How Do I Know If I Have Bad Credit

bad credit loans

How To Determine If You Have Bad Credit History?

Many people are still unaware of how credit report works or what it really is. Basically, a credit report is collected information on all your credit history. It is a record of all the credit you’ve secured for the past years. It also contains any severe infringements cases that you’ve dealt with and any defaults given to you. It pays to remember that each time you get a credit, an inquiry is added on your credit report. This includes even the simplest transaction of availing a credit card. Moreover, it is likely that when you apply for a particular loan, your lender will examine your credit score. This practice is for determining whether you are qualified to be given a loan or not. The lender will make a decision according to the number of infringements and defaults written on your credit report. Generally, this procedure is carried out to find out if you are a risky borrower or not.

Impact of Bad Credit Report

Now that you know the basics of credit reports, it’s time to determine the effect of having a bad credit report. A bad credit report can damage your capacity to buy a property, have approved credit cards, and almost any form of credit applications. It will tarnish your credit-worthiness, thus you’ll often find yourself dealing with rejected credit applications.

Checking for Bad Credit Report

Having bad credit can branch out from simple reasons such as an unsettled bill. Good thing there are a lot of companies that offer free credit score assistance. They give valuable advice on how to revamp or enhance your score, in order to get your loan approved.

But before you can ask help from anyone, you need to know the current standing of your credit report first. There are many sources that offer free credit score report and these are:

  • Credit Savvy – Experian Rating
  • Equifax
  • Credit Simple – Dun and Bradstreet score
  • Get Credit Score – Equifax Score
  • Finder – Equifax Score

 

Credit companies examine credit scores or ratings from different credit reports provides since not all providers follow the same criteria for rating. For instance, the Equifax score and Experian rating above. With this, there’s a huge possibility that your credit score will vary according to which provider your lender is working with.

If you’ve already checked your credit rating but your loan application is still rejected, you might want to check other providers to find out if they logged any debts in your credit report.

  • Other Credit Report Providers
  • Experian Rating
  • Equifax Score
  • Dun and Bradstreet Score

Being one step ahead of your lenders before you submit your loan application is one of the cleverest ways you can undertake before you decide to secure a loan, especially if you have bad credit. It can increase your chances of getting approved and allow you to come up with a better offer when it comes to loan repayments and interest rates.

Monitor Your Credit Report

Tracking the standing of your credit report is one of the smartest things you can do to make sure that you are not prey of identity theft. Usually, even if thieves have zero ideas about your credit card info, they can utilize your name to secure loans and default during payments. Furthermore, monitoring your credit report can assist you in determining if the debts under your name don’t belong to you and have your credit rating and identity fixed immediately.

Fixing Malicious Credit Rating

You can ask help from a credit repair company or contact the company personally to remove the false entry in your card. The thing is, it is rare to detect malicious financial activities on credit files. These include:

  • Duplicate entries
  • Wrong information in legitimate entries
  • Identity theft or fraud
  • Other individual’s entries because of identical or same names

If you aren’t confident enough to personally reach out to the company that has recorded the debt against your name, then you can always depend on a credit-clearing company. Just be wary of the expensive costs that come when working with this company. However, there are plenty that offers free service, just ensure that you read the fine print.

Improving Your Credit Score

If you have a low credit score now, you can always turn things around and improve it. However, don’t expect that you can do it overnight since it takes a lot of time. Below are several things you can practice to enhance your credit score:

  • Settle your bills right on schedule
  • Examine your credit report carefully
  • Don’t apply for loans if you don’t badly need it.

Loans for Individuals with Bad Credit Report

Borrowers with bad credit reports don’t have to endure loan rejection from various lenders or credit providers. This is because of the latest loan scheme that offers them a chance to secure the money without going through credit checking. These types of loans for individuals with bad credit are offered by reputable leading companies in the industry. They understand that most people are simply victims of tight financial problem and sometimes it is unavoidable to have bad credit. These lenders will perceive your finances in a realistic manner. They work hard to guarantee that all borrowers will be given equal opportunity to obtain a loan, regardless of their credit rating.

Moreover, these lenders examine your present financial situation to determine if you are worthy of loan approval or not. For them, the most essential factor is how you’re going to pay back the loan. Their vision is to give each borrower a second chance, that’s why they’re making it extremely easy to apply for bad credit loans. You can borrow as much as $300 – $10,000 whenever and wherever you want. On top of that, you can even process your loan application on your phone. No need to process complicated and stressful documents, no need to wait in long lines, and you don’t have to leave your home. That’s how easy and convenient bad credit loans are.

Do They Perform Credit Checks?

Yes, lenders of bad credit loans still carry out credit rating checks. However, you can guarantee that it won’t affect your loan application. This is because they don’t only focus on your credit rating. Instead, they look at how you’re going to pay back the loan – after all, it is the most important factor. They will also examine other aspects such as your bank statements, employment status, and daily income. This will determine if a cash loans bad credit is ideal for your personal circumstances. With this, you don’t have to worry about anything – especially your unfavorable credit score – when obtaining a loan.

Who Are Qualified to Apply?

Bad credit loan providers specifically designed their credit scheme to be simple. If you are planning to apply, all you have to do is to be eligible for these criteria:

All borrowers must:

  • be more than 18 years old
  • have a source of income for the last 90 days in their personal bank account
  • have an active email address and mobile phone number
  • setup internet banking

What Documentation Should be submitted?

Just like any credit application, bad credit loan providers also ask for documentation. The only difference is, this specific loan scheme is simpler and easy to comply. Lenders never demand for unnecessary papers. Belo is the documentation you need when filling out your credit application:

  • Employment details and contact information
  • Online Banking
  • Active mobile number and email address
  • Reason for applying
  • MyGov Info if you are receiving payments via Centrelink

 

Importance of Online Banking Information

You might wonder why bad credit loan providers ask for your online banking information. Don’t panic, they won’t open your actual bank account! Lending companies ask for your online banking information to closely examine your present financial situation. Since they don’t solely focus on your credit rating, they use your banking info to determine whether or not you are credit-worthy. Bank statements give them insights on your daily withdrawals and deposits, as well as spending habits. With this, the lenders should be able to determine if you have the financial capacity to repay the loan no credit check.

If you are worried about your security, you don’t have to be. They utilize state of the art banking technology that is extremely safe to guarantee that all your personal details are encrypted. This means that not a single soul would be able to view your personal details and passwords. If you are on centrelink payments, consider getting loans on centrelink.

Performing Employment Checks

If you are wondering if bad credit loan providers perform credit checks, yes they do. Credit checks is one of the essential procedures that they do. Since these lenders swear to follow responsible lending, they will contact your employer to verify your present employment details and status. You don’t have to worry about this since these lenders are well-trained in dealing with employers. They always make sure that they are discreet and won’t share even a tiny piece of your personal information or the reason why you are taking a loan.

Steps To Improve Your Credit Score

Financial struggles are a part of life. You may have dealt or are still dealing with money issues that prevent you from fulfilling your financial obligations, such as regularly paying your dues on loans and credit cards. Whilst financial challenges are beyond your control, you know you have to be on top of these concerns in order to avoid being haunted by them in the future.

This is why it is very important to settle financial obligations in a timely manner, so they will not result in a bad credit history. An unimpressive financial record affects many aspects of your life, and this is the last thing you want when you intend to get your life back on track.

You may think that repairing your credit history is easier said than done, but all it takes is empowering yourself with the right information that will allow you to take the necessary steps towards fixing your credit history and hopefully, maintaining its good standing.

Here, we’ve outlined the important steps you must keep in mind to improve your credit history in order to qualify for a cash advance loan.

1. Know your credit score

The initial step to fixing your credit history is knowing where your credit stands – that is, having your credit score checked, which sets the tone for any other step you will take next. A credit score is a three-digit number that gauges a borrower’s qualification for a loan or a credit card. This is used by all lenders when assessing if a borrower is eligible for a loan or credit card approval.

A low credit score may not get you approved when you are applying for a loan or a credit card. Lenders will attribute this to your incapability to pay regularly, hence will lead them to conclude that you are too much of a risk to gamble on.

A high credit score, on the other hand, is what a borrower should aim for in order to get approved for a loan or credit card application. A good credit score simply indicates that you have been a responsible payer in the past, thus will give lenders the impression that you can be trusted to take on a new loan or credit card.

