Do you have financial problems? Have you considered consolidating your debts to get out of there faster? Did you know this solution? Maybe you could even do a mortgage refinance to get enough cash to get back on top?
All these beautiful options are far too often a mystery for ordinary people because no one has bothered to explain them. This is what Morgan Debts offers you to accomplish in these places so that these terms have no secrets for you!
Contact us if you need to get out of payday loans
A financial advisor at Consolidation Now. could also come to advise you for payday loan consolidation.
Payday loan consolidation could not be simpler: consolidate all your payday loans into one payment! How? By asking a bank to repay your creditors for you to replace it in their role. The financial institution thus becoming your sole creditor, your financial management is simplified and your burden lightened. Indeed, the purpose of this exercise is to replace the staggering interest rates by a lower rate that is set by the bank! Although your amount to repay does not change, you save a lot in interest charges!
What’s more, putting a brake on excessive interest rates speeds up the repayment of your debt, especially since a payment schedule is still attached to the consolidation loan. This gives you peace of mind and reassures you that you can repay the loan.
But is it too good to be true? Not really! A loan for debt consolidation can be difficult to obtain because the bank requires a good credit record and each financial institution sets its own criteria for approval. It is certain that a good credit rating increases your chances of being approved, but some factors such as your current job, your income and your overall financial situation all weigh in the balance.
In addition, some of these loans are only granted provided that an endorser does not endorse the loan on his own behalf. This involves finding a charitable soul who wants to take such a risk for you, which is hazardous for all parties involved. Indeed, the bank can quickly exercise its right to an endorser if you no longer make your payments, which will aggravate a situation already very precarious.
As if that were not enough, you may be required to give collateral to protect the bank in case of default. This may not be a problem for you if you are sure you can make all the payments in due form, but if there is any doubt in your mind about it, it is better to look at other options than secured loan. Otherwise, the bank will not hesitate to exercise its right of seizure to you, so beware!
All in all, consolidating your debts has more advantages than disadvantages for someone in a situation of debt distress. Just make sure that the game is worth the candle in your particular situation!
Who better to enlighten you about this than a financial advisor found just for you?
Mortgage refinancing, how and at what price?
Refinancing your mortgage can bring a lot of interesting opportunities. By having access to more cash, you can carry out long-term projects such as improving your home, traveling or paying for expenses related to your children’s activities.
However, this is a decision that should not be taken lightly! Such an approach inevitably entails related costs that are not insignificant, such as valuation appraisals, notary fees as well as expenses necessary for the intervention of various actors in the file.
There are many factors to consider in determining whether mortgage refinancing is the answer for you, such as:
-The net worth of your home: Banks agree to lend up to 80% of the net worth of your home, which can be a lucrative option if your mortgage is already repaid in good part.
-The interest rates on the market: If the moment may seem appropriate for you, it is likely that the real estate and financial markets are of another opinion. It’s important to stay abreast of trends and learn from experts about the different interest rates available to you.
– The term of your mortgage: It is generally more advantageous to wait for the maturity of your mortgage to consider refinancing, because it makes you avoid interest penalties.
What’s more, the cash flow you can access by refinancing your mortgage will also allow you to set up a contingency fund for unforeseen expenses!
Consumer Proposal vs. Bankruptcy
If you are confused between how the consumer proposal works and bankruptcy, do not worry, because there are a lot of similarities between them, but also fundamental differences! What distinguishes one from the other and what are the implications of each?
At the level of similarities, there is the suspension of appeal against you by your creditors. In the case of a bankruptcy as in the case of a consumer proposal, the lawsuits are suspended, which means that the lawsuits stop and you can not be seized any more while you are under the protection. of the law.
However, the mechanism differs despite the similarities. The consumer proposal aims to avoid declaring bankruptcy by submitting a reduced offer to your lenders, offering to pay only a portion of the debt that is due to them. The process always involves a trustee in bankruptcy who deals with drafting such a proposal, submit it to your creditors and set up the legal aspects. It will then be up to your creditors to vote on the acceptance of your proposal!
When the proposal is accepted, the portion of your debt not included in the proposal will disappear, but this will affect your credit report for 3 years after the end of the proposal.
On the other hand, bankruptcy consists in protecting you from these creditors and freeing you from the vast majority of your debts. This entails the services of a trustee in bankruptcy to inventory your assets and identify those that will be seized and sold to pay your creditors and which will enter the category of exempt property.
It is also the trustee in bankruptcy who is responsible for selling your property and distributing the money collected among your creditors in the legal order of priority. Bankruptcy has the advantage of freeing you from a large part of your debt and giving you a fresh start.
What are the disadvantages, in return? Bankruptcy has a devastating impact on your credit rating, this is undeniable. During the 6 to 7 years following your release, it will be almost impossible for you to obtain credit given the statement that will remain on your credit file.
But when will you be released from bankruptcy? If you are in your first personal bankruptcy, the release will take effect between 9 and 21 months depending on the excess income. This release will be automatic if no one objects. This is equally true for a second bankruptcy, the only exception being the 24 to 36 month extension.
In the end, protecting yourself from your creditors by using bankruptcy or the consumer proposal is not a decision to make on a whim, because the consequences are felt over several years. However, if you are convinced that this is the solution for you, do not hesitate to fill out the form at the bottom of the page for an authorized insolvency trustee in the greater Saguenay Lac-Saint-Jean region to contact you!
For your money problems, the solution starts!
There is no point in throwing in the towel because the team is working for you to find a financial advisor who can put your finances back on your feet. Whether you choose one or other of the options presented above, this expert will assist you in all stages of your approach!
Moreover, did you know that debt consolidation is more and more common in Saguenay? Whether you are located in Saguenay, Chicoutimi, Alma, Roberval, Dolbeau-Mistassini or elsewhere in the province, network of partners offers you the opportunity to accompany you on your path to financial freedom.
Our team duly selects its professional and dedicated partners for your financial success.