Author: Staff Writer

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Credit Financial

Credit Cards: Best Low-Interest Cards of 2021

credit cards with low interest rates

When you qualify for a low credit card interest rate, you qualify to reduce the overall cost of your debt over a longer period. When you borrow money or use credit, you usually have to pay a premium on that borrowed money in the form of interest.

Citi Diamond Preferred Card

This is a card with a 0% introductory rate, but the great part about the introductory rate is that it lasts for a year and a half. A full 18 months of zero interest can be a goldmine if you have some debt to catch up on. Once the intro period is over the interest rate will revert to the rate stated in the terms, generally a 14%-27% variable APR. To qualify for this card the applicant will need excellent credit and a FICO of between 720 and 850.

Discover Cash Back

Discover has reinvented itself in recent years as a very competitive card company, and this card is another reason why. The $0 annual fee and 0% APR intro period for a robust 14 months make this an attractive card that you do not need to have nearly-perfect credit to qualify for. They will accept applicants with a credit score as low as 690 with improving terms for scores up to 850.

Chase Freedom Unlimited

The Chase Freedom Unlimited card is another great card with a 0% APR for 15 months on purchases. It also has an entry point for consumers with credit scores from 850 down to just 690, so if you have faced some credit challenges this card might be a great match to get caught up.

In the first 3 months, spending $500 on purchases earns a $200 bonus, a legitimately nice return. The customer also earns 5% on travel purchases, 3% at restaurants, other dining, and drugstores. There is no minimum to redeem the cashback, like on some other cards.

Blue Cash Everyday Card

For a card with a great 0% APR intro period, and nice cash back benefits beyond that, the Blue Cash Everyday card is an enticing option. The intro period is a leisurely 15 months, and the APR after that can range from 13.99% up to 23.99%.

If you spend $1,000 in the first 3 months, you get $200 back. Additionally, you 3% back at grocery stores, up to $6,000 in a year, 2% back from gas stations and select department stores, and 1% back on other purchases.

U.S. Bank Visa Platinum Card

If you are one of the few who can qualify for the U.S. Bank Visa Platinum card, you should certainly consider having one. They provide a 0% intro APR for a massive 20 months, and a variable APR of between 14.49% and 24.49% after that. You’ll need a credit score of 720-850 to get in the door. Additionally, paying with the card provides up to $600 to protect against cellphone damage and theft.

Categories
Financial Loans

What Are The Best Car Loans

best car loans

When purchasing a car, one major obstacle for many people is the cost. Even inexpensive cars can cost thousands of dollars. Many people don’t have thousands of dollars to spend at once, especially if they need a new car as soon as possible. Getting a car loan can help you cover the cost of the car while offering easy ways to repay.

When shopping for a vehicle, one of the steps that shouldn’t be neglected is looking for auto loans. Finding the right loan can help you save money while repaying the loan and negotiating with dealerships. Having a car can help you negotiate a lower rate, or even decrease monthly payments.

PenFed Credit Union

PenFed Credit Union offers low rates for new and used auto loans. They even offer to refinance loans. They offer loans from $500 up to $100,000 so that no car is out of reach. Depending on what kind of loan you are applying for, rates can start as low as 1.39% for a new car. To get a loan from PenFed, you will need to join the credit union, but those standards are easy to meet.

LightStream

LightStream is an auto loan company where the application can be completed entirely online with money often coming in the next day. They offer a variety of loan types, including new and used cars and classic car loans. The loan rates range from 2.49% to 9.49%, with applicants with the best credit getting the lowest rates.

Bank of America

Bank of America is a familiar financial institution to many, making them a welcome choice for many people. They also offer rates as low as 2.59% with a maximum of $7,500 for a loan. They do not give out loans for cars older than ten years or with more than 125,000 miles. Borrowers can choose from a 48, 60, or 72-month long loan after completing the quick application process.

