Stated Income and No Doc loansWritten by Andre McFayden
Lenders are interested in mainly 3 things – borrowers’ income, employment and assets. If borrower can document those items and lender can verify them, loan is considered relatively low risk. This type of full documentation loan is standard for most borrowers.The stated income or no doc (no documentation) loan was initially designed for people who are self-employed and have difficulty documenting their income. If you are unable to or do not wish to document either income, employment or assets, then a stated income or no doc loan is way to go. Here are some types of these loans requiring reduced documentation: 1) Stated Income, Verified Assets (SIVA) – income is stated only, assets are stated and verified 2) Stated Income, Stated Assets (SISA) – income and assets are stated only and not verified
| | Drowning in Debt? Tips and Tricks for Getting Out of Hot Water with CreditorsWritten by Beth West
Do you, like millions of other Americans, feel like you’re sinking in an ocean of credit card debt? Well, fear not--there are many options for reducing your debt way before you have to be concerned about receiving notices or daunting telephone calls from debt collectors. The important thing to remember is to be proactive in handling your credit card debt. Unmanaged debt can ultimately lead to lawsuits, loss of property, and tarnished credit reports.Here are a few ideas for managing and/or reducing your debt: · Get in touch with creditors right away. Often times, creditors will reduce credit card interest rates if you simply ask for a break. Explain your situation, and let creditors know if you’re having trouble meeting your minimum monthly obligation. Many creditors will work with you to arrange a customized payment plan. ·Develop a budget. While many people dread this very important step in reducing debt, it can be extremely important in taking control of your financial situation. Compare and contrast fixed expenses—mortgage payments, rent, car payments, and insurance premiums, for example--with variable expenses, such as entertainment and recreation. List all your expenses, even those that seem unimportant. This is an important step in determining your spending patterns, prioritizing expenses, and determining whether or not you have additional money to contribute to monthly payments on your credit card. · Consolidate, consolidate, consolidate. While debt consolidation is a sometimes daunting and drastic step, it can be an important move in quest to reduce your credit card debt. If you’re a homeowner, consider a second mortgage or a home equity loan to pay off high-interest rate debt. While these loans often require you to list your home as collateral, remember that if you start skipping out on credit card payments, you could easily lose your home. What’s more, these loans provide tax advantages that are not available with many kinds of credit.
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