Saturday, September 29, 2012

Reinsuring the Risk - Medicaid Compliant Annuity or Promissory Note

Generally speaking, after the Deficit Reduction Act of 2005, if a community spouse uses a Medicaid Compliant Annuity, or promissory note, to eliminate the spend-down amount an institutionalized spouse is immediately eligible for Medicaid benefits. After the purchase, if the community spouse's income is less than his or her monthly maintenance needs allowance the shortfall would be shifted from his or her institutionalized spouse's income prior to determining the Medicaid co-pay. Thus, maximizing the term of the annuity to the full extent of the community spouse's Medicaid life expectancy results in an income planning opportunity. The only downside of a maximized stretch is that if the community spouse predeceases the term, leaving an opportunity for the state Medicaid agency to recover from the residual benefits.

For example, assume that Alice resides in the community, and her husband Roger is in a nursing home. The monthly private pay rate for Roger's care is ,500, while his monthly income is only ,500. With a Medicaid per diem rate of 0, Roger's facility receives approximately ,562 per month for a Medicaid resident.

With Alice being 77 years of age she knows that her Medicaid life expectancy is 11.26 years/135 months. If she eliminates their 6,000 spend-down amount by purchasing a Medicaid Compliant Annuity she would receive ,724 per month for 135 months. The total pay-out is 2,740. With Alice having a monthly maintenance needs allowance of ,841, and monthly income of ,224, Alice has a monthly income shortfall of 7. With that amount being shifted from Roger's monthly income, less his monthly personal needs allowance, his Medicaid co-pay is 8. For each month that Roger is on Medicaid benefits, his Medicaid claim amount increases by ,714. The ,714 consists of the Medicaid rate of ,562 being reduced by Roger's monthly co-pay of 8.

If Roger dies after receiving 38 months of Medicaid benefits the Medicaid claim amount is fixed at 1,132. If Alice dies 24 months later, 73 monthly payments still remain in the Medicaid Compliant Annuity - residual balance of 5,857.11.

To protect against such a result, at the commencement of the plan Alice could have purchased a term life insurance policy with a face value of 0,000. The policy would have had an annual cost of approximately ,034.60 - assuming a standard rating. With a preferred rating, the annual cost of the policy would have been much less. Nonetheless, without any question the policy would have reinsured against a risk of a Medicaid claim.

Thursday, September 20, 2012

Ways To Repair Credit After A Foreclosure

There are many reasons for people to have bad credit. A negative credit report could result from late payments, unpaid collection accounts such as utility and medical bills, tax liens and foreclosure. In this article, let us discuss how to repair your bad credit due to foreclosure. Foreclosure is a legal process by which an owner's right to a property is terminated, usually due to payments. It typically involves a forced sale of the property at a public auction, the proceeds of which will be applied to the mortgage debt.

For homeowners, foreclosure is a setback financially. However, it is not the end of the world or your credit. A foreclosure will remain on your credit report for seven years and is a bad credit' only for the initial few years. It is so because, as the foreclosure gets older, you add more positives to your credit report and thus your credit will improve.
The following are some of the alternatives that could be resorted to repair a bad credit after foreclosure:

Evaluate the cause of foreclosure
This is the first and foremost step to be adhered to repair a bad credit after a foreclosure. This includes proper understanding of the reasons that would have resulted led to defaulting payments and a study of the possibilities to prevent a foreclosure. Asking questions to yourself on what could have been done differently to correct defaulting payments, will help you to prevent it from happening again.

Spending habits
If you are a spendthrift, it high time to stop and start making plans about budgeting your income. Setting a budget will enable you in handling the financial responsibilities in a smarter way and will also help you to repair your bad credit post foreclosure

Continue paying your bills on time
Continuing to pay all your monthly bills on time will have a positive effect on your credit ratings. If practiced, a creditor who manually reviews your credit score will find that mortgage was the only item that had led to a decline in your credit scores and will consider passing your loan application. This is definitely an easy way to repair your bad credit post foreclosure.