Consumers Credit Union

Consumers Credit Union offers auto loans as low as 2.69% for up to 60 months. They also don’t have a minimum or maximum loan amount, loans are approved based on your credit history and the car report. Borrowers must also be a member of the credit union, which requires a payment of $5.

myAutoLoan

myAutoLoan is the best choice for people with a poor credit score. This is a marketplace option where borrowers can compare multiple offers and choose the loan best for them. The application process is quick and borrowers can compare four lenders. Loans are as low as 2.49% for new, used, and refinancing loan options.

Summary

Buying a car is expensive and many people can struggle to cover the expensive costs. Having a loan will help you buy off the car without a high-interest rate. Even if you have a history of bad or low credit, it is possible to find a lender that will help you. Get the car of your dreams with an auto loan.       

Categories
Credit Financial Loans

Auto Loans for People With Bad Credit

auto loans for bad credit

We’ve all been there at one point or another: you need a new vehicle badly, but your credit history has not been looking the best these past few years. While that may have been a crippling issue just a decade ago, these days there are more and more options for getting auto loans to those with bad credit.

While there are sometimes bad credit loans available from popular lenders, there are some lenders that have specifically entered the market to help those with credit problems and limitations. The downside to these loan programs is that they often require higher interest rates and as a result, higher payments on the loans themselves. But there are still some great benefits to some of these lending programs, take a look:

New Roads Auto Loan

New Roads is a direct lending division of Consumer Portfolio Services Inc. Consumer Portfolio Services Inc. is a general finance company that offers indirect automobile financing to consumers with bad credit. They also can help consumers with low incomes or limited credit histories.

New Roads has loan programs for both new and used vehicles, refinancing, as well as lease buyout options. While they do not require a down payment, financing without one means you finance a larger amount. This can increase the amount you pay over the life of your loan.

They consider applications from consumers who still have a repossession or bankruptcy (open or closed) on their credit reports. They also make allowances for co-buyers as well. One downside is that New Roads is only available in 30 states, so depending on where you live, you may not have access to them.

Capital One Auto Finance

One of the biggest draws to Capital One, in addition to their willingness to work with less-than-stellar credit, is the ability to prequalify for a loan, before having them do a hard pull to confirm. As people trying to rebuild their credit know, a hard inquiry can affect your credit score if you have too many within too short of a time. With Capital One you can get a pre-qualification and can check the estimated terms and payments before deciding if you want to commit to a full application.

They offer loans for all types of vehicles both new and used, and they offer to refinance existing loans from other loan servicers as well. They have a minimum loan amount of $4,000, and the loans can only be used at a participating car dealership, though there are 12,000 of those. In order to apply and qualify, you will need to be 18, have an income of between $1,500 and $1,800 monthly, and live within the lower 48 states.

The maximum loan amount you will be approved for will depend heavily on your income, credit history, and other factors. However, when you are approved, you will be able to use the Auto Navigator tool to find your vehicle of choice.

Categories
Credit Financial

How to Reduce the Interest on Your Credit Cards

Heres How to Reduce the Interest on Your Credit Cards

Are you paying a lot of credit card interest? Do you even know how much interest you are paying each month or year? Some credit card users receive quite a shock when they finally see those totals. Consumers spend over $1,000/year on just interest each year.

So what can you do about this? Can you reduce the interest on your credit cards? Yes, you can.

3 Ways to Reduce Credit Card Interest

1.     Pay off your balance in full each month.

By paying your entire balance each month, you avoid interest entirely.  This is easier said than done.  If your goal is to pay zero interest, you will need to make a plan that includes budgeting all credit card purchases.  Even if many find it difficult, this is achievable.

2.     Ask your Credit Card Company for a rate reduction.

Is this even a thing that credit card companies are willing to do? Of course, it is. 

Credit card companies like to let consumers think that some higher power decides interest rates.  They want you to believe there is nothing anyone can do to change your number. Not questioning your interest rate always works out in their favor because it means your likely to pay more money directly to them.

Your credit card company’s primary focus is to keep you as a customer and paying interest as long as possible.  If they think you might leave because of a higher interest rate, they can be surprisingly willing to discuss reducing it. 

