Debt Problems

Beware The Bailiffs: Know Your Rights

Beware The Bailiffs: Know Your Rights

Before comparing loans at, borrowers are advised to consider their financial circumstances very carefully. Unfortunately, many people have fallen into debt – a problem that is rapidly being made worse by the challenging economic conditions.If borrowers fail to keep up with loan repayments, some might find bailiffs knocking at their door.

A reality for many thousands of households in Britain, the prospect of bailiffs arriving at a home to take possession of personal property is undoubtedly upsetting. Bailiffs usually only make an appearance when debts have spiralled out of control, so avoiding them is possible by managing debt before it becomes too great a problem.

Some would argue that bailiffs are tasked with one of the worst jobs in the country. They make direct contact with debtors in order to seize personal possessions by entering the home and taking whatever they please (within reason, that is – there are limits on what items can be seized).

Most bailiffs are called to take possession of goods belonging to criminal debtors (those who fail to pay court-ordered fines or penalties for offences such as assault and prostitution). That bailiffs are required to deal with such people will come as little consolation to ordinary members of the public who find them at their doorstep after running into financial difficulties.

What Can Bailiffs Do?

Because of their reputation for intimidation and hostility, bailiffs are often regarded as conniving, brutish ogres who will stop at nothing to gain entry to a property and seize possessions. Members of the public tend to be wary of bailiffs, whose efforts to get the job done sometimes exceed the limits afforded to them by the law.

The golden rule for any person who is struggling with debt problems is to never let bailiffs inside the home unless they are acting on behalf of HM Revenue & Customs (HMRC), which can obtain a warrant enabling bailiffs to force entry to a home.

Bailiffs working for private firms can also obtain a warrant to enter a property and seize personal possessions, but only if entry is peaceful. Methods used by some bailiffs often go beyond what would be considered peaceful by a court.

What Is Peaceful Entry?

Peaceful entry is essentially unforced entry. The occupier of a home need not invite a bailiff inside for tea and biscuits for access to be peaceful. Bailiffs who are in possession of a Warrant of Execution from a County Court can enter a property through an unlocked door or by climbing in through an open window.

A problem occurs when bailiffs attempt to cajole or trick their way into a home, perhaps by informing the occupant that entry is required by law. Of course, this is simply not the case. Peaceful entry is permitted, but the occupant is not obliged to let the bailiff inside. If no peaceful means of entry is available to the bailiff, he will not be able to enter the property.

Bailiffs are not allowed to force entry if the occupant opens the door to them. Sliding a foot in the door or barging past the debtor is by no means peaceful. Unfortunately, once a bailiff gains entry to a home he will be able to re-enter at any point in the future using force if necessary. Bailiffs can seize any item owned by the debtor, including a car (unless it is subject to a hire-purchase agreement), but bedding, clothing and essential items of household equipment such as the fridge or oven cannot be taken.

How Do You Get Out of a Car Loan When You Are Underwater?

How Do You Get Out of a Car Loan When You Are Underwater?

How Do You Get Out of a Car Loan When You Are Underwater?Driving a car that has a value less than what you owe on it can be very frustrating. It may feel like you will never get out of debt. The best option is to be on time with your vehicle loan. If your budget is getting tight and paying that car loan is getting difficult, it is time to sell the car before you have to worry about car repossession.

How do you get out of a car loan when you owe more than it’s valued?

The process begins verifying the value of your car. Do a search on either or Kelly Blue Book. Be honest about the condition of your, it won’t help you when someone tries to reduce your sale price. Be sure to use the amount listed for a private seller when you list the car for sale.

Your next step is to contact your bank and verify the amount you owe on the loan. You will also need to let them know that you are looking to sell the vehicle. Verify the steps you will need to take in order to have the title released to the new owner. More than likely, they will send the title to a local branch where you can make the transaction with the new owner.

Once you have these two numbers, you need to determine a way to make up the difference between the two. Your choices are to save it up or to borrow it.

If you have decided that you need to borrow the money, contact the bank that holds your current car loan and talk to them about taking out a smaller loan. Explain to them that you are underwater with your car loan and are trying to get out from under that. Ask to take out a loan for the difference between the sale price of the car and what you still owe on the vehicle. Now, you have a smaller loan that is much easier to pay off.

If you need to purchase a replacement car, take out $1,000 or $1,500 over the loan amount and drive around a lower value car while you are paying off the smaller, new loan. Once the smaller loan is paid off, you can begin to save money for a newer vehicle.

