Imperfect Credit

<body topmargin=0 leftmargin=0 marginheight=0 marginwidth=0> <table cellpadding=0 cellspacing=0 border=0 height="100%"><tr> <td valign="top" colspan=2 height=165 BGCOLOR="#99CC66" TEXT="#080000"> <div> <I><B><IMG SRC="109dc5b0.png" border=0 width="220" height="91" ALIGN="BOTTOM" HSPACE="0" VSPACE="0"></B></I><I><B>Mortgage Finance and Home Loans</B></I><FONT SIZE="1" COLOR="#009900" FACE="Times New Roman" ><I><B>     |     </B></I><A HREF="index.htm" TARGET="_top" TITLE="Mortgage Finance and Home Loans"><I><B>home</B></I></A></FONT></div> <div> <A HREF="id24.htm" TARGET="_top" TITLE="Fixed Interest Loans"><I><B>Fixed Interest Loans</B></I></A><I><B>   |   </B></I><A HREF="id25.htm" TARGET="_top" TITLE="Adjustable Rate Mortgages"><I><B>Adjustable Rate Mortgages</B></I></A><I><B>   |   </B></I><A HREF="id26.htm" TARGET="_top" TITLE="No Money Down Loans"><I><B>No Money Down Loans</B></I></A><I><B>   |   </B></I><A HREF="id27.htm" TARGET="_top" TITLE="Interest Only Loans"><I><B>Interest Only Loans</B></I></A><I><B>   |   </B></I><A HREF="id30.htm" TARGET="_top" TITLE="Line of Credit"><I><B>Line of Credit</B></I></A><I><B>   |   </B></I><A HREF="id32.htm" TARGET="_top" TITLE="Home Construction"><I><B>Home Construction</B></I></A><I><B>   |   </B></I><A HREF="id34.htm" TARGET="_top" TITLE="First Time Buyer"><I><B>First Time Buyer</B></I></A><I><B>   |   </B></I><A HREF="id35.htm" TARGET="_top" TITLE="Second Mortgage"><I><B>Second Mortgage</B></I></A><I><B>   |   </B></I><A HREF="id37.htm" TARGET="_top" TITLE="Stated Income"><I><B>Stated Income</B></I></A><I><B>   |   </B></I><A HREF="id48.htm" TARGET="_top" TITLE="Find a REALTOR®"><I><B>Find a REALTOR®</B></I></A><I><B>   |   </B></I><A HREF="id49.htm" TARGET="_top" TITLE="Foreclosure"><I><B>Foreclosure</B></I></A><I><B>   |   </B></I><A HREF="id55.htm" TARGET="_top" TITLE="VA"><I><B>VA</B></I></A><I><B>   |   </B></I><I><B>Imperfect Credit</B></I></div> <bR> <div> </div> </td> </tr><tr> <td valign="top" width=165 BGCOLOR="#FFFFCC" TEXT="#080000"> <div> <I><B><IMG SRC="0ec925f0.jpg" border=0 width="146" height="95" ALIGN="BOTTOM" HSPACE="0" VSPACE="0"></B></I></div> <div> <A HREF="id60.htm" TARGET="_top" TITLE="Purchase"><I><B><IMG SRC="0cf92290.jpg" border=0 width="146" height="41" ALIGN="BOTTOM" HSPACE="0" VSPACE="3"></B></I></A><A HREF="id35.htm" TARGET="_top" TITLE="Second Mortgage"><I><B><IMG SRC="0d492290.jpg" border=0 width="146" height="41" ALIGN="BOTTOM" HSPACE="0" VSPACE="2"></B></I></A></div> <div> <A HREF="id30.htm" TARGET="_top" TITLE="Line of Credit"><I><B><IMG SRC="0d992290.jpg" border=0 width="146" height="41" ALIGN="BOTTOM" HSPACE="0" VSPACE="2"></B></I></A></div> <div> <A HREF="id16.htm" TARGET="_top" TITLE="Refinance"><I><B><IMG SRC="0d792290.jpg" border=0 width="146" height="41" ALIGN="BOTTOM" HSPACE="0" VSPACE="0"></B></I></A></div> <div> <I><B><IMG SRC="0dd92290.jpg" border=0 width="146" height="41" ALIGN="BOTTOM" HSPACE="0" VSPACE="0"></B></I></div> <div> <I><B><IMG SRC="0e092290.jpg" border=0 width="146" height="41" ALIGN="BOTTOM" HSPACE="0" VSPACE="0"></B></I></div> <div> <A HREF="id17.htm" TARGET="_top" TITLE="Commercial Loans"><I><B><IMG SRC="0db92280.jpg" border=0 width="146" height="40" ALIGN="BOTTOM" HSPACE="0" VSPACE="0"></B></I></A></div> <div> <A HREF="id55.htm" TARGET="_top" TITLE="VA"><I><B><IMG SRC="0e292290.jpg" border=0 width="146" height="41" ALIGN="BOTTOM" HSPACE="0" VSPACE="0"></B></I></A></div> <bR> </td> <td valign="top" height=315 width="100%" BGCOLOR="#FFFFFF" TEXT="#080000"> <div> <I><B>Imperfect Credit</B></I></div> <div> <IMG SRC="18389b50.jpg" border=0 width="137" height="181" ALIGN="BOTTOM" HSPACE="0" VSPACE="0"></div> <div>      <FONT SIZE="3" COLOR="#003300" FACE="Times New Roman" ><I><B>From time to time bad things happen to good people. You're not