credit score – Sun National Bank Center http://sunnationalbankcenter.com/ Tue, 29 Mar 2022 04:03:31 +0000 en-US hourly 1 https://wordpress.org/?v=5.9.3 https://sunnationalbankcenter.com/wp-content/uploads/2021/05/sun-national-bank-center-icon-150x150.png credit score – Sun National Bank Center http://sunnationalbankcenter.com/ 32 32 Home renovation could peak in 2022. Here’s how to finance the improvements https://sunnationalbankcenter.com/home-renovation-could-peak-in-2022-heres-how-to-finance-the-improvements/ Sat, 12 Mar 2022 11:00:21 +0000 https://sunnationalbankcenter.com/home-renovation-could-peak-in-2022-heres-how-to-finance-the-improvements/

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Are you planning to renovate? Here are some options to pay for it.


Key points

  • d Home renovation could peak in 2022.d
  • It’s important to weigh your home improvement financing options that you can’t pay for outright.

Many people have been spending more time at home since the start of the pandemic. And it inspired many people to update their homes.

If you’re thinking of renovating this year, you’re in good company. Home renovation is expected to take off in 2022, according to Harvard University’s Joint Center for Housing Studies. In fact, homeowners’ annual spending on improvements and repairs could reach $430 billion by the second half of the year.

If renovating your home is high on your priority list, there may be one thing holding you back: money. Looting your savings to pay for home renovations is not a good idea if it leaves you with limited cash reserves for emergencies. That’s why it’s worth looking into these affordable remodeling financing options.

1. Personal loans

Personal loans allow you to borrow money for any purpose, and you can take out one to finance home renovations. To qualify for a competitive rate on a personal loan, you will need strong credit. This is because personal loans are unsecured, so they are not tied to any specific asset. So lenders are already taking the risk of not getting paid, but the higher your credit score, the less risk there is.

2. Home equity loans

With a home equity loan, you borrow a lump sum of money and pay it back over time, just like you would with a personal loan. Home equity loans are secured by the properties in which the equity is borrowed. It can be a good thing and a bad thing.

The upside is that it’s fairly easy to qualify for a home equity loan as long as that equity is there. And your credit score might not be as big an issue when it comes to getting a home equity loan. But if you fall behind on your loan payments, you risk losing your home.

That said, you might get a lower interest rate on a home equity loan than a personal loan. This, in turn, could make you less likely to fall behind on your payments.

3. HELOC

With a HELOC, or home equity line of credit, you have access to a line of credit that you can draw on for a set period of time, usually five to 10 years. HELOCs are more flexible than home equity loans because you don’t have to commit to borrowing a lump sum. This is often a good option for financing home renovations, as sometimes you may start a project only to meet additional costs as you go along.

Like home equity loans, HELOCs are secured by borrowed homes. They may be more affordable than personal loans from an interest rate perspective, but they also tend to come with variable interest rates, which means your HELOC payments could increase over time.

4. Refinancing by collection

With a cash refinance, you borrow more than your remaining mortgage balance and get the difference in cash. Even though mortgage rates have climbed recently, you’re still likely to pay less interest on the money you borrow with a cash refinance than with a personal loan, home equity loan, or HELOC.

That said, a cash-out refinance requires you to get a brand new mortgage, and it can be a lengthy process. In addition, you will be charged closing costs to refinance your home loan, and these could be significant.

How will you pay for the renovations?

If you’re eager to upgrade your home, be sure to consider the pros and cons of your various borrowing options before moving forward. Remodeling can be rewarding, but it’s worth doing your best to make it as affordable as possible.

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March 9, 2022 personal loan rates: rates increase slightly https://sunnationalbankcenter.com/march-9-2022-personal-loan-rates-rates-increase-slightly/ Thu, 10 Mar 2022 18:50:39 +0000 https://sunnationalbankcenter.com/march-9-2022-personal-loan-rates-rates-increase-slightly/

Personal loan interest rates rose slightly this week to 10.30% as of Wednesday, March 9. Until this week, the national average interest rate for personal loans had remained stable since the start of 2022 at 10.28%. This rate has not changed since it increased slightly to 10.27% at the end of 2021.

Bankrate conducts a weekly survey of personal lenders and monitors interest rates week after week to track changes. The average personal loan rate remained stable throughout December 2021, dropping from 10.27% to 10.28% in the first two weeks of 2022.

Comparison of the best personal loan rates

While personal loan interest rates have remained stable on average, different lenders offer different rates and overall experiences. Below are rates for some of the best personal lenders of 2022. These lenders performed well in the 2022 Bankrate Awards, each winning a superlative category.

Lender APR Amount of the loan Minimum credit score Discount rate superlative
LightStream 4.98% $5,000 to $100,000 700 Ideal for home improvement and debt consolidation
Marcus of Goldman Sachs 6.99% $3,500 to $40,000 660 best online lender
TD Bank 6.99% $2,000 to $50,000 660 The best of a bank
Reached 8.94% $1,000 to $50,000 Any Ideal for borrowers with bad credit
best egg 5.99% $2,000 to $50,000 640 Ideal for borrowers with fair credit
Figure 5.75% $5,000 to $50,000 670 Ideal for borrowers with good credit
Axos 6.49% $5,000 to $50,000 720 Ideal for borrowers with excellent credit

Personal loan rate by credit score

The interest rates you can get depend on your overall credit health. Below are the average interest rates for borrowers, ranging from excellent to bad credit, based on data from Bankrate.

