Debt a Glossary of Terms
Bankruptcy - Having been legally declared financially insolvent. There are two types of bankruptcy - liquidation, in which your debts are cleared (discharged) and reorganization, in which you provide the court with a plan for how you intend to repay your debts.Collateral - Property acceptable as security for a loan or other obligation.Collection Agency - A company hired by a creditor to collect a debt that it is owed.Contract - An agreement between two or more parties, usually written down and enforceable by law .Cosigner - To endorse (another's signature), as a loan agreement, lease or credit application. If the primary debtor does not pay, the cosigner is fully responsible for the loan or debt.Credit Bureau - An organization to which business firms apply for credit information on prospective customers. Credit Report -An account of your credit history, prepared by a credit bureau. A credit report will contain credit history, such as what you owe to whom and whether you make the payments on time, as well as personal history, such as your former addresses, employment record and any lawsuits in which you have been involved.
Creditor - A person or entity (such as a bank) to whom a debt is owed. Debtor - A person or entity (such as a bank) who owes money.Debt to Income Ratio - Most mortgage lenders use this ratio to analyze your financial well-being. It is figured by using your monthly debt divided by your monthly income. The lower the percentage the better your financial picture. This is often referred to as credit worthiness.Default - To fail to pay money when it is due.
A default on a mortgage or loan takes place when you fail to make the loan payments on time, fail to maintain adequate insurance or violate some other provision of your agreement with the mortgage / loan company.Discharge (of debts) - A court's writing of off the debts of a person or business that has filed for bankruptcy.Dischargeable Debts - Debts that can be erased by going through bankruptcy.Down Payment - A cash payment made by a buyer when they purchase a property.Equity - An increase in the value of your home or decrease in the loan amount on your home creates equity. Equity is the difference between what is owed on your home and the sale value. Most home equity lenders will allow you to borrow up to 80% of that value.Fair Isaac and Company - Fair Isaac is the company responsible for creating the popular FICO score. This three digit score is created using information from your credit report and ranges from 300-850.Foreclosure - The forced sale of property to pay off a loan on which the owner of the property has defaulted.Garnishment - A court order directing a third party who holds money or property belonging to a defendant to withhold it and appear in court to answer inquiries.Grace Period - A period of time during which you are not required to make payments on a debt.Guarantor - A person who makes a legally binding promise to either pay another person's debt or perform another person's duty if that person defaults or fails to perform.Interest - A commission you pay a bank or other creditor for lending you money or extending you credit. Usually calculated as a percentage of the mortgage or loan.
Lien - The right to take and hold or sell the property of a debtor as security or payment for a debt or duty.Loan Consolidation - The combining of a number of loans into a single new loan. Usually done to gain more favourable terms e.g. lower cost repayments or longer time to pay. Principal - A sum of money owed as a debt, upon which interest is calculated. If you purchased an item for $100 on your credit card that would be the principal balance.Repossession - A creditor's taking of property that has been pledged as collateral for a loan.Secured Debt - A debt on which a creditor has a lien.
A car loan would be an example of secured debt.Term - The time required to repay a loan.Unsecured Debt - A debt that is not tied to any item of property. Credit card debt is an example of unsecured debt..
About the Author1st Finance Guide features help and advice on debt consolidation amongst other general finance matters.Feel free to reprint and distribute this article as you like. All that we ask is that you do not make any changes, that this resource text is include, and that the link above is intact.Student Loan Consolidation ? How does it Work?
Student Loan Consolidation ? How does it Work?Student loans are a great source of financial aid for students who need help paying for their education. Unfortunately, students often leave college with burdensome debt. In addition, they often have multiple loans from different lenders, meaning they are writing more than one loan repayment check each month. The solution to this problem is loan consolidation.What is loan consolidation?Loan consolidation means bundling all your student loans into a single loan with one lender and one repayment plan. You can think of loan consolidation as akin to refinancing a home mortgage.
When you consolidate your student loans, the balances of your existing student loans are paid off, with the total balance rolling over into one consolidated loan. The end result is that you have only one student loan to pay on.Both students and their parents can consolidate loans. Should I consolidate my loans?Loan consolidation offers many benefits:-Locks in a...
Student Loan Consolidation ? How does it Work?
Debt consolidation > Student Loan Consolidation ? How does it Work?
Are You a Candidate for Bankruptcy?
Bankruptcy laws give debtors a way to resolve debt by dividing their assets among their various creditors and in some cases will allow debtors to be freed of outstanding debts that cannot be paid, even after the division of assets. For individuals who find themselves unable to pay their debts, bankruptcy can be a viable option. As a debtor, you are entitled to file for bankruptcy. There have been recent changes to bankruptcy laws that may affect your ability to discharge your debts without credit counseling, but individuals who have found themselves unable to pay their debts can still file bankruptcy and be freed of outstanding debts. Chapter 7 bankruptcy is normally used by individuals wanting to rid themselves of all accumulated debt, and is the most frequently used method of filing bankruptcy.
Businesses who wish to completely liquidate assets and close permanently can also file Chapter 7 bankruptcy. Under Chapter 7, individuals are allowed to keep certain property such as...
Are You a Candidate for Bankruptcy?
Debt consolidation > Are You a Candidate for Bankruptcy?
Life Insurance ? Wise Investment In Personal Finance Or Excessive Caution?
Life insurance is typically taken out to offer valuable financial protection for your family in the event of your death, upon which a payment is made to your financial beneficiaries, heirs or family members. The extent of this payment will depend on your insured sum and earnings. Life insurance and life assurance may be interlinked in advertisements, though bear in mind the two policies are different. Life assurance is a form of financial protection which is also an investment, as you should always get a pay-out at the end of the term of the policy. Life insurance on the other hand is simply financial protection for your family, avoiding the issue of debt in the event of your death.According to an article by the Fair Investment Company, the British life insurance industry shrank to almost half the size of the pensions industry last year and according to the Association of British Insurers, less than 50% of UK households hold a life insurance policy.In their most recent newsletter about...
