Author Archive

Popular Cards For Consumers With Poor Credit Scores

Consumers With Bad Credit Prefer Capital One Cards For Easier Approval

Not everyone has a perfect credit score. Unfortunately a low score can create problems for many years. It takes years to repair credit problems. Repairing a low score can be done, but it takes diligence and effort in order to be able to buy a car or a house and get a good interest rate.

Everyone needs a little back up money once in a while. That is what credit cards were designed for. They can make a big difference for people living on a budget. When something comes up and there isn’t enough money in the bank, the card comes in handy.

Applying for a good card with a reasonable interest rate can be easy for people with good credit. They often get several offers in the mail and choose which one works best for them.

People with bad credit do not have many options. They are put in a tough position and yet they still need that back up plan when they are a little short on money. The offers they get in the mail are often for cards that have a very low credit limit and very high interest rates. They need a credit card, but getting one can be difficult.

Capital One is a popular card with people who have poor credit. This is the one card that gives people a second chance without a lot of questions. Capital One knows that rain falls into everyone’s life and so they go out of their way to make sure people are given a second chance. Visa and Master card are also popular, but in the end, Capital One is the card that seems to work for best for most people.

A Capital One card is accepted every where and is well known. It can come in mighty handy at the end of the month when the kids need shoes for school. Getting a Capital One card is easy and they invite people with all kinds of scores to apply. They do not discriminate because they are in the business of making life easier for people. Most consumers find that using a credit card is often easier then cash in many situations. Once someone has a card and uses it responsibly, they can work towards re-building their credit score. Things only get better and better for the responsible card user.

This is also a great card for students who are just establishing credit. Often they have a hard time getting that first card, but a Capital One card will make the whole process easier. College students love this option and it also makes their parents feel good knowing that if there is a flat tire or some other unforeseen problem their student will have a way to take care of it.

Check this card out and fill out the simple application. It is just that easy. Capital One is a great choice and no one is ever sorry they carry this impressive, easy to use card. The following opinion of the capital one card are from the editorial team with Balance Transfer Best, a leading portal to help consumers review and search for balance transfer credit cards online.

Will Banks Begin To Loosen Their Credit Card Guidelines for Borrowers with Bad Credit

The economy is rebounding but for the credit card holders, things may not be so bright in 2014 following the new reform act, which sets stiffer lending rules for mortgage loans. The laws are making it more difficult for mortgage loan applications to qualify for the loans. Nonetheless, consumers especially those with prime and sub prime scores will continue to enjoy better perks on reward cards.

For the subprime and those struggling with high interest rates, much more is expected. The qualities of the best credit card will comprise of multiple aspects including the package of perks, no annual fees rewards, and discounts with business affiliate partners, and reward bonus. Banks offering mortgage loans are going to make it stricter for borrowers to acquire the credit facilities.

If a borrower does get a mortgage, he or she will most probably qualify for a less than the expected amount. The Dodd-Frank Mortgage Reform act has set things to be strict, something that affects the borrower in a big way. The debt-to-income ratio is one thing, which is affected by the reform. The new lending rules limit consumers from taking mortgage or refinancing the existing one if it puts the overall household debt more than 43 percent of the household income.

The new debt cap also affects other common forms of debt, which are counted towards the total amount of debt including student loans and other fees. The law also makes rules tight especially on documentation, and for the lenders who try to give customers easy terms but the loan repayment go haywire leading to consumer lawsuits, they will also have to meet tight regulations.

For the consumer, the largest constraint is the 43 percent debt-to-income ratio threshold. The rules will make loans obscure for certain classes of consumers including those with prime or super prime scores. The change is aimed at protecting the consumer to avoid situations where things get too loose leading to problems in repayment of the loans. Banks may be reluctant to lend during the first months following the implementation of the law owing to the uncertainty over the process of implementing the rules.

The regulation on credit restrictions is aimed at cleaning the mess in debt problems, which arise due to loose lending structures compelling the borrowers to face lawsuits, which leave them subjected to foreclosures. However, the credit restriction comes at a time when consumers are actually doing a better job in terms of their debt management, and repaying their credit cards debts.

According to S&P/Experian, the monthly consumer credit measures indicates that the overall debt defaults have fallen to all time lows, which is a healthy credit environment. The result of the restrictions may be that it will be more expensive, and also hard to arrange loans for the consumers. This could lead to outright rejections for even qualified borrowers. And, with the interest rates on the rise, this aspect is likely to compound things for the borrowers and the lender alike.