Credit score Average loan interest rate
Excellent (720-850) 10.3%-12.5%
Good (690-719) 13.5%-15.5%
Good (690-719) 13.5%-15.5%
Just (630-689) 17.8%-19.9%
Bad (300-629) 28.5%-32.0%

How to Compare Personal Loan Rates

When applying for a personal loan, potential borrowers should keep a few things in mind to help them get the best rates and the best personal lender for their situation:

  • Compare interest rates and fees: You may want to compare the APR range of a few lenders, but you may not be able to qualify for the lowest advertised rate. The interest rate you qualify for depends on your credit health and other approval requirements. If you can, prequalify for more specific pricing. You also need to factor in any fees that will affect the overall cost of your loan.
  • Prequalify if possible: Many lenders allow borrowers to prequalify for loans, allowing you to submit your financial information and learn the exact rates you qualify for. Knowing your exact quote from a lender will help you decide if it’s best for you, and you’ll be able to compare interest rates more accurately.
  • Consider the purpose of your loan: Every lender is different, and the right lender for you depends on the purpose of your loan and your specific needs. Personal loans have a wide range of purposes, from consolidating debt to financing large purchases such as weddings and vacations. How you plan to use your loan will affect which lender is right for you.
  • Consider loan amounts and repayment options: The amount of money you need to borrow could limit your choices of lenders, as different lenders allow different borrowing ranges and different repayment term options. If you need to borrow a large sum of money, you may want to find a lender with long repayment terms and a wide range of loan amounts.

How to get a lower personal loan rate

You can use some strategies to improve your chances of finding a better loan rate:

  • Sign up for automatic payment: Some lenders offer a discount on interest rates to borrowers who use automatic payment.
  • Choose a shorter repayment period: The longer your repayment period, the higher your interest rate is likely to be. If you are financially able to repay the loan in a shorter time frame, your interest rate will likely be lower.
  • Improve your credit score before applying: The better your credit score, the lower your personal loan interest rate is likely to be. You can take steps to improve your credit score over time.
  • Get a co-signer with strong credit: Some lenders allow you to borrow loans with a co-signer. If you co-sign a loan with someone who has good credit, you’re more likely to qualify for lower rates.

Comparison of the best personal loan rates

While personal loan interest rates have remained stable on average, different lenders offer different rates and overall experiences. Below are rates for some of the best personal lenders of 2022. These lenders performed well in the 2022 Bankrate Awards, each winning a superlative category.

Lender APR Amount of the loan Minimum credit score Discount rate superlative
LightStream 4.98% $5,000 to $100,000 700 Ideal for home improvement and debt consolidation
Marcus of Goldman Sachs 6.99% $3,500 to $40,000 660 best online lender
TD Bank 6.99% $2,000 to $50,000 660 The best of a bank
Reached 8.94% $1,000 to $50,000 Any Ideal for borrowers with bad credit
best egg 5.99% $2,000 to $50,000 640 Ideal for borrowers with fair credit
Figure 5.75% $5,000 to $50,000 670 Ideal for borrowers with good credit
Axos 6.49% $5,000 to $50,000 720 Ideal for borrowers with excellent credit

Personal loan rate by credit score

The interest rates you qualify for depend on the overall health of your credit. Below are the average interest rates for borrowers, ranging from excellent to bad credit, based on data from Bankrate.

Credit score Average loan interest rate
Excellent (720-850) 10.3%-12.5%
Good (690-719) 13.5%-15.5%
Good (690-719) 13.5%-15.5%
Just (630-689) 17.8%-19.9%
Bad (300-629) 28.5%-32.0%

How to Compare Personal Loan Rates

When applying for a personal loan, there are many factors to consider. Here are some of the things you should think about before choosing a personal lender:

  • Compare interest rates and fees: You may want to compare the APR range of a few lenders, but you may not be able to qualify for the lowest advertised rate. The interest rate you qualify for depends on your credit health and other approval requirements. If you can, prequalify for more specific pricing. You also need to factor in any fees that will affect the overall cost of your loan.
  • Prequalify if possible: Many lenders offer a prequalification option. This usually creates a soft credit check, so it won’t affect your credit score if you prequalify with a few lenders to see what your rate and loan details would be. Prequalification will help you compare interest rates more accurately when shopping.
  • Consider the purpose of your loan: Every lender is different, and the right lender for you depends on the purpose of your loan and your specific needs. Personal loans have a wide range of purposes, from consolidating debt to financing large purchases such as weddings and vacations. How you plan to use your loan will affect which lender is right for you.
  • Consider loan amounts and repayment options: The amount of money you need to borrow could limit your choices of lenders, as different lenders allow different borrowing ranges and different repayment term options. If you need to borrow a large sum of money, you may want to find a lender with long repayment terms and a wide range of loan amounts.

How to get a lower personal loan rate

You can use some strategies to improve your chances of finding a better loan rate:

  • Sign up for automatic payment: Some lenders offer a discount on interest rates to borrowers who use automatic payment.
  • Choose a shorter repayment period: The longer your repayment period, the higher your interest rate is likely to be. If you are financially able to repay the loan in a shorter time frame, your interest rate will likely be lower.
  • Improve your credit score before applying: The better your credit score, the lower your personal loan interest rate is likely to be. You can take steps to improve your credit score over time.
  • Get a co-signer with strong credit: Some lenders allow you to borrow loans with a co-signer. If you co-sign a loan with someone who has good credit, you’re more likely to qualify for lower rates.
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How to Choose the Best Loan Company for Bad Credit https://sunnationalbankcenter.com/how-to-choose-the-best-loan-company-for-bad-credit/ Tue, 08 Mar 2022 20:59:55 +0000 https://sunnationalbankcenter.com/how-to-choose-the-best-loan-company-for-bad-credit/

A bad credit loan could be a viable option if you can’t get approved for a loan from a bank, credit union, or borrow money from friends and family.

It is relatively easy to apply and most lenders issue quick loan decisions. Interest rates can reach up to 36% on unsecured and secured personal loans for bad credit or triple digits for payday loans and cash advances.

However, not all loan options are the same. Before applying, consider how to choose the best bad credit lender.