Negotiate removal of negative items with your creditors
Though a foreclosure stays on your credit report for upto seven years, you can always negotiate with your creditors to remove other items by negotiating the payment terms. You can propose to offer a lump sum payoff in return, get the agreement done in writing (as the agency may not keep its promise) and thus remove all the negative information.

Review your credit report
Review your credit report frequently to ensure its accuracy. You can get a free credit report from Experian, Transunion and Equifax. It will help you to report the harmful errors, if any for a Fair Credit Reporting Act forces the bureaus to erase the errors if the creditor cannot confirm the information within thirty days.

Do not open new accounts
If you attempt to open a new account soon after your foreclosure, your application will be rejected and multiple inquiries will be made within a short period, which will ultimately harm all your credit repair efforts.

Keep yourself away from the financial distress, it will keep you less troubled and will help you repair your bad credit at the earliest.
Knowing time is your friend, as farther you move away from the financial distress, the less negative impact it has and you will soon repair your bad credit.

Saturday, September 15, 2012

Why Securing Mortgage Loans With Bad Credit Can Mean Lower Interest

It is an accepted fact that the credit score an applicant has has a direct influence on the rate of interest traditional lenders charge. But with online lending, where credit scores are simply not included in the equation, this fact does not necessarily apply. Securing mortgage loans with bad credit no longer guarantees a high interest rate, but can instead come at lower rates.

There are plausible reasons why a combination of bad credit and low interest rates are possible, not least the fact that, in recent years, many honest people have been caught out by the economic downturn. It may still be impossible to get guaranteed approval, but lenders are more willing to trust the applicants who have a reliable source of income over their credit scores.

And since online lenders tend to specialize on loan packages designed for people with low credit scores, even their mortgage loans can be considered affordable by almost everyone.

Online Mortgage Lenders

For online lenders, competing with the long-established traditional lending institutions is a major challenge. But by publicizing the fact that credit scores bear no influence over the approval process, they have become more attractive to consumers. And with the rate of interest also kept low, getting a mortgage loan with bad credit scores does not mean a lifetime struggle to pay them.

The fact is that even offering guaranteed approval is not always enough to win the day for banks. If an online lender can charge a rate just 0.5% below a normal bank, the savings over the lifetime of the mortgage could be huge. Savings of just 0 per month on a 30-year mortgage could mean the borrower pays ,000 less - a significant sum.

We know that mortgage loans are probably the biggest single type of personal debt that most people will ever take on. So, the attraction that savings, especially of such size, has to the consumer is not difficult to understand. Nor is the fact that online lenders are known to offer the best deals.

Markers Worth Considering

However, the generosity of online lenders is not endless. When seeking mortgage loans with bad credit, there are some conditions that need to be taken into account.

Often a down payment is necessary. While getting a guaranteed approval might seem like a gift from heaven, knowing what is a good deal rests on knowing how much the down payment should be. Knowing what a credit score is gives a very accurate indication.

For example, if an applicant has a score that is below 585, then a down payment of at least 10% the value of the property is expected. If it is between 585 and 599, then a down payment of around 5% is expected.

But, if the score is 600 or above, a mortgage loan worth 100% the property value could be secured, though this does depend on the lender.

What About Bankruptcy?

For some, applying for mortgage loans with bad credit scores, bankruptcy is the key concern. But even in this regard, many online lenders have an open mind with the period of time since the ruling their only consideration.

It is generally expected that after 2 years, someone who had been declared bankrupt will have improved their financial situation significantly. While guaranteed approval is out of the question, applicants are considered on their merits.

After 3 years, the chances of getting a mortgage loan is improved on again. However, it is advised not to seek any mortgage within a period of 2 years after a bankruptcy ruling.

Friday, September 14, 2012

Mobile Home Refinancing

Receiving a loan for mobile home refinancing means that you will be swapping out an existing mortgage in order to receive a new mortgage, most likely this new mortgage will have a better interest rate as well as better terms of repayment. Generally, an individual should apply for a loan intended for mobile home refinancing if their current interest rate has dipped by over two percent, than what already exists on the current mortgage.

