How To Get Consumer Financing When You Have Bad Credit

Being a consumer today is more difficult than ever before.

Remember the days when you carried a wallet full of credit cards ready to take on the world? There was no emergency that could catch you unprepared.

Well, those days are long gone.

Perhaps you had your spending power vanish when the credit card companies panicked and crushed your credit limits. Perhaps you lost your job for a time causing you to temporarily fall behind on some bills and therefore, destroying your credit score. And perhaps, you no longer have that job that leaves you with any much extra income to save for those emergencies.

The end result is that you are walking around afraid that life will throw you a curve and you won’t have the resources to deal with it. What if your car breaks down requiring a costly repair? Or you have a health issue that requires a significant out of pocket expense? And what if something breaks in your home that costs thousands of dollars to fix?

It’s not a fun position to be in.

But if misery likes company, you certainly have plenty of it.

According to a survey conducted by the National Foundation for Credit Counseling, 64% of Americans claim they don’t have enough cash on hand to handle a $1,000 emergency expense.

This is frightening.

Think of all the things that can go wrong in your life that can ultimately cost more than $1,000.

What would happen if you woke up one morning and your tooth was in excruciating pain? You get yourself to the dentist and find out you need root canal. The cost? A few thousand dollars.

Or maybe, your dog or cat gets sick.

What would you do?

Some businesses, but not many, have decided to work with people with minimal resources. Unfortunately, they are few and far between.

If you walk into most health professionals, they will point you toward Care Credit, a consumer financing option arm of GE Capital.

But here’s the problem. Unless your credit score is 680 or higher (and if you’re still reading at this point, chances are it’s not), you will likely get declined. And approximately 70 percent of applications submitted to Care Credit are either declined or approved for an amount less than requested.

Those are not great odds.

But the purpose of this article is not to get you depressed. It’s to tell you that an answer may exist at a business near you and if not, if will very soon.

There’s a new form of merchant consumer financing that does not base approvals on credit scores at all. Instead, they focus on your most recent checking account history.

This form of financing cleverly determines risk in new way. If you have an established checking account used to pay bills and have avoided being insufficient in your account over the previous 90 days, you stand a very good chance of getting approved.

Businesses that offer this option can typically get an answer on your simple seven line application in less than ten minutes. You won’t be required to produce pay stubs or bank statements either. One personal check and a photo id is all you will need.

So, your days of living in a home that requires maintenance, driving around in a car that’s in disrepair or walking around in pain, may soon be a thing of the past.

In the not too distant future, a business offering a non-credit based in-house payment option will be as common as one accepting credit cards. Until then, when the need arises call a business and ask them if they offer it and if not, suggest they do, so you can get what you want and they can get a new customer.

Top 10 iPhone Apps for Personal Finance

There are many applications for the iPhone that give users the ability to make personal financing easier than ever. While solving one pain-in-the-neck issue, it creates another – which app to buy? Because of the popularity of these headache-reducing apps, there is an overwhelming amount of options available in the App Store. Deciphering which app is the best available is almost impossible. Add in the fact that so many aren’t free, and choosing the right one the first time around could save time and money. Before downloading anything, it’s important to know if the functionality of the app (money transferring, budget tracking, etc.) fits your needs. Provided is a list of ten apps including the price and primary function that can make tracking personal finances much easier.

Mint – There are tons of finance apps available that focus on budget tracking. Few are as popular as Mint, which allows users to manage multiple financial accounts from one simple user interface. With user-friendly features and no price tag, there is little wonder why this app has so many users.

Loan Shark – Dealing with loans is never a pleasant experience. The Loan Shark app helps ease some of the pain endured while handling loans without having to pay anything. It simplifies the process of calculating loans by a great deal and also has many features including a full amortization table, a one-tap extra payment option, and a “favorites” feature.

MoneyStrands – This app is another free option for tracking your budget. With features like alerts, analysis, security, and support, it is one to compare to Mint.

PageOnce – Planning long-term investments can be easy to put off. This app also assists in budgeting your current finances like MoneyStrands and Mint, but really excels in planning for the future. It gives you the ability to look at your 401k, IRA, and stocks all at the same time, while not costing you a cent.

Toshl – Toshl incorporates cloud computing into every day financing with this free app. The cloud feature allows users to automatically sync their mobile movements online. Additionally, there is a premium upgrade ($19.95/year) that allows users to export to Excel, PDF, or Google Docs among other features.

MoneyBook – MoneyBook is another addition to the long line of apps for budgeting. This one, however, comes at a price. Promoted as “Finance with Flair,” the app costs $2.99 and is loaded with features to make financing easier.

SplashMoney – At $4.99, what differentiates this from the free apps is its ability to connect wirelessly to most online bank accounts.

Square – The price is right for this free app that makes credit card purchases simpler than ever. By signing up, Square, Inc. will provide a credit card reader that can be attached directly to the iPhone. Once connected, users have the ability to swipe all major credit cards with only a 2.75% charge per swipe.

PayPal – Ebay-owned PayPal provides users a secure, simple way to send or receive money wirelessly.

General Banking – The bulk of major banks have available apps for free. These provide easy-access to any and all bank accounts in a secure fashion.

This is only a small example of the many, many apps that can help make financing easier. With the continuous release of new applications and updates to old ones, banking from your iPhone will continue to simplify; finding the app for doing so may not. This list is a great place to start looking.