How to find your credit score

To know if your credit score is below or above average, you must secure a copy of your credit report from a reputable credit reporting agency. When requesting for your report, you will need to provide:

  • Your full name and date of birth

  • A valid phone number

  • Your address, both current and previous

  • Proof of identification, such as your birth certificate, passport, or driver’s license

  • Proof of address that also indicates your full name, such as a bank statement or utility bill

  • Names of your current and previous employer

The good news is that you can file for this information and get your credit report in an instant. Agencies like Equifax and Experian provide credit scores and credit reports for free when you access their websites. It is recommended, though, that you get in touch with multiple credit reporting agencies to get your credit report. Having a good credit score will prevent you from needing a no credit check loan.

Upon receiving your request, your credit score will be assessed according to a number of different factors. Some agencies may provide different information about your credit history, which may affect your score. Most of these agencies also offer credit reports for free but only once per year. You can get yours within 10 business days or if you want to get one immediately, a small fee is required to expedite its release.

What to do when you receive your report

Once you receive your credit report, make sure that it indicates the following:

  • Your credit account information

  • Your monthly payment history

  • Your credit inquiries

  • Your defaults

It is important that you review your credit report carefully to check for any errors or omissions. Not only should you check for the right debt amounts but also your personal details. When checking the debt amounts, make sure that they are not listed twice.

Should you have any other negative issues like bankruptcy or liens, keep in mind that these financial legal issues may eventually age off your credit reports.

2. Find out if there are errors in your credit report

Should you find any errors in your credit report, it is a must that you report this to the credit reporting agency where you filed the request. Small errors may be amended right away, but if the mistake comes from the creditor, it could be much more complicated to fix.

If the information in your report is inaccurate, you can go to the Australian Financial Complaints Authority to report the mistake. You can also get in touch with the Ombudsman to ask for help should your concern takes longer to be addressed.

You can also hire the services of a credit repair agency to amend the defaults or negative listings on your credit record. Such agencies get the job done for a one-time fee.

So as you review your report, take note of the following to ensure they aren’t inaccurate:

  • Your outstanding debt isn’t reflected on the report as the creditor failed to notify you

  • Your report doesn’t reflect the renegotiated terms or payment arrangement you and the creditor agreed upon

  • Your report indicates an account that was erroneously created

  • Your report shows a new account that was created as a result of identity fraud

  • Your report indicates that you have a default account, or that your account is overdue for more than two months

3. Repair your credit score

Once you know your credit report isn’t inaccurate, the next question would be: Do you need to repair it? To know if your credit score needs any repair, you have to know if yours is on the negative or positive side of the credit score spectrum. You may need to repair your credit score if you expect to get anything other than no credit check payday loans.

A low credit score is one that falls between 0 and 620. If yours is anywhere between these numbers, it simply means your credit history is below the accepted average credit score, which may result in disapproval of that loan or credit card you are applying for or much higher interest rates will be given unto you should your application get approved.

So, the last thing you need is to have a poor credit score when applying for a loan or credit card. It is thus important that you know the factors that may lead you to get a low credit score, which includes not only late payments on your dues but also bankruptcy, defaults, overdue accounts, and one too many credit inquiries in such a short period.

If any of these reasons led to your poor credit score, know that there is hope. The next step to take is moving your credit score from the negative by adopting good paying habits.

How to build a positive credit history through good financial habits

You can start building a good enough credit score to get a loan to payday with paying your bills on time, which will set in motion a lifestyle of being financially responsible. Timely pay your rental dues, credit card bills, and other utilities to avoid not only late-payment charges but also a bad record on your credit history. Overdue payments typically remain in credit reports for a minimum of five years, and when lenders see that you have a history of late payments, they will take this into consideration when assessing your eligibility for a loan or credit card.

When paying your bills, make sure to pay meet the minimum payment required. If you can afford it, pay the amount due in full to avoid paying for accumulated interests. If you have bills that you share with a family member, it is wise to put these accounts under your name to help improve your credit history.

If you can, make a habit of staying ahead of your payments. If you find yourself slightly behind, make sure to pay your dues immediately once you get the chance. Know that older late payments that are reflected in your report have more impact than recent payment records, thus may still affect your credit assessment.

You must also work with your lender should you find yourself hard-up on cash and won’t be able to make a repayment. It is better to notify your lender immediately, so you may ask for an extension or negotiate for another payment arrangement that will allow you to meet your future dues in a timely manner.

In times when you can’t keep up with all your payment dues, it is a smart move to opt for direct debits or automatic payments. You may use bill-tracking apps like Prism or Mint which sends an automatic reminder when your payments are due. Or, you can simply keep a calendar of all your payment dues if you are not too keen on using high-tech apps.

4. Consider a low credit limit

The final step to improving your credit history is to keep your credit balance low. This means switching to a credit card that offers a low credit limit. With credit card that has a larger credit limit, you won’t be able to control your spending.

With a credit card that has a lower credit limit, you may set your credit limit in the amount that you can afford to pay. To know the credit limit you can afford, you can check your debt-to-credit ratio. Keep in mind that a low credit balance is much better than a high balance that you cannot pay off consistently.

You can lower your credit limit by choosing a credit card that offers lower interest rates. Or, opt for a new credit card that will allow you to transfer your credit balance at a much lower rate.

Remember to apply for a credit card when it is only necessary. Avoid applying for multiple credit cards, especially when you do so in a short period of time. Note that multiple credit card applications also negatively affect your credit score.

You may, however, consider diversifying your credit, which allows you to pay for multiple credit accounts at a later date. For lenders, this indicates sound payment practices, as they can see that whilst you have a number of credit accounts (e.g., multiple credit cards, short- and long-term loans, mortgage, or car loan), you responsibly pay for your dues. Make sure, though, that credit diversification suits your needs and indeed something that your resources can afford to meet.

Applying for a loan with a bad credit history

A bad credit score doesn’t have to dishearten anyone who wishes to apply for a loan or credit card. Some lending companies are lenient enough with their assessments, as they believe assessing one’s credit history is just a small part of the evaluation process when assessing an individual’s ability to pay. They may even accept Centrelink as a form of payment to receive a Centrelink loan.

Some lenders would rather assess your current financial status than your past financial-related blunders. More often than not, they believe a bad credit history doesn’t completely say everything about an individual’s financial responsibility.

Nevertheless, you’d be better off on the safe side when credit history is concerned. Whilst you cannot do anything anymore about the past mistakes that led you to get that bad credit score, you can do something about it now by making an effort to repair it and further improve it, so it will no longer negatively impact your life in the days to come.

Apart from the simple tips you can follow to improve your credit history, you must also adopt the habit of making sound financial choices. You can do so by avoiding the following:

  • Renewing your loans

  • Bills amounting to $159 that are overdue by two months

  • Transferring multiple credit card balances

  • Lack of desire to pay off or at least reduce your outstanding debt

These unhealthy financial practices will affect your credit score, which ultimately damages your credit history. Remember that lenders give a much higher regard on credit histories that reflect sound repayment habits, as this proves that you are responsible with the way you handle your financial obligations.

Achieving Financial Freedom

At some point in your life, you may have encountered the classic phrase, “money can’t buy happiness.” Whoever said this probably had tons of money. Though they are not completely wrong, the topic of financial freedom is very crucial. The best way to interpret the phrase is that having money is not all there is. Not having one is. When you lack financial income, this becomes the stem of many problems such as frustration, pain, and anger. It greatly affects your life and becomes the bases on how you view things in the world. When you lack financial freedom, all issues seem to pivot around money. Though being rich won’t eliminate all problems in your life, saving up some money is a good start. When you are financially free, every decision that you make won’t be about money. You don’t need to accept a job solely because it offers a better income. You don’t have to check the price tag of the clothes you want to purchase to make sure that your money is enough.

The ways to reach this path are very simple, however, it won’t happen throughout one night. Here’s how:

Establish an Emergency Fund

Have an emergency fund and start building it by saving at least $1,000. This money should strictly be for emergencies only. They are not meant for beer money, vacations, or new shoes. This particular stash of money should only be used in case things get too tight in the financial department. For instance, when you need to buy a new water heater, repair your car, or renovate your house.  If you save up an emergency fund, you will be less likely to need a personal loan when finances get tight.

Why Does It Pay to Have an Emergency Fund?

