How can I Get A Loan??? (pay, rate, credit, increase)

[cuppy445]

I need a quick loan for at least $5,000. I am self employed but do not make much money at all I can only show 1 year continuous self employment income. Before that I was unemployed for a year and a half. I own a home with alot of equity but I have been turned down for a home equity loan because I do not make much and I have alot of credit card debt. I am working on increasing my self employment income by taking on more work with other companies but I am not there yet. I want to use my home as collateral but since I don't have the income they won't give me a loan. I also wonder if calling the credit card companies and saying I don't have the money this month is a good idea. Will they be willing to work with me? By doing so will they report it as late on to the credit bureaus? I do not want my credit rate to take a hit as I may have to move in the near future and it would be hard to get a new place with a lowered credit rating. Right now it is good - one report it was at 722.

Any advice out there?

[sean98125]

If you don't make much money and you're already deeply in credit card debt, why are you trying to borrow more money?

Get a second job. You can earn $5000 in a couple of months. Stop borrowing money and get out of the hole that you are in.

[cuppy445]

Well I would get a second job if they were hiring around here. Jobs here are very limited. Aso I don't have the experience most of the jobs require. Even the lowest paying jobs are hiring people with experience. I am trying to borrow more money in order just to tide me over. What I need to do is work at the job I do have experience in and for that I will have to do some traveling outside my area. If need be I will sell my home but right now it is not much of an option until I know where my job opportunity is.

[dmills]

Thanks for being transparent. I also question the widom of borrowing $5k to "tide you over" - which I'll take to mean living expenses. It appears that you would be just digging a bigger hole. Can we assume that that is how you got where you are now (i.e. the CC debt)? If you get this $5k, what is going to change 6 months from now? You'll just be deeper in debt, and still have no way of paying it back. Let me ask you a question. Would you loan yourself that kind of money?

It sounds like it is time for some drastic decisions in order to raise your iincome. It sounds like either your profession or your location are not suitable - possibly both. Just out of curiousity, how did you get so much equity in your house. Did you used to make more money?

Just as a side note, this should be a lesson for everyone who recommends putting all of your discretoinary money into your house, trying to pay it off. The OP has equity, but cannot get to it because he doesn't have the income to qualfy for it.

[NancyfromNC]

I have a good idea! I think everyone on this forum should donate $1 to poor cuppy445, bless his heart...

[dazzleman]

Originally Posted by dmills

Just as a side note, this should be a lesson for everyone who recommends putting all of your discretoinary money into your house, trying to pay it off. The OP has equity, but cannot get to it because he doesn't have the income to qualfy for it.

That means he can't afford the house he has.

[ambient]

Originally Posted by cuppy445

I need a quick loan for at least $5,000. I am self employed but do not make much money at all I can only show 1 year continuous self employment income. Before that I was unemployed for a year and a half. I own a home with alot of equity but I have been turned down for a home equity loan because I do not make much and I have alot of credit card debt. I am working on increasing my self employment income by taking on more work with other companies but I am not there yet. I want to use my home as collateral but since I don't have the income they won't give me a loan. I also wonder if calling the credit card companies and saying I don't have the money this month is a good idea. Will they be willing to work with me? By doing so will they report it as late on to the credit bureaus? I do not want my credit rate to take a hit as I may have to move in the near future and it would be hard to get a new place with a lowered credit rating. Right now it is good - one report it was at 722.

Any advice out there?

My advice to you ould be to wake up and smell the coffee.

We just had the greatest financial collapse since the Great Depression, and from the sound of your posts you are already financially overextended. You're talking about possibly missing payments on your existing credit card debt in the same breath that you're asking about your chances for a loan. You really think a bank is going to take a chance on you right now? Sorry, but you probably have a better chance of playing in the next World Series.

I don't know much about what credit card companies are willing to do for you, but if you miss your payments I would absolutely count on them reporting it and hitting your credit score. That's pretty much the most fundamental things that the credit score does; it monitors your timely payments of your financial obligations.

If you haven't already, my only advice would be to tighten your belt to the max, take on whatever additional job you can get - even if it is not optimal - and reduce your debt load asap. You really think that the answer to your low income/high debt situation is to load up on even more debt? Your track record suggests that your probability of being able to repay it later is not very good. Then you will have just dug yourself that much deeper into a hole and made the fallout that much worse. Do everything you legally can to reduce that debt load, not increase it. Good luck.

[marcusbrady]

In some situation people want to get some loans for buying a dream house and other different things but it is not easily process to somebody give loans so they want to have some assurance policies.