Debt Consolidation Credit Counseling In Phoenix

In uncertain economic times, when unemployment and underemployment runs rampant, many families also have to fear losing their home to foreclosure. While some may have brought their troubles on themselves through irresponsible spending habits, many others are looking for foreclosure help due to factors over which they have little control.

Food, electric, and heating costs have skyrocketed in recent years, and this has understandably caused many families to decide between using the money they have to pay for the absolute essentials of life only.

Many people were only able to purchase the homes they currently own as a result of adjustable rate mortgages with low introductory interest rates during the housing boom that was going on during the last ten years or so. Now, however, these individuals are in need of foreclosure help in order to prevent themselves from losing their homes. They also need to consider what kind of help to accept in order to not get into an even stickier place financially.

In an effort to assist people who risk being foreclosed on, several state governments have begun to help prevent foreclosure. Some people who need assistance have been victimized by what are often referred to as "predatory lenders" who intentionally offer loans to people that will not be able to pay back the money they borrow. Such lenders allow individuals to change their expenses or income in an effort to qualify for loans they should not be able to obtain.

Getting Help Before Foreclosure

Many people start looking for help after they have been consistently unable to make their mortgage payments and foreclosure now seems imminent. The best time to start looking for foreclosure help, however, is before the foreclosure process ever begins.

The sad truth is that people often postpone getting assistance to prevent being foreclosed on until it is too late. When they do try to get help, their credit history has often been affected negatively to a point where they can no longer get the low interest rate loans they need to prevent foreclosure.

Families who need help in making mortgage payments can receive such help from a variety of companies. Sometimes a home mortgage can be reworked so that its interest rate is lower but the loan's duration is extended. This could make the difference between a family losing their home to foreclosure or being able to keep it.

The credit card is one of the best financial aids a person can own especially if it is used correctly, but the cost on most cards is very high and never really represents the interest rates available on personal loans for example. Low APR credit cards are available and of great benefit for those who cannot afford to pay their balance off each month.

The way the financial industry promotes credit cards is on their Annual Percentage Rate or APR which is the method use to calculate how much interest is paid by the card user annually. Although this figure is divided by twelve to provide a monthly interest figure on any outstanding balance. This figure must be disclosed before the agreement is signed otherwise the credit card agreement will be void.

The lower the APR the lower the amount of interest they pay on their goods but this is not the only factor to consider when applying for a low APR credit card. People who require financial help will appreciate just how much money can be saved a year if they have a low interest rate credit card even if there are other charges.

Many low APR credit card offers can be found on the Internet but you will also see them advertised elsewhere. People on stricter financial budgets will be better off with a fixed rate credit card as the interest rate will not vary and will help better manage their financial commitments each month.

There are usually other additional charges which will need to be considered, one of which is monthly credit card payment protection which will add to the amount you pay. You must be made aware of these charges but if you intend to go ahead anyway just make sure you know when they have to be paid and how much is going to be added on to your credit card annually by them.

You will probably need to compare a number of credit cards but many websites can provide this information with a table that provides the overall amount each will cost on a yearly basis. You might also want to look for a credit card that offers users the opportunity to purchase items at a zero rate of interest for the fist few months of ownership and if possible one that does not penalize the owner if the card details are used to make unauthorized purchases.

It is also common for low APR credit cards to get new business just by offering a permanent zero interest rate on amounts transferred from another card but will charge all other transactions as normal but for large transfers this can be extremely good. Credit cards are one of the easiest ways to improve or even start your credit history as the regular usage is recorded and the information passed on to the agencies that control credit ratings.

The credit card is one of the best financial aids a person can own especially if it is used correctly but the cost on most cards is very high and never really represents the interest rates available on personal loans for example. This is where the low APR credit card ushers in, to help people who plan to maintain a balance on their account and not to pay the full amount monthly.

The way the financial industry promotes credit cards is on their Annual Percentage Rate or APR which is the method use to calculate how much interest is paid by the card user annually. Although it is promoted this way, when it comes to your monthly statements, you will find this Annual Percentage rate has been divided by 12 to give a monthly figure and this is the amount of interest you will pay on each month's outstanding balance. Credit card issuers are obliged by law to ensure that every person who applies for a credit card with them that they know what the annual percentage rate is.

Every credit card issuer will have their own financial arrangements and terms but by choosing a low APR credit card it will help to lower the amount of interest paid each month. Anyone who is in need of reducing their monthly expenditure will find this type of credit card an advantage and while there are other charges to look out for this will be the biggest contributing factor in the cost each month.

Most credit cards that offer a low APR will be found online so if you are looking for one, this is the place. However, remember that to provide a low interest rate there may be other charges like an annual fee and check to see if that low interest rate is fixed for a set period or is variable.

Be aware of other fees and charges that might be added, although some are voluntary like the inclusion of a payment insurance which can guarantee the monthly minimum amount owing will be paid. Whatever charges are made, make sure you are aware what they are and whether or not they are optional as low APR credit cards will often have these attached but if you check the terms and conditions you should see them listed.

The ideal low APR credit card to search for is one that also has a low annual fee which combined with low monthly interest payments should save many hundreds if not thousands during the time you use it. You might also want to look for a credit card that offers users the opportunity to purchase items at a zero rate of interest for the fist few months of ownership and if possible one that does not penalize the owner if the card details are used to make unauthorized purchases.

As an incentive some will just provide a zero interest rate for transferring a balance for all the time the balance is being paid off but will charge interest on all other transactions. There are many uses for a credit card and some people only use them to improve their credit score after they have had financial problems.