Car Financing

car finance

Buying a car is a massive expense, and most buyers may not have enough funds to buy a car at present. However, there are now hundreds of companies who can help you with financing a vehicle. It means you can purchase a vehicle by paying monthly instead of paying for the full price in one go. However before you can get approved for a loan, there are a few boxes that you need to tick to be eligible for the finance.

Improve your credit

The first step is to improve your credit. There are many ways that you can improve your credit; one of them is to ensure that your debts are clear. If you still have a debt to pay, make sure that you are consistently paying a portion of it. You can also check your credit score to see if your score is good or bad. For applicants who have poor credit score, they can speak to their bank or to an expert to see where and how they can further improve their credit. Once you have a good credit score, you have a higher chance to get approved for any kind of finance in the future.

Ask for quotes

Once you have a good credit score, you can then start to apply for finances from different lenders. It’s essential to compare the quotes and see which offers the best rates. You can also use the quotes as evidence to get better and competitive prices from other lenders. They are more likely to offer you a deal if they can see that other competitors are offering better rates.

Dealer financing

Instead of getting a loan from a bank, you can apply for a loan directly from your car dealer. In most cases, it’s easier to apply for a loan with car dealers rather than a bank. Most banks are reasonably strict with loan applications and require a perfect credit score. However, car dealers are more lenient with loan applications from customers who don’t have a perfect credit score.

How to get out of debt


No matter how big or small your debt is, it’s important to clear them as soon as you can to prevent further interest charges. Clearing your debt will also be useful for your credit score in case you ever need to apply for a mortgage or other financial loans in the future. So if you’re on the quest on clearing your debt, below are some of our tips that you can apply to help you get out of debt.


Set a budget

The first step is to set a budget for all your spendings. You can divide your budget on different spendings to make it easier to manage them. When setting a budget, it’s important to be consistent and not overspend. If you’re able to stick with your budget until the end, you may find that you have extra cash that you can use to pay off some debt or even save it on the side for the future.


Live within your means

Living within your means is when you only spend money on what you earn. You are not living within your means if you are still using a couple of your credit cards. You’re basically in a never-ending cycle of debt each time you use your credit card. What you’ll need to do is to practise on not spending money on things that you don’t need but only spend money on what is essential. It may be difficult at first to stop the temptation of impulse buying. However, it’s one of the primary keys for getting out of debt.


Which debt to pay first

When you have a few credit cards, you may have thought of which card to start paying off first. The answer to that is to pay off the card with the highest interest charge. The longer you leave a debt with high interest, the more money you will lose. Instead of paying £30 to pay the interest, you could pay off the debt immediately to reduce the charge.

What is a bridge mortgage

What is a bridge mortgage?

The real estate market is very competitive and demanding now. It is difficult to find a property that matches your needs and budget. Buying a house is a complex process and you need to go through a lot of hard work till you find your dream home. As it can take a long time to find the right property, you should start searching for the property early.

If you already own a property, then you will need to sell your old property in order to buy the new one. However, the time of buying your new house and selling off the old one may not match. In some cases, you may have to secure the deal for your new house before you sell your old house. But how will you arrange such a large amount of money without selling your old home? That’s when bridge mortgage comes to your rescue. These are short-term loans that are used to pay for the new property. You will have to pay off the loan once you sell your old property.

Bridge mortgage is often used when buying a house with an option. If you win the bid for a house, usually you will need to purchase it within a very short time. Most of the people who buy houses from the auction have the intention of renovating it and selling it off quickly at a higher price. So, to get the fund purchasing the house from an auction, they apply for a bridge mortgage. After they sell the house, they pay off their mortgage. Bridging loans UK are very common. Many homeowners and investors in the UK apply for this loan to secure deals. You will find many lenders in the UK who offer bridge mortgage.

How bridge loan is calculated

Suppose, you have found a great house and the closing date for making the deal is in the next 30 days. You have also found a buyer for your old home, but the closing date for this deal is 65 days away. So, you will need bridge loan for 35 days (65 days – 30 days). Suppose, you have bought a house for £250,000 and made a 5% deposit of £12,500 (£250,000*0.05). The equity of your previous house comes to £150,000 which you want to put as a down payment on your new house. However, as you won’t be able to sell the home before the closing date of your new home, you will need to take a bridge loan of £137,500 (total downpayment – deposit) to pay the down payment of your new house.

There are some additional fees involved with this type of mortgage. The interest rate for bridge mortgage is higher than the normal mortgage. A flat administrative fee is also charged.

Bridge loan for businesses

A bridge loan is not only used for buying a home, it is also used in businesses. If a business is waiting for a large long-term financing and needs money to cover the expenses during the interim period then bridging loan can be helpful. The business can use a bridge loan to cover the payroll, utilities, rent, etc.