For more information about iPhone application development, visit Magenic Technologies who have been providing innovative custom software development to meet unique business challenges for some of the most recognized companies and organizations in the nation.

Consumer Financing Porgrams for Online Retailers

If you are a business selling a product or a service that costs more than $500, chances are that some of your customers will need financing to purchase your products or services. In today’s economy, finding quality programs are more difficult to find than they used to be before the economy collapsed. Prior to the decline, most major banks had program options that they could offer retailers and service providers. Many of those programs have either been discontinued entirely or have been credit restricted to the point where the are no longer effective enough for use.

Retailers and service providers have had to use alternative sources in order to offer the same types of promotional program offerings that they once had. Because of increased regulation and risk, many finance companies have had to increase their dealer pricing. This reduces the margins that the retailer has.

Online retailers selling products like furniture and jewelry typically have smaller margins than brick and mortar stores, so this increase in costs really hits them hard. In addition, online retailers don’t do business with their customers face to face, so they are limited to using programs that have the technology for e-signature and a completely digital process.

Be Prepared for the Problems in Used Car Financing With Solutions Before You Start

Financing properly is more important in financing a used car than when buying a new car. Most problems that occur in buying a used car are due to there being a problem connected with the financing. Getting the used car financing worked out properly is the key to a successful used car purchase.

Most buyers aren’t aware of how important the paper work is to making the deal a successful one or a failure. They view it as paperwork that should be completed as quickly as possible so they can drive away in their new car.

To start with, it’s very important to get the deal agreed upon by the salesman to be put in writing in the contract. This often involves determining monthly auto loan payments based on an interest rate. Sometimes, the interest rate a customer qualifies for is inflated so the dealership can make extra profit.

This headache can easily be avoided by obtaining independent vehicle financing before going to the dealership. This means the consumer can proceed as a “cash buyer” and negotiate only the price of the car. Car salesmen prefer customers to be “monthly payment” buyers because, in this way, it is easier to obscure the total cost of the vehicle.

Independent car financing can be obtained from a bank, credit union or on-line lender. With the popularity of the internet, applying for used car refinance is proving to be simple and very easy to do. Many on line lenders respond very quickly – sometimes as short as 15 minutes by email or telephone. If the application is approved, the borrower is given a credit limit at an established interest rate. Sometimes a blank bank check is issued with no obligation to use it.

“For the majority of consumers, even if you know you have good credit, there is a little apprehension and tension around applying,” one lender said. “So instead of going into a dealership and giving them your information and being sent to the coffee machine to wait for an answer, you can apply on-line, 24/7.”

Most people familiar with how used car dealerships operate confirm that obtaining independent car financing is beneficial to most consumers. .

The most common problems that have a negative impact on a person trying to finance a used car –and their solutions – to ensure that things go smoothly are the following:

Problem #1: Many consumers don’t know what their credit rating is when they apply for an auto loan. The strength of their credit score largely determines what kind of interest rate they will receive. Therefore, it’s critical to make sure your credit report is in the best shape possible before shopping for a car.

SOLUTION: Order a copy of your credit report and look for items that may stand in the way of you getting a good rate. Correct any issues or errors promptly. Are all of your lines of credit in good standing? Are there any signs of identity theft? The credit bureaus will tell you how to correct errors when they send you the report. The following numbers and Web site addresses will assist you in checking your credit.

The Best Finance App

The best finance app, in my opinion, is Mint.com’s mobile app. Here is a list of its features and finance app alternatives if you prefer to use an app other than Mint.com.

Mint.com (Free)

I have been using mint for a long time now and believe it is the best finance app. Intuit bought this web site a while back so it is very secure, using bank level encryption.

Mint gives you a quick overview of your finances, which you can put on one of your main screens in the form of a widget. The widget will show your current cash amount and your credit debt. It will also show you the last time your information was updated, so you can be sure that you are looking at the most recent information.

Once you set up a monthly budget, you can access it with the app to make sure you are staying on track for the month. Mint is very good at knowing how to categorize your transactions for budgeting purposes and it will let you know if it does not know how to categorize a transaction.

The app automatically gives you alerts for various things, which include the availability of large deposits, what bills will are due in the next few days, etc.

You can get a very general picture of you investments with this app. By that, I mean if you simply want to know the balance of you accounts, you will be happy with this app. If you want to get more information about the performance of specific investments, you will need to go to the website.

To set up this app, I would suggest you log on to the main website to input all of you account information and set your budget. Once that is completed, you simply download the app, log in, and all your accounts are ready to go.

Adaptu Wallet (Currently Free)

Adaptu Wallet has many unique features like tracking loyal programs and creating spending forecasts. The app also allows you to store photos of insurance and business cards, which will decrease the clutter inside your wallet. The app is currently free, but the word on the street is they will start charging for usage sometime in 2012.

Pageonce (Free or $4.99 for Gold version)

Pageonce arguably has the best interface of all the finance apps. Your key account balances are placed in thumbnails that appear on the home screen. Contrary to popular belief, this app does provide PayPal support even though many claim it doesn’t. Balance updates are not as fast as Mint.com or Adaptu, some transactions take days to update. The Gold version has the useful ability to pay bills directly from the app, and this is the only finance app that can do this. The gold version also removes all the ads from your app.