No matter how stable your life is going right now, there will always be instances that could steer it into a different direction and make everything go wrong. Instead of using your credit card until you are in a spiral of debts or borrowing money from your relatives again, an emergency fund will be your financial savior. Managing your debt will allow you to more easily get a cash advance if you need one. The best thing about this is it will give you a sense of financial freedom. At last, you will have some space to breathe. This method is the fastest way to regain control in your life

Settle All Your Debts

Debt is considered a natural part of society – at least for the majority. It can develop for different reasons, like buying an apartment you can’t afford, splurging on something you don’t need, or purchasing a brand new car when you could’ve bought a used one. The largest issue with debt is that it obstructs your monthly paycheck. For instance, if you are paying for student debt, mortgage, or car loan that’s worth at least $10-700, it robs you of money you could’ve used for your savings. On another note, you could save a lot of money in terms of interest if you make it a point to pay off your debts faster. This is your most important step towards claiming your financial freedom. For instance, if you have to pay a student loan worth $100,000 with 5% interest for 20 years, and you make it a habit to pay the bank only the minimum amount for the whole period, you’ll end up paying more than $159, 000. Crazy right?

By settling your debts, you will achieve a better credit score. The next time you apply for a high acceptance loan, chances are better that you will receive one if you have a good credit score.

The Most Effective Way to Settle Debt Quickly

There are different ways on how you can do this. Pay off high-interest loans first. Every loan has a different interest rate. The best decision is to address the loan with the highest interest rate first, then work your way down until all your debts are settled. You can also utilize the debt snowball method. It takes advantage of human behavior by paying off the loan with the smallest amount first. Once that’s quickly done, it will help create a momentum that will motivate you to tackle remaining loans from direct lender.

Make A Runway

Do you imagine how good it feels knowing that you have money in your bank account that could last you for 6-12 months? This type of financial stability and freedom will offer you a sense of security during times when you lost your job or broke your car. With this, it is important to have a runway. Get your laptop and open your spreadsheet. Now, list down all of your monthly expenses: groceries, electricity, rent, Netflix, internet, and the likes. Encoding it into a spreadsheet will help you determine which aspect you need the least.

Begin Building a Retirement Fund

Retirement funds belong to those things that you need to do but you haven’t started yet. Personal finance is all about undertaking short-term sacrifices to achieve long-term benefits. If you make it a habit to save some of your money every year, you’ll be able to create a great retirement plan. By managing your finances properly, you will be less likely to need an instant cash loan as you will have reserves.

Saving Money On Vacation

Traveling for family vacations is fun and exciting until you realize how expensive it is. To help you achieve a great vacation without hurting your wallet, here are effective travel tips on how you can save money while having the best time with your family.

Planning Cheap Family Vacation

  1. Research

As mentioned before, don’t settle for one airline only. Go online and check out different websites and call them to ask for further info. Make sure you already have a budget in mind to make your research easier. On another note, if you are flying to a place that you aren’t familiar with, visit Facebook groups and don’t hesitate to ask any questions that you want to know regarding the place.

By the way, if you need a same day loan, get it through Perfect Payday. You will receive a quick decision on your application.

  1. Book Flights Ahead of Time

The analogy here is simple: the further you schedule your flights, the cheaper the deals. For instance, if you are planning to travel in the summer, book your flights in autumn. Try different airlines to determine which one offers the cheapest flight. 

Let’s take a moment to discuss your credit. Are you afraid you wouldn’t qualify for a loan because you have bad credit? If so, you may be interested in a no credit check loan. Learn more about these from the previous link if you need to borrow money today.

Budgeting While On Transit

  1. Bring Your Snacks

When traveling, nothing beats the convenience and affordability of bringing your snacks for the whole family. You can save a massive amount of money by packing your foods and drinks. 

  1. Limit Your Luggage

When traveling with the family, the price of checked luggage can instantly increase. Checking at least one or two huge luggage will help you save a lot. You can just then pack your clothes in small carryon luggage. 

  1. Stuff Latest Kids Entertainment

Don’t forget to bring some latest entertainment materials for your children too. You can have coloring books, crayons, little books, latest apps, and more. You don’t need to splurge, packing new yet affordable items is the secret. Otherwise, your wallet will cry if your kids spot shops that sell stuff that they like.

What are high acceptance rate loans, and do you qualify to receive one? If you need a loan and are afraid you may not qualify, you should apply for a loan with high acceptance rates. Apply with Perfect Payday today to get a loan.

  1. Don’t Forget Your Boosters and Stroller

Though you can always rent these, it’s another additional cost. Some airlines allow you to bring boosters for free. So all of your effort carrying strollers, booster, or car seats will be worth it. 

Saving Money For Holiday Travels

  1. Give Your Children an Allowance

Begin saving money for your children before you travel for your family vacation so they can have their allowance. For instance, you can sell their clothes or toys and divide the earnings to each of them. This doesn’t mean that you won’t purchase them anything during your vacation, it’s just the thought that they have their own money. You can also give them a certain amount of money then allow them to manage it during the whole trip. For example, you can give each kid $100 for your 10-day vacation. They can spend $10 each day or buy something more expensive, it’s completely up to them. 

  1. Book Attractions Online

By booking online, you can always save a lot of money on attractions instead of purchasing them personally on the ticket counter. You can save as much as $20 or more on tickets, so if you already know where you’re going, use it to your advantage.

  1. Share Meals With the Whole Family

Buying separate foods for every member of the family tend to be expensive. With this, purchase meals that you can share. For example, instead of buying your three children one kiddie meal each, make it two since they don’t eat a lot and most of the time, their food just goes to waste. You’ll be able to save money and give your children different food options to enjoy.

When borrowing money, there is a difference between using a broker and getting a no broker loan. It is important to educate yourself to know the difference, as one works directly with the lender (a direct lender loan) and the other type does not.

  1. Eat One Huge Meal Per Day

Another trick to cut down the cost of your vacation is to pay attention to the food that you’re buying and how often. To save money, eat just one huge meal each day. You can schedule it during dinner or supper. Then, you can simply bring your food and eat lunch, picnic-style. 

By the way, if you should need a same day loan, consider getting one from Perfect Payday. Apply today and receive a quick decision on your application.

  1. Travel with Coupons

Packing coupons as one of your travel essentials will help you save a considerable amount of money on certain things. If you find spams annoying, create a separate email for every store you shop in. In there, all great deals will accumulate and ready to be printed out when you travel. 

  1. Accept Free Attractions

Sometimes, all you need is to soak up the beautiful surroundings of the place where you’re traveling without spending anything. This being said, check out online sites for free attractions before you travel. Apply for a payday loan from Perfect Payday if you are in a financial crisis and need emergency money.

  1. Schedule Down Days

Down days are days when you don’t have anything planned out for the whole family. You just spend it by relaxing and taking a break from the holiday rush. You can enjoy the amenities offered at your accommodation or wander around the streets for several hours.

Are you a pensioner? Do you need to borrow money quickly? If so, apply today for a pensioner loan through Perfect Payday. You’ll receive a quick decision as to whether your pensioner loan has been accepted.

Why Personal Finance Should Be Taught In Schools

If there’s one thing that most people learn right away, it’s the fact that money affects everything. The famous line, “money makes the world go round,” makes a lot of sense. However, there are still a lot of pf people who lack the knowledge of the workings of personal finance, even until they already had a job and are managing their expenses. This is because schools don’t give lessons on the basics of money, leaving people to figure out taxes, mortgages, superannuation, and investing on their own. This being said, the younger generations should be equipped with basic financial lessons to prepare them to take the adult financial world. 

Early Budgeting and Finance Lessons for Students

Personal finance is a vital aspect of building a better relationship with money in the future. Below are a few reasons why students should be given lessons on personal finance early at school.

  1. Weak Financial Literacy Has Negative Result

Our findings show that, for adults, stress and other problems seem to revolve around money. At several points in your life, you encounter unforeseen financial problems that will weigh down your finances. To simply say it, everyone will face a financial hurdle along the way, especially when dealing with debts. It is almost inevitable with mortgages, car loans, credit cards, personal loans and the likes. However, this gets even worse if you don’t fully understand all the consequences of financial management since you can get stuck on a web of debts. Furthermore, no matter how much you work, it will feel as if you aren’t earning any actual money to tack away for emergencies. Stress is just a starting point, but money problems can affect your health and mental wellbeing, as well as your relationship with other people. Many of these problems can be avoided with proper education and early awareness. When it comes to finances, the sooner your children learn about it, the better.

