How long should I have credit before applying for a loan?

How long should I have credit before applying for a loan? Topic: Effects of dropping out school essay
June 16, 2019 / By Flori
Question: I am trying to get a student loan, but I have only had credit for 6 months and there is no possible way for me to get a cosigner? Can someone help me out with some links to what I can do? If I don't find anything before next semester starts I won't be able to attend school, because I am not a good enough writer to apply to regular scholarships. Thanks! I do live in the USA. I have 6 months of good credit. I have absolutely no cosigner or potential. I am a second year undergrad in PreMed. FASFA says my mom can afford to give me $30,000 a yr, which is impossible because she is a grade school teacher. I have a Federal Loan and it covers like nothing. I have a scholarship that is renewable and is like $1000 a semester....not even close to tuition. I attend an in-state university. I refuse to go to trade school so that is not an option. Ok NOW help me please I can't afford to take off a semester or year of school!
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Best Answers: How long should I have credit before applying for a loan?

Dallas Dallas | 5 days ago
This is a tough situation right now. This is one reason why we need the bailout. Credit is frozen and students are feeling the worst effects. It is so hard to get even a Sallie Mae loan with good credit even with a co-signer. That co-signer needs to have perfect credit. Credit cards are not even looked at much on your credit for this type of loan. Other loans, such as auto, are more important. But again, by yourself, you face a real challenge. Have you applied for Stafford yet? This is through your school's financial aid office. You don't need a co-signer for this but you do need good grades. Have you looked into all the grants? Pell and any your state offers as well. Don't overlook any and all scholarships. I know the big ones require essays that almost take a Pulitzer Prize winner to write. But if you sign up for Fastweb, they will weed out the ones you don't qualify for and find even obscure ones you might. Such as people who are tall, or are bowlers. If you can get enough $500 scholarships, that will help. And look at your community. There are scholarships there too but you have to search them out. If you go to school in your hometown, the financial aid office might know of more local scholarships. But if you don't go to school in your hometown, don't bypass those. Ask as many people as possible. Call other local school's financial aid offices and ask them too. Then does your school offer any co-op opportunities? Work a semester, go to school a semester? That might be one way to pay for school. Another option is can you get independent status? You can qualify for a lot more help if you can. That's hard to do but something you can look into. Have you tapped out any co-signers at all? Aunts, uncles, grandparents? That is still the easiest way to get a loan. I know it's scary for them to think of signing those loans but if you take the option of paying back right away, they might feel better about it. For $5,000 with Sallie Mae, the payment is about $65 a month. Can you afford to make that? If you have a part-time job? That will also establish good credit and you can eventually redo the loan so only you are on it and drop the co-signer. That might make someone more willing too. Edit: I just read your addt'l details. I understand how they assume parents can afford to pay so much. Yes, if they don't pay any of their own bills! It makes no sense. Your mom can't co-sign at all? I'm not trying to pry but to understand. If it's credit problems, they will still give you a loan but at a higher interest rate. Again, she might be more comfortable if you choose to pay it back immediately. You got the Stafford and it covers nothing? I don't understand that. It's almost $2,000 a semester. It won't cover everything but it's a start. Almost everyone has to find various sources to cover the whole amount. Just one won't do. Since you are in pre-med, there are scholarships available. The problem is that they never come in time even when you win them. I don't understand that either. Disbursing on March 18 when the semester has to be paid by Jan 9 makes no sense to me. Unless you need it for the following semester. Still, don't ignore those. Keep planning ahead even though you need the money now. Ask for a deferment as soon as you can so you have more time. Join a credit union so you can apply for a signature loan. They all have their own criteria but with good credit, and being a member, you can get another couple of thousand that way. You won't find a magic bullet to pay for the whole thing in one lump sum. It takes a lot of work to search out various sources. Try to make "friends" with someone at the financial aid office. They're programmed to tell you that's all they have but I have pushed for more info and got it. I told one girl that she was so helpful and good at her job (she hadn't done