How to ask:

  • First, consider what your goal is.  Just trying to save money? Have a unique situation that’s making you do this? Different goals might require you to take different approaches.
  • Next, gather some potential offers or options. Can you get approved for a 0% balance transfer? Is there any other way that taking your business to someone else might help achieve your goal?
  • Finally, call customer service.  Let them know about your options.  Tell them why you are considering making changes.  Say you would rather not go, but that they need to give you a reason to stay.

3.     Transfer your balance to another card.

A surprising number of credit cards offer 0% APR as an introductory offer for new customers.  Transferring all (or some) of your balance to one of these accounts could give you just the time you need to pay down that balance with no interest adding to it.  Just be fully aware that you will end up right back where you started if you fail to pay down the balance.

Of course, you can be stuck with your current interest payments.  Occasionally the circumstances just don’t make that rate reduction possible. Those occasions are much rarer than most people realize, and even when they do occur, it is only temporary.  By simply being aware of the options you have as a consumer, you can control how much it costs you to use credit cards.

Categories
Legal Social Security Disability

Social Security Disability Law: A Beginner’s Guide

Social Security Disability Law A Beginners Guide

The Social Security program, along with disability benefits, has been the subject of an increasing focus in the media. People often have questions about the law concerning Social Security, and how it and its associated benefits operate. This is due in no small part to how confusing the laws are surrounding disability and benefit plans.

Many people have pointed out how frustratingly ironic it is. That while the Social Security Disability Law was initially created to improve the lives of the disabled, but the seemingly endless red tape and bureaucratic processes that must be followed make the application incredibly challenging.

What Exactly Is The Social Security Disability Law

The Social Security Disability Law is a federal law that lays out the rules that dictate who can receive disability benefits from the federal government. If you are determined to meet the requirements, you are then eligible to receive the benefits. So, the state in which you live is obligated to meet the requirements needed for your comfort and quality of life.

One of the challenges lies with pursuing the correct benefits, as the criteria for each are different. Failing to meet them will result in rejection or denial of benefits. The two types of benefits are:

  • Social Security Disability Insurance: These benefits require the applicant to prove they have a disability, and that before that they paid into the Social Security System.
  • Social Security Income Program: These benefits require that the applicant is over the age of 65, or be blind, or have a disability, and have low income. These benefits do not require that the applicant prove they paid into the Social Security System prior.

The next hurdle that often poses a significant challenge for some people, is proving the disability. Proving disability is often where people need to work with a disability lawyer. They can help you establish your disability in a legally tangible way. This way you can get the benefits you deserve.

Applications And Appeals

When considering an application for benefits there is a basic process that must be followed, as well as for disputing a decision you find unfavorable.

First, you’ll submit your initial application to the Social Security Administration. This can be done in several ways including by phone, in person, or online. This is a long procedure that involves submitting much of the documentation needed to establish eligibility. Only about 30% of applicants are approved in this manner. If your case is among the 70% of denials, then you can dispute the decision.

This dispute process has four distinct stages, which are:

  • 1 – This is an initial reconsideration that requires you to submit more documentation to support your case, if denied you advance to Stage 2.
  • 2 – Hearing with an Administrative Law Judge, if denied you advance to Stage 3.
  • 3 – Appeal to the appeals council, if denied you advance to Stage 4.
  • 4 – Bring your case before a federal court for a final determination.
Categories
Financial Legal Savings Social Security Disability

The Difference Between 401k vs. Social Security

401k vs. Social Security

Many people wonder which is better to rely on, Social Security payments or your 401k income. What they don’t realize is that you can receive both Social Security as well as 401k income. Whatever income you receive from your 401k plan will also not affect your Social Security benefits. This is because it is considered income from a non-wage source.

Most workers count the days until they can retire at full retirement age, 66 years old. They frequently begin receiving Social Security benefits within the first few months of their retirement, as well as their 401k income. Some will retire as early as 62 in exchange for lower monthly benefit payments from Social Security going forward. At the other end of the spectrum, some delay collecting Social Security until the latest allowable age of 70. This means they reap the benefits of much larger monthly payments in return.