Advantages of bridge loans

Bridge mortgage is short-term, unlike the normal mortgage that stretches for many years. A bridge mortgage gives you the opportunity to secure a deal even when you don’t have money on hand that moment. So, you don’t forgo a deal for lack of money. The qualifying process for the bridge loan is very simple and quick, unlike the traditional mortgage. The monthly payment option may be extended by a few months if the lender allows.

Disadvantages of bridge loans

Bridge loans can be risky. If for any reason you cannot pay off the loan on time, then the lender can foreclose your home. So, you will get into more debt and also lose your home. A bridge loan is also expensive. The fees and other administrative costs are high. Some lenders give you bridge loan on the condition that you will have to take the mortgage for your new home from them. In such case, you cannot compare mortgage rates of various lenders and choose the best rate. You will have to go with whatever the lender offers you.

Where can you get a bridge loan?

You can get different bridging lenders. Your bank may also offer you a bridging loan. It is better to take a loan from an FCA regulated broker. These brokers will analyze your situation and recommend whether the bridging loan will be appropriate for you. The small brokers that are not FCA regulated may give you bridge loan easily with a high interest rate and fees and put you at risk.

When you shop for a bridge loan make sure that you do some research on different lenders. You should compare their interest rates and loan terms. Then choose the lender that best fits your needs. A bridge loan is not right for everybody. Before applying for a bridge loan you should consider the housing market, your creditworthiness, your present financial condition, etc. If you have an alternative source of funding then it’s better not to go for the bridge loan is it is expensive. For example, if you have savings or qualify for a homebuyer assistance program, then it is better to avoid taking a bridge loan.

If you take a bridge loan, you should make sure that you are able to sell your house at a price that exceeds the amount of the bridge loan. Otherwise, you will be in serious debt. So, if the housing market is having a downward trend then taking a bridge loan can be risky. Before you apply for a bridge loan, make sure that you have a backup plan in case you cannot sell your house quickly to pay off the debt. You should consider all possible negative scenarios before applying for a bridge mortgage.


How to avoid yourself from bankruptcy

Nobody wants to go down the road of bankruptcy. If you think you are likely to head that path, it’s important you must find a solution to get out of that situation. Luckily there are various ways you can apply to your daily life that can help you move away from being bankrupt. The first on the list is budgeting. Without budgeting, you are more likely to overspend on the things you don’t need. The next one is possibly selling some assets that you don’t need. This is also another way of making money. For more methods, we have gathered some information below that could help.

10 ways to avoid bankruptcy

BANKRUPTCY should be the last resort. If you accept you have big money problems you have taken the first step to helping yourself. Here’s our 10 tips to keep afloat:

1.If you are struggling to make ends meet, don’t panic and ignore the problem. It will only get worse.

2.Don’t take out more credit or put more on existing cards or loans. Stop spending!

3.Tell those you owe money to that you are having problems. Try to renegotiate debts by reducing monthly repayments or freezing interest. Some may accept a lower one-off sum in final settlement.

4.Don’t pay off the person who is shouting the loudest. Pay the important bills such as mortgage, rent and utility bills first.

5.Take control of your finances. Don’t leave post unopened and don’t ignore court papers … read more at

How to Avoid Bankruptcy and Spare Your Credit

Sell whatever you can spare and use the money to pay off your debts. Take action immediately when you notice you can’t afford to make payments anymore. If you wait until you’re behind on payments, it may be too late.

You can sell your furniture, jewelry, and electronics on eBay, Craigslist, even in your front yard. Is this a radical way to avoid bankruptcy? Perhaps. Many people can’t get past the inconvenience of living without their things, but you can adjust and it’s only temporary. It will help you avoid bankruptcy and spare your credit … read more at

Michael Lewis: How to Avoid Bankruptcy


The main reasons why people ends up in bankruptcy

You never know when you will go bankrupt. Bankruptcy can be experienced by different people including, male, females, couples, old and young. By knowing the main reasons for bankruptcy, you can prevent yourself from going through this tough experience. According to researchers, bankruptcy is caused by a variety of reasons, but the main reasons include using too many credits or loans, overspending and
losing your job. If you would like to know more, we’ve gathered some information below regarding why people
ends up in this bad situation.

Top 5 reasons why people go bankrupt

Poor/Excess Use of Credit

Some people simply can’t control their spending. Credit card bills, installment debt, car and other loan payments can eventually spiral out of control, until finally the borrower is unable to make even the minimum payment on each type of debt. If the borrower cannot access funds from friends or family or otherwise obtain a debt-consolidation loan, then bankruptcy is usually the inevitable alternative.