Driving a car that you own outright is a great feeling! Following these steps will help you get there quicker!

What Does Obama’s Student Loan Forgiveness Plan Mean For You?

What Does Obama’s Student Loan Forgiveness Plan Mean For You?

Last fall when President Obama announced his plan to ease student loan burdens, it meant that student borrowers who have made their monthly student loan payments for a period of at least 20 years after leaving college may be eligible to have the remaining balance forgiven – and for those who have worked for at least ten years in public service positions, their loans may be forgiven once they reach their ten year anniversary of public service employment.

In addition, due to the fact that recent grads are not making the kind of money that was available to them several years ago, Obama’ program also calls for the capping of monthly student loan payments at ten percent of a student borrower’ take home pay.

For those who are members of the military, there is also some good news. Anyone who works for any of the five branches of the service and who also possesses a college degree may be able to also obtain forgiveness of their student loans.

Why This Is Important Today

Anyone who has ever taken on a student loan is well aware that this obligation can become a huge burden – especially for those who are not obtaining immediate employment upon graduation.

Years ago, it was easier for those who had their pick of post-graduation jobs to segue their student loan repayments into their other living expense budgets. Today, however, things have changed a great deal and even the smallest of expenses can become a big deal for those who are unemployed or even underemployed.

What Does This Mean for Student Borrowers?

In today’ economy, many people could breathe easier by saving even just a couple hundred dollars per month on expenses – and this is exactly what this program aims to do. According to the President, even though the student loan forgiveness plan doesn’t actually create jobs or even help in boosting the economy, it will make a big difference to millions of people who are having to make the decision every month regarding which bills to pay and which to hold off on.

For those who may not fall into any of the above categories, there is another possible option available in the student loan forgiveness program. This is to sign up for income based repayment loan terms.

The good news here is that this may be available not just to those with newer loans but also older loans as well. In any case, it is a good idea to compare the type of loan possessed with the best repayment and / or forgiveness option that is available to that particular borrower.

The Bottom Line

The bottom line on President Obama’ plan is to help ensure that those who choose to continue their education beyond high school do not end up broke because of the financing that is required in order to obtain that education.

When it’ all been said and done, even though President Obama may be remembered for his health care reform, the Student Loan Forgiveness Program will likely have affected a far larger number of people overall.

George Gallagher is a writer and blogger for the financial sector of the web. He is also a consultant to graduates concerning their student loan consolidation needs.

5 Top Tips To Stay Out Of Debt In 2012

5 Top Tips To Stay Out Of Debt In 2012

Heading in to 2012, millions of people will strive to keep their New Year’s resolutions. Many have set goals to lose weight, others to achieve a career goal, yet probably the most important resolution that we can make, is to get out of debt and stay there.

In most cases, staying out of debt is simply a matter of budgeting and self-discipline. The best rule to live by to avoid getting into debt in the first place is this: If you can’t afford it, don’t buy it!

These are great words to live by, but not always easy to apply in everyday life. Retailers encourage us to shop, offering easy, in-house financing to purchase large ticket items that we really can’t afford. They seduce us with low monthly payments, but neglect to mention the finance charges, which considerably increase the amount we actually repay. This is where self-discipline comes in: resist the slick sales pitch.

The following 5 tips will help you to avoid falling into the debt trap, and keep you on track for 2012:

1. Live Within Your Means

For some people, this is the Mt. Everest of personal finances. It can be difficult, especially if you have never applied self-discipline to your spending habits. If you are serious about staying out of debt, the key is to spend less than you make. This may mean cutting out that daily mocha cappuccino, the impulse purchases when shopping, or cooking instead of dining out. Review your spending habits to see where your money is going, and to determine areas where you can save.

2. Will That Be Cash Or Credit?

Credit card companies make it easy to overspend. After all, you can charge it now and make monthly payments, right? Not so fast! Before slapping that plastic on the counter, consider the total cost of an item, including interest charges, in case you end up carrying a balance. By paying cash, you will avoid the temptation to overspend.

3. Pay Balances In Full

Many credit cards offer great reward programs where you can earn air miles, cash back, store credits and many other perks. The trick to taking advantage of these programs, is to charge only what you can pay off each month. This way, the credit card company is paying you to shop. Enjoy the rewards!

4. Lock Up Your Credit Cards

If you are one of the millions of people who has a hard time resisting impulse buys if you have plastic in your wallet, then by all means, take it out! Lock your cards away and resist the urge to take them with you when you leave the house. If you don’t have them handy, you can’t use them, right?