alone, many home owners today have been exactly in the same position. At Pacific Crest Home Loans we understand this. We believe everyone should have the opportunity to own their own home. The staff in our sub-prime department works with people who have challenged credit daily. We are experts at finding the best loans available to help get you into your own home. Some programs even offer little or no money down! We can also help you to clean up your credit so you can get better rates. Even if you've been turned down before, ask us how we can help. As a premier broker, we may have programs others don't. Make your dreams a reality, Call us today! </B></I></FONT></div> <bR> <div> <I><B>Learn more about sub-prime loans as well as how to improve your credit:</B></I></div> <bR> <div> <I><B> <A NAME="sub_prime_loans"><IMG BORDER="0" SRC="1x1.gif" HEIGHT="1" ALIGN="bottom" WIDTH="1" HSPACE="0" VSPACE="0" ></A></B></I><I><B>Sub-Prime Loans</B></I></div> <bR> <div> <I><B>Sub prime loans are one way for you to get into the home you want at today's price. If you already own a home, a sub prime loan can give you an opportunity to clean up your credit and ultimately refinance into a lower rate at a later time. If you have a mortgage, you can look at refinancing more than what you currently owe on the house and get cash back for the equity you already have in the home. This cash out could be used to pay off higher rate credit cards, bankruptcy, foreclosure or collections and liens. It could be a good way to clean up a troubled credit history, save money each month and start rebuilding your credit worthiness. </B></I></div> <bR> <div> <I><B>Whether for a purchase or refinance, sub prime loans should typically be used as a short term solution, approximately 2-4 years. During that time, you can work to clean up your credit and qualify or a refinance into a lower risk, lower rate loan. Sub prime loans were developed to help higher risk borrowers obtain a mortgage. Many borrowers with bad credit are good people who honestly intended to pay their bills on time. Catastrophic events such as the loss of a job or a family illness can lead to missed or late payments or even foreclosure and bankruptcy. Now there are mortgage companies that take into consideration events outside the borrower's control, but not without a price. </B></I></div> <bR> <div> <I><B>Lenders are compensated for risk in the form of interest rates. The higher the lender perceived its risk to be, the higher the rate they will charge for the privilege of borrowing their money. The lower the risk, the lower the rate. Several risk factors are taken into consideration when evaluating a borrower for a sub prime mortgage, the most important being your payment and credit history. </B></I></div> <bR> <div> <I><B>Your debt to income level, employment history, type of property and assets are other factors that are taken into consideration when determining if you qualify for a conventional, government or sub prime loan.</B></I></div> <bR> <bR> <div> <I><B> <A NAME="how_to_improve_your_credit"><IMG BORDER="0" SRC="1x1.gif" HEIGHT="1" ALIGN="bottom" WIDTH="1" HSPACE="0" VSPACE="0" ></A></B></I><I><B>How to Improve Your Credit</B></I></div> <bR> <bR> <div> <I><B>If you have had credit problems, be prepared to discuss them honestly with a mortgage professional. Responsible mortgage professionals know there can be legitimate reasons for credit problems, such as unemployment, illness or other financial difficulties. If you had a problem that's been corrected and your payments have been on time for a year or more, your credit may be considered satisfactory. </B></I></div> <bR> <div> <I><B>If you are currently in excess debt, there are four ways to control it: </B></I></div> <bR> <div> <I><B>1. If your credit is not in terrible shape, you