Statistics indicate that most debt-consolidation plans fail for various reasons, and usually only delay filing for most participants. Although home-equity loans can be a good remedy for unsecured debt in some cases, once it is exhausted, irresponsible borrowers can face foreclosure on their homes if they are unable to make this payment as well … Read more at

1. Medical Expenses

A recent Harvard University study showed that medical expenses account for approximately 62 percent of personal bankruptcies in the US. Interestingly, the study also showed that 72 percent of those who filed for bankruptcy due to medical expenses had some type of health insurance, thus debunking the myth that only the uninsured face financial catastrophes due to medical-related expenses.

2. Reduced Income

Companies are cutting down on their expenses; and for many employees, this results in major pay cuts and reductions in bonuses. The end result to employees can include bankruptcy.

3. Job Loss

Even if there’s a substantial severance pay, job loss can quickly deplete one’s savings and assets. Plus, job loss brings extra expenses such as COBRA insurance — and there’s no guarantee as to when a new job will be forthcoming … Read more at


The Role Of Your Bankruptcy Trustee

The first step to filing for personal bankruptcy in Edmonton is finding a government-licensed bankruptcy trustee. Until you hire a bankruptcy trustee, you cannot file your initial bankruptcy paperwork. Basically, a trustee is a licensed accountant who specializes in financial management and bankruptcy. Your bankruptcy trustee has a great deal of responsibility throughout your entire bankruptcy case including, but not limited to, the following:


1. Communicating with your creditors on your behalf

2. Managing the sale of your assets

3. Distributing the proceeds of the sales of your assets to creditors

4. Providing financial counseling

5. Filing your bankruptcy paperwork with the government

As mentioned, this short list does not encompass every single duty that a bankruptcy trustee must fulfill during a bankruptcy case, but it does give you a good idea of the general types of responsibilities of which your trustee is obligated to complete.

When hiring a particular trustee, it is important that you trust this person and feel confident in his (or her) abilities to adequately manage your bankruptcy case. At times, some bankruptcy clients forget that the role of the trustee is to remain as an impartial third party working with both you and your creditors. The keyword here is “impartial.” Even if you have built up a good rapport with your bankruptcy trustee and you really like this person, it is important you remember that your trustee is bound by a strict code of ethics to remain objective. Your trustee is not only looking out for your best interests, but for your creditors’ best interests, as well.

How does your trustee’s objectivity impact your business relationship? First of all, you should know right off the bat that your bankruptcy trustee is trying to collect as much money as possible for your creditors. Of course, a trustee should not try to force upon you any unreasonable payment requests or anything like that, but do not make the mistake of telling a bankruptcy trustee information about your finances that you do not want your creditors to know. If you have questions about assets transfers or other sensitive financial matters, your best bet is to talk to a bankruptcy lawyer before you meet with a trustee. Unlike a trustee, a lawyer is working only for you and the information you share will be protected by legal professional privilege. In a nutshell, “legal professional privilege” is client privilege that keeps all communications between you and your legal advisor (lawyer) confidential, unless you specifically request that the information be shared with others.

During the bankruptcy process, your trustee is not the only party who must complete specific duties because you will have your own set of responsibilities that must be met, as well. First of all, you are legally required to provide your trustee with a complete list of all your assets and debts. If you fail to disclose any of your assets to the trustee, you could be committing fraud. Along with this list of assets and debts, your trustee will likely require you to hand over all of your credit cards so they can be destroyed,

You will also be required to attend at least two financial counseling sessions with your trustee. Typically, the first session is scheduled to happen shortly after the bankruptcy paperwork is filed. The second session will probably take place three to five months later. In these sessions, you will discuss the reasons for your financial difficulties and strategies that can be implemented to prevent this type of financial crisis from happening in your life again.

As long as you fulfill all the requirements of bankruptcy set forth by your trustee, your bankruptcy will likely be discharged about nine months after the initial paperwork is filed. If you work with a qualified bankruptcy trustee like Lynne Waring and follow his (or her) suggestions and recommendations, the bankruptcy process will run as smoothly as possible.

Tips To Help You Stay Debt-Free After Filing For Bankruptcy

People end up filing for bankruptcy for many reasons, but one of these reasons is due to a lack of knowledge in money management. Irresponsible decisions and actions can cause you to have serious financial problems, and you might decide to file for bankruptcy to get out of this mess. The only problem is that if you do not make the right changes, you may end up in the same mess later on in the future. Here are three things you will need to learn after filing for bankruptcy, and these things will help prevent you from ending up in the same financial situation again.

Set New Goals, Objectives, and Strategieslocal-business-finance

According to Bankruptcy Canada, about 10% of people that file for bankruptcy have already filed for bankruptcy at least once in the past. If you do not do something different with the way you handle your finances, you may end up as one of the 10%. In order to avoid falling into the same trap, you must consciously make the decision to change, and this can involve setting up goals and strategies to follow.