Why 401k Income Has No Effect On Social Security Payments

One of the foundational tenets of Social Security is that the credit system for qualifying for benefits is based on taxable wages. These wages are the ones that you earned during your highest-paid 35 years of work. Your contributions to your 401k are made with wages paid to you by an American company. Fortunately, they have already paid the Social Security taxes on those wages.

Many people contribute as heavily as possible to their 401k, however, under the impression that those contributions are tax-free. Well, they are, sort of. Those contributions can be made free of income tax imposed by federal and state entities. However, not by contributions required by the Federal Income Contributions Act, or FICA.

No matter what, your wages will always have the tax for Social Security paid before anything else can reduce your income level. So you do still pay some taxes, up to a preset threshold that is determined by the IRS.

The Difference In Dollars

So you are getting close to retirement age, or maybe just planning well ahead to ensure your comfort, and you want to get down to numbers on what retirement is going to look like. Well, there are a few scenarios centered around when you retire. You can begin collecting Social Security at 62, the full age of 66, or as late as 70. While you might get to begin enjoying retirement early, the change in benefit amounts by delaying can be incredible.

Using the top-end numbers for 2021, the highest monthly benefit when retiring at 62 is about $2,300 while waiting until 66 gives a monthly payment of more than $3,100. And for those waiting until 70, they can collect a massive benefit of nearly $3,900.

If you are planning on retiring early, your 401k income can certainly supplement your Social Security income without affecting it. On the other hand, if you have a few years to go, you may still be able to start taking life a little easier by utilizing your 401k income while you delay Social Security collection until you get the maximum benefit.

Categories
Credit Financial

How to Get Credit Card Approved

How to Get Approved for a Credit Card

You’ve probably heard your friends and family talk about the benefits of having a credit card. There are definitely perks to having a credit card, but how do you get approved for one? If you have no credit or poor credit, it may seem like it would be impossible to be approved for a line of credit.

There is no way to guarantee you’ll be eligible to get a credit card but there are some ways that may improve your chances of approval.

Get Started on the Right Foot

Building good credit can be done if you stay on top of your bills from the beginning. Credit card companies look at your payment history as well as the following:

  • Only apply for what you need. You can always apply for an additional card or two down the line if you decide they’re needed, but acquiring multiple loans and credit cards in a short time frame makes lenders think your finances have taken a turn for the worse.
  • Stay below your credit limit. In fact, you should aim to keep your overall credit utilization ratio under 30% for each of your lines of credit.
  • Always check your statements to ensure they are accurate. You want to do this so that your score isn’t negatively affected by incorrect information. This is also helpful to keep an eye out for suspicious activities and potential security risks.
  • Pay more than the minimum if you can. If you can only afford to pay more than the minimum once in a while, that’s fine. Any higher payments will look good for you.
  • Know your credit score and make sure to check your credit report. Credit reports are usually accurate, but errors do happen. You can get one free copy of your credit report per year through the 3 major credit reporting companies.

Monitor Your Credit

Before you get a credit card, you should get a copy of your credit report so you can see your score and the information that is impacting it. You’ll be able to access information like your payment history, previous credit checks, and recently acquired accounts. When you apply for a credit card, the bank will check your credit score to see how likely you are to make your payments on time.

Don’t Use too Much Credit

In order to ensure you don’t end up with a credit card you can’t afford, it’s important to understand your debt to income ratio. This comparison of your income versus what you owe will help you figure out what kind of monthly payments you can afford.

Be Patient

If your credit isn’t at a point where you are able to get a credit card, it is not the end of the line. Fixing credit and establishing credit from zero takes time. If you need to increase your approval chances quickly, consider becoming an authorized user on a friend or relative’s account, get a secured card, or getting a loan with a co-signer.

Categories
Credit Financial Savings

Creating a Budget with a Credit Card

How to Create a Budget with a Credit Card

Introduction

Though credit cards make it easy to overspend, they also make it easy to keep track of and control your spending. If you have a hard time balancing your finances, there are many methods you can use to create a realistic and effective budget with a credit card.

