Comments for Home Equity Line Of Credit - Line of Credit Home Loan

Comment on can anybody tell me what a “line of credit” loan is?? by luna007

luna007 — Mon, 09 Jan 2012 03:21:15 +0000

LOC Or Loan?
Loan you start paying right away at a fixed rate, if you set it up that way. it includes interest and principle (usually)
LOC is like a Credit card. pay when you use and at a variable rate. If they tell you the payments are fixed then read the fine print with a magnifying glass. Min pays are interest only

Comment on Help me understand a “12 month line of credit” and other questions about getting a HOME LONE.? by SumDude

SumDude — Sat, 31 Dec 2011 06:31:05 +0000

LOAN … BORROW … and read and understand BD’s answer (I respect her answers).

Then go shopping around for a smaller bank or credit union that wants your business. If you can save up $7000 or so in 5 months, I think somebody out there would want to make you a loan (especially since it is backed by the asset – the house). Have you tried going through FHA or the VA (if you are a veteran)?

If you still need more examples of credit on your report, get a credit card, charge routine stuff, and then pay it off in full every month. No money wasted on interest expense (!) And at the new bank or Credit Union put (say) $2200 in a one year Certificate of Deposit and borrow $2,000 on a one year term at only 1- 2% more that you are earning on the CD. {In other words, the CD is the security for your loan.} [and yes, 12 months of payments means 12 months.]

^^ just make sure (by asking) that this activity will be reported to the credit bureau’s; and good luck house hunting!

Comment on What does it mean if I was turned down by a credit card due to “sufficient open lines of credit?”? by Bridget

Bridget — Mon, 28 Nov 2011 18:06:14 +0000

You scored low because you have been applying everywhere and your credit has been check to many times in a short period. (It makes your score go down.)

You already have two or three lines of credit from that source. Even though the issuer has different names, it is the same bank.

Comment on What does it mean if I was turned down by a credit card due to “sufficient open lines of credit?”? by timothy p

timothy p — Mon, 28 Nov 2011 17:58:23 +0000

It means that credit card company has already extended the amount of credit they feel you need.

Comment on What are the negative long term consequences of “card hopping” to pay off my high interest credit cards? by logicboy

logicboy — Sat, 19 Nov 2011 22:07:33 +0000

The time you’re wasting bouncing the balances around you could have paid off the low balances first. Yes, most experts agree that it might be wiser to pay high interest off first, but Dave Ramsey says go for the psychological gains by paying off the lowest amounts first. Get a few victories under your belt, and watch how quick you get your credit cards paid off! Check out his book “Financial Freedom” and put his recommendations into his plan called “baby steps” this stuff is great. I picked up the book on ebay for $12.00 He has been Oprah and really drives home how to become debt free, I am not there, but I am not to far off! Good Luck kid!

Comment on What are the negative long term consequences of “card hopping” to pay off my high interest credit cards? by Wylie Coyote

Wylie Coyote — Sat, 19 Nov 2011 21:43:30 +0000

You may not be able to pay and they can jump the interest rate in a default to very high rates.(29%). In order to maintain high credit rating, some banks prefer that you pay down your unsecured credit to 40% of the extended credit. If you can get 0% take that, but be sure to pay on time and in terms. Try to reduce the debt. You can start to build wealth that way.

Comment on What are the negative long term consequences of “card hopping” to pay off my high interest credit cards? by Lord

Lord — Sat, 19 Nov 2011 20:52:03 +0000

Hi,

Check out http://creditcard.creditoverseer.info for some useful info and tips related to your query. Good luck!

Comment on Credit Line MIllionaire, Testimonial by Margie Mulligan by PaymentMax

PaymentMax — Wed, 16 Nov 2011 22:10:39 +0000

well said.

Comment on Refi “not enough equity”? by yourmtgbanker

yourmtgbanker — Fri, 11 Nov 2011 01:25:11 +0000

You need to check with different lenders. There are several different loan programs. How long ago did you purchase? How much is your home worth today? FHA will do a no cash out refinance up to 97.75% of the appraised value. There are other programs that will do a 100% refi but the rate is much higher than if you can qualify for FHA.

Comment on Refi “not enough equity”? by Sky S

Sky S — Fri, 11 Nov 2011 01:08:42 +0000

If you are a first time borrower of a home equity loan it is imperative that you have a checklist of essential questions that you need to ask each and every lender. The answers to these questions will provide a valuable reference to base your comparisons on. What’s the interest rate? Knowing this is crucial. The interest rate will determine