  1. Parents Aren’t Always Trustworthy Sources

Drawing from our experience, the things that school couldn’t teach you or the advice that you couldn’t get from your friends are all accessible to your parents. They are an amazing source of knowledge, especially when talking about personal finance since they’ve already experienced it for how many years. However, they are also capable of showing negative financial habits to you, which can result in misinformation. But this doesn’t point out that all parents are unqualified to teach their young ones about personal finance, it’s just that there are parents that don’t have the capability. This is why for education, schools are the best source since they teach kids factual information from reliable sources. The sources they distribute are also complete and updated. Sending kids to school and teaching them money management is the perfect way to equip them with powerful financial literacy, not just depending on parents to deal with the burden on their own.

Are you a pensioner but have bad credit and need a loan? If so, consider getting a pensioner loan through Perfect Payday by applying today. Get a fast decision on whether your application is accepted.

 Students Usually Transition From School to Debt

Due to higher education, learning and understanding personal finance is strongly more important to students compared to before. For many teenagers, pushing through their education is a natural and usually mandatory development towards achieving a career in the future. However, qualifications aren’t affordable. Student loans are now raised to $2.9 million! If you calculate it, students need to spend 9 years paying off their student loans.

That’s an extremely long period to deal with the burden of having debt. Though there are limited alternatives to student loans, many students don’t completely understand the entire consequences of getting a loan. Learn about the differences between using a broker and getting a no broker loan, as it can help clarify and make the process of borrowing easier. Learning about debt, the various ways on how to repay things, and the terms of loan repayment – can greatly assist students in making wise decisions about their finances and future.

  1. Financial Freedom Leads to Healthier Life

Our investigation demonstrated that, financial freedom and stability are often linked to better physical and mental health. Several studies have shown that personal finances are the primary source of stress for most people. Aside from this, anxiety and stress can also affect one’s mood, sleep, and blood pressure. On the bright side, learning and understanding how to effectively manage finances can result in a healthier life. Aside from this, less debt and more money are great for the economy as well. Having proper financial education can assist in decreasing financial stress in the future. This being said, the following should be taught to kids in school:

  • Investment and wealth-building strategies
  • Budgeting and money management 
  • The basics of ‘credit’ and how it can affect one’s ability to earn a job, access finance, and rent a property
  • Good saving habits 

Speaking of credit, is your credit score less than stellar? If you need to borrow money but have a bad credit history, you may consider getting a no credit check loan.

As early as possible, children should be well-versed with lessons in money management and personal finances. This will help them develop positive financial habits that they can use in the future.

Payday Cash Advance Vs Short Term Loan

Living from paycheck to paycheck can inevitably cause financial stress, yet this is a reality of life that most people face. In times like this, you can’t help but think of short-term solutions that will allow you to make ends meet whilst you wait for your next salary.

Good thing there are sources available these days where you can get cash quickly. You may opt to get yourself a payday loan or a short-term personal loan – common options that most cash-strapped individuals today explore.

Both are good sources of quick cash, but which one to choose? Both have their pros and cons, and it would be a wise move to know which one offers the most value to your need, without putting more financial stress upon you in the future.

Quick cash can be found with instant cash loans. This type of loan

Whilst you want an instant cash fix, you definitely don’t want to be burdened with unreasonable interests or hidden charges that will only put you on an endless cycle of being cash-strapped. That is why, when choosing either one of these options, it is best that you know how each of them works and how each may affect your finances in the days to come.

Here, we break down the pros and cons of a payday cash advance and a same day loan, so you can make a sound financial decision when thinking of availing yourself of either one.

Payday cash advance

What is it: Payday cash advance offers quick cash for individuals needing a short-term fix.

Pros: Payday cash advance is a good solution for when you need to get cash immediately for your needs. It offers convenience to anyone who wants to avail. It also doesn’t come with a lot of requirements and credit checks.

Cons: Lenders involved in payday cash lending do not go through standard regulation, which means your rights as a client or customer may not be protected should there be irregularities or abuse surrounding your arrangement.

Drawing from our experience, moreover, lenders providing this type of instant loan usually charge unreasonable interest rates. On top of high interest rates, some lenders may even charge you with hidden fees.

Furthermore, the high acceptance rate loan you got should be paid within a short amount of time. This means there is no flexible payment terms, which in turn, will require you to shell out more during the agreed payment period.

Pro-tip: Before availing yourself of a payday cash advance, make sure to do a background check on the lender. Not all payday cash lenders are created equal, so it is recommended that you research about the lender you intend to choose.

Our findings show that, it is also important to ask yourself if a payday cash advance is the best solution for your cash needs. The decision doesn’t end when you got the money; you have to think long and hard if you would be able to pay for it later.

Since there is no flexible payment terms offered, decide if you would be able to repay your loan at the agreed timeline and at the amount required. You will also have to decide if your source of current income would be able to shoulder the additional charges or interest rates.

Short-term personal loan

What is it: A short-term personal loan is essentially the same as payday cash advance, in the sense that it also offers instant cash fix. The difference is that lenders offering short-term personal loans are strictly regulated and are required to adhere to government laws that govern responsible lending.

Lenders found not complying with the regulations put forth by the government may face revocation of their license.

Pros: Thorough credit and employment checks are required before your loan gets approved, which means you can rest assured that you are dealing with a lending institution that comply with the law. Included with these background checks is a complete evaluation of your financial situation, which takes a deeper look at your suitability to avail of the loan, as well as your capacity to pay for it. This offers protection both for you and the lender.

Cons: Applying for a short-term personal loan may not be as quick and easy as getting a payday cash advance. Since background checks are required, it could be inconvenient for you when you need to get that loan fast.

Pro-tip: Just like with payday cash advance, you also need to research on short-term personal loan if it will be the most appropriate solution for your financial need. Identify which lenders are the most reputable and offer the best rates.

Which one to go for?

Through our practical knowledge, in deciding which between payday cash advance and short-term personal loan you should choose, you must first assess your financial need. It is also advised that you think long term, meaning you also have to think about how this loan would affect your financial situation in the future.

More importantly, you have to weigh the pros and cons of each when deciding which instant cash solution to go for. Whilst you need cash fast, you also want to make sure you won’t risk paying so much more on repayments than what your income can only afford.

Having said that, it will serve you well to choose the option that will be beneficial to you in the long run. Availing yourself of a short-term personal loan is the smarter decision, especially if you want to benefit from responsible lending practices.

Payday cash advance, whilst easy and convenient to get, would only burden you with more debt. Think about the high interest rates you have to pay for and the short amount of time you have to pay for them. In addition, you won’t get peace of mind when you know you might also be paying for hidden additional charges.

Short-term personal loans, on the other hand, will allow you to choose the payment term and period that fit your need. Whilst you have to go through a number of background checks before you get approved for a loan, you can be sure that the process protects your rights as a consumer and only meant to promote not only responsible lending but also good financial habits.

Whichever option you choose, it all boils down to the choice you think is best for you. Ultimately, you want to live a financially stable life, which is why it is important that you make sound financial decisions that will get you on that road to financial freedom.

Availing yourself of a short-term personal loan

Should you decide to go for a short-term personal loan, know that the background checks need not prevent you from getting the cash you so need. It might seem a tall order for you to get approved, especially if your credit history isn’t all that impressive to get you the loan you need.

The good news is that there reputable lending institutions that make the process of applying for a short-term personal loan completely hassle-free. Most of these lenders now offer online applications to make short-term personal loans more accessible to the public.

With online application, you can file for a loan using even your smartphone. Filling out the application form also takes only a few minutes to complete and absolutely free. You can even get approved in as short as an hour, when you make your online application during business hours.

To qualify for a short-term personal loan, you have to meet certain requirements: (1) You must be over 18 years old and an Australian citizen or permanent resident; (2) You must have a valid mobile number and email address; (3) You must be employed and receiving regular income in your personal account for the last three months; and (4) You must have an active online banking account.

Some documents will also be required from you in order to be eligible for a short-term loan. These may include your basic personal information, proof of identification, and online banking details to allow the lender to easily assess your bank statements as part of their evaluation process. You may also be required to provide your MyGov details should you be receiving benefits from Centrelink. Of course, you will get asked to provide your reason for availing yourself of the loan.

Things to keep in mind when applying for a short-term loan

Apart from the basics, the lender might also do some of the following in order to gauge your eligibility for a short-term loan:

1. Conduct credit checks

As part of their responsible lending practices, reputable lending institutions conduct standard credit checks to assess an individual’s eligibility to avail of the loan. Don’t be intimidated by these checks, though, as more often than not, lenders are always fair with their assessments.