Life Insurance ? Wise Investment In Personal Finance Or Excessive Caution?
Debt consolidation > Life Insurance ? Wise Investment In Personal Finance Or Excessive Caution?
Credit Debt Consolidation Help Announce New Web Site: Credit-Debt-Consolidation-Help.com, Providing a Forum for All Debtors
Credit Debt Consolidation Help Announces releases credit-debt-consolidation-help.com."Our website is designed to help debtor find answers to their questions in our forums," says Richard Victor, President of Credit Debt Consolidation Help."The forums of credit-debt-consolidation-help.com contain thousands of contributions related to credit, debt and money issues. Hopefully our visitors will find the answers that they are seeking," explains Mr. Victor.The website contains more than 60,000 entries related to debt relief. Forum topics include Non-profit credit, Investing and Financial planning, Mutual Funds, Stocks and two separate forums covering taxes and debt consolidation."When people start searching for debt consolidation, they may not be ready to commit to a program. We like to give our visitors as much information as is available so that they may make a qualified, informed decision.", states the president.
"Of course, we would like our visitors to take action, which is why...
Credit Debt Consolidation Help Announce New Web Site: Credit-Debt-Consolidation-Help.com, Providing a Forum for All Debtors
Debt consolidation > Credit Debt Consolidation Help Announce New Web Site: Credit-Debt-Consolidation-Help.com, Providing a Forum for All Debtors
A Libertarian?s Christmas Wish list for 2005
I moved back to Fort Wayne five years ago. I moved back to Fort Wayne to raise my family. I want to do my part to make America a better place for my children; I do not think anything is more important then that. I feel that America has made some very bad decisions in the last 84 years. In 1920 Franklin Roosevelt started "The New Deal" and the government started growing.
In 1920 total government spending was about 4% of the Gross Domestic Product. Today, total government spending is about 40% of the Gross Domestic Product! This means that about 40% of all spending in the United States is now done by one government entity or another. This is a trend that must be stopped. Our government gets larger and more inefficient every year. Bigger is NOT better.I want my children to grow up in a country where citizens are responsible for their own actions.
I want my children to grow up in a country where the United States Constitution is respected and adhered to. I want my children...
A Libertarian?s Christmas Wish list for 2005
Debt consolidation > A Libertarian?s Christmas Wish list for 2005
Non Profit Debt Consolidation
Non-profit debt consolidation is meant for people who are not able to meet their debts and expenses with their salary. Consolidation simply refers to merging, strengthening, and securing something. Debt consolidation is a service now given by organizations or ?consolidators' in counseling and educating the clients of their financial issues, namely in their budgeting plans.
It is known that a debt management service can lower credit card interest rates and their monthly payments by almost half. There is a range of organizations and committees involved in providing this service. Their main objective is to help their consumers gain control of their finances plan their budget well.
Budgets are plans that each and every working person needs to achieve financial freedom.
Some people are not good at setting and following a budget, and that is where these non-profit debt consolidation organizations come in to personally assist them to follow a stable budget....
Debt consolidation > Non Profit Debt Consolidation
Credit cards for students - are they a help or a hindrance?
Debt and credit cards have become an inevitable part of a modern UK student's life. With graduate debt running at an average of over ?13,000, it is easy to see the appeal of gaining the ability to spread the day to day living costs, putting them off until that high paid post college job appears.
Visit most University Freshers Fairs and it will be easy to find several different banks offering student financial services, alongside Virgin and Barclaycard student credit cards,all with low introductory rates, shopping discounts, free CDs, or other new gift idea.Despite having a low irregular income and no credit history, students represent an ideal
target for the banks. The reasons that students are desirable as new customers is that over their working lifetime graduates earn on average of ?400,000 more than non-graduates UK,
combined with the fact that once they have accounts in place, people are generally reluctant to switch to other providers, and so by attracting...
Debt consolidation > Credit cards for students - are they a help or a hindrance?
Stress Management: A Self Help Guide
There have been many words written about stress management, though many people do not realize that it can be managed. In fact, stress is a scary thing but it is also a self-creating thing. The more stress you feel, the less able you are to deal with the things that are stressing you, causing the stress to increase. This is a vicious cycle and the key to stress management is to not get into it in the first place. How do you do that? Well, there are many ways.One of the most effective methods for managing stress is through meditation.
This is a simple method of simply focusing the mind on nothing instead of focusing on everything that is stressing you out. It is not some sort of mystic trance or mysterious method. In fact, it is a simple method to help you strengthen your mind and learn to focus on the task at hand. Though there are many deep levels of meditation, the best place to start is with simply closing your eyes and taking deep breaths while concentrating on your breathing....
Stress Management: A Self Help Guide
Debt consolidation > Stress Management: A Self Help Guide
Debt consolidation Debt a Glossary of Terms term life insurance
The Ultimate Pizzeria Printer is Now Available from Star Micronics
(ContentDesk) July 5, 2005 -- The Pizzeria and Fast Food Industry quest for a solution to printing delivery labels for pizza boxes has been answered by Star Micronics. Finding a silent and quick printing printer taking up very little counter space while providing a legible wide label is just one of the capabilities of the TSP800 printer. Printing wide receipts capturing all of the input food order and delivering coupons for return business is another function - a total pizzeria and food delivery...
laser printer Debt consolidation Debt a Glossary of Terms
Debt consolidation > The Ultimate Pizzeria Printer is Now Available from Star Micronics