What is a bad credit loan

A bad credit loan is a personal loan for consumers with credit difficulties. You may also qualify for a bad credit loan if you have little or no credit history.

Loans for bad credit generally have no restrictions on how the funds can be used. Some borrowers cover financial emergencies, medical bills, or make expensive home repairs. Others use the money to consolidate their debts or as they see fit.

These loan products usually come with high interest rates because they are risky for the lender. But the interest rate on most bad credit loans is fixed, so the monthly payment amount won’t change. Loan proceeds are allocated in a lump sum and payable in equal monthly installments over a specified period.

Payday loans and cash advances are alternatives to bad credit personal loans. However, interest rates and fees tend to make these loans very risky options.

Types of loans for bad credit

There are four main types of bad credit loans.

Secure loan

You will need collateral to get approved for a secured loan. However, the rate will generally be lower than what you would get with an unsecured loan. Your lender can seize your property and sell it to recover their losses if you fail to repay the loan.

These loan products are also easier to obtain if you have bad credit. However, they should only be used if you can comfortably afford the loan repayments.

Unsecured loan

This type of loan is preferred if you need a bad credit loan. You won’t need collateral to qualify and you could be eligible for a hefty amount. The downside is that your interest rate will be higher with a lower credit score.

Consider targeting online lenders. They tend to offer more flexible personal loan options for borrowers with bad credit than traditional banks and credit unions.

payday loan

A payday loan can be used as a last resort if you cannot qualify for a personal loan or borrow from family or friends. It is a short term loan of $500 or less. It comes with an excessive interest rate, usually in the triple digits, and is payable on the day of your next payday.

These loans are extremely risky and can trap you in a dangerous cycle of debt if you are unable to pay and are forced to extend the term of the loan. You could rack up several hundred dollars in interest and fees each time you carry over the balance.

Cash advance

Like payday loans, cash advances are another expensive way to borrow money. They are available from some credit card issuers and involve withdrawing funds from your credit card’s available balance.

The amount you borrow will be added to your existing account balance, but you can expect to pay a higher interest rate than that charged for purchases made with the card.

How to Choose a Loan Company for Bad Credit

Beyond funding timelines, there are other factors to consider when evaluating bad credit lenders.

Borrowing costs

The cost of borrowing varies by lender and loan product. Get options from multiple lenders and compare them to see which offers the most competitive interest rate and doesn’t charge a fortune in fees.

Reputation of the lender

Bad credit loans are readily available from several financial institutions, both physical and online. Not all lenders are the same and some should be avoided. Some lenders may even be scammers.

Avoid lenders that aren’t registered to do business in your state, offer guaranteed approvals without a credit check, or require an upfront payment to approve you for a loan. It is equally important that they have a secure website and a physical address.

Loan conditions

An extended repayment term means that your monthly payment will be lower, but you will pay more interest over the life of the loan. So, a shorter loan term might be more ideal if you want to pay off what you owe faster and save a lot of interest.

Client experience

The lender should offer customer support by phone, online, or both at times that suit your busy schedule. It’s also essential that the application experience is seamless and that the lender gives you the ability to manage your loan online through a mobile app once it’s approved and you start making payments.

At the end of the line

Several loan options for bad credit could be suitable. But before applying for a loan, research loan types and shop around for quotes. When narrowing down your options, you also want to evaluate lenders based on their reputation, loan costs, terms, and customer service to find the best one for you.

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Top 5 Tips for Rebounding from Bad Credit | News from the region https://sunnationalbankcenter.com/top-5-tips-for-rebounding-from-bad-credit-news-from-the-region/ Sun, 06 Mar 2022 02:29:00 +0000 https://sunnationalbankcenter.com/top-5-tips-for-rebounding-from-bad-credit-news-from-the-region/

Budget setbacks can happen at any time, whether it’s unexpected bills, expensive repairs or the loss of a job. These financial situations can lead to bad credit or financial instability.

Having a bad credit score can affect your loan, mortgage, or job application. A bad credit score is seen as a sign of lack of discipline in credit behavior, which lowers your chances of availing loans.

You might end up paying higher interest for sanctioned loans. The good news is that there are companies that offer personal loans for bad credit. However, be sure to conduct thorough research to identify a reputable lender in your locality.

Nevertheless, it is important to identify ways to bounce back from a bad credit score. It would be better to understand that rebuilding your credit is more difficult than starting from scratch.

You are trying to show credit card issuers, lenders and employers that you will be able to have better financial management in the future despite your current situation. But before you begin the process of rebuilding your credit score, it’s essential to make sure you understand your current score.

Below are some tips you might consider using to rebuild your credit score. They understand:

1. Take stock of your debt

Taking stock of your debt will make it easier for you to know how much you owe and how much interest it’s costing you. You can easily decide where you should start focusing your efforts and the best strategy for paying off your debt. This includes:

Debt Snowball – This debt repayment strategy allows you to gradually repay the smallest to the largest debt. This way, you will make progress sooner.

Debt Consolidation – This strategy allows you to consolidate all your debts into a single loan with a single interest rate. This will make it easier to pay and track your various debts.

Avalanche of debt – In this method, you will prioritize paying off the debt with the highest interest rate. This is an ideal route to save time and interest on your debt repayment journey.

Do extensive research to identify the best strategy for paying off your debts. Paying off your debt will influence your credit score, making it easier for you to get a low-interest loan or mortgage.

2. Refrain from submitting multiple credit applications

Each time you apply for a loan or credit card, the issuer will assess your creditworthiness using your credit report. Such lender-initiated credit reports can lower your credit score by certain points.

So, if you apply to multiple lenders, especially in a short period of time, it can negatively impact your credit score.

To avoid this, visit various online marketplaces to compare loans based on your credit score instead of applying for a loan directly from multiple lenders. Although these marketplaces may retrieve your report from a credit bureau, this will not affect your credit score as these are unauthorized requests.

