it it possible to get a small loan with bad credit

Asked by Gholstonmba, Chicago, IL Thu May 2, 2013

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11
Santiago Ken…, Agent, Chicago, IL
Fri May 17, 2013
how bad its your credit and why ?
0 votes
Gus Drugas, Agent, Chicago, IL
Sat May 4, 2013
Have you sat down to speak to a lender? I think this would be a good first start. From here you can move forward with either tying to get a loan or fixing any outstanding issues on your credit report that might be affecting your score.

Best of luck and if I can be of help to you, please let me know.

Gus
0 votes
JIM Michaels, Agent, Chicago, IL
Sat May 4, 2013
call wesley

Our Team | United Equity Mortgage Corp.
http://www.unitedequity.us/our-team.html‎
Wieslaw (Wesley) Jura Vice President. NMLS ID 225274 ...
0 votes
Bill J Delig…, Agent, Naperville, IL
Fri May 3, 2013
Everything is possible especially if you have a low Loan to Value Ratio.
0 votes
, ,
Fri May 3, 2013
Good afternoon Gholstonmba,

We see many credit reports with low credit scores (anything less than 620), and often many scores in the 500's. This is BAD credit. If you are one of the folks affected by this terrible economy, you have a low credit score and you have a dream of buying a home, here's some simple advice for you.

It is unlikely you could be approved for mortgage financing with that credit score at this time.

Beware of any mortgage professionals promising you an approval with such a low score. Wait on buying a home. I recommend you take the time to resolve your credit issues.
First, settle any outstanding debt. If you owe money on collection accounts, charge-offs and/or judgments, make payment arrangements and get these accounts paid promptly.

Next, begin rebuilding your credit. If you have current accounts with good payment histories, or even some previous late-payment-blemishes, make sure you continue to pay those accounts on time. If you do not have any existing credit accounts then you'll need to establish several in order to create a viable credit history.

I have found that CONSUMER ACTION is an excellent resource for objective advice on all things credit related. You'll find free and sincere advice on everything from settling collection accounts to rebuilding credit to building credit from scratch on their website.
http://www.consumer-action.org/

Beware of anyone offering to "repair" your credit! The Federal Trade Commission issued a stern warning last year that such offers are scams. Find more from the FTC HERE.
http://www.consumer.ftc.gov/articles/0058-credit-repair-how-…

The best way to buy a home is to have a decent credit history combined with sufficient Income and Assets for a home purchase.

The best way to have a decent credit history is to settle negative outstanding obligations and pay all your bills on time for at least two years.

Trevor Curran
NMLS #40140

*If you thought my answer was helpful, please give me a “Thumbs Up” or “Best Answer.” Thanks!
0 votes
Manuel Brown, Agent, Chicago, IL
Fri May 3, 2013
What kind of loan are you talking about? Are talking about a housing loan? The minimum FICO score to obtain and FHA loan is 620. Anything below that will be difficult. Also realize the lower you credit score the higher the interest rate you will pay. It is worth working on your credit because it can save you thousands over time. Credit repair is always an option. My clients have had great success with Nationwide Clearing at 773-862-7777 they have been doing it for 25 years.
0 votes
Philip Sencer, Agent, Chicago, IL
Fri May 3, 2013
It depends on how small a loan and how mad the credit. Call some lenders to see waht they might be able to do.
0 votes
Joe Schiller, Agent, Chicago, IL
Fri May 3, 2013
its possible to get any size loan with bad credit.. you just pay more..maybe 20%
0 votes
Jose Hernand…, Agent, Chicago, IL
Thu May 2, 2013
Depends what you're buying, I would talk to a few lenders.
0 votes
, ,
Thu May 2, 2013
Most lenders will require a minimum of a 620 credit score. The size of the loan is irrelevant loan qualification is based on how much of the value are you financing. This is what is called the loan to value. Now if you are planning on financing 50% or less, lenders would possibly qualify you for a loan. If you are serious about wanting to purchase a home I can help you restore and improve your credit scores. Obtaining a 640 credit score isn't that difficult. Paying off debt, cleaning off negatives, and adding trade lines will increase your score.

Best of Luck;

Christina Solorzano;
CEO & SR Credit Repair Specialist at
Everlasting Credit Repair
Ex-Mortgage Broker of more than 10 years
http://www.everlastingcredit.com

We also have a DIY service.
0 votes
Matt Laricy, Agent, Chicago, IL
Thu May 2, 2013
I would speak to a lender and see what they say.
0 votes
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