You may need to talk to your bankruptcy trustee about this, or you may want to talk to a professional financial counselor, but you must begin living in ways that are different than what you are used to.

Take your Credit Counselling Classes Seriously

One of the ways you can learn how to do this is through the credit counselling courses you must take. When you file for bankruptcy, you will be required to take of these classes. You can take these in a classroom or online, and the goal is to educate you about money management.

Some of the things you will learn include:

  • How to set up a budget
  • How to cut your spending
  • Ways to save money
  • Tips for living within your means

These courses will teach you a variety of different things, and this information is very valuable if you can learn to apply it.

Apply What you Learn

Learning to apply the techniques and strategies you learn is often the hard part, but if you set your mind to it, you can accomplish it. Here are some tips that you can incorporate into your new lifestyle that will help you stay debt-free:

Build your Credit

Filing for bankruptcy will leave an R-9 rating on your credit report, and this rating will stay for at least six years. Even though it stays that long, there are ways to improve your credit score during this time. One way is to avoid racking up any debt. Another way is to take a loan or get a credit card to use simply to build up a payment history.

By building up your credit, your score will improve faster. This will help you have the ability to get good interest rates on loans in the future.

Pay with Cashshutterstock_111408125

Living within your means is a process that involves spending less money than what you earn, and the best way to do this is by paying cash for the things you buy. If you end up getting a credit card, you can use it, but always make sure you pay the full balance off when you receive the statement.

By paying cash for things, you will not rack up debt, and it may actually help you cut your spending habits.


If you still have your house and car after filing for bankruptcy, you may want to consider downsizing. You could sell your house and buy a smaller one. This could reduce your monthly expenses, and it could help you stay out of debt. You could also sell your car and buy a used one that is cheaper. Anything you can do to cut back on your spending will make a difference.

The Pros And Cons Of A DIY Bankruptcy In Calgary

It’s always tempting to save money, especially when one is already so far in debt that only a lawyer can help dig a person out. Consumers who want to avoid the legal fees associated with hiring a bankruptcy lawyer in Calgary might think they can handle all the paperwork and court date scheduling on their own. Unfortunately there are just as many cons to this as there are pros.

Pros to doing an Albertan bankruptcy on one’s own:


1. Filer only has to pay court paperwork filing fees. No lawyer or other legal fees are involved.

2. All of the necessary paperwork can be accessed and requested either online or at the nearest courthouse.

3. Filer can pick his or her own court date and fit it in around his or her schedule instead of the lawyer picking the date and the client having to take time off or cancel other important appointments.

4. Filer can access court documents and print copies after the case is over and doesn’t need to ask a lawyer to send copies when they are needed in a hurry.

5. Filer will not have to budget funds every month to pay for the lawyer’s fees for the next year or two after the bankruptcy has been discharged.

Cons to doing an Albertan bankruptcy on one’s own:

1. Filer does not have the legal clout in court with creditors and lenders that a lawyer would.

2. Filer does not have the legal knowledge to get lenders and creditors to agree to certain terms of settlement or repayment.

3. Filer cannot redirect harassing phone calls to a lawyer; the filer has to deal with them on his or her own.

4. The late or incomplete filing of any Calgary bankruptcy paperwork results in extra legal trouble for the filer.

5. Legal questions regarding what a filer can keep versus what he or she might lose still need to be asked of a lawyer, and since most lawyers won’t advise or provide that information without a retainer, the filer would be really lost and confused and possibly sign paperwork that would render all of their assets accessible and for sale to the lenders and creditors. That’s a big mistake nobody would ever want to make.

Contemporary business people working in team in the office

In addition to the above, there is a high probability rate that lenders and creditors could threaten to sue and secure any and all valuables owned by a filer. If the filer is attempting a DIY bankruptcy, he or she would have absolutely no legal help or defence and would be crushed under the court proceedings. It’s just better all around for anyone who’s considering bankruptcy in Alberta, Canada to seek a lawyer’s assistance right away or ask for a consumer proposal from a licensed debt trustee. This ensures that any additional pressure, pain and suffering applied by lenders and creditors falls on the shoulders of the lawyer or debt trustee and not on the filer or client’s.

It’s not an easy choice to make, but choosing to seek out legal assistance is a very wise decision. Legal battles of this sort can destroy a person’s reputation, credit score, finances and financial future if he or she doesn’t take steps to protect him or herself. He or she also can’t negotiate a binding agreement with creditors and lenders that won’t result in a nightmare because the debtor didn’t read the fine print in the agreement from his or her lenders. Things can get pretty ugly in a bankruptcy proceeding or debt consumer proposal, but with professional help the debtor filing doesn’t have to face any of it alone.