Loan Saver Debt Consolidation Blog

A Credit Default is a negative statement that is put on your Credit File to indicate you have broken an agreement you went into in regard to some form of Credit you have had. Credit defaults may show up for a number of reasons:

Broken Telephone Contract - People are often unaware that the contract for thir phone may total in the thousands of $$$. When a phone service is cancelled or you go to another provider the contract needs to be paid out.

Loan Contract- When you enter into a loan for a car at times the value of a car depreciates at a greater rate than what the loan gets paid off. If in this term you sell the car, or the car gets repossessed the return from the sale may not pay out the loan. In the case of a sale, the sale will simply cease to go through as the car will be encumbered. But in the case of a reposession, the remaining monies can be listed as a default if not paid.

Credit card default - A credit card can be defaulted if you fail to make a payment or the card goes over limit.It usually takes 3 months to recieve a credit default.

Business Debt- If you owe monies to other companies for work or services they have provided and you fail to pay.

There are many ways to recieve a credit defult, but they all come in the form of a a broken credit arrangement.

If you have any questions regarding Credit Defaults please contact us for more information.

They are a fact of Life. There will always be a form of record keeping to attempt to track the credit history of a prospective client. For all the misgivings and bugs in the current system, the credit tracking system will be there for the foreseeable future.

A typical Credit Report can contain a multitude of information including:

• Given names and alias’s.
• Drivers Licence number
• Past and Current Addresses
• Work Histroy
• Credit Enquiries
• Directorships
• Paid Credit Defaults and Unpaid Credit Defaults Defaults
• Bankruptcy, Part 9 Debt Agreements and Part 10 Insolvency Agreement Information
• Judgements
• Court Actions
• Plus other information as it becomes available.

If you have a question about your credit file, or you have been declined a loan because of your credit history. Contact Us or Apply for a Loan for more information.

Is it possible to repair your credit file?

This is one of the questions most asked by our clients. Credit providers must remove or amend incorrect on credit files. You may have a good chance of amending your credit file if:

• You kept details of the credit contract that caused the credit default?
• Will the credit provider or a third party accept fault for the breach in credit default.
• You cannot amend your credit file in matters of fact or public record.

Over the last few years Debt Consolidation has been the cliche’ term used to describe bringing all of your loan accounts into one. The point of view is that this will alleviate cashflow issues, or at the very least give you more monthly cashflow to live or do the things you would like to do. Debt Consolidation brings to mind a course of action that will give peace from the stresses of bad credit, mortgage arrears or Home Loan defaults, or even Credit Defaults. This is quite often not the case. Loan Saver Network has been working in the Non Conforming Arena for 3 years and helped many people with Debt Consolidation , and have come across many mis-guided beliefs. The end result for these clients is that they are put into either a situation they cannot get out of without a credit default being listed, or they are left paying quite a large monthly payment because they don’t qualify for traditional loans.

There are many things to consider when consolidating your debts:

• Lender Policies - Each lender has a policy around Debt Consolidation. Choose the wrong
  lender and you could be declined.
• Previous Conduct - Most lenders don’t like to refinance loans that are currently in arrears.
  Some lenders are set up to handle bad credit but still have policies they must adhere to.
• Equity - Each lender will allow a certain amount to be borrowed against your property. This is
  represented as LVR Ratio (Loan to Property Value Ratio)
• Income - Does your situation require Low doc or can you verify your income?

If you are unable use Debt Consolidation there may be another course of action, speak to us before you take any steps. See other solutions below. There are many avenues to sort out a financial mess.

• Debt Negotiation
• Debt Agreement (with Lender)
• Part 9 Debt Agreement
• Part 10 Insolvency
• Bankruptcy
• Debt Consolidation
• Personal Loan
• Gifted Moniies (From Family/Friends)
• Loan Redraw
• Refinance

There are other avenues, but these are the main ones to consider. Quite often Debt Consolidation will over lap into these other areas. In all circumstances there are many things to look at the identify an appropriatte course of action to alleviatte the stress of Loans that are in default. I would like to highlight the word “appropriatte” in the previous sentence. At times bankruptcy is an appropriatte course of action, at times a Part 9 Debt Agreement is an appropriatte courtse of action. At times Debt Consolidation will not alleviatte the credit or repayment issues. I have spoken to many clients on Debt Agreements where a Part 9 debt agreement has been their saviour, and others where they were recommended to declare an inappropriatte bankruptcy. It is a committment of Loan Saver Network that our client’s achieve an appropriatte solution to their issues, which could include Debt Consolidation , Part 9 Debt Agreement, Part 10 Insolvency, Bankruptcy or a simple refinance.

For Information on any of these topics, or for a Free assessment of your situation Contact Us or Apply for a Loan

A Home Loan Default or Mortgage Default comes under a number of definitions, but all with a similar meaning. Mortgage and Home Loan Default, Mortgage or Home Loan Arrears. all arise when the loan contractual repayments are not being met.

You Home Loan or Mortgage will need to be in Default for 3-4 months before an eviction will take place. There are many processes in place prior to an eviction notice and finally being evicted. This allows an experienced representative to halt or mediate the process to enable sufficient time to effected a refinance or repay the Mortgage or Home Loan Arrears.

The first step in the process is to establish the stage in the recovery process that the lender is up to. This requires authorisation from the client to allow a third party (Loan Saver Network) to mediate, discuss and obtain information to suitably assess a Mortgage or Home Loan Default situation.

Loan Saver Network is effective in resolving Home Loan and Mortgage Defaults. Resolving a Mortgage or Home Loan Default is dependant upon may things, the best contribution you can make for a successful resolution is act now. Do not procrastonate. One day can make a significant difference in resolving Home Loan Default and Mortgage Default.

Below is a list of items than that we need to verify to enable a solution found:

• Is there sufficient equity to cover the Home Loan Default or Mortgage Default?
• Is there sufficient servicabilty?
• Will future repayments be made on time?
• Is your property acceptable to the lender for security purposes?
• Do you have credit defaults listed on your CRAA (Veda) Report?
• If so, what is your level of credit impairment?
• How far in arrears is your mortgage?
• How much in arrears are your other loans?
• One of the very important item for the new lender is the story of your credit issues. The lender will want to know what has happened to cause the credit problems, and if this loan is provided will the situation continue?

If you have any questions regarding Home Loan Default, Home Loan Arrears , Mortgage Default, Mortgage Arrears or other matters. Please contact us or Apply for a Loan , there may be a solution to your issue.