The Pros and Cons of Credit Union Credit Cards

The Pros and Cons of Credit Union Credit Cards

The Pros and Cons of Credit Union Credit Cards

Banks aren’t the only institutions that offer credit cards. If you’re not having much luck getting approved for one, look into credit union credit cards. They offer more chances to get a credit card that can potentially make it easier for you.

The Pros and Cons of Credit Union Credit Cards

Pros

You’re a member, not a customer

Credit unions are member owned, nonprofit organizations. This means their goal isn’t to turn a profit, and they don’t have to answer to stockholders like banks do. Instead, their main goal is to provide excellent service to their members. So yes, you do have to join to get the benefits of a credit union, but it’s pretty easy to do so.

They’ll give you a second chance

It’s not every day you get the chance to try again for a loan or a credit card. However, with a credit union, if you apply and are turned down, you can as them to look again. Some credit unions have loan committees that consist of employees and members. They are the ones who look over the initial application. But, if you want a low-interest credit card and believe you have the income to support it, you can write a letter to this committee to explain why. Even if you just want a fresh start, you can write to them and explain your circumstance.

Flexible Payments

Credit unions want to provide you the best customer service to their members. That being said, they will attend to your needs and can basically be a friend for you during financial hardship. In doing so, they will work with you to modify loans and credit card terms to help you get back on your feet.

Low Interest Rates

You’ll often be offered a lower interest rate than you would with a bank. They manage transactions on their own as opposed to relying on different sections of the company to process funds. A lot of costs get cut this way, which saves you money. If you tend to take a few months to pay off your credit card, a credit union could potentially save you money in the long run.

Cons

All your accounts are tied together

Having all your accounts tied together is also known as cross collateralization.  Here’s how it works. If you already have a credit union credit card and get a loan, your credit card balance will be secured by the loan. Therefore, if you default or declare bankruptcy, the amount that is owed on your credit card will not be wiped out. Instead, it becomes secured by the other loan.

They ask a little more of you

If you get a credit card on a second chance, they may recommend that you to take a personal finance. This is to ensure you know how to budget correctly and stay on top of your payments. Of course, this isn’t always the case.

They have entry requirements

Before you can be a member of a credit union, you have to approved for an account. For example, you may be required to have a job in a certain sector of the job force. So if you’re considering joining a credit union, it’s a good idea to call to see if you qualify for an account.

They have their own tough times

While they will be there to help you out during your tough financial times, that doesn’t mean they are safe from tough times of their own. Credit unions are local institutions, so if one area is hit by something such as layoffs, they will feel it. Don’t be surprised if your credit union closes down or becomes part of a larger credit union. It can happen. Fortunately, just like with a bank deposit, you’re protected up to $250,000.

Do you have any questions regarding credit union credit cards? Give us a call at 1-866-991-4885. We’re happy to help.


No matter what your situation, Go Clean Credit has a solution. We have many credit repair programs that are available to help you overcome your credit situation and place you back on the path to financial success. Real credit restoration is not a once size fits all model and we tailor your needs to the right program, but most people can start for just $99 per month.

We have fixed price programs that get you back on track in as little as 5 months, debt resolution solutions, programs geared toward people who have had recent short sales or foreclosures and many others. Help is just a free phone call away, or you can fill out an appointment request. Contact Go Clean Credit to schedule a free consultation today.

The Pros and Cons of Subprime Loans

The Pros and Cons of Subprime Loans

Making a big financial step often depends heavily on whether you can get a loan. If your credit score isn’t as good as it could be, that can be tough to accomplish. Thanks to subprime loans, though, it could be possible to get that much needed loan.

The Pros and Cons of Subprime Loans

Pros

Easy Approval

Usually a person is turned down for a loan because they have defaulted on a loan before or they have outstanding debt. Banks and lenders aren’t willing to take a risk on someone if they believe there is even just a small chance the borrower won’t make their payments.

Fortunately, in the subprime market, your credit score doesn’t have to be perfect. Subprime lenders will still approve you for a loan.

Usefulness

Subprime loans are a great way for people to pay off other debts. Having outstanding debt hurts your credit score, but a lower score isn’t a problem with subprime loans. Borrowers can get a loan, use it to pay off their debt, then make payments on the subprime loan on time. With the debt gone, they can now work toward improving their credit score.