There are some lenders as well that won’t look at your credit history when considering you for a loan. This means that although you have a bad credit history, they may take into consideration your current financial situation and your capacity to pay off a loan.

Speaking of credit histories, are you concerned yours will prevent you from borrowing money? If so, consider getting a no credit check loan. Learn more about this type of loan here at Perfect Payday.

2. Require a copy of your bank statement

To make the process easier, some lenders will ask for your online banking details to get access to your bank statements. This should not be a cause for concern, though, as they will only look at read-only copies of these statements and not your entire bank account. To accomplish this, lenders use the advanced yet secure banking technologies to access bank statements without compromising the client’s data. This means the client’s bank account details, personal information, and passwords are left alone.

3. Assess your suitability even if you’re a Centrelink beneficiary

Some lenders will require a thorough assessment on applicants who are receiving benefits from the government and Centrelink. Putting these benefits under source of income may depend on a number of factors, so you should not discouraged right away if you think being a beneficiary of one of these two will work against your favour.

Lenders will give a fair assessment of your financial situation and will make sure to arrive at a just and appropriate decision before approving your loan application.

4. Touch base with your employer

Employment checks are part of the assessment process, which is why you should expect your lender to contact your employer to get a verification on your employment and income details. This is to ensure that you are indeed capable of making repayments for the loan you will take.

Lenders are also professional and discreet, so you don’t have to worry about your employer ever knowing why you were applying for a loan. Verification questions are almost always about the basics, and they are asked in a professional manner.

The choice is yours

Whether or not you decide to apply for a short-term personal loan, know that most lenders offering this are fair and transparent in their dealings. You will have peace of mind knowing that the process they conduct is fair, just, and professional in nature.

Going for a payday cash advance is all up to you; just be prepared for whatever consequences that come with getting one.

So, when you find yourself hard-up on cash, it pays to be cautious before jumping on the next loan shark that offers you an instant solution to solve your money problems. Assess your financial condition, do a thorough research, and make good financial choices before sealing a deal.

The most important thing to remember is that you won’t be cash-strapped for long, so you definitely don’t need to be in a situation where you will be more troubled about money than you were originally, just because you’re paying off a loan.

It is also important that when making decisions about money, your ultimate goal is to have financial freedom. To achieve this, you should make an effort to protect your financial health, which you can only get when you start making sound financial decisions today.

Work On Your Creditworthiness

cred·it·wor·thi·ness

the extent to which a person or company is considered suitable to receive financial credit, often based on their reliability in paying money back in the past.

When thinking of availing yourself of a loan, a number of factors come into play that affects your eligibility to be approved or not. One of these factors is creditworthiness.

Creditworthiness is an important assessment indicator that determines whether you will likely default on your debt obligations or not. It is important to establish your creditworthiness as this is used to gauge your ability to meet your loan repayments on time.

Who is creditworthy?

Being creditworthy means an individual is fit to get approved for credit. What makes an individual suitable is their dependability in having paid back money for the personal loan they have acquired in the past.

Below are the factors that determine creditworthiness:

1. Individuals who are creditworthy have a good history of paying off debts in a timely manner.

2. Creditworthy individuals have an outstanding ability to manage their debts.

3. Individuals who have demonstrated their creditworthiness can be considered as “good risks”.

Lenders combine creditworthiness with other factors to assess your overall risk.

Other factors that determine your eligibility for a loan

Lenders check for the following as well to determine your high acceptance rate loan eligibility:

1. Credit history

Your credit file is assessed to check your credit standing. Your file summarises all your applications for loans or credit cards, as well as your loan and credit card inquiries. A copy of your credit file can be acquired from these credit reporting agencies: Experian AustraliaDun & Bradstreet, or Veda Advantage.

2. Income and expenditure

You will be asked to prove that you are earning steadily, which is why documents proving that you have a steady source of regular income will be required.

To see if you can handle your debts, you will also be asked for a list of your expenses. This is to determine if you can pay off your loans on the income you have and the expenditures you also have to manage.

Whilst many factors are considered to assess your loan eligibility, it is important to keep in mind creditworthiness as essential in determining your suitability. Being creditworthy is not merely a determining factor but also a helpful tool to assess yourself if you are indeed capable of handling another debt.

At the end of the day, you don’t want to be burdened even more with financial challenges, which is why lenders use creditworthiness to also help customers to be more financially responsible. They don’t want their clients to avail themselves of a loan that they can’t even afford to pay off.

Speaking of improving your credit, perhaps you need to borrow money but your credit hasn’t improved enough to get one. In such cases, it may be beneficial to apply for a no credit check loan. Discover more about this type of loan here at Perfect Payday.

Negotiating for a Pay Raise

Asking for a much higher salary is never a comfortable scenario both for you and your boss. Yet you have to be the one to break the ice, especially if you feel you’re now worth more than what you currently earn. Learn more today from Perfect Payday, where you can apply for payday loans.

No matter how nerve-wracking this situation is, you have to initiate the discussion. Even if the company acknowledges the time and hard work you put into your work, they would rather not talk about it if they had a choice.

So, salary negotiations rest in your own hands, and you don’t have to feel guilty or awkward about asking for something you feel you deserve. Especially now that the cost of living continues to rise, a salary increase is definitely needed.

What are loans from direct lenders? They are when you need to borrow money and wish to do so directly from the source. The other option is to work with a broker who will introduce you to direct lenders.

But how do you go about negotiating your salary in a way that is not awkward or desperate? Here are some tips you can do to ask for a pay rise without coming across as greedy or entitled.

1. List down the reasons why you’re asking for a pay rise

Knowing why you have to negotiate for bigger pay will motivate you into moving forward with the decision. Ask yourself why you need it and if those reasons are enough to be considered for a raise.

Do you need it because you feel you have been working for so long with the company? Do you feel you have given more time and effort on your job than what is expected of you? Have you realised you’ve become more valuable to the company and your current compensation doesn’t justify that? Do you feel your salary isn’t on par with what is currently offered in the market?

Ask yourself these questions when making a decision, but know that a few of those reasons won’t cut it to get the pay increase you deserve.

For instance, if you’re asking for higher pay just because you’ve been working for the company for years, it’s not reason enough. Keep in mind that your position comes with a corresponding rate that is adjusted to meet inflation rates and cost of living expenses. As long as the company knows this is being met, there’s no reason for them to adjust your salary as well.

A good enough reason would be knowing that you have become a valuable asset to the company. You can justify that you have accomplished a lot in your position and the excellent performance you’ve shown was instrumental in the continuous success of the company.

In line with this, you can also make your company realise that there’s more to your past achievements. Your potential to accomplish more is worth looking into, and a salary increase should be equivalent to your worth as a valuable asset to your company.

You have to know, however, that taking the “I am valuable” route should really provide the company some benefit. That investing in you as an asset will be worth their time and money.

So, when you ask yourself these questions, it helps that you know what you’re talking about. Take the time to research about what your company stands for and how your current and future contributions could benefit them.

2. Gather evidence to support your worth

If you go down the “I am valuable” route, you have to know what your actual worth is. This means gathering evidence to show that your current pay doesn’t reflect what your true worth is as a valuable employee.

To support this claim, you’ve got to make an in-depth research on the market rates for your position. You can check job advertisements of other companies and compare the salary packages they offer. You can also refer to colleagues with the same position in other companies or recruitment experts in the industry.

The caveat here is when you realise, after much research and consultation, that your actual worth and your salary are a perfect match. Don’t be disheartened, though. You can use your skills, experience, and achievements as evidence to support your argument.

Do note, however, that if you use your individual performance as leverage, you have to prove that you have indeed delivered above and beyond what is expected of you, and the effort you’ve shown benefitted the company financially. You also have to show evidence that your skills and professional qualities are given more value in other positions.

If you can support your argument with hard evidence, your chances of negotiating a salary increase will be much higher.

3. Find the perfect timing

Timing is everything when money is concerned, which is why it is important that you know the right time to ask for a raise. Make sure that the company could afford to give you one.

Do your research and make sure that the company isn’t going through any financial challenges that might hinder them from reconsidering salary packages. If this is the case, you might as well wait for the right time until the company recovers financially, so you won’t come across as inconsiderate.

