Let’s say you are approved to borrow 70% of your home’s value for debt consolidation. The problem here is that your debt load requires you to borrow more than the value of your home. Where do you turn when you cannot get a co-signer with a credit score high enough to help you get consolidated?
You have questioned the million dollar question
quit borrowing money.. you cannot borrow your way out of debt.
This is a tuff situation. Are you in control of your borrowing? Are you living within your income? If the answer is yes, and you have the discipline to control the situation, you force consider selling you home and starting over. Home ownership is expensive and not everyone is ready for it.
You could sell the house and use the cash you get to pay your bills down as low as possible. Try to pay some of them off completely. Find a place to live that is cheaper and erect your credit up. Buy a house again when your financially ready.
The other option is to try to increase your income, take a following job etc., and work your way out debt. Without knowing much about your debt it is hard to answer this but many people overlook the value of earning an extra $50 a week which could be paid on debt.
If you are way in over your head you may want to reckon about bankruptcy. Its not pretty but it is the right thing for some people.
Now, aside from all of that, there are some loan companies that will loan up to 125% of a homes value. Search the internet and find one. Good luck.
Step by Step Credit Repair Guide ..
Terrible credit can frustrate your efforts at getting a credit. Hence ensure you keep your credit report clean. If there are any errors in the report, undertake credit repair to clear out any errors. This can be tiring and frustrating, but highly rewarding. Though law recognizes and protects your rights, it is your duty to remove any anomalies in your report. Here we offer you ten tips to achieve …………..
There are many options to help you get the financing you need.
1. Just because the lender you are talking to can only approve you up to 70% doesn’t mean that is the only option.
2. If the total of all your debt is greater than the value of your home, then with lower credit scores you may not be able to pay it all off with a consolidation loan.
3. The goal of the refinance should be to provide the best payment relief possible to help you get control of your finances.
4. People get in to credit distress for different reasons. A Family emergency or medical reasons are the most common. If your credit cards have just gotten away from you then you need to start holding your self to a budget. You can visit for information and classes on budgeting.
**I suggest getting another opinion of what you can be approved for.
**You should also look at ways to improve your credit score. For more information on how to improve your credit score look at some of my best answers.
~Danke Schoen
Feel free to contact me with any other questions or a following opinion.
925-250-6067
Mortgage brokers usually work with a lot of lenders which in turn will find atleast one lender that can work with you.
I’m a Loan Consultant with First Capital Lending in CA. & we work with over 80 lenders. I’ve worked with ppl that have as low as 500 credit score & was able to help them out.
Try a broker, if you live in CA or NV, I can help.