5. Create A Budget You Can Live With

To stay debt free, you need create a budget you can live with – and stick to it! Working within your income, be sure to include all regular expenses, designate a set amount to put in savings each month, and leave a little to spend.

Apply the principles we have outlined here, add a liberal dose of common sense, and you can stay out of debt in 2012!

About the Author
This article was written by Phill representing – an independent financial website bringing together and comparing available log book loans.

Lending Help to Your Urgent Needs

Lending Help to Your Urgent Needs

Payday loan is picking up in popularity at a rapid pace. Several persons are showing interest in this loan variety just because of multiple advantages it offers. First of all, accessing payday loans is fairly easy because of lesser requirement and higher approval rate (read 100%). You just need to submit your employment status in detail as well as bank details. The source and figure of your monthly income are the main considerations for the lenders because they always want to make sure that you have enough to pay off the borrowed amount.

Payday loans are offered for short term period only. Time span ranges from two weeks to one month. Whatever be the amount of loan, it is sanctioned within a very short time length. Generally, such loans are paid off on a borrower’s next payday. The volume of your payday loan is directly deducted from your bank account when the next payday arrives.

Once you get a green signal from a lending organization, the loan is deposited with your bank account. The account details are provided in your loan application. You can receive the money as soon as the loan is approved. What about the loan repayment? Well, it is fairly easy to pay back the payable amount. So, the overall picture is quite impressive and in favor of the borrowers to a considerable extent.

One mention-worthy point is that credit status is of very little value in this case unlike other loans. A bad credit report is not a factor to get the. Truly speaking, if the lenders are convinced that you have stable income, they do not hesitate to extend their monetary help. The volume of loans granted to you depends on your monthly earning and your capability of paying the figure back.

However, there is always another side of a coin. It is really good that you get such loans irrespective of your credit history and within a very short time period. But the interest rate is much higher than that of traditional financial help. So, be prepared to pay through your nose. Before deciding to apply for payday loan, make sure that you are able to pay it off. If the interest rate is not acceptable to you, look for an alternative to meet your needs.

With every loan, comes an obligation to repay it within time. So, do not go for one that charges extraordinary rate, thereby loading burdens on you. Remember that if loans are not cleared within time, you may have to end up paying penalty and facing harassment. Gather details as to interest rate and repayment terms. Make it a point to collect quotes from several lenders. It will definitely help you choose a better pick when you are tight on cash.

Planning for your new financial year

Planning for your new financial year

We all have New Year’s resolutions, but they are often not worth the paper they are written on or the hard drive they are saved on. Saving into an ISA at moneysupermarket can be a start.

From a financial point of view, we all plan to spend less in the coming year but often circumstances make it difficult for us to adhere to our plans.

With the world economy the way it is and many European countries bordering on default, saving must be at the top of the list. It is always a good idea to compare ISAs at moneysupermarket and other such comparison sites so you know that you have the best savings vehicle for your circumstances.

Financial planning for the next year should not be left until the last moment. Start earlier rather than later, so that the Christmas period won’t find you spending when you should be saving instead.

It makes good sense to plan your financial life from the start. Draw up a monthly budget and stick to it.

Longer-term financial goals should be next. If you stick to these plans, you will have the money saved for big expenses such as buying a home or a car but will also have cash available for short-term needs.

A financial budget will help you at the beginning of every New Year. You will not have to start a whole new plan from scratch but will only have to revise the standing one.

One of your resolutions might be to pay off more on your mortgage loan. If you have decided upfront that you are going to pay off more than the required amount, you will find that you can pay off your property years ahead of time.

Plan to pay off all or most of the debt that you have. Consolidate your debt into one bad credit credit card. This means that you have only one debt repayment.

Many brokers can also assist with consolidating your debt. They often have high fees, however and you should take care what you choose.

If your debt levels are giving you sleepless nights, you might want to consider additional income. Try to find an extra job or turn a hobby into an income generating sideline.

Any member of the household who is of working age and who is unemployed should try to find gainful employment. If you like children, you can start to care for the children in the neighborhood at a rate cheaper than the conventional one.

In this way you will make money and the neighbor will save money on childcare. If you can care for the children of more than one parent, it means an even better income.

Energy comes at a premium. This is a worldwide phenomenon. Reduce your electricity use to cut your own electricity bill but also to do your bit for the environment.

Our financial well being forms a large part of our day-to-day lives. It makes it possible for us to own homes and to educate our children the way we want to.

When you do your planning for the next year, involve your children in the process. They are never too young to learn how to handle their own affairs.