However, this is a double-edged sword: if the company is indeed under financial stress, they might be thinking of ways to minimize company expense, which may include letting some people go. This means if you fail to speak up to at least prove your worth as an employee, you may find yourself without a salary to even negotiate on.

Pro-tip: If you know your company can afford to give pay rises, it is best to negotiate yours towards the end of the financial year. It is during this period that most organisations are setting their budgets for the next fiscal year, including salary increments, recruitment expenses for new hires, and training. This is the opportune time to present your case, as the company most probably have an idea how much a certain position is worth and if this is reasonable or not.

4. Create different scenarios

Whilst it is not wise to assume anything yet, it will serve you well when you set your expectations based on how your company goes about reviewing salary increase requests.

The best way to go about this is to review your own employment contract. Check if the company conducts annual pay reviews and when. Review their policy on salary and performance reviews – if you will argue about your stellar performance as basis for a raise, your company may be reviewing pay and performance reviews separately. In this case, you have to wait until it’s your turn to be reviewed.

Review your employment contract carefully, as it most probably stipulates there when you are eligible for a pay review. Most companies conduct theirs during employment anniversaries, so you may want to wait for yours to negotiate a raise. If none has been conducted in years, it is definitely encouraged that you initiate the discussion.

If, for any acceptable reason, the company cannot afford to grant your pay rise request, you may want to ask for another review in a couple of months or consider other incentives in lieu of a salary increase. Offering incentives also speaks volumes about how you are valued as an employee.

Incidentally, if you are a pensioner and are in need of quick funds for an emergency, consider getting a pensioner loan through Perfect Payday.

5. Write a formal letter of request

Express your intent by sending your boss a letter of request, which provides comprehensive details on why you believe you deserve a pay rise. A documentation of your request is important before the pay review discussion, as your boss may have to present your case to the higher ups.

Make sure your letter is straight to the point and written articulately. Avoid coming off as defensive, especially when you provide reasons why you should get an increment. Make sure your letter reflects honesty but done in a professional manner.

6. Be upfront but polite

During the pay review, don’t hesitate to pitch the first offer. This sets the tone of the negotiation, whether they will accept your pitch or renegotiate.

When you come up with a figure, make sure it is legitimate and reflects that you have done your research. Be truthful about your concerns and be firm about why you deserve to be given a pay rise without being rude or bratty about it. Respect begets respect, and you’ll most likely get what you want if you show that you are professional and logical in making your request.

Make sure you are consistent. If in your letter you spoke about how the increment will motivate you to work even harder, make sure this is well articulated during the face-to-face meeting. Show assertiveness but not in a demanding way: the way you speak and your body language should reflect that you are willing to negotiate and can be flexible if the situation calls for it.

Do you need to borrow money and are wondering the difference between getting a loan from a broker and getting a no broker loan? Essentially, brokers help get you in touch with interested lenders, whereas no broker loans are working directly with one lender.

7. Avoid being emotional

Should your salary increment request gets denied, make sure to move on from this with dignity. There is no need to be emotional about it. You can ask your boss why you were rejected and accept this with grace and humility.

It’s up to you if you want to continue working for the company after this or find employment elsewhere. Before arriving at a decision, keep in mind that you may be denied now, but it doesn’t mean you will again after a couple of months. So, make sure that you will not decide based solely on impulse.

Should you decide to leave the company, make sure to be professional about it. Thank the company for their support and let them know that you are grateful for what they have contributed to your career growth. Showing professionalism during your resignation means getting a good recommendation letter afterwards.

Keep these tips in mind to ensure a proper pay rise negotiation. Remember that the key is to be professional when you make and discuss about your request. Whether or not it takes you anywhere, you would at least know that you have what it takes to push your career further.

We hope this advice has helped you. If you need a same day loan and you live in Australia, consider getting one from Perfect Payday.

Keep Track Of Your Credit Score

A good credit score is crucial to helping you gain financial freedom. Unfortunately, not everyone understands how this financial concept works and the role it plays in ultimately achieving a financially stable life. It is important that you arm yourself with handy information about credit scores and keep in mind why you should improve yours.

Do you want a direct lender loan? If so, apply today with Perfect Payday and we will introduce you to a lender willing to let you borrow money. Submit your application today for a quick decision.

Read on to know what constitutes a good credit score, how you can check and improve your own, and why you should work on getting your credit score above the below-average threshold to make a positive impact on your financial freedom.

What’s a good credit score?

Credit reporting agencies in Australia use the same band descriptors in order to evaluate your credit rating. Different agencies, however, use different scales in checking a credit rating: they may either use a scale of 0 to 1,000 or 0 to 1,200.   

Credit reporting agency Equifax, for instance, use the 0 to 1,200 scale when making a credit rating check. Experian and illion, on the other hand, check a credit rating using a scale of 0 to 1,000. No matter the scale method, this process is utilized to let you know where your credit rating currently stands.

Below outlines how some credit reporting agencies in Australia evaluate credit ratings.

Credit Band Descriptor Equifax Experian illion
Excellent 833 to 1,200 800 to 1,000 800 to 1,000
Very Good 726 to 832 700 to 799 700 to 799
Good 622 to 725 625 to 699 500 to 699
Fair or Average 510 to 621 550 to 624 300 to 499
Weal or Below Average 0 to 509 0 to 549 0 to 299

 

The band descriptors are pretty self-explanatory: when you find yourself with a credit score that lies between 0 to 299, 0 to 509, or 0 to 549, this means your credit rating is weak. Meanwhile, a credit score of between 800 to 1,000 or 833 to 1,200 is an excellent credit rating.

Simply put, a high credit score is a good position to be when you want to improve your financial situation. If you’re under this threshold, no need to worry. There are ways you can adopt to improve your credit score. The first thing to do, however, is to know how you can check your credit score in order to know if you need to improve it or not.    

Simple steps to checking your credit score

Here’s how you can simply check your credit score if you’re living in Australia:

  1. You can visit the website of any credit reporting agency to have your credit score checked. You may file your enquiry at any of these credit reporting agencies: Equifax, Experian, or illion (also known as Dun and Bradstreet). These are some of Australia’s top credit reporting agencies, so most credit score enquiries are filed with them.
  2. You can also visit other websites to have a quick credit score check. There are websites that provide a free credit score check online, which is an ideal move when you want to know yours in an instant.
  3. To know which option suits you best, you can also check sites online for complete details on how you can go about checking your credit score securely. 

Tips to improving your credit score

No matter which option you choose, know that it will serve you well to have your credit score checked by different credit reporting agencies. This way, you will gain more knowledge about your credit score and how it impacts your financial situation.   

Whether you’re above or below the credit band descriptor, there’s always room to improve your credit score. Below are some ways you can do:

  1. Change your financial habits

Achieving a good credit score starts with acknowledging that you need to alter your financial habits and start and maintain a good one. This means being more responsible on how you spend as well as handle your loans.

You can start with adopting a habit of paying your bills on time. This way, you don’t have to deal with interests or additional charges on late payments.

As much as possible, make good on your promise of paying your outstanding personal loans or any credit card balances. On-time payments on these obligations will keep you from making repayments later.

Finally, avoid availing yourself of other loan or credit card applications – even if opportunity presents itself. You don’t want to deal with paying off more loans than you can ever handle.    

  1. Make a habit of checking your credit score

Having your credit score checked regularly will let you know how you can further improve your financial situation. When you know where your stand financially, it is easier to adopt more ways on how you can adjust your spending.

  1. Arm yourself with more financial information

Good thing we’re in the age of information where everything can be accessed with just a few clicks on your laptop or mobile phone. Take advantage of financial information offered online to give you more tips on how you can improve your financial situation.  

What a good credit score can do for you

All the financial information you want to know about improving your credit score ultimately boils down to achieving one thing: gaining financial freedom. It might seem too daunting a task to attain, but nothing is too impossible to achieve when you know the benefits outweigh the disadvantages.

A high credit score can impact your life in more ways than one. Below are just a few of the advantages of having a good credit score:

  1. You have the upper hand when negotiating a loan

A good credit score can give you more negotiating power when discussing the terms of a no credit check loan. When a bank you applied a loan or credit card with sees your credit history, it will be easier to get their approval or negotiate the terms of your application, as they see from your financial record that you are a responsible payer.

The high credit score you possess serves as your influencing power. You can persuade or haggle your way into getting the loan or credit card terms you want simply because you know – and the bank knows – you can pay for your financial obligations on time.