The main purpose of the loan for mobile home refinancing is to receive a lower interest rate and save a substantial amount on the mortgage payments overall. However, there are several different things that have to be taken into consideration before you apply for mobile home refinancing. The very first question that you should ask is whether or not there is still going to be some savings after you have paid all of the charges for refinancing.

During the time that you are refinancing a loan, all of the charges that need to be paid are document preparation charges, appraisal charges, tax service charges, lender charges, and appraisal charges. Even though there are some points that may prove to be rather burdensome, because they may be one or two percent of the whole entire mortgage value One of the other points that you have to consider is whether or not there are any type of prepayment penalties on the mortgage that already exists.

There may also be some type of closing fees that may increase the actual cost of the loan, and the owner may be required to pay more than just the savings. It is very important that you understand that a loan for mobile home refinancing is a little different from the equity loans for mobile homes. Within a refinancing loan, the owner will exchange the initial mortgage with a new one, whereas within an equity loan, the owner is going to takes the new mortgage out on the equity that has built up over an extended period of time.

Basically, the refinancing loan is considered to be a new first mortgage, while the equity loan is known as a second mortgage. Each of the lenders must follow the exact same procedures in order to disburse a mobile home refinancing loan. The very first step would be to conduct a brand new appraisal on the property. The exact amount of the refinancing loan is going to be different than the amount of the original mortgage, because it is going to take the appreciation into consideration.

In the event that you are interested in learning more about the mobile home refinancing loan, there are several websites online that specialize in this particular area of expertise.

Tuesday, September 11, 2012

Same Day Payday Loans: Keep Your Life Rolling With Same Day Payday Loans

Sometimes, it may happen with you that urgently you find requirement of some money which you do not have at the same time. Problem becomes worst when you cannot wait till your next payday but you can keep your life rolling with Same Day Payday Loans. These loans provide you financial assistance but for a very short period of time means till your next payday. With Same Day Payday Loans you can get money on the same day and can do your work.

You can pay the money back on your next payday. These loans are secured by a post dated check. On your payday lender withdraws money from your account. These loans are available to everybody whether the borrower has good credit score or not. You can use this money for the needs of your day to day life like depositing electricity bill, paying rent of home, for medical bills, repairing of car or bike, to gift someone special, paying grocery bill, depositing tuition or college fees etc.
Do not be worry about application process for Same Day Payday Loans. It is completely hassle free neither you have to do a lot of paper work nor you have to fax any paper. Therefore, it takes very less time approve the loan application and it makes possible to provide these loans on the same day. These loans are lent for the duration of 2 to 4 weeks.

Borrowers can get the amount from 0 to 00 through Same Day Payday Loans. The amount of money which borrower gets also depends on the repayment capacity of the borrower. Online lenders transfer the amount into the account of the borrower on the other hand physical lenders give cash or check in hand. People who need small amount of money for short time can apply for Same Day Payday Loans.

Monday, September 10, 2012

Bank Owned/ Reo Properties - What's Taking So Long? Is My Contract Accepted?

This is the question that I hear more often than not as it relates to bank owned properties. I've personally had REO properties listed that have literally gotten 20+ offers submitted by perspective buyers. This article hopefully will explain the process of gettinng a bank owned property to the market, sold and closed.

Depending on the state you're living in the process will vary. Typically once the foreclosure process is officially started, It may take anywhere from 8 to 24 months for the bank to foreclose and take possession of the property.

At some point during the foreclosure process the bank will assign an asset management company to the property. The job of the asset management company is to basically take the property from the foreclosure process, to possession and ultimately to closing. How the asset management companies do this is actually very interesting. As a side bar, banks are NOT allowed to sell real estate. Not even there own. You read correctly. Even though the bank can legally foreclose on a home, it can't market the property itself.

Ok, I'm back. Now, instead of working with real estate brokers (directly) on the local level where the property is located, the bank contracts with asset management companies to get the property through the system and sold. The asset management companies then contracts with the local brokers to walk the property through the steps. Below are the steps. Again, some states may vary. But the over all process is still the same. Keep in mind these step have been drastically abbreviated. But you'll get the point.