How To Get Out Of Debt – Fast!

How To Get Out Of Debt – Fast!

Are you hopelessly in debt? Have you maxed out your credit cards and feel like you have nowhere to turn to? Is your net worth now in the negative? Don’t despair. There is a way to change your current situation. You can still turn things around and make it better. Let me reveal to you 4 steps on how to get out of debt – fast!

First, plug the hole. If there is a leak in your tub no matter how much water you put in, it can never be full unless you plug the leak. In the same way, in order to get out of debt find out why you are in debt in the first place. Track down your expenses and determine where the bulk of your money has been going. Has it been going to shopping sprees, eat outs or expensive vacations? Figure out where you are putting your money and take control.

Second, cut back. You are in debt because of one simple reason: you are spending more than you earn. No matter how much you earn your expenses will always be in proportion to your income. The solution to this is to live beneath your worth. Do not overspend. Cut back on unnecessary expenses. If you have been going to an expensive gym then opt to go jogging instead. If you have been eating out 3x a week then cut back to once a week. If you enjoy going to movies every weekend chose to watch dvd’s at home. It is the little things that matter and these will make a big difference on your bottom line.

Third, cut down your credit cards. You do not need 3 or 4 credit cards. You only need one. So if you own 4 cards cut the other three in half and just leave one for emergency use. Credit cards are not evil. They are neutral. But in the hands of undisciplined people they can be dangerous. If you are not careful they can be the cause of your financial downfall. One disadvantage of using a credit card is that it makes spending much easier. Why? Because you don’t see money disappear. It’s a lot harder to hand over a thousand bucks than your credit card. That is why it is much harder to control yourself when you go shopping with your card. To minimize temptation always buy in cash.

Fourth, save at least 10 % of your income. When it comes to money it doesn’t matter how much you earn. What matters is how much you keep. So every month put away at least 10% of your salary. Never touch it. The only time when you can touch that money is when you are going to invest it. This will allow your money to grow and will provide you with the knowledge that you will never run out of money.

Amy C. is an interior decoration aficionado and online marketer.  She also likes testing and trying new home and office decorating themes.  In addition to being an interior decoration hobbyist, she enjoys designing calming solar fountains and glass art.  Amy invites you to browse her delightful collection of glass vases

Financial Sacrifices You Have to Make

Financial Sacrifices You Have to Make

According to the researches conducted on english consumers, millions of UK residents are making huge sacrifices just to be able to pay their utilities bills. Many families cut back on their usual expenses such as food and other essentials just to be able to pay for electricity, gas and heating. Many consumer groups and charity foundations have long feared that this will come to happen.

Many of these charity organisations have been requesting the UK government to start helping the struggling part of the UK’s society. The elderly have been the most in need of help in this period, not being able to leave the house or go online to switch utility suppliers for better deals.

Can’t pay the bills? Payday loans can help.

The same type of research conducted several years ago showed that 44% of the interviewed consumers had to cut back on day to day expenses just to be able to pay the bills at the end of the month. There are solutions to help people that are unable to pay all their monthly bills. Payday loans can help people pay their utility bills on time and avoid arrears.

The same studies showed that 65% of UK citizens were shocked at the size of their utility bills even though during the same period, the six important utility suppliers in the UK were cutting prices. The spokesman for Consumer Focus, Jonathan Stearn commented that it is a disgrace that huge bills during the winter period cause so much misery for people with low income, the elderly or people that are unable to work.

In a statement following the completion of the research.

Utility bills on the right track.

Thankfully, utility prices have started to return on the right track, however some families are still struggling. One of the leading British electricity suppliers have started to cut the prices by 8% per month, leading to £43 savings on electricity bills. That may not seem much but it is a solid indicator that the utility providers understand the situation and are working to fix it. While payday loans can be used to help with some payments and avoid being swamped in unpaid bills, they are not to be used over large periods of time due to the high interest rate payday lenders charge.

Many of the UK’s leading gas and electricity suppliers have started to cut down on their prices and for those people that are still unable to pay all their bills by the end of the month, new payday lenders provide short term loans that almost anyone can apply for. With short term loans you can borrow from 200. Even the lowest amount you can borrow will help a family that cannot pay all the bills and will make sure they have enough to buy some essential goods. This is a good method to insure you do not stack up on unpaid bills, but remember that because of the high interest rate lenders charge, you should pay back the short term loan as quick as possible.

