The purpose of this article is to better inform those Americans who are searching for a line of credit in order to consolidate their debts. In an effort to help those churning through endless pages of nonessential information US Debt Reduction will clarify the requirements for those considering a line of credit.
If you answer YES to any of the following question you will likely be rejected for a line of credit. Discouraging or not, people should be informed before wasting time. After all theres more important things you could be doing to pay off your debt rather than sifting through irrelevant information that just confuses, and bores you.
Have you ever declared / filed bankruptcy?
Have you ever been late, or past due 90 days on credit card payments, medical bills, or any type of loan payment such as an automobile payment, or home payment?
Do you have unpaid tax liens, judgments, or collection accounts?
If you answered YES to any of the questions listed above your chances of getting out of debt with a line of credit is slim to none.
If you answer NO to any of the following questions you will not be eligible for a line of credit.
Have you had a loan, or credit card for at least 5 years?
Have you had a credit card with a credit limit greater, or equal to $5,000.
Whats the difference between a Line of Credit and Home Equity Loans
Home Equity = Home Hostage. Thats right, if you didn't know, a home equity loan is a secured debt and secured debts renders collateral (your home). When you take the fair market value of your home and subtract the principle then you'll understand how much equity is available. Just a little reminder, when you take out a home equity loan you are obligated to pay it back on the lenders terms and conditions, if not your home could be confiscated.
Line of Credit
Unlike home equity loans, there are some lenders / creditors who issue lines of credit without homeownership as a prerequisite. However, as mentioned above a line of credit is for individuals with excellent credit, with a very specific credit history.
Be advised: US Debt Reduction does offer a solution to those rejected from the stipulations of credit lines. In fact, our debt programs are so client friendly that after four consecutive years we have had 0 complaints from the BBB.
Line of Credit Consolidation
Consolidating your line of credit would affect your credit score, fortunately for a very temporary time frame. Unlike bankruptcy, or credit counseling our debt settlement, debt consolidation and reduction programs have alleviated debt much faster. How? Rather than following your normal billing cycle, your payments will be made into a FDIC Federally Insured Bank Account where our negotiators will settle your debts for 40-60% less than the original balance. Our line of credit consolidation features are executed by in-house negotiators and underwriters who stay in constant contact with your creditors until every credit account is paid off for a less than owed amount.
We believe nothing speaks louder than results, and this is accomplished through our various debt consolidation programs such as debt settlement, and reduction. To discover a truly unique approach to debt relief browse our user friendly website. US Debt Reduction is also conveniently available from 9AM - 9PM EST. We're here to answer any financial related questions you may have. On behalf of US Debt Reduction, thanks for stopping by!
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