In a way, subprime loans can potentially be a gateway toward better credit.

Still struggling with fixing your score? Here are some other tips on how to improve your credit.

Cons

Higher Costs

Subprime loans are a higher risk than prime loans, as lenders are taking a chance on someone who has a history of bad credit. This means that borrowers in this market are seen as more likely to default on their loan and therefore pose a higher risk. Because of that higher risk, interest rates are also higher so the lender has some cushion in case of a default.

Processing and other fees will also be higher with a subprime loan. Lenders want to collect more money upfront in case of default.

Income Demands

While subprime lenders will be more understanding of a borrower’s credit score, they will be tougher on their income and cashflow. A borrower must be able to prove they have sufficient income or cashflow that will allow them to make their monthly payments. If they can’t provide proof, they will likely be turned down.

Do you have any questions about subprime lending? Let us know! Give us a call today at 1-866-991-4885.


No matter what your situation, Go Clean Credit has a solution. We have many credit repair programs that are available to help you overcome your credit situation and place you back on the path to financial success. Real credit restoration is not a once size fits all model and we tailor your needs to the right program, but most people can start for just $99 per month.

We have fixed price programs that get you back on track in as little as 5 months, debt resolution solutions, programs geared toward people who have had recent short sales or foreclosures and many others. Help is just a free phone call away, or you can fill out an appointment request. Contact Go Clean Credit to schedule a free consultation today.

What To Do About Medical Debt On Your Credit Report

What To Do About Medical Debt On Your Credit Report

When injury or sickness hits, medical bills can quickly pile up. If you don’t stay on top of it, sometimes even the simplest miscommunication or error can seriously hurt your credit. If an unpaid bill does get reported to the bureaus, here’s what you can do about medical debt on your credit report.

Medical Debt On Your Credit Report

The new FICO 9 score weighs medical bills less heavily than other unpaid accounts. Because of this change, medical debt won’t have as much of an impact on your score as it would have in the past. Doctors and medical providers also don’t report debt to the bureaus. Instead, if you don’t pay a bill, they inform a debt collection agency who reports it to the bureaus.

Mistakes do happen, though, and sometimes medical debt gets wrongly reported. Fortunately, there are steps you can take to get this issue corrected.

Document the Error

If your medical bill has been paid but was still reported as unpaid, you should make copies of receipts and other documents that prove it’s an error. You can also request a current account statement from your doctor or the collection agency.

Contact the Credit Bureaus

Contact the bureaus as soon as you know about the error on your credit reports. There are two ways you can do this:

  1. Fill out a dispute form.
  2. Send a formal letter with copies of supporting documentation through certified mail.

Regardless of which method you choose, the bureaus are required to investigate the error and have 30 days to correct it.

Follow Up

After documenting the error and contacting the bureaus, follow up on everything. Check your reports to make sure all corrections have been made.

Pay All Bills

The best way to avoid any misunderstandings ending up on your credit report is to never ignore medical bills. If you’re not sure insurance covers it, talk to your provider. Don’t just leave a payment because you expect insurance to pay for it. If you’re going through tough times financially, try to work out a payment plan.

If the collection agency has made no mistake and you do, in fact, have an unpaid medical bill, you can’t take it off. The collection will remain on your credit report for seven years after the date it was reported. After that, it will finally be removed.

Do you have questions about what to do about medical debt on your credit report? Give us a call today at 1-866-991-4885. We’re here to help.


No matter what your situation, Go Clean Credit has a solution. We have many credit repair programs that are available to help you overcome your credit situation and place you back on the path to financial success. Real credit restoration is not a once size fits all model and we tailor your needs to the right program, but most people can start for just $99 per month.

We have fixed price programs that get you back on track in as little as 5 months, debt resolution solutions, programs geared toward people who have had recent short sales or foreclosures and many others. Help is just a free phone call away, or you can fill out an appointment request. Contact Go Clean Credit to schedule a free consultation today.

The Navient Lawsuit and Your Student Loans

The Navient Lawsuit and Your Student Loans

In January, the Consumer Financial Protection Bureau (CFPB) filed a lawsuit against Navient, the nation’s largest servicer of both federal and private student loans. The company was allegedly “systematically and illegally failing borrowers at every stage of repayment.” What does this mean for your student loans?