1. The asset management company gets the property assignment from the bank and then assigns it to a local broker.

2. Typically when the broker gets the assignment their job is to determine the occupancy status of the property. ( is the owner or tenant in the property)

3. If the property is found to be vacant the broker reports the status of the property to the asset management company.

4. At this point the broker will attempt gain access to the property by having a locksmith change the locks on the doors. At this point the broker will generally take interior photos to document the condition of the property and complete a BPO (broker price opinion) this is basically a shorten version of an appraisal. The asset management company usually orders additional bpo's from other brokers to confirm your estimation of value.

5. Once the asset management company and the bank agree to a price the broker then completes the listing agreement with the asset management company and the property is put into the MLS (multiple listing service)

Ok, so now you have a brief idea of what goes on behind the scenes of that. Once the property is on the market other brokers and agents request to show the property to their clients. Generally if the property is priced correctly for the market and its condition, it will receive more than a few offers. So now to the question. What's taking so long? Is my contract accepted? Here are a few answers:

1. Many banks will not allow the asset management company to review or accept an offer on the property for the first 15 to 20 days that the property is listed. That's right. It's bank owned, they want to sell it as fast as possible, but they won't even entertain a offer for 15 to 20 days. Go figure! So guess what? The offers pile up during that period.

2. Now when the 15 to 20 days are up the asset manager will review the offers. At this point. More often than not. There is more than one offer on the same property. So now the asset managers call for what's known as highest and best. This means the listing broker has to call all the other agents and let them know that there are multiple offers on the property and that they need to inform their client to make their highest and best offer.

3. Once the highest and best offers are submitted to the asset manager. They will then pick the deal they feel is best for their client. This is of course is based on offering price. But just as important is the ability to close. This step can take anywhere from 1 to 30+ days depending on the bank and the actual asset manager.

The delay is usually because the offer has to go through the channels at the asset management company and then go through the channels at the bank. Then back to the bank and finally to the listing agent and then the selling agent and the buyer. I hope this sheds a little light on the process and what really goes on behind the curtain.

About the author: I'm a licensed real estate broker in the state of Illinois and have been in thre real estate business for 20 years. for more information on real estate and bank owned properties visit the listed site.

Saturday, September 8, 2012

Cash loans: Speedy cash aid for those who need funds urgently

Do you want to access quick funds to meet unexpected cash desires? Have several urgent bills to pay off? Struggling with financial instability in the middle of the month? Don't panic! In such a case, you can consider the smart and reliable financial solution of cash loans. These loans are easy to apply and gets quickly approved without taking too much of your time as they are free from any complicated formalities. Through these loans you can fetch instant cash help that allows you to satisfy your urgent cash demands within due time without facing any trouble.

These loans come under short term loans category, which is helpful for those people who need cash on a very short notice. To get approved for No Credit Check Payday Loans you need to be at least 18 years old, you need to have regular income flow along with that you must have an active valid bank account.

The smart and short term aid of cash loans extends you a small cash help in the range of 100-1500, for a short period of 2 to 4 weeks. The loan amount will be approved to you depending upon your income, needs and ability to repay. These loans carry a bit higher rate of interest, due to the short term nature of finances of the loan. Relax! It can be easily negotiated by doing a careful research of the competitive online loan market.

Online applying is easy, fast, effortless and convenient. The fierce competition between several reputed online lenders varies interest rate. A through research would avail you a lower interest deal with flexible terms and conditions.

The amount accessed through cash loans can be utilized to pay out many urgent small bills like medical bill, car repair bill, grocery bill, shopping bill and other utility bills.

The No Credit Check Payday Loans are free from time consuming formalities which make these loans instant in nature. No documentation, no faxing, no credit checking and no paperwork make the process quick and convenient. This means lenders consume very less time in approving your loan and thus the required money would be directly supplied in your account in a less time.

Tuesday, September 4, 2012

Benefits Of Hiring A Real Estate Agent As You Check Frisco Homes For Sale

There is a lot of work involved if you want to hire a good real estate agent. Someone that will listen to what you need and would know your limits as well as important considerations. No one wants a real estate agent that is only concerned about his or her comission. However, not everyone works very hard in order to know how to spot an unscrupulous real estate agent from a good real estate agent.

