Where have you found that you can qualify for a loan if you have less than perfect credit? I am looking to do some debt consolidation, but I am having problems finding someone to approve my application. Are there any legitimate companies out there who work with people?
You can solicit for a guarantor who would sign to fast track your application. Alternatively, you can join a group and apply for a group loan. Members of the group will be able to monitor each other and act as co-guarantors. On the other hand, you can look for opportunities for peer to peer lending. I also know that some firms need such services for a cut of the proceeds when you invest the loan but I would steer clear of these.
Fixing bad credit is a bit like losing weight: It takes time and there is no quick way to fix a credit score (unless your income skyrockets, in that case you should open a new account). In fact, out of all of the ways to improve a credit score, quick-fix efforts are the most likely to backfire, so beware of any advice that claims to improve your credit score fast. The best advice for rebuilding credit is to manage it with responsibility over time. If you haven't done that, then you need to repair your credit history before you see credit score improvement.
You might try going to one of those credit counseling services, @Rosyrain . We used those (although it was a long time ago), and it really worked well. They will help you set up a payment plan from whatever your income is, and you make one payment to the service each month and they start paying off the debts for you. As the smaller ones are paid off, more money goes to the larger ones, and eventually, they are all paid off. In the mean time, you do not get any calls from companies threatening you with a collection agency, because the credit counseling service deals with all of your creditors, and often can get part or all of the interest taken off of the debts so you only have to pay the original amount.
I thought about doing some debt consolidation as well but I read that it will look bad on your credit report and so we decided to try and fix it on our own first before going that route. We also thought about getting a line of credit on our home to pay off our debt and have smaller monthly payments that when we have extra money we can pay off more, but as of right now we have decided to just pay down our debt as much as possible to help our credit.
There are a number of debt organizations that provide debt counselling as well as services to help you consolidate your debts. You just have to carefully choose which one can actually help you at the least cost possible. This is on the assumption that it's not possible for you to acquire a new credit card and use it to consolidate the debts at zero percent or lower interest charges. You may also want to check if your local or national government has an agency that provides multi-purpose or salary loans to members. Our country has at least two such agencies and membership is mandatory for employed people, It is also open to self-employed people. These agencies can't refuse loans to people with bad credit as long as they are active members.
Lending or credit company has a good connection with other or related companies. It is SOP for them to ask other agencies especially when the prospective debtor would like to avail of big credit. A delinquent debtor or borrower especially when he is blacklisted would most not likely to be approved for his loan application. To erase that bad record, it is suggested that he should settle its delinquent account first. Nevertheless if he does so, he would still not get the approval. That's what I have personally learned for I have been working as one of the loan clerks in a certain bank before.
There's a place called "Quick Loans"...I checked it out once but I still didn't qualify. There's a difference between bad credit and no credit, but really, they both can and will bring you down. I would think that "no credit" shouldn't be held against you when applying for a loan, because at least you don't have a bad credit history, you just have no credit history. If I were a lender, I wouldn't be so quick to dismiss people with no credit, maybe they just stayed away from credit cards and paid everything in full, like their cars, etc. I go straight to family members when I need a loan, and I usually give them something of value to me (like expensive jewelry) to hang on to until I pay them back. It may sound kind of dumb, but my family knows how important my jewelry is to me...so they know I will surely pay them back. Plus, they don't charge me interest.