3. Set up automatic payments

Several factors can affect your credit score. They include late payments, credit usage, etc. Thus, on-time payments will play a huge role in improve your credit report. Automating your payment will ensure you don’t miss any payments.

Features like autopay are generally available for most bills and let you set a date each month to automatically use funds from your bank or credit account to pay bills. This will help you avoid late payments, which will help rebuild your credit score.

4. Develop a financial cushion

Developing a financial cushion will ensure you have a reliable way to pay for unexpected expenses if your savings fund isn’t enough. So your rainy day fund should include backup options beyond a savings account.

Including a contingency funding option in your emergency plan will make it easier to access sufficient funds to meet unexpected bills.

If your fund is low, it’s important to improve your savings rate, to ensure you have a steady flow of funds to cover emergencies.

This is another trick you can use to tackle your debt. Be sure to conduct a thorough audit to understand where your money is currently going. This will make it easier for you to assess whether your current budget meets your financial goals.

For example, if your goal is to pay off debt, but you find yourself spending money on other things like shopping, it’s time to re-evaluate your budget. This will help you avoid accumulating debt, which could affect your credit score.

There are several ways you can use to improve your budget. For example, 50-30-20 budgeting is a strategy that helps you divide your income into essentials, wants, and savings. You can also use several budgeting apps to reassess your spending and improve your credit score.

As stated above, bad credit can affect your loan or mortgage application. You could end up paying higher interest, which would affect your savings margin. For this reason, it is important to identify ways to increase your credit score.

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Swimming pool credit: What you need to know about financing a swimming pool https://sunnationalbankcenter.com/swimming-pool-credit-what-you-need-to-know-about-financing-a-swimming-pool/ Fri, 04 Mar 2022 18:33:35 +0000 https://sunnationalbankcenter.com/swimming-pool-credit-what-you-need-to-know-about-financing-a-swimming-pool/

Our goal at Credible Operations, Inc., NMLS Number 1681276, hereafter referred to as “Credible”, is to give you the tools and confidence you need to improve your finances. Although we promote the products of our partner lenders who pay us for our services, all opinions are our own.

The swimming pool loan is a personal loan that you use to pay for the installation of the swimming pool. Learn how they work and where to find one. (Shutterstock)

Professionally installing an in-ground pool can cost between $38,000 and $72,000, depending on the materials used, pool size and shape, according to HomeAdvisor. With an average cost of over $54,000, it’s no surprise that some homeowners choose to finance this purchase with a personal loan.

Let’s take a look at what pool loans are, how you can get one, and whether pool financing is right for your unique budget.

You can use Credible to compare personal loan rates from various lenders in minutes.

What are pool credits and how do they work?

A swimming pool loan is a personal loan that allows you to finance the installation of a swimming pool. Since personal loans are generally unsecured, you will not have to provide collateral for funding approval. And personal loan interest rates tend to be lower than credit card interest rates, making them a more affordable option for financing a pool.

The amount of money you can borrow and the terms offered vary from lender to lender. When you apply for a pool loan, lenders will assess your unique credit profile, income, and other factors before deciding on the rate and terms to offer you. Personal loan amounts typically range from $100 to $100,000, and repayment terms typically range from one to seven years.

Where to get pool credit

A variety of lenders offer pool loans, including banks, credit unions, online lenders, and pool dealers. It’s wise to investigate personal loans with your current bank or credit union to see if you qualify for any special discounts. Keep in mind that online lenders and pool dealers may be able to offer lower rates, especially for new customers. For example, your pool installation company may already have a relationship with a specific lender, making it easier for you to get approved.

Unfortunately, there is no guarantee that a pool dealer will offer you the best price or the best conditions. Shopping around is the best way to help you identify the most affordable loans even if you have bad credit.

Credible allows you compare personal loan rates without affecting your credit score.

What credit rating do you need for a pool loan?

Each lender sets unique requirements for securing a personal loan, including the minimum credit score accepted. Generally speaking, personal lenders favor credit scores of 670 or higher, which is considered good credit. Although scores of 669 or lower are considered acceptable and scores below 579 are considered poor, some lenders may approve loans for borrowers with scores as low as 550.

If you’re worried your credit score is too low — or want to raise your score before applying for a pool loan — you can start improving it today by paying your bills on time and reduce your debt ratio.

How to get pool credit

Just as each lender has different requirements, interest rates, and loan terms, they also have different processes for applying for and obtaining a loan. You will typically follow these steps to get a pool loan:

  1. Determine how much you need to borrow. Before applying for a personal loan, you must determine the cost of the pool. Shop around to compare prices, taking into account any additional expenses you may have, such as installing a fence around the pool or buying a pool cover.
  2. Check your credit. You can request free copies of your credit report each year through AnnualCreditReport.com. Identify any errors on the report that you may need to dispute with the credit bureaus before applying for a new personal loan.
  3. Shop around and compare loans. Compare loans from a variety of physical and online lenders to ensure you get the best rate and terms for your situation.
  4. Apply for the loan. When applying for a personal loan, you will usually need to provide proof of income, proof of identity and address, pay stubs and recent tax returns. If you are approved, you will usually receive your loan funds between one and five business days, although it may take longer in some cases.

If you’re ready to apply for a pool loan, Credible lets you compare personal loan rates.

Should a swimming pool be financed?

