topic Re: Perosnal Loans in Mortgage Loans

Perosnal Loans

Natasha_0930 — Thu, 26 Jul 2007 02:44:06 GMT

My situation is sort of unique. I got a few credit cards back in 2004, and a few months after getting them, I was hospitalized and not allowed to work for a few months due to a really troublesome pregnancy. This resulted in my newly established credit being destroyed. I recently signed up to myFICO, and have been taking steps to re-establish my credit. I have heard of people taking out personal loans to pay off debt and have one single monthly payment. Does anyone have any suggestions on what I should do? My scores thus far are 557 Trans, 531 Experian, and 500 Equifax. My credit card and medical debt is around $3500.00.

Re: Perosnal Loans

javi84 — Thu, 26 Jul 2007 14:47:35 GMT

You might also want to try a line of credit from your bank or credit union, although your rate will be high if you are approved, it probably will be lower than your credit card rates.

Re: Perosnal Loans

Tuscani — Thu, 26 Jul 2007 16:34:15 GMT

Yes, there are several reasons why you would want to roll this debt into a personal loan...Personal loans will generally have lower interest than a CC.. also utilization (30% of your score) on installment accounts is calculated differently than revolving credit.

Have you read the Scoring 101 thread yet?