VA Home Loans With 100% Financing For Veterans and Active Military Members

I thought it would be prudent to discus some of the outstanding benefits of the VA Home loan program at the time when the banks in our country are going through an exceptionally difficult time thereby, hindering numerous home buyers from obtaining mortgage financing without perfect credit and a down payment. Currently the VA home loan as I like to say is “the last of the Mohicans” in regards to 100% financing for home purchase and now refinance.

In the past few years we’ve seen both conventional loans and FHA loans tighten their credit and down payment requirements. At the time of this article both programs require 3% down as a minimum down payment. FHA will begin to require 3.5% down starting in January 1, 2009. Not only that but each require expensive monthly mortgage insurance premiums to insure the lenders in case of loan default (think of it as foreclosure insurance), with premiums on the rise.

That takes us back to some of the main advantages of the VA home loan.

  1. The VA mortgage loan is 100% financing with no down payment required.
  2. As of the middle of 2008 the maximum loan amount is now dependent on the Freddie Mac county specific loan limits. Some high cost counties in California and New York for example can have limits as high as $729,500 with zero down.
  3. No monthly Mortgage Insurance Premiums. This is a huge benefit and can save veteran’s possibly hundreds of dollars a month depending on loan size and credit score.
  4. No prepayment penalty.
  5. Credit flexibility – perfect credit isn’t required but poor credit borrowers will still have obstacles
  6. Interest rates are competitive with conventional loans
  7. New – VA refinance cash out rules have just been updated so that homeowners can refinance up to 100% of the value of their home. Previous to this it had been capped at 90%.

There several advantages and really too many to list, but if you are an eligible veteran and thinking of purchasing or refinancing your existing mortgage. You need to at least explore the VA home loan option before you make your mortgage decision. I suggest you speak with a VA Lender that specializes in VA financing. Many lenders out there may have the ability to close a VA loans but the underwriting guidelines are very confusing and problems can arise with inexperience loan officers.

Getting a Used Car Loan Online

Nowadays, thousands of people have been into online application for car financing, whether it is a new or a Used Car Loan. It has been the easiest and convenient way to look for the best deals. People with different credit history whether bad or good are welcome to apply, a huge number of lenders find different ways to get them approved as they get through some possibilities to make it possible. On line applications has been dominating the car business industry for over the years, more and more companies competes in the World Wide Web for it become the medium of bigger business opportunities. Because of that, lenders give favorable deals for their consumers, they usually offers low interest car loan, easy car loan, and guaranteed car loan with their fast and higher approval rates.

Getting an Automotive Finance in a traditional way is quite complicated; you have to spend much of your time going to the local market and look for the best company that could offer you what you think could be the best. You will experience being rejected and sometimes you will be put in an embarrassing situation. Through applying online you can get a peace of mind for you are sure enough that your application is privately secured. You can make transactions at your home and surely you can save your money, time and effort. You are not going to do follow-up visits, for you can have an access in just one click, and you can get an approval in at least an hour. To get a used car loan also needs enough time and evaluation. People who get a used car loan usually cannot afford to get new ones and checking in for the best alternative. You have to check whether it is necessary for you to have a new car or a used car. People who get a used are loans usually cannot afford to get new ones and checking in for the best alternative. Try to think it over and weigh things, try to list down the advantages and disadvantages. It could be possible that the used car could have been into some repairs and will cost you a lot in maintenance. Used cars often have no warranties; make sure that the car was checked by a car technician to properly give you detailed information about the car history.

Once you have already decided where to get your car, you have to check on your financial status and your credit history, if you think you can afford to get one then go on, but if you think you have some doubts whether you can pay or not then think for a while. Having a bad credit history could be destructive, your reputation will be affected and you will get through a lot of difficulties in the future. If you aren’t sure whether you have a bad credit history you can also try to check online for your credit score if you hit at least 680 then you’re safe, if you get higher the better but not lower. Once you have checked on this then you are surely ready to drive home your dream car.

Auto Financing and Subprime Borrowers

So, you’ve applied for an auto loan and been denied because your credit score was not up to par. This means that you are now part of the subprime market, a surprisingly large subset of consumers whose credit score is not exactly ideal. While you may be in the majority, being a subprime borrower can make you feel like you will be continuously snubbed by lenders. However, even as a subprime borrower, you can still find the auto financing that you need if you take the right steps.

o Find a specialist lender – There are many lenders, both online and in the physical world, that are more than happy to loan money to subprime borrowers. However, remember that these lenders will charge an interest rate much higher than what you would receive if your credit score were higher. Specialist lenders are a great option for many, but you if you can improve your credit score, you can avoid high interest rates.

o Never use a dealership – While financing through the dealership may seem like a convenient solution, it is more expensive than finding a loan on your own. Dealerships make money on loans financed through them; this is done by raising the interest rate on the loan. What this means to you, the subprime borrower, is that you may actually pay more than if you used a specialist lender.

o Know your details – Before venturing into the world of auto financing any further, make sure you know what is on your credit report. You are entitled to one free credit report each year; take advantage of this valuable tool! An informed consumer has many more options than one who lacks the knowledge of what their credit report says about them. In addition, you’ll need to know your credit score (often not included in the credit report). With this information in hand, you can judge which lenders will be more likely to provide you with a loan.

o Rebuild your credit – Unless you have to have a new car immediately, the wisest course is to rebuild your credit rating. Use that free credit report to determine which creditors are dragging your score down. Contact them and make payment arrangements. Many times, this will result in increased buying power in a surprisingly short time. However, do not expect immediate results. It takes time for a creditor to inform the credit agencies that your debt has been discharged and still more time for those agencies to update their information. In addition, you can take out a higher interest rate auto loan now and refinance that loan once your credit has been improved.

o Shop around – Not all lenders use the same criteria to judge your credit worthiness. In fact, almost all lenders have their own definition of prime and subprime borrowers. With a little effort, you will be able to locate a lender that fits your needs more perfectly. This can allow you to get a lower interest rate (though still higher than some) and get the loan that you need.