Financing a swimming pool with a personal loan can be a good decision if you can comfortably afford the payments with all interest and fees included. Your financial situation is unique, which is why you should consider the following points before applying for a pool loan:

Alternatives to swimming pool credit

A personal loan can be a good option for financing a swimming pool, but it is not the only one to consider. Here are three other pool funding options:

  • Refinancing by collection — A cash refinance lets you access the equity in your home by replacing your existing mortgage with a new loan for more than you owe on the loan – you can pocket the difference in cash. The new loan may have a lower interest rate or different repayment terms. Although some homeowners use cash refinancing for home improvements like installing a swimming pool, one downside is that you could increase your risk of foreclosure if you are unable to make your new mortgage payments.
  • Home Equity Loan or Home Equity Line of Credit (HELOC) — A home equity loan and HELOC are both a second mortgage. With a home equity line of credit, you’ll receive a lump sum of cash up front, and you usually have a fixed interest rate, so your monthly payment won’t change. But with a HELOC, you can continue to withdraw funds during the drawdown period as needed, up to your credit limit. HELOC interest rates are generally variable, which means your rate may increase over time. Since you are providing your home as collateral, you risk losing your home if you are unable to meet the payments.
  • Save to pay in cash — Financing your pool in cash ensures that you won’t pay interest or additional fees. Making large cash purchases does not affect your credit score, although it may take longer to save such an amount. You also risk depleting your savings, which may be needed in an emergency.
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Why You (and I) Should Appoint a “Trusted Contact” https://sunnationalbankcenter.com/why-you-and-i-should-appoint-a-trusted-contact/ Fri, 04 Mar 2022 14:31:05 +0000 https://sunnationalbankcenter.com/why-you-and-i-should-appoint-a-trusted-contact/

For the past few years, financial services companies have asked me to appoint a “trusted contact”. Banks, brokers and insurers increasingly want to have someone to call or email in case they notice suspicious activity and cannot reach the account holder.

I ignored these requests. Trusted contacts are a great idea for older people with cognitive decline, I thought, but that’s not me.

Then a younger friend developed dementia praecox and I realized we don’t always get enough warning to put such protections in place.

Obviously, trusted contacts aren’t just good for older people. Anyone’s financial accounts could be vulnerable if they are displaced by a natural disaster, end up in hospital, suffer a brain injury, or travel and are hard to reach. Helping your brokerage, bank, or insurer connect with someone who knows what’s going on in your life could protect your money and prevent financial disaster.

“I love the idea of ​​the trusted contact because it can really prevent any fraud or exploitation before it gets out of hand,” says Amanda Singleton, AARP Family Care Expert and St. Petersburg, Florida.

TRUSTED CONTACTS CANNOT MAKE CHANGES

Naming a trusted contact does not give that person authority over your accounts or the ability to see balances or make changes, says Gerri Walsh, senior vice president of investor education at the Financial Industry Regulatory Authority. , known as FINRA. FINRA is the non-governmental organization that regulates the securities industry, including brokerage firms.

Instead, your trusted contact can help financial services companies reach you (if you’re reachable) or identify others who might be able to help you. If you are incapacitated, for example, your contact can link the company to your legal guardian or the person with power of attorney over your accounts. If you are deceased, your support person may provide contact information for your estate’s executor or the successor trustee of your living trust.

You don’t have to name a trusted contact, but financial services companies, as well as regulators and consumer advocates, recommend it. You can change your trusted contact whenever you want or name more than one. Ideally, a trusted contact is someone you know will protect your privacy and act responsibly.

“It could be an adult child, close friend, lawyer or other trusted person that the financial institution can contact for further assistance in trying to reach you,” says Deborah Royster, Deputy Director of the Consumer Financial Protection Bureau. for older Americans.

A TRUSTED CONTACT COULD STOP FRAUD

The push to name trusted contacts began out of concern that older Americans would be ripped off with their savings. More than 369,000 cases of financial fraud by older adults are reported to authorities each year, causing losses estimated at $4.84 billion, according to a January report by Comparitech, a cybersecurity research firm.

But this type of fraud is notoriously underreported, often because victims are embarrassed, fear others will think them incapable, or protect the perpetrators, who may be relatives, caregivers or neighbours. Comparitech estimates the actual toll could be 8.68 million cases and more than $113.7 billion in losses each year.

To help reduce this toll, two new FINRA rules were approved in 2017. The first allows brokerages to temporarily suspend withdrawals when financial abuse is suspected, and the second requires brokerages to “make reasonable efforts” to get customers to name trusted contacts.

Until now, other financial services companies such as banks, credit unions and insurers do not have similar rules. Even so, some offer the ability to name trusted contacts on accounts, Royster says.

BEWARE OF FRAUDULENT EMAIL REQUESTS

One thing you shouldn’t do is respond to emails that appear to be from your financial institution asking you to name a trusted contact. These can be scams to steal your passwords or create other havoc, says FINRA’s Walsh. Instead of responding to these emails, consider calling your financial institution or searching their website for a form to name a trusted contact.

If your financial institutions offer this option, it’s a relatively quick and easy way to add a layer of protection to your accounts, says Abby Schneiderman, co-founder and co-CEO of end-of-life planning site Everplans and co. -author. from “In Case You Get Hit by a Bus: How to Organize Your Life Now for When You’re Away Later.”

“People should take two minutes out of their day and name a trusted contact,” Schneiderman says.

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This column was provided to The Associated Press by personal finance website NerdWallet. The content is for educational and informational purposes and does not constitute investment advice. Liz Weston is a NerdWallet columnist, certified financial planner and author of “Your Credit Score.” Email: lweston@nerdwallet.com. Twitter: @lizweston.

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Republicans say student loan cancellation is ‘reckless’ https://sunnationalbankcenter.com/republicans-say-student-loan-cancellation-is-reckless/ Thu, 03 Mar 2022 13:30:00 +0000 https://sunnationalbankcenter.com/republicans-say-student-loan-cancellation-is-reckless/

Republicans call the large-scale cancellation of student loans “reckless” and bad policy.

Here’s what you need to know.

Student loans

Republicans on the U.S. House Committee on Education and Labor have a message on student loan forgiveness for President Joe Biden. Rather than pushing for systemic change in higher education, Republicans to accuse the president to appease the progressive wing of the Democratic Party. Specifically, Republicans claim:

The federal student loan system is broken.

