead. The key components of a quality debt lead are listed below.
1. The applicant usually needs to be over $10,000 in unsecured debt. Unsecured debt is any debt not tied to collateral such as a mortgage or auto loan. The most popular type of unsecured debt is credit card debt.
2. The applicant must have income to support a minimum payment on a debt settlement program.
3. The applicant should not currently be in a debt settlement program.
4. The applicant must be in a state that allows the lead buyer to offer their debt settlement program.
5. The applicant must be interested in helping themselves and want a free consultation on debt relief.
If a debt lead has these 5 key components then it is considered to be a quality debt lead. There is no shortage of consumers needing debt help, finding a qualified person in this economy is the hard part. Next time you buy debt leads make sure your leads match these key components and you will have a successful debt lead campaign.
I Need Debt Help
Gas prices rising, talk of a recession, mortgage crisis, layoffs, cut backs and americans in debt. Sounds bad doesn’t it, well it is worse than you think.
Recent statistics show that americans are carrying larger balances on their credit cards and even using credit cards to pay off large bills each month suchs as auto loans, mortgage loans, and even other credit cards. How can you stop the cycle and get back into a positive cash flow? First you need to have a stabile income that is 20-30% above your monthly obligations for the month. Do not even think about your credit card balances at the moment. Pay the minimum, but focus on a job or income that has you at a comfortable level.
Second look at your household budget. Besides the credit cards what fat can you cut away. Most americans are spending way too much money on things like food, clothes, entertainment, and more. Food being an expense that every household can cut back 20-30%. If you take a moment and add up every dollar you spend eating out you will end up with a larger total than you think. A snack here, a drink there, a pizza for dinner, going out to eat a few times a week, all this is major money spent.
Take a hard look at your cable, phone and internet bill. Would bundling your services with a local provider save you even $75 per month.
We also recommend that you breakdown your insurance bills. Mortgage insurance, home insurance, car insurance, and health insurance. Go back to your insurance agent and push for discounts, if you have the same agent for car and home insurance you may be able to find savings by talking to your agent.
Ok so, we locked in a stabile income and we cut some fat from your monthly budget. Now we can take a look at the credit cards.
There are two debt help options, debt consolidation or debt settlement.
Debt Consolidation
Debt consolidation services have prearranged debt repayment plans with most credit card and collection companies. When you sign up with a debt consolidation company you are offered a lower overall monthly payment based on a lower interest rate they have arranged with the creditor.
This payment is lower than what the credit card companies offer you, saves you money every month and is often the best way to consolidate debt.
One benefit of a debt consolidation repayment plan is it will stop you from getting harassed by your creditors as long as you make the new, lower monthly payments.
The debt consolidation program benefits you if you have high interest rates or have higher credit card bills than you can manage. Some people like to make only one payment to one company for all of their debts.
Debt Negotiation
Debt negotiation is sometimes referred to as debt settlement. This is most often offered to people who can’t handle a debt consolidation program. If you can’t make the minimum payments of a debt consolidation repayment plan or haven’t made payments in the past 3 months, a debt negotiation program is the next step for solving debt and credit problems.
One benefit of a debt negotiation program is you stop making payments to your creditors. The debt negotiation company either takes monthly payments from you and keeps it in an account, or lets you keep the money in your own account.
While you are making these monthly payments to the debt negotiation company, they negotiate with your creditors for a lower payoff of around 40-50% of your total amount of debt. Once the negotiated settlement is agreed upon with your creditors, the debt negotiation company makes a one time payment to them.
Whatever you decide at this point you need to make a move and focus on getting rid of this credit card debt.
Debt Help for Women
It is easy for anyone to fall into the never ending cycle of debt. There are many reasons why people find themselves accumulating debt, and women face specific challenges that cause them to be susceptible to the debt trap. Women are particularly vulnerable to the unstable economy, as women are historically paid less than men even in good economic times, and are often the first to be laid off, and spend the most time away from the workplace to raise children.
While a big reason for debt accumulation is employment problems, some women do spend too much and end up paying for a lifestyle they can’t afford. However, there is debt help for women that can help them pay off their bills and maintain an affordable lifestyle.
For women who are having a hard time affording their bills because of employment problems, and have accumulate debt trying to pay for daily living expenses, there is help. Employment assistance programs for women exist to help them find employment. There are also educational programs specifically for women to train them in a field of their choice so they can learn the skills they need to get steady employment or re-enter the workforce after being away raising children.
For women who have a problem budgeting and controlling spending, debt consolidation can help them reduce their payments and pay off their debt more quickly. Combined with credit counseling and proper budget planning, anyone can learn to stay out of debt for good. Sound financial planning is the key to staying out of debt and there is plenty of good information and advice for women to help them plan a budget
The key to getting out of debt is having enough income to cover basic living expenses as well as enough extra to make debt payments. Setting and sticking to a budget is crucial, as well as having a dependable job that pays well enough to cover living expenses and debt payments. Many women find themselves in debt, but fortunately there are many programs available to help women find employment and learn sound financial planning. Debt help for women is available at www.WomenDebtFree.com
How to Find Free Online Credit Reports
A person’s credit history is important, because it affects their ability to get a mortgage, car loan, personal loan, insurance, and sometimes even a job. Qualifying for any type of financing requires information from credit reports, and any negative information can cause interest rates to rise, or even disqualify an applicant from getting needed funds.
Knowing what is included on your credit report is important, not only so that you know what information potential lenders will see, but because monitoring your credit information will alert you to possible credit fraud or incorrect information. There are many companies online that claim to give away free credit reports to anyone who wants to see their credit information, but in reality, these credit reports are not actually free.
Even companies well-known for providing free credit reports do so at a cost. Technically the credit report is free, but users have to sign up for the company’s credit monitoring or other credit related service to view their “free” credit report. It is normal to need to provide a credit card number on some sites to prove your identity prior to receiving a free credit report. It is important that after you receive your free credit report that you simply monitor your credit card statement for any additional charges.
For most people reviewing a copy of their credit report once a year to check for possible fraud or inaccuracies is enough to safeguard their credit, However, there are circumstances when it is important to get updated credit information more frequently.
People, who have lost financial documents, credit cards, or other personally identifying information, are at an increased risk of credit fraud. This can also lead to identity theft an increasing crime in the US. Consumers who are planning a major purchase such as a home or car may also benefit from more frequent monitoring in the months before their purchase.
If you are looking for a truly Free Credit Report please visit www.CredMax.com and visit the Free Credit Report Section. CredMax.com also provides articles, news and how to guides for increasing credit scores.
GM&R Leadership Group
GM&R Leadership Group is your one-stop financial services
GM&R Leadership Group is your one-stop financial services company that prides itself in superior customer service, and will work tirelessly to help you improve your financial lifestyle.
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GM&R Leadership Group’s main goals are to offer Middle America the business opportunity to make some serious money on a part-time basis, and help people save money and build their financial fortresses of wealth and control their financial destinies.”
Do you have over $10,000 in credit card debt, car loans, student loans, and personal loans? If so, our Debt-Free Solutions program can help you get out of debt in less than 36 months and save you thousands of dollars in interest charges without negatively affecting your credit.
No need for debt consolidation, no need for debt settlement, no need for debt counseling, and no need for bankruptcy!
If you can no longer afford your debt payments, our DEBT NEGOTIATION PROGRAM may be a better solution for you.