credit report - Annual Percentage Rate (APR) Made Easy

To fully understand and grasp Annual Percentage Rate (APR), there are terms to keep in mind. When you finally understand each mortgage term and definition, you can understand the basic concepts of APR. APR is short for Annual Percentage Rate which means true cost of borrowing. The fees below may be included in APR. Points Mortgage Lenders levied this charge at closing. A point represents one percent of face value of mortgage loan. Pre-paid interest It is the interest charged to borrowers at loan closing to pay for the cost of borrowing for a partial month. For example, if a loan closes on the first of the month and the first payment is due 10 days later, the lender will charge 10 days of prepaid interest. Mortgage Insurance The borrowers are usually required to pay when loan to value ratio exceeds 80%. This insurance protects the mortgage lender from default of mortgage payments. Title or abstract, Escrow, Attorney, Closing, and Notary fee The agent charges for their services. Recording fee The cost obtained in writing or entering an instrument in a book or public record Appraisal and Credit report fee Mortgage Lenders collect to pay the appraisal and credit-report Company. Processing, Underwriting and Document Fees Charges for the lender's services associated with making the loan. Dennis Estrada is a webmaster of mortgage calculators website which calculate the monthly payment, bi-weekly payment, affordability, refinance, annual percentage rate, discount points, and more. Article Source:http://EzineArticles.com/?expert=Dennis_Estrada credit report - 8 Ways To Fix Your Bad Credit You have made mistakes in the past and now you are paying the price. Your bad credit is costing you more than you ever dreamed and you know you must fix it as soon as you can, but how? Here are eight things to repair the damage and put you on the right road. Get a free copy of your credit report from all three of the major credit bureaus. Investigate any entry that seems to be in error and write to the bureau, asking it to fix the mistake. Once the error is corrected have the credit reporting agency contact all those who have lulled a report on you since the error was published, correcting the mistake. If the bad marks on your credit report result from late and missed payments, repay these debts as fast as you can. Work on paying off all debts with the highest interest rates first your first choice.As you pay a debt off, work your way down the list. If you are overwhelmed and can't figure what to do contact a non profit credit-counseling organization and ask for help. Avoid the counseling outfits that work for profit. You don't need their fee structure. Your non-profit debt counselor may well suggest a debt consolidation plan which will consolidate your debts and arrange one debt with one payment in lieu of the several you have had previously.Your counselor will contact your debtors on your behalf to reduce or eliminate finance charges. You may be able to reduce your monthly carrying cost substantially. Filing for bankruptcy maybe an option in the most severe cases, Just remember that this step will show up in your credit history will reflect it for 7 years. Your qualified counselor will know if it's advisable for you. The most important step of all is to close your credit card accounts and cut them up. You may also want to consider the disposition of any assets that you can do without.From now on buy only the bare essentials and use the rest of your earnings to pay off your consolidated debts. Avoid services that offer credit-repair. Most of the advertising for these companies are at best, misleading. Every application you make for a credit card shows up on your credit report, and a lot of applications will affect your credit rating. From now on, do not open credit cards and take on more debt to try to overcome current debt problems. When all your debts are paid down and the cards cut up, apply for a new credit card and build a new unblemished credit history.