A way to live up to your obligations

Financial problems may come up at any given point in our lives without informing us beforehand. If you meet with any emergency all of a sudden, you may find it difficult to handle the situation, especially when you’re nearing the end of a month. It might be a good ploy to go for the cash advance option under circumstances when your friends or relatives aren’t able to support you. These quick cash loans are short terms loans. Such loans are usually offered without any credit requirement.Quick cash loans may help you to cope with all emergencies without any difficulties. All your problems may simply vanish within a few seconds. For quick cash loans, you’ll usually meet the eligibility criteria if you have a consistent flow of income and if you’re at least 18 years old. The processing time for these loans is really much less as compared with other loans and the steps to apply are also quite easy. You may use cash for meeting your financial obligations like medical bills, electricity bills etc. The lender won’t restrict or interfere in whatever way you use this money.

The quick cash loans that you borrow may even vary between $100 and $1,500. The amount of loan approved against your application may vary as per your monthly income. Such loans are usually approved for a period of 14 days, and hence you need to repay them by the time you receive your next paycheck. The lender may even allow a few more weeks for you to repay a loan. But you should only avail such option, when you’re not able to repay the cash within the following payday.

You should always opt for quick cash loans without any hesitation in case you’re trudging with credit problems concerning any missed payment, skipped payment, late payment, bankruptcy, insolvency, CCJs, defaults or arrears. They will reach out cash to you instantly. A quick cash loan for 12 months will allow you to use the loan amount through any obligation, and repay it within that period.

You may get in touch with a few online lenders in order to apply for quick cash loans quickly and conveniently. Online requests are easy and quite smooth. You may shop for a few online quotes and get an idea of the interest charges so that you end up selecting a good deal and avoid all hassles. Quick cash advance is always there to support you through various obligations like repaying your shopping bills, purchasing a cell phone, buying grocery, car maintenance etc. You may now look up to your necessities quite confidently.

Refinancing Your Loan – Things to Remember

As many households take a long hard look at their finances to try and squeeze the most out of every dollar earned, refinancing loans may be considered as an option to free up some money.

However, whilst it is possible to get a new deal to lower outgoings, there are a number of other factors that need to be taken into consideration rather than just checking out the cheapest rates on a loan repayment calculator.

If refinancing is being seriously considered as an option, one of the first steps should be to establish what is on the credit record. In the current economic climate, lenders are tough on anyone with blemishes on their files and will be reluctant to offer competitive interest rates.

The US government obliges credit bureaus to provide an annual free copy of an individual’s credit file upon request and this is a good place to start.

Ensuring that there are no inaccurate or misleading entries and that the credit file is in good shape is essential before applying to a lender. It is equally important to make sure that lenders have lodged good credit entries, as not having any credit can also make a new lender wary.

For those who have a few blips in their recent history, it is not the end of the world. However, it would be better to postpone any refinancing until a little more time has passed and concentrate on creating as many positive credit entries as possible to reduce the impact of past problems.

Assuming all is OK and refinancing is possible, it is essential to check how much closing down your existing loan will actually cost. Many lenders charge early repayment penalties and these are generally in the region of 2-10 per cent of the total loan value, not an insignificant sum.

Especially for those refinancing to create more income, paying an extra lump sum to the finance company can seem like a choker and it can be tempting to add these to the new loan. However, if at all possible, this should be avoided as it will simply mean more borrowing to pay interest on.

Individuals considering refinancing loans may have any one of a number of priorities and it is important to be clear about what is most important before assessing options via a loan repayment calculator.

Some people may be looking to access some cash in order to pay for a large expense, such as a college fund or new auto. Another’s main priority may be lowering the monthly cost in order to be more comfortable financially.

A different reason to consider refinancing is if the loan was originally based on a poor credit score. If an individual’s credit rating has significantly improved since the loan was taken out, refinancing may lower the interest payable, reducing repayments without extending the term.

Some individuals find they are in a better position financially than they were previously and whilst they do not have sufficient funds to repay the loan in full, they can slash the repayment term so they are debt free sooner.

Whilst not commonplace, some lenders allow overpayments on loans with no penalty, a convenient way to pay off a debt more quickly without needing to refinance.

Most lenders have loan repayment calculators on their websites which allows the repayment term and monthly commitments to be played around with to find the most suitable deal, without any pressure from a sales person.

Some companies do not include a loan repayment calculator on their website, preferring customers to contact them for a quote, but this often means customer do not have the opportunity to take as much time to consider the variables.

Refinancing can be a good idea for many people but it is important to ensure the loan is being renegotiated for the right reason and is not simply adding to the debt burden.

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