Republicans say the federal student loan system is broken. (Here’s how federal student loans will change this year). Currently, any student borrower can qualify for a federal student loan issued by the federal government. There is no credit score requirement to qualify. Therefore, the federal government does not guarantee any federal student loans. This means that every borrower gets the same interest rate, regardless of their underlying credit risk. (This politician called increasing student loan relief a “terrible idea”). While access to higher education is an important goal, Republicans have argued that lending to all borrowers who cannot pay their student loans poses inherent default risk for the federal government. When access to federal student loans is easy, Republicans argue that colleges and universities have an incentive to keep raising tuition. This makes college more expensive and increases the risk of student loan default, which ultimately hurts student borrowers.

(Here are 6 major changes to student loan forgiveness)


Canceling student loans disproportionately benefits high-income borrowers

Currently, there are approximately 45 million student borrowers. This represents approximately 20% of American adults. This means that 80% of American adults no longer have student loans or have never attended college. There are approximately $1.7 trillion in outstanding student loans. According to research, student borrowers who have graduated from college can earn about $1 million more over their lifetime than people who only have a high school diploma. Moreover, about half of all student debt comes from higher education. While not all graduate degrees generate high earnings, many graduate degrees generate six-figure earnings for doctors, lawyers, and dentists. Republicans are concerned about any legislation that would support blanket student loan forgiveness for all student borrowers. For example, Sen. Bernie Sanders (I-VT) wants Biden to forgive all student loans, including private and federal student loans.


Canceling student loans does nothing for future generations

Republicans prefer fundamental reform of higher education rather than a one-time cancellation of student loans, which they consider to be bad policy. Current proposals for large-scale student loan forgiveness call for a “one-time” student loan forgiveness. This means that Congress would cancel federal student loans for current borrowers. However, the student borrower who borrows new student debt tomorrow would be out of luck. Therefore, one-time student loan forgiveness provides immediate student loan relief to current borrowers, but ignores the fate of future student borrowers. Republicans say this imbalance “ignores the systemic problems plaguing the student loan program that created the vicious debt spiral and tuition bubble we have today.”

(Student loan refinance rates have gotten ridiculously cheap)


What this means for your student loans

While Biden has canceled $15 billion in student loans, Biden has focused on targeted student loan cancellation. Biden has made it clear that he does not plan to enact large-scale student loan forgiveness because he does not believe he has the authority to do so. Instead, Biden urged Congress to forgive up to $10,000 in student loans for borrowers. Biden has extended temporary student loan relief three times and made historic reforms to student loan forgiveness that will make it easier for borrowers to qualify for student loan forgiveness. (Where Biden stands on student loan relief). However, Biden did not mention student loans or student loan forgiveness in his State of the Union address. Progressives argue that Biden has the executive power to cancel student loans for all borrowers. They believe the president must cancel student loans to reduce disparities, stimulate the economy and allow borrowers to buy homes, start families and save for retirement. (Cancellation of the student loan could be the reason the Democrats lose the midterm elections).

Student loan relief is expected to end in less than 60 days. Make sure you have a game plan for your student loans. Here are some popular ways to pay off your student loans faster:

Here are some popular ways to pay off student loans faster:


Student Loans: Related Reading

Student loan refinance rates have gotten ridiculously low

If Biden cancels student loans, it will happen next

3 ways to get student loan forgiveness now

Will student loan repayments be postponed until 2023?

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4 signs you shouldn’t buy a house in 2022 https://sunnationalbankcenter.com/4-signs-you-shouldnt-buy-a-house-in-2022/ Sat, 26 Feb 2022 11:32:25 +0000 https://sunnationalbankcenter.com/4-signs-you-shouldnt-buy-a-house-in-2022/

Image source: Getty Images

Be careful if any of these cases apply to you.


Key points

  • You may be looking forward to buying a home this year, before mortgage rates rise.
  • You will need to make sure your finances are stable before taking this leap.

There are many good reasons for owning a home rather than renting one, such as the opportunity to accumulate equity in an asset that could appreciate in value over time. If you’ve been a homeowner for a while now, you may be eager to buy in 2022.

Mortgage rates have been at or near record lows since mid-2020, but in early 2022 they started to climb. You may be eager to buy a home before rates rise even further. But while that logic makes sense, if these situations apply to you, it’s a sign that you might want to put off homeownership.

1. You already have a lot of debt

Owning a home means taking on a monthly mortgage payment, among other expenses. And so, if you already have a lot of debt to pay off, you might want to wait until some of it is reduced. Not only could your existing debt make it harder to meet your mortgage, but if you have too much debt relative to your income, you could be denied a home loan.

2. Your credit score needs serious work

It is possible to get a mortgage with bad credit. But in this case, you may be limited to an FHA loan, which has certain restrictions and inconveniences (like having to pay ongoing mortgage insurance premiums). If your credit score isn’t great, it may be a sign that you’re having trouble managing your bills and debts. It might be beneficial not to add another expense to the mix until you are in a safer place.

3. You become independent

Many people have quit their salaried jobs and become self-employed during the pandemic. It could be a wonderful career move for you. But it can also mean moving from a stable income to a variable income and/or taking a pay cut until you increase your workload. As such, you might want to hold off on buying a house until you’ve settled into your freelancing routine for a good six months or more. This way, you may have a better idea of ​​your income, which will help you determine the price of the house you can afford.

4. You lack funds for a down payment

You don’t necessarily need a 20% down payment to buy a house. Some conventional mortgage lenders will let you deposit less, but if you go that route, you will be charged for private mortgage insurance, which will increase your costs. Likewise, you can get an FHA loan with as little as 3.5% down payment, but then you’ll have to deal with the ongoing mortgage insurance premiums we talked about earlier. You may want to wait until you have more money on hand before buying a home.

