Poor credit scores have typically led to credit companies slamming the door. Of course this is attributed to the fact that your payment capacity is in doubt. However, the good news is that you can take a mortgage loan or mortgage refinance from a mortgage company even with your bad credit.
Potential borrowers may worry about the inability to prove a regular flow of income and a poor payment history. Bury your anxiety today and approach a mortgage company for bad credit straightway.
Benefits Of Bad Credit Mortgages
It is not easy to imagine that bad credit mortgages offer some benefits but you’ll be surprised the privileges you could enjoy. These include:
- Flexible monthly payments. Bad credit lenders are very compassionate. They allow you to take a mortgage loan at the terms and conditions of repayment which you select yourself.
- Lower interest rates. This may sound ridiculous but it is absolutely true. Given the current economic crunch, there are very few borrowers who meet the rough requirements of good credit mortgagors. And as such, bad credit mortgagors offer their loans at competitive low and affordable interest rates.
- Cash for alternative uses. Bad credit mortgages can help you consolidate all your debts so that you have extra cash for other uses. The extra cash can be used to clear all other debts you have as you remit lower monthly payments which you can manage. This will definitely improve your credit score.
- Rewards. There are several banks and mortgagors who may reward you as a result of your improved cash management. This arises, for instance, when you make several payments on time. Your lender may decide to decrease the interest rate as a reward.
Lenders Offering Loans for Bad Credit Borrowers
1. First Magnus Financial Corp. It was founded in 1996 in Tucson, Arizona. Other than offering you bad credit mortgages at very competitive rates, the company also allows you to use any extra cash from your mortgage deal. You can use this extra cash to buy a car, make improvements, go on holiday, and consolidate your debts among others.
2. Premier Mortgage Funding Inc. Headquartered in Maryland, it provides several mortgage products and services to its lenders. It doesn’t matter whether you don’t have a proven income record or you have a poor payment history. Premier Mortgage Funding Inc. provides you with a mortgage loan under very flexible monthly payments. These will improve your credit rating and enable you to qualify for more credit.
3. First Horizon Home Loan Corporation. Formerly known as FT Mortgage Companies, it changed its name in March 2000. The company is a leader in providing commercial lending products for individuals and institutions since its foundation in 1995. This company designs a well-secured mortgage loan to suit your current financial situation. It enables you to become a homeowner under very friendly credit terms which enable you to pay periodically as you build equity on your home.
4. GMAC Mortgage LLC. The application process for your first time mortgage, second mortgage or refinance mortgage is simple and fast. Founded in 1985 with its headquarters in Fort Washington, it offers VA and FHA loans. Once you submit all the required documents, you complete the application within less than 10 minutes and receive the loan application within a few days. These mortgage loans are offered at very affordable rates with low interest rates.
5. Primary Residential Mortgage Inc. They began operations in 1998 with a handful of employees but the current staff has increased to 1,500. They have more than 200 branches in 49 States. The company offers a variety of loan options with a quick turnaround time for both locked-rate mortgages and preapproved mortgages. It offers mortgages at compellingly competitive rates to borrowers with a bad credit rating. Currently, it has more than 1 million loans outstanding.
6. Bank of America. It is the 5th largest bank with more than 57 million customers. With loan origination figures exceeding $100 million, it provides several forms of mortgage loans varying across the board. You can apply for your bad credit mortgage loan online today and have it approved online.
It is not uncommon to find people with a bad credit report totally stressed and knocking at a counselor’s office day in day out. However, you can get out of this painful financial quagmire by checking the mortgage terms of each of the above lending institutions. Whether you are short on cash for college education or you want to refinance but your credit score is badly damaged, you can apply for a mortgage today!