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Payday Loan Quotes Blog
- Shocking Statistic on Financial Literacy
We just saw these statistics online and wanted to share them with our readers:
- 40% of Americans say they live beyond their means.
- 50% of Americans live paycheck to paycheck.
- Only 32% of American parents talk to their children regularly about personal finance.
- Only 21% of graduating high school students participate in financial literacy courses.
- In 2008, students surveyed by the Jumpstart Coalition scored lower on basic financial literacy test than their predecessors in 2006.
- 20% of employees are unable to carry out normal work activities three days per week due to financial concerns.
- 43% of adults at the lowest level of financial literacy live in poverty, compared to 4% of those at the highest level of financial literacy.
Sources:
Federal Reserve: http://www.federalreserve.gov
JumpStart Coalition: http://www.jumpstartcoalition.org
National Endowment for Financial Education: http://www.nefe.org - Be sure your Payday Loan Site is Secure!
Payday Loan sites are popping up all over the internet. Some are secure but many are not. In order to get a loan, you must submit important personal information such as your social security number and banking information. Therefore, you should be extra careful to use a site that is secure and encrypted.
How do I know if a payday loan site is secure?
Here's one easy way:
Look at the website URL once you are ready to fill out the form. Does the beginning have "http:" or "https:"? It is NOT secure if it is only "http:". You must have the "s" for security!
Here are some examples of secure payday loan sites:
https://www.paydayusa.org
https://www.christianfaithfinancial.com
https://www.prescottfinancial.com
https://www.additionalearning.com - Different Bureaus, Different Credit Scores
Your FICO score is based on a mathematical equation. It is set up to evaluate information from your credit report and compare it against patterns of other credit users to identify your credit risk, that is, how likely it is you'll pay back loans. Scores may differ among the bureaus for three reasons:
1. Not all lenders report to all three bureaus.
2. Not all lenders report to the bureaus at the same time of the month.
3. The Fair Isaacs software for creating the credit score is different (but similar) at each bureau.
- Check Credit Reports for Errors!
A relatively high percentage of credit reports contain errors. These errors can lower your credit score and cost you big bucks in terms of interest rates or qualifying for an interest-only mortgage loan rather than a 30-year traditional fixed-rate, for example. Therefore, it's a good idea to check your credit report for mistakes.
Look for the following:
• Identifying information that has you mixed up with someone else's activity
• Incomplete information
• Accounts that don't belong to you
• Payments reported as late but that you paid on time
• Debts paid in full that still show an outstanding balance
• Late payments and other negative events that took place more than 7 years ago, 10 years for bankruptcy
- How to Read a Credit Report
Believe it or not, it's not too difficult to read a credit report. While each of the three credit bureaus uses a different format, they're all pretty cut and dry, whether you're reading it online or on paper.
Each report is separated into six sections: Personal ID Information, Credit History, Collections, Courthouse Records, Additional Information, Credit Inquiries.
Personal ID Information:
Here you'll find your name, address, Social Security number, date of birth, and employment information, including your past employers and job titles. (This information is not used to determine your FICO score.) This section also may contain your spouse's name, the name of your employer, phone numbers, and your driver's license number.Credit History:
This section contains your credit/loan accounts. For each account, the following information is listed:Credit Cards (Revolving Credit)
1. Account name (American Express, Visa, Mastercard, etc.)
2. Account number
3. Date opened
4. Current balance
5. Highest balance
6. Amount past due
7. Credit limit
8. Type of credit - Revolving
9. Whether it's a joint or authorized account. A joint account makes your financially responsible for paying what the other joint holder spends. An authorized user doesn't and can help build your credit history and make it possible for you to qualify for an individual account.
10. Minimum payment required
11. Last activity - This date is the last payment or last charge you made.
12. Months reviewed - how many months the account history has been reported
13. Account status - open, paid and closed, inactive, paid in full
14. Your payment history - "pays as agreed," "30 days late," "60 days late, "90 days late," "charge off" (the credit has attempted to get paid but has given up)Installment Loans
1. Date opened
2. Type of credit (installment -- mortgage, car loan, student loan, etc.)
3. Whether it's a joint, co-signed, individual account
4. Loan amount
5. Required monthly payments
6. Amount past due
7. How much you owe
8. Months reviewed - how many months the account history has been reported
9. Last activity - This date is the last payment you made.
10. Account status - open, paid and closed, inactive, paid in full
11. Your payment history - "pays as agreed," "30 days late," "60 days late, "90 days late," "charge off" (the credit has attempted to get paid but has given up)Collections:
This section contains any delinquent accounts reported to collections agencies during the past 7 years. It contains the following:
• Name of collection agency
• Amount owed
When you pay off your debt, get it in writing from the collection agency and send it to the credit bureaus. Make sure the collection agency does the same.Courthouse Records/Public Records:
This section contains the following records for up to 7 years, with the exception of bankruptcies:
• Bankruptcies (up to 10 years old)
• Foreclosures
• Overdue debt from collection agencies
• Tax liens
• Garnishments
• Lawsuits
• Judgments from state and county courts
• Overdue child support payments (in some states)Additional Information:
This section may list your former employers and your past addresses.Credit Inquiries:
This section is divided into two - voluntary and involuntary inquiries. Voluntary inquiries are those where creditors/lenders that have accessed your credit report with your permission over the last 2 years to determine your creditworthiness. Involuntary inquiries are those made by lenders that offer you credit by mail. These inquiries, and those made by your existing creditors, don't affect your credit score. However, if you accept a pre-approved credit card offer made in the mail, or apply for credit, that acceptance will lead to an inquiry that will affect your credit score.
- Get Your Credit Report
Four factors help a lender determine if it will lend you money and under what terms:
1. Your credit score
2. Your employment history
3. How much debt you have compared with how much income you have
4. Your credit historyYou can order a free credit report from all three bureaus every 12 months at www.annualcreditreport.com or toll-free at 877-322-8228.
If you go online to view them, you'll have to know certain information contained in them - each credit bureau asks for different information to ensure your identity. Information includes things like the name of your mortgage company, if you have one, and former street addresses. Don't worry if you get an answer wrong. You'll be given a second shot at it.
$ Tip! To get the best interest rate when applying for a loan, first determine which credit bureau has the highest FICO score for you. Next, find a lender that uses that credit bureau report.
What would you do?
Mary is offered 10 percent off all sale items if she opens a new department store credit card.