As keen as you are to buy a home in 2022, especially before mortgage rates spike, it’s important to do so under the right circumstances. If any of these signs apply to you, you might be better off just sitting around and waiting to buy.

A Historic Opportunity to Save Potentially Thousands of Dollars on Your Mortgage

Chances are interest rates won’t stay at multi-decade lows much longer. That’s why it’s crucial to act today, whether you want to refinance and lower your mortgage payments or are ready to pull the trigger on buying a new home.

Ascent’s in-house mortgage expert recommends this company find a low rate – and in fact, he’s used them himself to refi (twice!). Click here to learn more and see your rate. While this does not influence our product opinions, we do receive compensation from partners whose offers appear here. We are by your side, always. See The Ascent’s full announcer disclosure here.

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Unemployment financial services money trumpet provides assistance to people with bad credit https://sunnationalbankcenter.com/unemployment-financial-services-money-trumpet-provides-assistance-to-people-with-bad-credit/ Tue, 15 Feb 2022 19:14:00 +0000 https://sunnationalbankcenter.com/unemployment-financial-services-money-trumpet-provides-assistance-to-people-with-bad-credit/

/EIN News/ — London, Feb. 15 2022 (GLOBE NEWSWIRE) — London, England –

Financial services company Money Trumpet has published an article which details some of the ways people with bad credit in the UK can become eligible for financial assistance to cover unavoidable emergency expenses.

The blog post states that getting financial help when one has bad credit is a difficult, frustrating, and time-consuming process. The blog post also highlights the irony that those with bad credit are generally the ones most in need of money when they are also the least likely to get the help they need.

When seeking help from a financial services provider, the first step recommended by the article is to check your credit rating with one of the major UK credit bureaus. If the rating is less than “Good”, the person is likely to face a difficult struggle to get the help they need. One way to improve credit score is to monitor it periodically and take steps to improve it preemptively.

Money Trumpet can help UK residents over the age of 18, who have a bank account with a debit card and have a regular income to apply for three types of financial assistance: personal, guaranteed or surety.

Personal financial assistance does not need any collateral in the form of assets or personal property such as a home or vehicle. Since there is no form of security, these products come with strict limits, high interest rates and shorter terms. For an applicant with bad credit, this is the hardest option to secure.

Secured financial aid can be used if a person places an asset of equal or greater value as collateral or collateral. This gives the service provider a layer of protection and enables the applicant to avail a significantly higher sum of money at lower interest rates. If the applicant fails to meet their monthly payments, the service provider can seize the asset that was used as collateral.

Financial assistance guaranteed by a guarantor requires a second person to sign the agreement stating that they will repay the amount on behalf of the applicant if they do not repay. It provides applicants with more resources over a longer repayment term than unsecured personal assistance. Guarantors must be at least 21 years old, have a full-time job and have a solid credit rating.

A Money Trumpet spokesperson commented on the information in the article, saying, “We know how difficult it can be to get out of a financial bind when all the doors seem closed to you. Building good credit is a long-term process and when you’re stuck in a tough financial situation, you don’t have enough time to fix your credit score before seeking help. You can still find help from some sources, but due to your particular situation, it will come with a higher interest rate and other stipulations. When you’re stuck between a rock and a hard place, you have to choose the best option out of those available to you. Choose the type of assistance that best suits your needs, take the opportunity to put the difficult situation behind you and focus on building a solid credit score for when you might need help. help later. We are confident that you will be able to build a secure financial future for yourself with just a little budget and discipline. »

Money Trumpet offers its customers access to financial assistance providers who offer between £100 and £2,000 at fair rates to those with bad credit histories. Customers can quickly apply with a short form at Money Trumpet and receive quotes from multiple service providers within a short period of time. Once a provider approves the request, the client can receive their funds the same day or anytime within a few days.

Readers can also check out another article from the company, which has information for unemployed workers trying to get financial help, by heading to the link: moneytrumpet.co.uk/bad-credit-loans/loans-for-unemployed-people.

###

For more information about Money Trumpet, contact the company here:

silver trumpet
Sarah Minter
020 3974 1119
info@moneytrumpet.co.uk
1st floor
5 Mile End Road
London
E1 4TP


Sarah Minter

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Personal loan rates as of February 9, 2022: constant rates https://sunnationalbankcenter.com/personal-loan-rates-as-of-february-9-2022-constant-rates/ Thu, 10 Feb 2022 18:15:08 +0000 https://sunnationalbankcenter.com/personal-loan-rates-as-of-february-9-2022-constant-rates/

Personal loan interest rates remain unchanged from last week as of Wednesday February 9 at 10.28%. The national average interest rate on personal loans remained stable throughout February at 10.28%. This rate has not changed since it increased slightly to 10.27% at the end of 2021.

Bankrate conducts a weekly survey of major lenders and monitors personal loan interest rates week after week, tracking any changes. The national weekly average for personal loan interest has remained stable throughout December 2021, dropping from 10.27% to 10.28% in the first two weeks of 2022.

Comparison of the best personal loan rates

While personal loan interest rates have remained stable on average, different lenders offer different rates and overall experiences. Below are rates for some of the best personal lenders of 2022. These lenders performed well in the 2022 Bankrate Awards, each winning a superlative category.

Lender APR Amount of the loan Minimum credit score Discount rate superlative
LightStream 4.98% $5,000 to $100,000 700 Ideal for home improvement and debt consolidation
Marcus of Goldman Sachs 6.99% $3,500 to $40,000 660 best online lender
TD Bank 6.99% $2,000 to $50,000 660 The best of a bank
Reached 8.94% $1,000 to $50,000 Nothing Ideal for borrowers with bad credit
best egg 5.99% $2,000 to $50,000 640 Ideal for borrowers with fair credit
Figure 5.75% $5,000 to $50,000 670 Ideal for borrowers with good credit
Axos 6.49% $5,000 to $50,000 720 Ideal for borrowers with excellent credit

Personal loan rate by credit score

The interest rates you qualify for depend on the overall health of your credit. Below are the average interest rates for borrowers, ranging from excellent to bad credit, based on data from Bankrate.

