Five Arizona Title Lenders Sued

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Five loan companies in Arizona have been sued by the Consumer Financial Protection Bureau (CFPB) for failing to follow disclosure guidelines in online advertisements. Guidelines state that lenders must follow specific formats for disclosing any interest rate changes in online marketing. The five lenders, which make loans secured by the borrower’s car title, did not include information related to the APR of their loans.

Named in lawsuits by the CFPB, the five companies are Interstate Lending, Auto Cash Leasing, Phoenix Title Loans, Presto Auto Loans, and Oasis Title Loans. Allegations against the companies state that the listed rates in the advertisements were lower than those borrowers would be given.

All the loans offered by …

Refinance More Than A Mortgage

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While the term ‘refinance’ is most often used with mortgages, it can apply to any type of loan. Many borrowers have taken advantage of low interest rates to refinance their home loans, but some have also refinanced their auto loans, student loans, and even credit card debt via a home consolidation loan. For some, even renters, taking advantage of refinancing can be the key to getting out of crushing financial debt.

Physician Loans Help New Doctors Purchase Homes

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Doctors, dentists, and many others who go into the medical field often graduate with high amounts of student loan debt that they have to begin paying back after six months of graduation. While they may not be making a large amount of money immediately following graduation and have a large amount of debt, they are also very likely to earn a high salary as they advance in their careers.

This is why a number of mortgage companies offer what is commonly called a physician loan. This type of mortgage is aimed at those who may not be earning a large amount of money when they apply, so lenders usually require a fairly small down payment or even no down payment at all. They also often do not require

Auto Title Loans 101

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If your credit is too poor to get a conventional loan to tide you over in tough economic times, where do you go for help? Payday loans cater to those with poor credit, but interest rates are notoriously high, and the whole payday loan industry is under increased regulatory scrutiny. Some states have banned them outright.

Auto title loans provide an alternative for the credit-challenged. Credit scores are not an issue because the lender holds the title to your automobile as collateral, allowing you to keep driving your car in the interim. If you fall behind on payments and are unable to pay back the loan plus the required interest and any accumulated fees, the title loan company can repossess your car.

Title loans are popular because they are convenient, quick, and don’t require credit checks. The main requirement is that you have a clean title in your name as the borrower with no oth…

Be on the Lookout for Home Improvement Scams

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Ah, summertime. The weather warms up, the flowers bloom, and the flocks of home improvement scammers return for their annual summertime gathering.

Like other unwanted pests, shady home improvement contractors tend to show up in the spring and summertime offering services ranging from driveway sealing to chimney repair to roof replacement to a complete home makeover. These scam artists often prey on the elderly, who can be more easily tricked or bullied into signing bad contracts. Avoid this situation by taking some precautionary steps.

  • Initiate the Search – Some contractors will approach you unsolicited and ask if you want particular work done because they just happen to be in the area, have excess supplies to deal with, or would like to use your home as a model for their services. Even if they seem sincere, ask for contact information and let them know you will be in touch if you need work done. Never sign contracts on the spot.

Land Loans 101

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You are ready to buy a home, but you cannot find a home that has all the features that are important to you. However, you have found the perfect plot of land on which to build your own dream home. That means you will soon be entering the world of land loans – loans that are similar to mortgages but with some distinct differences.

Land loans are loans to buy property that is not currently being used for any home or business purpose, generally referring to undeveloped land. Land loans usually require larger down payments and will carry higher interest rates because they represent a larger risk for the lender. Without a house on the lot as collateral and no guarantee that you can complete the building of one, lenders will have difficulty dealing with the land if you default.

The terms “lot loan” and “land loan” can be used interchangeably, but there are differences. Lot loans generally imply that the property is in a platted development with roads and utilities, or …

Microfinance Loans 101

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A microfinance loan is a loan extended by non-traditional lenders to people who are not served by traditional banks, such as lower-income borrowers, people without collateral, or people with lower credit scores. It does not necessarily refer to the loan amount, although most loans are small – from the $500 range to thousands.

Microfinance loans may also be called microcredit. The broad term microfinance implies other services such as specialized savings accounts, insurance or other financial services for the same underserved market.

  • Who Uses Microfinance Loans? – Usually small business owners or entrepreneurs, or those wanting to become one. They cannot acquire bank financing because of the risks associated with their ventures, the smaller size of the loan required, their limited experience, or the variability of their income. Many are self-employed.

    These people may also be unable to secure

Asking A College to Reconsider Their Financial Aid Package

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When a college makes an offer of financial aid, parents and students have the right to appeal and discuss the findings with the financial aid officer. In some cases, the institute of higher learning may up their offer.

When possible, try leveraging off of any aid packages offered by a competing institution where you applied. Some amount of aid is kept in reserve to enhance offers for kids schools really want. Contact the financial aid officer indicating that the school is your child’s preferred choice but that other schools offered better packages. Competition never hurts and here it may help you. Provide specifics of the other aid packages. Do this as soon as possible before the reserve funds are exhausted.

Financial aid officers may also exercise “professional judgment” to review and change offers. “Special circumstances” are the basis of exercising such judgment. Special circumstances may include unusual or one-time income in the Base Year used to calculate th…

Why Your Neighbors Are Tapping Their Home Equity

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You’ve accumulated a decent amount of equity in your home. Why not put your equity to use with a home equity loan or a home equity line of credit (HELOC)?

Both allow you to borrow against the equity in your home. A home equity loan is a lump sum option with a fixed interest rate and payment schedule, while a HELOC allows you to draw funds as needed (similar to a credit card).

If you did tap your home equity, what would you do with the funds? Probably make home improvements or repairs, according to a recent Bankrate.com survey. Almost three-quarters of homeowners considered those good reasons to borrow from your home equity. Other popular reasons included debt consolidation (44%), covering educational costs (31%), paying regular household bills (15%), and making investments (12%).

It’s a sign of trouble when you’re using a loan to pay regular expenses. According …