Sunday, August 17, 2008

Taking Care of Finances

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Of late, I had been receiving SMS phone messages from several banks offering salary loans from PhP30,000 (US$667) - PhP1,000,000(US$22,222) at 1.39% interest per month. Then when you ask them how they got my number, they say it was randomly selected.

Are these banks that desperate now to get credit? What happened to the good old customer assessment and credit evaluation, where they use to offer Credit Repair and restructuring?

Well, maybe these banks are just more aggressive in providing personal loans compared to home or auto-loans. For sure, with the bigger amount of money at stake with the home or auto loans, they will definitely be more selective. With personal loans, they would only ask for your last months payslip to get approval. Where with home loans your historical credit records will be scrutinized. That is, if you have a bad record in the past and haven't had a Bad Credit Repair, you would definitely have a harder time getting a loan.

I have some friends who have actually gone though enormous lengths just to get their home loan restructured and Repair Credit status. It made life easier for them. After the that they were able to sleep better with the re-structured loan. Some even thought to apply for another loan once again. Thanks to the Credit Repair Services offered by companies on-line.

For me, I take caution before getting into such credits. That personal loan offer looks attractive. But until I see a definite use for such a credit, one that would be productive enough to repay for that loan, I find it non-beneficial to my net worth.

1 comment:

Anonymous said...

For anyone looking for help with credit repair, the company you linked to above is a good resource, but it would be an oversight not to mention Lexington Law. They have been around longer and have helped far more people with credit repair than any other credit repair organization.