Friday, February 27, 2009

Why go for Student Loan Consolidation?

Don't you think there's a drastic change in life before and after graduation. At this point of time, somehow, we realize how life can get so expensive. There are so many expenses tied into post graduation life: student loans, housing costs, relocation, car payments and on top of that, if you are extravagant, the list will go on. The solution to this can be Student Loan consolidation.

What is Student loan consolidation?

Student Loan Consolidation is a practical repayment tool that helps you to consolidate all your student loans into a single loan. By this, all your previous outstanding student loans are written off and a new loan will be started. This significantly reduces your monthly payment plan. For example, let's say you have three different government student loans and they come with different interest rates to be paid at different times. By student loan consolidation program, you can consolidating them into one loan and pay monthly, which becomes a lot easier and you don't have to manage multiple loans anymore.

What are the benefits of Student Loan Consolidation?

  • Monthly payments are reduced: Once you have consolidated all your student loans into a single loan, the payment is done only once in a month instead of several monthly payments. This in result reduces your monthly payment, sometimes by as much as 53%.
  • Low interest rates: Using student loan consolidation program, you can negotiate and take advantage of low fixed rate interest for the new loan. Thus help you save some money on interest.
  • No processing fee or credit card check: These loan programs are generally flexible and you can choose any from them according to your financial condition. Moreover there is no credit check needed nor co-signers required here.
  • More convenient: When you have several student loans, you need to pay multiple payments every month. This includes a lot of paper work and you need to remember different due dates for the different loans, which increases the chance of missing out one of them and make late payment. To avoid all these trouble, student loan consolidation is one of the best solutions.
  • Improve credit rating: You can also improve your credit rating with student loan consolidation.

So, a student loan consolidation program should be convenient and easy for you, no matter what your financial situation is. However, before enrolling into any such loan program, clearly understand the details and figure out the most suitable program for you to enjoy the benefits it offers.

Thursday, February 19, 2009

Why Young People lack Health Insurance?

Statistics have shown that the number of uninsured young people are rapidly increasing day by day. In general, young adults in the age group 19-28 years, are the ones who mainly lack health insurance. This is normally the time period when they have aged out of the insurance programs, since the age limit for the state sponsored plans are usually 19, or 23 for full-time student. At this point, some of them pursue higher studies while others opt for some kind of jobs or businesses.

Moreover, when you enter some private workforce, there is hardly any independent insurance coverage plans available, or for which you are eligible. This is the turning point for many individuals. Most people think that this is when they show their invincible attitude of the young, who don't even bother to think about insurance unless and until they are forced to. But it's true for only a certain section of young mass. Studies have shown that when they have an option, almost 70% of new graduates purchase insurance.

Also, Dr.Sara R.Collins, who is a senior program officer at The Commonwealth Fund, have found out that the low-income young individuals are the ones who are acutely facing this problem of health insurance. To qualify for Medicaid, which is the United States health program for eligible individuals and families with low incomes and resources, a single adult can earn no more than $706 a month - which is less than the income of a full-time minimum wage earner.

Young people tend to complain less and believe that their age will protect them. But you never know what is stored for you in future. There is always some risks associated with your life, even if you lead a very simple and steady life. Any chronic and fatal disease or accident will not knock at your door before arriving.

So, all young people around, please go for health insurance. How you take care of yourself now will certainly affect you as you age.

Friday, February 13, 2009

Find out whether your Lender is Reliable or not

Many of us rarely spend sufficient time on research work before going for any investment. This mistake can sometimes lead us to a great loss in terms of money. One of the most important factors that needs to be considered when applying for any mortgage loan is to check whether the lender is reliable or not.

Each and every borrower is advised to do some useful research work before finalizing any particular lender. Try to consult, collect information and take feedback from various people, may be friends, colleagues or anyone, about who they have used as lenders or if they have any referrals. This will give you a general idea about them and help you to compare . The first and foremost thing to see about a mortgage loan lender is to see whether he is reliable and trustworthy.

These are some of the main points that you should think about before selecting any particular lender:

  • Find out the duration or the time period for which the lender has been in this field. There is a risk of frauds and scams with the companies who have been in business for only a recent time, so try to avoid them. Go for the lenders who are experienced.
  • The main aim of any lender is to provide you with necessary assistance and guidance when you are making important decisions regarding your mortgage loan. He should consider all your financial criteria, preferences, what suits best for you,etc and explain them to you before going for any particular loan. Also you should keep everything in written so that there is proof of your agreed information. Avoid them who, without any explanation, just opts for a particular loan.
  • Never choose any lender who suggests you to give some wrong information or wants you to lie for the loan, when filling out the form. This can definitely lead you to some dangerous situation.
  • It is wise to choose a professional who will guide you right from the beginning till the end of the agreement.

Friday, February 6, 2009

Stop Foreclosure before losing your home

I think nobody in this world would like to lose their own home under any circumstances. A home is not just a place for shelter. It's a foundation that gives emotional as well as financial security to your family. But sometimes certain situations arise when you are forced to foreclose your home. There can be a lot of reasons behind it: losing your job, or some serious health problem of any member of your family, some business losses , and sometimes negligence too.

In such a situation you are advised not to just give up and lose your home. There are ways to stop foreclosure by following the proper steps. These are some of the suggestions that I think will help you stop foreclosure.
  • First of all analyze your financial situation, and if needed in near future, how much you can afford to pay.
  • Contact and communicate with your lender about your financial status. Foreclosure is the last thing that a lender wants. So take advantage of this and look for options available for you to help stop foreclosure.
  • You can also consult Loss Mitigation Department. They are professionals working to help you stop foreclosure and save your home.
  • Another option can be Loan Modification, where you can refinance, or modify some or any the existing mortgage loan terms. It can seriously help you in times of financial crisis and is designed to help you avoid foreclosure. Also many banks can change the type of loan and reduce the payable amounts.
  • There are some housing counselors of HUD-approved nonprofit agencies who provide help at no cost. You can get help from them too, but be cautious of the frauds and scammers, who only give assistance at a price.

These are some of the measures to stop foreclosure. Hope I have been able to give you insight to some of the possible options available to help you stop foreclosure. Please feel free to give your valuable comments and suggestions, and cover up that I have missed out here.