can reduce your other expenses, even if it means making hard choices or changing your lifestyle to fit your income. Consider selling a second car, taking equity out of your home, applying for a non secured signature loan, obtaining a loan from a relative, selling your home and paying off your debts with the proceeds and then renting, cashing out your 401K/retirement benefits or selling family heirlooms, jewelry, etc. </B></I></div> <bR> <div> <I><B>2. If your credit is already damaged or one of the above isn't an option, go through Consumer Credit Counseling Services (CCCS). Check your yellow pages for the local number. CCCS may be able to help you pay off your debts as if you were in a Chapter 13 bankruptcy, but you don't actually file for bankruptcy. </B></I></div> <bR> <div> <I><B>3. If CCCS won't take you, you may want to consider bankruptcy. Claiming Chapter 13 bankruptcy takes longer than a Chapter 7, but your credit will end up in a little better standing. Chapter 13 bankruptcy gives you up to 5 years to pay off your debts. The disadvantage is that you're in bankruptcy for up to 5 years plus your credit report shows your bankruptcy for 7 more years after you have finished paying off your debts. </B></I></div> <bR> <div> <I><B>4. If you are so far in debt that you can never repay it, then the best solution may be a Chapter 7 bankruptcy. A Chapter 7 bankruptcy is the least desirable from a credit standpoint, but you are typically out of bankruptcy in 6 months and you don't have to repay any debt. The disadvantage is that this shows on your credit report for 10 years from the date of filing your bankruptcy. Creditors are starting to tighten their credit requirements, and you may have a tough time getting future financing. </B></I></div> <bR> <div> <I><B>If your debts are under control now, but want to improve your bad credit history, the most important factor is to make your monthly payments on time. Use pre-addressed envelopes enclosed with your statements to mail your payments and call the company if you don't receive your usual statement. Also send your payment as early as possible if you carry a balance. Most companies calculate interest on a daily basis, so the sooner they receive your payment, the less interest you'll pay. </B></I></div> <bR> <div> <I><B>Don't procrastinate. It's the day your payment is received that counts, not the postmark date. Give the post office sufficient time (five business days is a good guideline) to deliver your mail. Late payments may mean late fees, higher interest, and/or a negative mark on your credit report. </B></I></div> <bR> <div> <I><B>Never send cash. Open a checking account if you don't have one, or spring for a money order and keep your receipt. Finally do not forget to tell your creditors your new address when you move. </B></I></div> <bR> <div> <I><B>If you are worried about making payments, make a list of your debts and when the payments are due. Contact your lenders immediately if you think you will have trouble meeting the monthly payments to arrange a payment schedule. </B></I></div> <bR> <div> <I><B>Taking money from your retirement account or tapping the cash value of your life insurance policy to pay bills or living expenses may have serious implications you haven't considered, so try to get advice from an expert before you take any major financial actions. </B></I></div> <bR> <div> <I><B>Credit cards can be invaluable in a crisis, since they allow you to charge items and pay them off over time. But they can also be dangerous if you aren't careful and charge more than you can afford. If you do use credit cards, choose those with the lowest interest rates and pay them back as soon as you can to cut your costs.</B></I><FONT SIZE="3" COLOR="#000000" FACE="Arial" > </FONT></div> </td> </tr></table></body>