Your Debt Threat

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If you are suffering from credit card debt, you’re not alone. Credit card debt is growing at an alarming rate, as more and more people find their balances getting larger and larger. But you really can achieve significant debt reduction by following some very simple strategies.

The problem, of course, with credit card debt is that interest can accumulate rapidly. This can result in larger monthly bills, which can lead to late payments, which in turn can result in even higher interest rates.

This spiral can quickly get out of control. The key to achieving credit card debt reduction is to break this spiral and begin to pay down your debt. The following are three ways to do just that.

1. Never Pay a Credit Card Late Fee

Late fees have been increasing by leaps and bounds lately, and grace periods having been getting shorter and shorter. Make sure you always pay at least your minimum payment on time. If you are absolutely unable to pay even that, then call your credit card bank and alert them. You might be able to buy yourself some time.

If you are late with even a single payment by as little as a day, there is a very good chance the bank will raise your interest rate, often by 50% or even more. Over time, this can can add up to charges far more significant than the 30 or 40 dollar late fee.

If you do miss a payment, then make sure and call your bank as soon as possible afterwards. Many banks will waive the fee if you asks them to, especially if you have a valid excuse (like you were ill or out of town). But in any case, get them to waive the fee, for this will most likely spare you from having your interest date raised and possibly save you hundreds of dollars or more.

2. Get Your Credit Card Interest Rate Lowered

If your credit card interest rate is too high, call your bank and ask them to lower it. Odds are, you could find a lower rate elsewhere, and your bank knows this. So call their bluff. Tell them you can get or have been offered a lower rate, and ask them to match that rate. If they refuse, all you have lost is a phone call. But if your request is reasonable (don’t ask them to drop your rate to %5), there is a very good chance they will lower your rate.

3. Get a New Credit Card

If your bank refuses to lower your rate, simply search for a lower rate card and transfer your balance. There are plenty of banks out there eager to accept balance transfers. Furthermore, even if you have made some late payments, thus causing your rates to rise, the odds are your credit rating hasn’t been affected. Banks usually alert credit bureaus when payments are significantly late (by like 30-60 days). If your credit rating remains unscathed, there should be nothing stopping you from finding a card with a lower rate and saving lots of money in the process.

If you utilize one or all of these methods, make sure you use any money you save to pay down the balance on your cards. Pay off as much of your balance as you can, and in no time, you will be free from the burden of credit card debt.

FHA foreclosures have been steadily rising in the last three years and the number of new homes getting on the selling block keeps coming by the day. A dominant market is taking a new form today and that is FHA foreclosures.

Real estate market forces have pushed the price tags of homes down nationwide but the number of FHA foreclosures has continued a sustained increase in rate up to this point.  Market analysts are even predicting a new wave of foreclosures.  This time, it will hit the prime mortgage sector.

At face value, this means more homes priced cheaper will be available for potential homeowners as mortgage lenders are pressed to dispose of FHA foreclosures to ease their liquidity problems.  The prospects seem to be attractive for those with sufficient equity.

Words of Caution on FHA Foreclosures

Buyers of FHA foreclosures should be wary with their buying of homes from the FHA foreclosure listing.  As would be expected, most of the foreclosure homes for sale are results of default of sub-prime mortgage loans.  In this case, a lot of these real estate properties have not sufficiently built on its equity from payment of mortgage from the original homeowners.  You might end up with a home with a price tag that is almost equal to its actual value or at best with only 10% off from the original cost.

Buyers of FHA foreclosures are forewarned of these types of foreclosure homes for sale which investment experts term as “land mines.”

Buyers of FHA foreclosures are strongly advised to do a thorough title search.  Study the structure of mortgage on the foreclosure homes for sale.  In some instances, there might be a second mortgage on top of the principal mortgage.

These types of FHA foreclosures are not the “best buys” we are looking for.

Another aspect to consider when buying foreclosure homes for sale is that the real estate properties are being sold “as is.” It is then imperative on your part to factor in at least an additional 25% on the price tag of the property you are buying.  This amount should cover all the unforeseen costs involving repairs and defects on the home which may not be apparent on initial inspection.  You don’t want to end up spending the 30% savings you thought you got from buying FHA foreclosures for repairs and defects you only discover after you move in to your new home.

Another practical tip for would-be buyers is to avoid foreclosure homes for sale that were already on the listing for quite a while already.  On inspection you would most likely find out that these homes have significantly deteriorated as most mortgage lenders are hard pressed to maintain an even increasing number of foreclosed properties.

A final reminder to buyers of foreclosed homes; most of the FHA foreclosures were originally owned by people who would have surely gone into serious financial troubles.  With this situation in mind, expect these former owners of not being able to have done some decent maintenance and care of the now foreclosed property.

Expect to face some serious house repair of practically all aspects of the entire property.  Don’t be surprised to find some punched holes in doors and wall panels courtesy of the former owners of the home.

Once these are sufficiently covered by the would-be buyer, then it is safe to move on to the next phase, and that is to commence the buying of FHA foreclosures.



Buying foreclosure homes for sale is an uncharted territory for most of us.  We need to have a comprehensive understanding of foreclosure homes for sale as these are now regular occurrences during these times of crisis.

If we properly learn how to find the best buys in foreclosure homes for sale, this can be one of the best investment options for us in the uncertainty of the times.

Foreclosure homes offer great opportunities to potential buyers by opening up choice selections of prime properties at amazingly low rates.

What are Foreclosure Homes for Sale

Foreclosure homes for sale are unique types of real estate properties that are not sold through agents or brokers.  These are properties offered directly by the mortgage lenders with the intention of selling these foreclosure homes to other potential buyers and investors in order to raise money to prop up their liquidity.

Foreclosure homes are the real estate properties that a mortgage lender has taken over from their original homeowners who failed to make regular payments on a mortgage loan for an extended period of time.

These foreclosure homes are offered for sale through a public auction to interested homeowners and investors.

Who are Qualified to Buy Foreclosure Homes

Foreclosure homes for sale can be bought by any interested buyer or investor.  The potential buyer won’t need the services of a broker or an agent in order to participate in an auction of foreclosure homes.

What is great about these foreclosure homes for sale is that the price tag is much lower than in the open real estate market.  It is normal for you to find some foreclosure homes for sale being offered from 10% to 50% lower than it would normally fetch when sold in the open market or through an agent.

This very liberal feature in auctions for foreclosure homes for sale is predicated by the pressure on the mortgage lender to improve on their liquidity through successful auction of these real estate properties.

Many of these foreclosure homes are found in good locations, with practically no structural damages or defects.  It is really a wonder why it stays in the hands of the mortgage lender over long periods with no apparent takers.  The obvious reason for this is that the mortgage lenders are hesitant to invest more on these foreclosure homes for sale in the form of advertisements.

This is also the reason why foreclosure homes are not very popular among regular home buyers.  Most of us don’t know where to look for them. Therefore, it is essential for wise buyers and investors to do their own research to find these prime foreclosure homes for sale.

The high incidence of foreclosures that has been plaguing the real estate industry for a couple of years now has put to our consciousness the importance of foreclosure homes for sale.  These prime properties are getting their fair share of attention from potential buyers and investors.

The rewards to your effort can be enormous as you can find prime foreclosure homes for sale at really bargain prices, as most mortgage lenders are pressured to dispose of these assets to avoid additional expenses on maintenance and upkeep of these properties that are still in their possession.