Tuesday, July 21, 2009

Easiest Way To Clear Credit Card Debt



Credit card is one of the easiest and convenient ways of paying for goods or service received. A financial institute allows agreed credit limit to their customer to buy goods or service. Bank and financial institute allows small short term loans for specific period and if the customer makes any default in paying the debts in specified period, interest or penalty will be charged on outstanding amount.

Tips for you to clear your credit card debts

If you use credit card responsibly, credit card can be great financial tool and if you use them carelessly, the same can put you in debt trap. You may be looking for best or easiest way to clear your credit card debts and bring your debts under control. Here are some tips for you to clear your credit card debt easily.

Don’t roll over credit: You must pay off your monthly debts in the period or time allowed by your lending company or bank. Roll over of credit will slowly lead you to debt trap. Pay off all your debts on or before due date.

Limit the number of credit card: You may have two or more credit card which makes you difficult to pay its due on or before due date. Limit the credit cards number to one or two and use them responsibly. If you want, you can use two credit cards one for daily purchase and other for bigger purchase. Remember, paying off credit card debt dues on or before due date enable you to get reward points and cash back.

Personal loans: Consolidate your credit card debts and take personal loan to clear all dues. Personal loan is cheaper when comparing the interest rate with credit card. Credit card charges high rate of interest or penalty for your monthly dues.

Loan from family or friends: You can take loan from your family and friends for paying off your debt or credit card dues. The advantage of such loans is they will not charge you interest and you need to pay only principal amount. You need to pay fixed amount in every month and prompt payment will enable you get more help from your family or friends in future.

Stop using credit card: If you are not able to payoff your monthly dues, stop using credit card until you clear all your debts on your credit card. When paying your monthly debts, pay more than minimum amount due in your statement.

If you use your credit card responsibly, your credit card is great financial tool for making payment for goods or service purchased and secured way to book online tickets and deal with online merchants. Remember to payoff your credit card debts on or before due date and never roll over your credit card debts. Prompt payment will enable you to get reward, cash back and increase in your credit limit. Keep your credit card debts under control and get most from your credit card.

Thursday, July 16, 2009

Things To Consider When Applying For An Auto Loan


Auto loan is personal loan which can be either secured loan or unsecured loan. Lender offer loan to buy a new car or exchange your old car with new or loans for borrowers who are looking for own vehicle.

Having your own car or vehicle may be your dream and Banks or lending companies offer auto loan for making your dream come true. You need to consider following things when applying for an auto loan easy repayment of loan.


Consider following things when applying for an auto loan


Credit Report: Before applying for auto loan, check your credit report. If your credit report is good, you will get your loan for low interest rate and you will have more auto loan choice.

Affordable rate: You need to know about your income and monthly expense. This will help you to know the amount you can afford to pay for your auto loan. Analyze your budget when applying for auto loan. Choose auto loan that offers loan at affordable rate.

Know your market: Do not apply for loan with your first lender or bank. Make good research on available loan rate and other benefits. Bargain with your lender and choose your lending company or bank that offers you best.

Secured Loan: Secured loan enables you to increase chance of getting your loan. Secured loan is personal loan where borrower gives collateral security against his loan. In case of auto loan, car or your automobile itself is used as collateral. In case you default on repayment of loan, lender will take car or vehicle to pay off the cost or lose he incurred. This type of loan is safe for lender and they compete to offer you loan at cheap rate.

Increase down payment: You can get better deal if you pay maximum down payment and your monthly repayment becomes smaller. Even if you have bad credit history, paying maximum down payment increase the chance of approval of your auto loan.


You need to know your budget and monthly payment towards auto loan. You need to discuss about auto loan you are going to apply with your financial advisor to get best deal. Make good market research and apply for auto loan from bank or lender who offers you best.


Important banks for Auto loans


State Bank of India

HDFC Bank

ICICI Bank

Bank of India