As you have the upper hand, your confidence also increases. If for any reason the payment terms you demand cannot be agreed to by the bank, you can simply tell them off that you can get a better deal in another. You walk away with confidence, knowing that you possess the power and that any bank doesn’t have a hold on you anymore.   

  1. You can get a better job position

This holds water when you are applying for a position in the financial industry. With a good credit score, your prospective employer will see that you can be trusted with handling finance-related concerns, due to your outstanding credit history.

A high credit score serves as a character reference of sorts when applying for any other employment. A future employer may use this information as a consideration when gauging your suitability for the job position you desire. A quick check from your former boss is all it takes for a future employer to know that you can be trusted to handle a delicate position and thus the most qualified amongst other candidates. 

The credit score you possess reflects your being financially responsible. In cases where you need to change jobs, a good credit score is not only your bargaining chip but a testament to your credibility as an employee and integrity as an individual.  

  1. You can move to a new place with ease

When you find yourself on the hunt for a new house or apartment to rent in the city, a good credit score can help you get the place you desire. Landlords may refer to your high credit score as reason enough to award you the house or apartment you want to rent. 

If you need to borrow money and have nowhere else to turn, consider getting an instant cash loan from Perfect Payday. You receive a quick decision on your loan after submitting an application that only takes minutes to complete.

A good credit score is your edge over any other individuals who also want that rental. When you’re at the other side of the spectrum, there’s no way any landlord would trust you when they see that you have a bad credit history, as you more or less may also have a tendency of not paying your rent regularly.    

This is the last thing you will ever want when you badly need that strategically located apartment you’ve been eyeing. That is why you need to keep your credit score within the above-average range in order to gain the trust of a prospective landlord.  

  1. You get better rates on home loans

When you get to a point where you’re ready to buy your own home, your good credit score can serve as your negotiating power when getting a home loan approval from a bank. No bank will give its approval when they see you have a bad history of borrowing.

Banks are very strict when it comes to credit scores. A bad credit record is all it takes to turn down something as simple as a personal loan. For something as big as a home loan, trust that you will never ever get bank approval for it when you walk around with that bad credit record on your name. 

So, with a good credit score, bank loans may be acquired easily. On top of this, it may also give you the upper hand when negotiating the terms of your home loan. You can easily refer to your good credit standing when discussing with the bank about your credibility as payer.     

  1. You can get cheaper rates on utilities

A good credit score is also important when seeking the approval of utility companies. They may refer to your credit record to check if you are capable of making regular payments. A single bad record, such as late payments, may force a utility company to ask for a deposit from you to make sure you’re a risk worth taking.

Such additional cost is the last thing you want when sorting your utilities. Maintaining a good credit score is then important in order to avoid shouldering any additional expenses in the future.   

  1. You get better payment terms on insurance

A high credit score can give you bragging rights when availing yourself of insurance. It will be easier for insurance companies to assess if you deserve better rates on your insurance, once they see your history of responsible paying. 

Insurance these days doesn’t come cheap, which is why you need all the bargaining power you can get to get the best deal. A good credit score can give you lower insurance rates, which not only saves you money but also ensures that your future is protected without putting a dent on your wallet. 

With all these benefits of having a good credit score, it becomes much easier now to choose the path of repairing your credit score. Once you move from a bad credit score to an excellent one, keep in mind that you need to maintain that standing as it affects many aspects of your life.    

A useful tip to get your finances going 

As you work on improving your credit score, inevitable situations may happen along the way which may need you to ask for financial help. A quick loan is, of course, the best solution you can think of, but you may be hesitating to avail yourself of one due to your unimpressive credit score.

Know that there are lending companies that can help you during your time of need. While checking your credit score is a requirement, think of this as part of any lending company’s standard practices.  

To be qualified for a short-term loan, the standard requirements include: (1) Being of legal age (18 years old or over); (2) A regular income for at least the past 90 days that you receive via a personal bank account; and (3) A valid contact number.

Once you meet all these requirements, you can visit a reputable lending company’s website to file for loan application. While you’re at it, you may want to use their loan calculator to check if you’re qualified based on the payment term you choose. 

While you’re applying for a loan online, remember to check out helpful information on how you can sort your finances and improve your credit score. The first step to getting financial freedom is keeping yourself informed about how you can efficiently handle your financial obligations and ultimately, be responsible about money.

How To Repair Your Credit

Whether it’s to pay off bills or simply to make ends meet, securing a loan has been the go-to fix for most people to meet their emergency cash needs. Sometimes though, paying off a high acceptance rate loan may need be as easy as getting one. There are reasons beyond your control that may affect your ability to pay, but what’s certain is a credit that is left unpaid may cause a default listing against your name. 

This is why most individuals turn to a credit repair company to settle a default listing on their credit record once they have paid off a debt. It is important, however, to arm yourself with the right information about credit repair and if availing yourself of one can indeed remove a default listing against your name. 

Know the law

The Australian law stipulates that once a debtor have paid off a debt, the lender is required to reflect this payment on the debtor’s credit record. This means the debtor’s credit file must be updated to show that he or she has already paid off the debt. 

What most people don’t know is that even when they have settled a debt, the default or negative listing against the debtor doesn’t simply go away. The record of default payment remains in one’s credit file for about five years.

A bad credit record is the last thing you need when you’re seeking approval for, say another loan from direct lender. The default listing against your name will affect your ability to secure a bigger same day loan in the future (e.g., a home or car loan) and may even make it tougher for you to rent a home. It may also cause you to pay more for a lot of things, such as your car insurance. 

This is the reason why there are credit repair companies out there that promise to help in removing default listings. Before you head off to one, it is a must to know if a credit repair company can indeed be trusted to settle your default listing without a hitch.

Key things to consider before hiring credit repair company

Whether they call themselves “credit repair experts”, “credit fixers”, or “debt solution specialists”, be wary when a credit repair company makes alleged claims that it can wipe your credit history clean in an instant. The truth is a default listing cannot be immediately wiped out even if you have paid off the debt. Such information must go through a stringent process that includes proving that you have indeed paid off the debt.

In addition, it is important to make a clear distinction between a “credit repair company” and a “credit reporting agency”. There are credit reporting agencies that can go as far as look into your credit file to help your default listing removed for free. A credit repair company, on the other hand, doesn’t offer its services for free.

Hiring a credit repair company may cost you at least $900 to get the job done. This fee covers, among others, getting in touch with your lender to talk about your credit situation and coaxing the lender to get your default listing removed by virtue of some personal excuse (e.g., unemployment). When worse comes to worst, your hired credit repair company may even resort to making some inexcusable threats when the lender doesn’t adhere to the request, like filing a complaint at the Credit Ombudsman Services, which you yourself can actually do for free. 

Sure, such threats may get you what you want, since no lender would want to go through the hassle of having to shell out additional dollars as a penalty or being reported to the authorities. When you think long and hard though, you have just paid for a service that doesn’t operate professionally.       

What you can actually do to settle your default listing

Keeping these things in mind, there are legitimate ways you can do yourself to get your default listing removed. First, get a copy of your credit report from Veda or Dun & Bradstreet to see if there are inaccuracies on your record. If inaccuracies are present, talk to your lender and work out some arrangements. Incidentally, if you have bad credit and need to borrow money, consider getting a no credit check loan. You can apply with Perfect Payday.

If your lender doesn’t cooperate, that’s the time you can file for complaint at the Credit Ombudsman Service. Remember that this service is free of charge to the public.  

If you’re still taking into consideration the services of a credit repair company, why not do more research and decide if this is indeed the road you want to take? Read reviews and comments online about how credit repair companies are making false claims and deceiving the public about their so-called services that they offer for unreasonable prices. While you’re at it, research more about credit repair by visiting the Credit Ombudsman Service. 

The choice is yours, but remember that it is better to be armed with the facts before letting go of your hard-earned money.  Apply for payday loans with Perfect Payday if you need emergency funds.

Money Goals Achievable By Age 30

This article will tackle 8 distinct financial goals that one must consider achieving before reaching the age of 30. But, if you are already at this age and you are still reading this, that’s completely ok. If you want to get a stronghold of your financial future, try ticking these off your list as soon as you can. These tips are brought to you by Perfect Payday, where you can apply for payday loans if you live in Australia.

