Poor Credit

Written by Serena Berger
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Poor credit is a problem shared by millions of Americans. You can find yourself with a less-than-optimal credit history for a variety of reasons, and it can persist for quite a while, no matter what you try to do to take care of it. There are a couple of national companies that do nothing but compile data submitted by credit card companies, banks, lenders, and vendors who report on their financial dealings with you, and the companies can make that data available to anyone who is considering doing business with you.

Obviously, this becomes a problem particularly if you want to apply for a loan or get a credit card. The really sad thing is that you can have poor credit that keeps you from getting a loan or credit card even if you haven't specifically done anything wrong in the past. Sometimes no data can thwart you as much as bad data--that's why many people who have a savings account will take out a secured loan from a bank against their savings (at a lower interest rate than usual) to make a major purchase like a down payment on a car. Paying back the loan gradually will help build their credit history, and it's easier to get a secured loan than a high credit limit or unsecured loan if you have no credit history.

Dealing with Poor Credit

If you do have poor credit because of financial problems in the past, it can be frustrating to try to get a bank to take a chance on you or acknowledge that you've changed your ways. In the worst case scenario of declaring bankruptcy, you are likely to find it nearly impossible to get a credit card or a loan for up to ten years. So if you have a job and are rebuilding your life after declaring bankruptcy or being unable to pay bills in the past, you will have to consider some less common but quite useful financial options when you need money.

You can get short term loans based on your salary when you have a steady job. In fact, many short term loans that are no more than $1,000 are available without any credit check being performed at all. If you have any emergency expenses that are less than that, or if you just need or want some cash fast, you can apply online quickly and easily for a loan that will put the money in your account or in your pocket.

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