General Tips

Most major credit cards group purchases by category and allow you to search through transactions and get detailed spending reports. This includes:

  • The option of viewing spending reports for any given period of time within your account (ex. for the week or monthly)
  • This allows you to not only devise a budget based off of when you get payed, but also make any necessary adjustments due to unexpected expenses

Establishing and Estimating Your Expenses and Income

Expenses

A good way to do this is by making a note of everything you pay each month, including:

  • Mortgage/rent
  • Insurance payments (auto, health, home, etc.)
  • Utilities
  • Cable, phone, and/or internet
  • Food
  • Non-essential purchases

It is important not to dismiss small purchases, as these can add up quickly. If you are not actively paying your credit card balance off, you must include an additional charge for interest from the card issuer. Try your best to avoid this by paying the account balance off at least once or twice per month.

Income

Calculate exactly how much income you generate each month. This includes your base salary and any extra money you have from other sources. It is a good idea to consider how often you get paid, so that you do not end up with bills you cannot cover before your paycheck.

  • For example, if you know your next paycheck does not come until the end of the month, do not schedule any major expenses on the last week of that month
  • If this happens, you can easily get behind on your bills

Comparing Expenses and Income

The next task is to analyze your income versus your expenses. If your spending is more than your income, it is likely that you will run into debt. However, if your income is greater than your spending, you should end up with money left over.

There are services available that can do this for you and make it easier to see where you are overspending. The difference between the two values will show the excess/inadequacy of your funds. When considering your budget, it is always a good idea to set aside a contingency fund for any unexpected costs that you may incur.

Some of these service capabilities include:

  • Grouping your expenses by category
    • These can include retail shopping, dining out and other food costs, rent, and insurance payments
  • Some of these programs allow you to set a budget per category and may even notify you when you are approaching the set limit

Alternately, you can do it yourself by going through your bank and credit card statements:

  • Group your purchases into your own categories and calculate the total for each month in each category
    • You may want to use the same or similar categories that are generated automatically by credit card services, but you may want to use others instead
  • Compare the values to see where and on what you are spending the most money and make any necessary adjustments, such as wanting to shop online less

Both of these methods have pros and cons. Using services is:

  • Quicker and easier
  • But there is always the chance that programs will make mistakes:
    • They could input incorrect values or group expenses into the wrong category
    • Though these problems are uncommon, it’s not a mistake you want to make

Conversely, doing it yourself has its own pros and cons:

  • It is more thorough because you have the ability to nitpick through your expenses
  • However, it is tedious and takes much longer

Conclusion

The bottom line is that looking at a visual breakdown of your expenses is the most effective way to determine your budgetary status. Your goal, whether you are in debt or have surplus, should always be to save money and cut expenses.

Categories
Legal Social Security Disability

Mental Health Disability Claims

Mental Health Disabilities

The Social Security Administration uses pre-established mental health guidelines to determine which applicants for benefits qualify. These disabling impairments and their criteria are listed in what is referred to as the Blue Book. It lists the exact criteria and conditions that will allow an individual to qualify for and collect Social Security Disability benefits. There are a total of 9 mental health categories covered, and they are:

  • Anxiety Disorders
  • Affective Disorders
  • Autism Spectrum
  • Mental Retardation
  • Organic Disorders
  • Personality Disorders
  • Psychotic Disorders
  • Somatoform Disorders
  • Substance Addiction Disorders

Each category is evaluated with its own criteria, and to qualify for benefits, the applicant will need to show that they meet said criteria. An alternative is to show that the cumulative effect of multiple disabling conditions is equivalent to the accepted criteria.

Anxiety Disorders

To claim SSDI benefits for an anxiety disorder, you must have medical evidence demonstrating at least one of the following:

  • Compulsions and obsessions that result in distress
  • Recurring and unpredictable anxiety or panic attacks weekly
  • Persistent irrational fear
  • Persistent anxiety with symptoms like motor tension

Affective Disorders

The requirements to qualify for SSDI with an affective disorder you will need to demonstrate two years of treatment along with the inability to function outside of a supportive environment or have documentation that acts as evidence showing your condition effectively prevents functioning in any work environment.