  1. No Consumer Debt

This is very essential. No matter what age you are, you shouldn’t be weighed down by any amount of consumer debt if you want to achieve your financial goals. However, it is understandable if you are in your early twenties and you are a fresh graduate with outstanding student debt. This happens to many people but you might want to settle this as soon as you can. Ideally, you should make it your goal to eliminate any loans that have an APR of more than 10%. If you pay off your debt, it will make it easier to get a same day loan in the future if you really need one.

  1. Build Credit

Many people utilize cash only and they don’t have any credit cards or experienced borrowing money. If you are one of these individuals, you might want to consider establishing credit since there will be instances in your life that will require you to have good credit. These instances include employment and mortgage. Generally, you should aim for a favorable credit score that is around 700 or better. 

It is easy to develop credit. And, it’s ok if you don’t completely trust yourself carrying credit cards. You could simply get one, purchase something and never use it again.

Apply for no credit check loans if you feel your credit score is preventing you from qualifying for a conventional type of loan.

  1. Have an Emergency Fund

No matter how much money you’re making, you must have an emergency fund. Having an emergency fund is one of the many steps you want to undertake if you want to have a good financial future. You should set aside at least $1,000 – $10,000 for emergency use. Take note that an emergency is not something that goes like this: you dropped your phone in the sink and you need a new one. Actual emergencies are instances wherein you had an injury that confines you in the hospital for several weeks or your car gets broken while you are on the highway. 

If you do not have an emergency fund, you may find yourself needing an instant cash loan. If you have a job, you may be able to qualify for this type of loan from Perfect Payday.

  1. Better Understanding about Taxes

It’s vital that you have a broad knowledge about taxes and you completely understand how the tax system operates to reach your financial goals. Once you understand the workings of the tax system, you’ll realize that there are a lot of ways on how you can save money. Dedicate half of your day to learn and understand the tax system. It will benefit you in the long run.

  1. Different Source of Income

You might want to consider having other sources of income to guarantee your financial safety during an economic crisis. Even if the economy is acting steadily right now, you have no idea what will happen after a few years. It pays off to have a sense of security that you are going to reach your financial goals. For instance, you can start a sideline like offering rental properties where you can earn money as a landlord. Or you can also begin making money out of your hobby. For example, you’re good at baking pastries. Why don’t you bake some brownies or cookies then sell them? Take note that you don’t have to start immediately, you can simply tuck them at the back of your mind for now. Think about other ways on how you can earn money in case you lose your current job.

  1. Full Insurance

When you begin having a lot of households and financial responsibilities to look after, you need to start thinking about ways on how you can protect yourself. This includes dental and health insurance, and most importantly life insurance. It is vital to have some kind of life insurance if you have a family. As you are approaching the age of 30, you should pay attention to this matter more.

  1. Charitable Contributions

Look for ways on how you can donate. It’s not always about the money because you can also donate your time. The moment that you are in your thirties, you might have a little cash overflow and it wouldn’t hurt if you find different ways to donate money. 

  1. Establish Retirement Plans

By the time that you are thirty, you might have no plans of retiring until you are 65. However, you can retire earlier and be able to do that, you need to pay close attention to your financial goals by the age of 30 or younger. Being proactive in this type of matter will help you look for ways on how you can decrease your retirement date. Instead of retiring at 63 years old, you can lower it down to 60, or even to 55.

5 Reasons for Getting a Personal Loan

Personal loans aren’t just for financial emergencies. You will be surprised to know that there are a number of ways you can actually benefit from getting a short-term loan, which can help you manage your finances better.

In fact, when used responsibly, you can even use your payday loan to improve your financial wellbeing. Intrigued to know how? Read on to know how you can make your personal loan work for you, should you need it for things other than a financial emergency.

1. Hospital check-ups

Drawing from our experience, you may have found yourself availing of a short-term personal loan for medical emergencies like accidents or illnesses. Events like these are inevitable, and sometimes we are short on funds that prompt us to get help from lending institutions.

In non-urgent medical situations, however, you can also use a personal loan to cover your hospital expenses. For example, you may need it to finance your annual executive check-up should you find yourself short on funds to cover this expense.

Whilst there are public hospitals that provide their services for free, outpatient expenses like medications need to be paid for by you in order to ensure your recovery. In times like these, availing a personal loan is a smart move to cover for hospital bills when you’re scarce on funds or don’t have extra money to be sued for hospital expenses.

2. Home renovations

Your home may or may not need considerable improvements but either way, you need the funds to finance its renovation. Getting a payday loan is a good way to get your home fixed immediately.

Maybe you need to get the bathroom fixed or have the kitchen installed with more cabinets. Or, you may want the garage to have more space for vehicles or add an extra room to accommodate more guests. Whatever improvements your home needs, you need the money to cover all these expenses.

Whether you lack the funds or your budget isn’t enough to green light a much-needed renovation for your home, a personal loan can help you cover the cost to bring your home back to its former glory. The best part is that the interest rates for personal loans used for home improvements or renovations are quite reasonable, so you will be able to meet your repayment obligations with no difficulty.

Availing a personal loan for home improvements or renovations is also a great way to invest in your property. With a refurbished home, you can increase the value of your property should you decide to sell it in the future.

3. Payment for debt

Based on our firsthand experience, getting a personal loan is also a great way to reduce your debt. You can apply for a loan that can help pay for all your other loans.

You can do this by consolidating all your loan repayment obligations into one, using one payment from the larger loan you acquired. This way, you only need to remember one loan payment schedule instead of many.

Moreover, you can also reduce the interest rates you pay for your other loans when you only have one to take care of.

When availed of in a responsible manner, getting a loan to refinance your high-interest payables can be a smart move to help you manage your finances efficiently. Make sure, though, to get sound advice from financial experts to know if loan refinancing is right for you.

Since personal loans have shorter repayment terms, getting one may not be ideal for you if your income isn’t enough to accommodate another repayment obligation. Consulting a financial expert can help you make sound decisions when thinking if consolidating your debts or not is a good option.

Should you decide to refinance your other loans with a larger loan, know that this could potentially help you solve higher-interest repayments on your other debts.

4. In lieu of credit cards

Expenses like vacations may prompt you to use your credit card to cover the cost. Did you know that it is better to get a personal loan to fund such expenses?

Whilst there isn’t much difference as far as paying for interest rates is concerned, it is wiser to use a personal loan for expenses like weddings or vacations, so you can pay back the loan on a much shorter repayment term.

Credit cards, on the other hands, don’t offer fixed payment terms. It takes much longer to pay for credit card dues, especially if you were only paying a minimum amount. Moreover, you will be tempted to use the credit card over and over again, which could lengthen the time it takes to settle your dues.

A short-term personal loan is then an ideal solution should you need quick cash for things like a new laptop or to have your car fixed. You may even use it to finance a small business, which means you will be able to pay off your loan in no time should your business venture takes off.

5. Credit rating repair

Our findings show that, probably the best way that a personal loan can help you is when you use it to repair or improve your credit rating. When you get approved for a short-term personal loan despite your poor credit history, you get a new lease on your credit-driven life.

Reputable lending institutions like Perfect Payday offer individuals with bad credit an opportunity to repair their credit rating by allowing them to avail of short-term personal loans. As long as you meet the eligibility requirements and can show proof that you can meet your repayment obligations on time, there won’t be a problem getting that approval.

This is because Perfect Payday doesn’t assess your qualification based solely on your past credit history. It puts more merit on your current financial status and your capability to pay off your loan.

When you get approved for a personal loan on bad credit, this can serve as proof which you can use to vouch for your credibility when you avail of loans in other lending institutions. When they see that you are responsible in paying your loan dues in one lending company, they may decide to take a risk on you as well.

Since it only takes a few months for short-term personal loans to mature, you will immediately see how your loan repayments have improved your credit score. Just getting an approval for a personal loan can actually improve your credit score quickly.

When lenders see how you easily managed your repayments for a short-term loan, they may also trust you to get a much bigger loan. For example, you may get approved for a home mortgage when you can prove to lenders that you have a history of paying off loans responsibly and in a timely manner.

So, consider taking out a short-term personal loan should you find yourself dealing with any of these situations. However, make sure you’ve done in-depth research on the kind of loan that appropriately suits your income and your current financial status.

Most important of all, only deal with reputable lending institutions like Perfect Payday to give you expert financial advice on short-term personal loans. Getting help from an accredited financial institution is the best way you can maximize your loan for the things you need financial assistance on.

About the Author

Lucy has over a decade of experience in finance. She is currently the content curator here at Perfect Payday.

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