My credit lines have recently been discontinued by Amex and GE. That leaves me desperately searching for a loan to cover company and personal expenses until a business project pays off this summer. I have taken a number of loans to fund the project so credit usage is high right now. Also, income was very light during project phase so I have a high debt to income ratio for past 2 years. Any ideas what lenders would consider lending 15k or so with these handicaps? All other factors are fine: 700 FICO, no lates, liens, etc. Company in business over 20 years. Thanks!
The good thing is that your business has been around for over 20 years. Unfortunately, working with any of the "big" guys is going to be a long a painful process that will likely go nowhere these days. Where are you located? Is there a local credit union that may even know your business? With a solid business plan and a decent FICO score, you may have a chance working with a local lender that actually lends its own money. You may also look into some P2P lending sites like Prosper.com, which do a great deal of loans for small businesses.
Ok if you really need the money and you are sure you can pay it back you can go to a place like Household Finance, but ONLY if you KNOW you will be able to pay back as they play hard ball. Another way to go is to apply for some more credit cards and use the cash advances(how much do you now have out)?I would apply for several the same day and keep going until you get what you need. Now I will say it again, I understand that you do not have any money right now as your credit seized up, but ONLY use this new found credit money if you really know you can payit back and you are not going out on a limb, as that 15K is going to cost you another $1500 to $2500 probably before you pay it off this summer. Is it worth it??? Sometimes it is... Been there done that and for me it was the way to go. Good Luck! Woofer Update Just checked HFC and it seems they are not taking any more apps!! Interesting.. Woofer
I'm in So Cal. Thus far, the high debt to income ratio is a non starter everywhere I've checked. P2P lenders insist on 25%. Hate to, but may have to consider unsecured bad credit loan. Any suggestions?
Thanks, Woofer. Have about 120k in loans into project, some of that on low interest CCs. Will that prevent new credit cards from approving? Can you recommend an online lender that is reputable and might consider the DTI constraints?
Quick Loan Hate to tell you.... but Prosper.Com Froze their operation last year. I got a good Loan just under the final call. It was a good thing while it lasted.
I remember when Prosper started up.. Sad that it is done at least for now.. And to the poster, NO I cannot recommend any on line loan sites, but maybe you really should just start applying for some charge cards so you can access the credit line. You have not much to lose as right now your credit is OK and if you start being late you will definitely not be able to get any new approvals. Try Walmart Visa and or Sears MC and see if they approve you and look here for some others. Good luck and let us know what happens. Woofer
Prosper is up and running again. I'd recommend signing up with Alliant CU online. They will probably give you a 10K card. Avoid personal finance loans like the swine flu. They are a black hole. If you want to put some effort into it you can convert any credit card limits into cash without a fee by buying dollar coins from the US mint and then depositing them in your account. Free shipping and they are coded as a purchase not a cash advance.
Diabolical, NoGods. Have a few cards with good sized balances already. Think that's a problem for Alliant CU? Also, they have a membership box in their ap. Technically, I don't really meet their affiliation guidelines. Does it matter?
Everybody qualifies. Just check the PTA member box and join at your leisure. It can be a local or National PTA. They don't check membership but it can be had for as little as $5.00 so I would join if they offer you a card at application. It is one of the few CU's that will offer you a card at the time you apply for membership with the ability to accept or reject the offer. It is an EQ pull and they go solely by score so if you have a 680 or up you should be good to go.
Thanks again, NoGod. Did some forums research and there's mention of Alliant rejecting on the basis of credit utilization. As noted in the thread, mine is very high at the moment. All else meets their criteria. Will they approve regardless? (Incidentally, still chuckling over picture of dragging 10k in dollar coins into my BoA branch).
I believe the automated approvals are solely score based. High utilization would be a factor if your app is manually reviewed. If you apply online this shouldn't happen. Worse case scenario is you become a member of a good CU without getting the credit card. It will cost one EQ pull to find out. If you don't have any credit on your existing cards you don't have much choice. A loan likely wont happen with high utilization. Finance company secured loans are no better than payday loans.
If you need your money fast the us mint deal probably isn't the best approach. The shipments can be slow. Get the "Current Discover" card which is a prepaid card. You can fund it with a credit card and it is coded as a purchase. You can then ACH the money from the card to your bank account.
Is your project a contract? you should be able to get money for accounts receivables rather quickly for the contract. Check out Mazon. Mazon Associates, Inc.
NoGods - I have a dumb question. How do I ACH funds from Current Disc. card into chkg. account? Bank says they can't accept deposits from debit cards. Maybe this isn't a debit card? What procedure? Your recommendations have been excellent.