anything for me at that time). She quickly changed her attitude and started helping me. Ha! There were other things that weren't publicized as much. Don't ask me why this is. I still don't know. They're there to help us. I went into panic mode so many times but I did get the help and money I needed. You have to focus which is hard to do when you see all your dreams and plans starting to slip away. It's so stressful to worry about the money when you should be concentrating on studying. Start getting some books on how to write scholarships. This really helped me. I only won maybe 3 out of 75 I applied for but it was something. I also thought I just couldn't write them. Books will show you which ones are easier to apply to for and what they are looking for in the essays. I stayed away from those looking to see if I had discovered a cure for cancer. I couldn't compete in those types. But there are plenty of other ones where it is not as hard. You have to think of unique things to say though. Something to grab their attention. I ignored the scholarships my first two years because I just thought they were impossible. They're hard, I won't deny it, but you can do it. Amazon is full of books to help you with that. Choose a few that have the highest ratings by students. And look in the newspapers, even community papers, to search out the companies who offer them. Call ones you think might offer them and ask how you apply. I got one from a grocery store just by calling and asking how to do it. Or I mean that's how I found out about it. Who knows why they didn't promote it? In any case, there were only 10 applications and 3 scholarships and I got one. The essay was pretty easy. I feel for you, I do! I went through the same thing over and over. It's upsetting to want it so bad, to have the determination and motivation, and the only thing stopping you is money. You just can't give up! Fastweb also has other help for aid besides scholarships. Even apply for the weekly $100. Every little bit will help. Oh also I have sold on ebay to get money fast. I raised $1,000 one semester by asking every single family member if they had something I could sell. And I sold some of my own stuff too.
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Dallas Originally Answered: When applying for a house loan is it necessary to have 3 lines of credit?
Lots of credit cards are OK if you haven't maxed them out. If qualifying for a house is your goal, get with a mortgage professional who can strategize with you about what kind of payment you can qualify for and any credit issues to be dealt with. The best rates and highest LTV (lowest down payment)lenders are FNMA/FHA. Their automated underwriting (AU) engines evaluate your credit history along with income, assets, down payment, etc. As a rule of thumb, they want 3 trade lines with 12+ months history and on-time payment of rent for 12 months... BUT, they allow alternative trade lines like: 1) letter from your insurance agent saying 12 months never late 2) letter from your electric/water/cable saying 12 months never late 3) letter from your cell phone co. saying 12 months never late if you don't have these you will need COMPENSATING FACTORS like: 1) job stability 2) year over year growth of income 3) out of school in the same line of work as your training 4) good assets 5) good income, few bills 6) paid off/down credit cards Best of luck!
Dallas Originally Answered: When applying for a house loan is it necessary to have 3 lines of credit?
Ok... here we go 1.) checking your credit score does hurt it but very little. They can start to add up though 2.) Having a lot of credit cards don't really hurt your score. They actually help your score if you have balances on them less than 50% of the credit allowed to you. For example, if you have a card with $1000 credit line then it looks good to have less than $500 on that card. Once you go over 50% of the credit limit it is bad for your credit rating. So having 3 cards with $200 each is better than having one $1000 limit card with $600. But every time you apply for credit it does lower your score slightely. 3. An easy way to increase your credit rating is to call your credit card companies and ask for a credit limit increase. For example, if you have a card with a $1000 limit and you have $600 on it, then call and ask for a limit increase to $1200. Then you are at the 50% and below mark again and your credit score will increase. 4. Be careful when buying a car. They send out credit requests to many different lenders and that can hurt your credit. Have a lender ready when you go to buy a car. 5. Any credit inquarys for home loans within 6 months only count as one credit inquary. So only look for loans once you are ready to purchase. 6. Get a copy of your credit report and dispute everything that is negative. The process goes like this... You dispute the charges. Then the creditor has 30 days to reply back and prove they are reporting the information correctly. What typically happens is they never respond back and it is then taken off of your credit report. I hope this helps.