Credit score Average loan interest rate
Excellent (720-850) 10.3%-12.5%
Good (690-719) 13.5%-15.5%
Good (690-719) 13.5%-15.5%
Just (630-689) 17.8%-19.9%
Bad (300-629) 28.5%-32.0%

How to Compare Personal Loan Rates

When applying for a personal loan, there are many factors to consider. Here are some of the things you should think about before choosing a personal lender:

  • Compare interest rates and fees: You may want to compare the APR range of a few lenders, but you may not be able to qualify for the lowest advertised rate. The interest rate you qualify for depends on your credit health and other approval requirements. If you can, prequalify for more specific pricing. You also need to factor in any fees that will affect the overall cost of your loan.
  • Prequalify if possible: Many lenders allow borrowers to prequalify for loans, allowing you to submit your financial information and learn the exact rates you qualify for. Knowing your exact quote from a lender will help you decide if it’s best for you, and you’ll be able to compare interest rates more accurately.
  • Consider the purpose of your loan: Every lender is different, and the right lender for you depends on the purpose of your loan and your specific needs. Personal loans have a wide range of purposes, from consolidating debt to financing large purchases such as weddings and vacations. How you plan to use your loan will affect which lender is right for you.
  • Consider loan amounts and repayment options: The amount of money you need to borrow could limit your choices of lenders, as different lenders allow different borrowing ranges and different repayment term options. If you need to borrow a large sum of money, you may want to find a lender with long repayment terms and a wide range of loan amounts.

How to get a lower personal loan rate

You can use some strategies to improve your chances of finding a better loan rate:

  • Sign up for automatic payment: Some lenders offer a discount on interest rates to borrowers who use automatic payment.
  • Choose a shorter repayment period: The longer your repayment period, the higher your interest rate is likely to be. If you are financially able to repay the loan in a shorter time frame, your interest rate will likely be lower.
  • Improve your credit score before applying: The better your credit score, the lower your personal loan interest rate is likely to be. You can take steps to improve your credit score over time.
  • Get a co-signer with strong credit: Some lenders allow you to borrow loans with a co-signer. If you co-sign a loan with someone who has good credit, you’re more likely to qualify for lower rates.

Comparison of the best personal loan rates

While personal loan interest rates have remained stable on average, different lenders offer different rates and overall experiences. Below are rates for some of the best personal lenders of 2022. These lenders performed well in the 2022 Bankrate Awards, each winning a superlative category.

Lender APR Amount of the loan Minimum credit score Discount rate superlative
LightStream 4.98% $5,000 to $100,000 700 Ideal for home improvement and debt consolidation
Marcus of Goldman Sachs 6.99% $3,500 to $40,000 660 best online lender
TD Bank 6.99% $2,000 to $50,000 660 The best of a bank
Reached 8.94% $1,000 to $50,000 Nothing Ideal for borrowers with bad credit
best egg 5.99% $2,000 to $50,000 640 Ideal for borrowers with fair credit
Figure 5.75% $5,000 to $50,000 670 Ideal for borrowers with good credit
Axos 6.49% $5,000 to $50,000 720 Ideal for borrowers with excellent credit

Personal loan rate by credit score

The interest rates you qualify for depend on the overall health of your credit. Below are the average interest rates for borrowers, ranging from excellent to bad credit, based on data from Bankrate.

Credit score Average loan interest rate
Excellent (720-850) 10.3%-12.5%
Good (690-719) 13.5%-15.5%
Good (690-719) 13.5%-15.5%
Just (630-689) 17.8%-19.9%
Bad (300-629) 28.5%-32.0%

How to Compare Personal Loan Rates

When applying for a personal loan, there are many factors to consider. Here are some of the things you should think about before choosing a personal lender:

  • Compare interest rates and fees: You may want to compare the APR range of a few lenders, but you may not be able to qualify for the lowest advertised rate. The interest rate you qualify for depends on your credit health and other approval requirements. If you can, prequalify for more specific pricing. You also need to factor in any fees that will affect the overall cost of your loan.
  • Prequalify if possible: Many lenders offer a prequalification option. This usually creates a soft credit check, so it won’t affect your credit score if you prequalify with a few lenders to see what your rate and loan details would be. Prequalification will help you compare interest rates more accurately when shopping.
  • Consider the purpose of your loan: Every lender is different, and the right lender for you depends on the purpose of your loan and your specific needs. Personal loans have a wide range of purposes, from consolidating debt to financing large purchases such as weddings and vacations. How you plan to use your loan will affect which lender is right for you.
  • Consider loan amounts and repayment options: The amount of money you need to borrow could limit your choices of lenders, as different lenders allow different borrowing ranges and different repayment term options. If you need to borrow a large sum of money, you may want to find a lender with long repayment terms and a wide range of loan amounts.

How to get a lower personal loan rate

You can use some strategies to improve your chances of finding a better loan rate:

  • Sign up for automatic payment: Some lenders offer a discount on interest rates to borrowers who use automatic payment.
  • Choose a shorter repayment period: The longer your repayment period, the higher your interest rate is likely to be. If you are financially able to repay the loan in a shorter time frame, your interest rate will likely be lower.
  • Improve your credit score before applying: The better your credit score, the lower your personal loan interest rate is likely to be. You can take steps to improve your credit score over time.
  • Get a co-signer with strong credit: Some lenders allow you to borrow loans with a co-signer. If you co-sign a loan with someone who has good credit, you’re more likely to qualify for lower rates.
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