The Navient Lawsuit and Your Student Loans

Navient President & CEO Jack Remondi stated on his Medium blog, “At Navient, our priority is to help each of our 12 million customers successfully manage their loans in a way that works for their individual circumstances.” However, in their latest court documents, Navient now states that there is “no expectation that the servicer will ‘act in the interest of the consumer.'” Going further, they said contacting the company with issues didn’t mean it would necessarily act in the customer’s best interest.

The Navient Lawsuit

There’s a pretty good chance that, if you have a student loan, it may be serviced by Navient. In their lawsuit, CFPB alleged that they:

  • provided bad information to create obstacles to repayment
  • incorrectly processed payments
  • failed to resolve borrowers’ complaints through inaction
  • caused many borrowers to overpay for their students loans by illegally cheating them out of their rights to lower payments
  • deceived private student loan borrowers about requirements to release their co-signer from the loan
  • harmed the credit of disabled borrowers, including severely injured veterans

The Bureau also alleges that when borrowers could have qualified for income-driven repayment plans, Navient instead directed them toward forbearance.

To avoid falling victim to any of these situations, check out these tips for tackling student loan debt.

Navient’s Motion To Dismiss

“Borrowers could not reasonably rely on Navient to counsel them into alternative payment plans unless Navient had an affirmative duty to provide such individualized financial counseling. But the law imposes no general duty to provide information without some fiduciary relationship.”

Navient stated in court that it’s not their job to help borrowers. Their main job is to collect loan payments for creditors.

If you have questions about the Navient lawsuit and your student loans, call us today at 1-866-991-4885.


No matter what your situation, Go Clean Credit has a solution. We have many credit repair programs that are available to help you overcome your credit situation and place you back on the path to financial success. Real credit restoration is not a once size fits all model and we tailor your needs to the right program, but most people can start for just $99 per month.

We have fixed price programs that get you back on track in as little as 5 months, debt resolution solutions, programs geared toward people who have had recent short sales or foreclosures and many others. Help is just a free phone call away, or you can fill out an appointment request. Contact Go Clean Credit to schedule a free consultation today.

How To Find a Good No Credit Check Loan

How To Find a Good No Credit Check Loan

When your credit score determines almost every major financial move you make, finding a loan can be tough when your score is low. Under these circumstances, a no credit check loan can seem very enticing. You have to be careful, though, so here’s how to find a good no credit check loan.

How To Find a Good No Credit Check Loan

First, you need to make sure this is the best option for you. Unlike traditional loans, no credit check loans typically need to be paid back within a few weeks or months, not years. They also come with much higher interest rates than traditional loans. If you can, try applying for other loans first before resorting to a no credit check loan.

Find The Right Lender

Find a traditional lender who is willing to do a no credit check loan. Although not every bank or lender will do this, sometimes you can find one who will give you a loan without checking your credit. Start with your bank, and if they don’t offer no credit check loans, call some of the other banks in your area.

Evaluate costs and fees associated with the loan. Lenders often charge high fees for giving out personal loans with no credit check. You will find loan origination and other fees worked into your monthly payments as a part of your overall loan. If you find these fees to be too expensive, don’t be afraid to walk away.

Consider doing internet micro lending services. Also known as peer to peer lending, these services can help you get loans of up to $35,000. They may to a credit check here. It’s not to disqualify you, but to determine an interest rate.

Look into getting a pawn shop loan. While not the most recommended option, it is still an option. As a last resort, you can take a valuable item to a pawn shop where they will give you money for your item as a loan. Then, you pay them back the loan, plus interest, to get your item back. If you can’t pay it back, then you don’t get your item back and the shop owner just got a new addition to their shop.

Do you have any questions regarding how to find a good no credit check loan? Let us know.

To enlist the help of a trustworthy, effective credit repair company, call us today at 1-866-991-4885!


No matter what your situation, Go Clean Credit has a solution. We have many credit repair programs that are available to help you overcome your credit situation and place you back on the path to financial success. Real credit restoration is not a once size fits all model and we tailor your needs to the right program, but most people can start for just $99 per month.

We have fixed price programs that get you back on track in as little as 5 months, debt resolution solutions, programs geared toward people who have had recent short sales or foreclosures and many others. Help is just a free phone call away, or you can fill out an appointment request. Contact Go Clean Credit to schedule a free consultation today.