Dallas Originally Answered: When applying for a house loan is it necessary to have 3 lines of credit?
checking your credit score doesn't hurt your score, but when someone like a credit card company or other loan company does whats called an "inquiry" it is recorded on your record. An inquiry is only when a potential creditor is trying to approve you for credit. The reason it is documented is that creditors want to make sure you don't take out a bunch of loans at once and end up with more payments than you can afford. As far as credit cards, you don't need to have any. If you do have them, make sure the balances are less than 1/3 of the limits, this shows that you are responsible. If you have several maxed out cards, it looks like you are stretched too thin and any application for future credit looks like you are trying to spend more money that you don't really have. The biggest factor in your credit score is whether or not you pay your bills. If you pay everything you owe on time, you're score will be fine. This goes for every penny you owe, if an un-paid doctor bill gets sent to collections, it will go on your credit report. Just make sure you make at least the minimum payment on everything you owe, and make every payment on time. Its best to pay extra on loans and pay off credit cards in full every month, but on-time payments is more important.

Blondie Blondie
Hello Every One, I am Patience Andrew by name, I live in Switzerland, just a few month ago I was in search for a loan of $ 40,000 Dollars, as my family was running out of money for feeding and my Business. I was scammed about $7,500 Dollars and i decided not to involve my self in such business again , finally A colleague of my introduced me to a loan firm due to my appearance and doings. I made a trial and i am most grateful am i today, i was given a loan amount of 70,000 Dollars by this great firm Joseph Micro finace managed by Mr.Joseph Matthew . If you are in need of a ganuine or legit loan or financial assistance and you can be reliable and trusted of capable of paying back at the due time of the funds I will advice you to, contact him via email. [email protected] and you will be free from scams in the internet.
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Blondie Originally Answered: How long should I refrain from applying for credit cards to fix my credit?
Go to bankrate.com to read about a secured credit card: http://www.bankrate.com/finance/credit-c... Go to www.bankrate.com, choose the Credit Cards tab. Under "Compare Credit Card Rates, click on Select by credit card type . On the right, choose the credit card type - Secured Card - and compare the cards to see which is best for you. There is a Calculators button on the blue line above the tabs. From there you can play around with balances and how much interest you would pay if you charge a lot but only pay the minimum when you get an unsecured card. You can also choose to view by Credit Type (average, bad, etc) and see what is available there. Please go to www.myfico.com, click on Credit Education. Read all you can, because what you don't know CAN hurt you. There are also forums there and you can ask that question. That site becomes addicting! Federal Trade Commission – Facts for Consumers – Building a Better Credit Report: http://www.ftc.gov/bcp/edu/pubs/consumer... You are also entitled by law to a free credit report once a year from EACH of the three major credit bureaus. I recommend you check each bureau once a year, a different one every four months. The only site to get a totally free credit report is www.annualcreditreport.com. Make sure everything is correct. In this case, you may want to check all of them in the next several months. Good luck!
Blondie Originally Answered: How long should I refrain from applying for credit cards to fix my credit?
If you know you do not have good credit. Stop applying. Everytime you apply rather you are approved are not lowers your credit score. Try getting a secured credit card in your name. After a year some banks allow you to have a insecured visa. Also get a copy of your credit report and look to see what is about to fall off according to the statue of limitations in your area. You may notice that some are due to be removed or should have been. If not removed and should have been notify the (3) major credit bureaus or the collector. When you review your credit report look to see if there are some charges you can negotate a payoff and possible have deleted from your credit report. I know going back and paying off the accumalated debt is a hard pill to swallow. However if you get the negative credit reporting removed. It;s boost up your credit score. The less negative reporting the better. Also paying off your old debt will only increase your score a little. But on a positive note it show creditors that you are trying to recover your debt and may increase the chance of them lending to you. But Stop applying. If you haven't did anything to improve your credit score the answer will always be NO. GOOD LUCK

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