You have worked hard for many years in order to have the money and the necessary credit records that you need for you to buy a house. After checking various locations, you know that Frisco real estate is the best place for you. However without the help of a good real estate agent, you may find yourself overwhelmed on how to check and which house to buy as you browse through Frisco homes for sale. A good, honest and a real estate agent that has strong work ethics is what you need to give you speed on your house search and for you to get the house that you really need and want.

As you go over Frisco real estate, you will be re-affirmed that you have made the right choice to buy a house here. Frisco Texas, is one of the best places to raise a family, build careers, and have peace and quiet. However, in order to have all of those things you need to make good choices as you search for the house that you will buy. You need to understand and realize that even good locations such as Frisco Texas; things can still go wrong if you make bad decisions, starting from hiring a bad real estate agent.

If you want a house that has special conditions like, the number of bedrooms, or a big garage, or a house that is near an important establishments like a school or a hospital then having a good real estate agent can really help you with that. It can speed the search since Frisco Texas have five High Schools and thirty elementary schools. If you need a house that is near a shopping mall, a hospital, or a house that is close to the business district of Frisco then the best person that can help you and speed things up is a good real estate agent. Someone that is familiar with the place and ha various contacts in order for you to arrange a lot of things easily.

If you and your family enjoy water sports and are very much a tradition for you to spend weekends having fun in the water, then you will be glad to know that Frisco has Frisco Athletic Center. This Athletic center has 18,000 square feet for indoor water sports and almost 40,000 square feet for outdoor water sports. This Athletic center is also called Rec Center by Frisco home owners because of it's modern and upscale exercise equipments and facilities. You can enroll on exercise classes which can be very fun of staying fit. If you want a house that has the shortest and easiest route to the center then a real estate agent can really help you find that house for you, before someone actually beats you on buying that house.

If you follow a lot of different sports and is in the business of sports then Frisco Texas is also the place for you. Frisco Texas is a headquarters for different sports like hockey, soccer, baseball, basketball and NCAA. If you need a house that is near or like in the center of these different headquarters or have easy routes to these different headquarters, again a real estate agent is the best person to help you with that. You cannot afford to lose time and money finding the most suited house for you. Having a good real estate agent can help you move things faster and easier.

Saturday, September 1, 2012

Famous Subway Sandwiches

Subway franchising is really getting popular all over the world. Franchise for the subway is itself the sought after and applied for franchises in U.K. every person knows about subway. Because of its great popularity and excellent menu it has attracted many potential franchises across the globe. Nowadays everybody looks for subway franchise and wants to run it successfully. You will find finance packages offered in the market that allows you to establish in the tool, franchisee fee that goes in to the subway restaurant, the decoration, shop fitting, other elements which lets you to open the subway franchise gates cost effective.

Now if you planning for franchise for subway then you should also plan for its financing also. There are lot of people who really desire for franchise but do not have sufficient amount so as to finance the cost of franchise and the cost involved in the establishment of the restaurant.

The sandwiches available in subway have very low fat and calories. The fat and calories content are really very less. Subway India is also getting really popular and chain of subway restaurants has been opened in different locations of the country.

Subway is the world's largest submarine sandwich store. It has more than 30,000 shops spread over 85 countries. We have at least 40 years experience in serving great tasting subs. franchise for subway demands for simple operation and low investment. It is an international brand with excellent menu which is relatively almost the same all over the world. Subway restaurant takes pride in respecting and honoring the local tradition as well as food preferences. It has gained lot of popularity for presenting healthier alternative to traditional greasy and fatty food. Well subway India do not serve pork or beef products and have a variety of vegetarian choices. Popular sandwiches both international and local favorites include Paneer tikka, Roasted chick etc. subway also offers the best calories subway sandwich.

Subway the place to get healthier diet with the crispy and tasty and sandwich, this is one of the famous fast food chain that provides quality subway sandwich with high nutrition and less calories.