Autism Spectrum

You will need to show demonstrably that the condition prevents normal communication, social interaction, and engagement. You must also show that these limitations prevent your ability to work.

Mental Retardation

You, or your ward, will qualify if you can show documentation showing any one of the following:

  • Depending on others for personal care, like bathing, eating, using the bathroom
  • IQ of less than 60
  • IQ less than 70, combined with other physical or mental conditions that preclude working

Organic Disorders

You may qualify for benefits if you can show that you have been receiving treatment for one or more of the following for two years with the persistence of the condition.

  • Time and place confusion
  • Memory disorders
  • Hallucinations
  • Personality changes
  • Mood disturbances
  • Limitations of daily activities
  • Limitations of socialization
  • Loss of 15 IQ points or more

Personality Disorders

You will need to show evidence of your condition causing you to be unable to adapt to a social or work setting. Your disorder will also need to show at least one additional symptom such as seclusion, autistic thinking, hostility, passiveness, odd behavior patterns, impulsive damaging behavior, and more.

Psychotic Disorders

Qualifying for SSDI under this category requires medical documentation showing two years or more of your condition’s impact on your ability to be in a work environment. You may also be able to qualify if you have any symptoms that severely affect your ability to be in a social or work setting, like hallucinations, delusions, incoherence, and more.

Somatoform Disorders

For somatoform disorders, you will need medical evidence showing a history lasting several years of physical symptoms that require drastic lifestyle changes, by the age of 30.

Substance Addiction Disorders

To qualify for SSDI for substance abuse disorders, you must prove with medical documentation that the abuse issues have resulted in a mental disorder, neurological disorder, or digestive disorder.

Categories
Legal Mass Tort

Mass Tort vs. Class Action Lawsuit

Differences between Mass Tort vs. Class Action Lawsuit

Most people have heard of or even been part of, a class-action lawsuit, but it is rarer to find people that are familiar with a mass tort. While each type of action can result in a similar judgment or outcome, they are not interchangeable and are handled differently in court.

It is not uncommon for lawsuits to be brought against a company or organization by multiple individuals seeking to recover compensation for damages. In the case of a mass tort and a class-action lawsuit, the plaintiff is a large group of people who all have the same complaint against the defendant.

This complaint alleges significant harm that was caused by the action or inaction of the defendant. In both scenarios, multiple suits are compiled into a single legal action instead of separate lawsuits for each defendant. The aim of both is to reduce the number of cases in the court system.

Primary Differences Between Mass Tort and Class Action Lawsuits

Mass Tort

They are also usually smaller in scale than class-action suits. Mass tort actions are often comprised of individuals from a similar region or geographic area, which is why they are frequently smaller than class-action suits. Despite plaintiffs in mass torts being grouped together, they are treated as individuals with regard to proof. The means each person must prove the facts of their case, such as injuries, damages, and so on.

Class-Action Lawsuits

In a class-action suit, the plaintiffs are consolidated into a “class”. They are represented by a single person known as the class representative. They will represent the entire class and are will be treated as one singular plaintiff.

How Do I Know Which Case Might Apply To Me?

Mass Tort

A mass tort is frequently used when one or more of the criteria needed to file a class-action suit is not able to be met. This can happen when the plaintiffs each have some degree of variance in their claim or injury. This variance may be too different and can offset the issues more central to the lawsuit.

Class Action Lawsuits

When a class-action lawsuit is initiated, all members of the class must be advised of their inclusion in the suit. They must also have the chance to either use their own attorney or to opt-out entirely. The first step to creating a class-action lawsuit is to find a representative for the class and file a motion declaring their intent to act as the plaintiff on behalf of the class. The following requirements must be met in order to qualify for a class-action:

  • The number of potential plaintiffs in the class makes a joinder or mass tort impractical or impossible.
  • The case contains questions of law that are common to the entire class.
  • The claims made in the lawsuit are the same or highly typical for the entire class.
  • The party designated as the representative will be able to adequately and fairly protect the class’s interests.