Category Archives: Credit Cards

Short sale and tax consequences

May 10, 2012   admin   No comments

Q: Do I have to pay tax after a short sale? I am selling my house short and the neighbor told me that the IRS requires lenders issue form 1099C for all debt that was forgiven. In my case, it is almost $70,000 and paying taxes on that much will be impossible.

A: Is this short sale on your primary residence? If yes, you should be fine, because The Mortgage Debt Relief Act of 2007 does not consider forgiven debt on your principal residence as a taxable income for either short sale or foreclosure. It also applies for debt reduced through mortgage restructuring. This provision is valid for up to $2 million in debt for a married couple, forgiven from 2007 through 2012.

Read the full post

  Tags: Short Sale, Tax

Can I settle with credit card company with no late payments?

May 05, 2012   admin   No comments

Q: Pulled credit scores through myFICO, and I have 752 and 779. I have 5 relatively small credit card balances, all under $1,000, and one large one for $17,800. I want to settle with credit card company for around $3,000. If they accept this offer, I would be able to quickly pay off the remaining credit cards. Will a credit card company settle if I have never been late with payments? I do not want to stop paying to preserve my scores. Right now, I am only able to pay the minimum monthly payments, and at this rate it will take forever. At the start of 2010, my salary dropped by $16,000 and I have lived from paycheck to paycheck. And things can get even tougher for me.

Read the full post

  Tags: Card, Credit Card

Choosing the best credit card

February 18, 2012   admin   No comments

A lot of companies, for example Visa and Citibank, propose reward credit cards. All cards have their own advantages and the customer must verify the characteristics of each card before selecting the best rewards credit card. You can view the proposals submitted by the various credit cards, compare costs and features of each card and then may apply by completing the online chase credit card application or contact the company representative.

Let us examine further the features of credit cards from different companies.

Citibank reward credit card – the reward credit cards proposed by Citibank. This a well-known product – the Citi Diamond. T Read the full post

  Tags: best credit card

Credit cards provide you the convenience and quickness of shopping

January 09, 2012   admin   No comments

A credit card is a practical resource and an excellent substitute for paper money. Instead of carrying large bundles of cash, a credit card proposal is a much better every day when you are out to make major purchases. We got so much today in our daily business and financial transactions, that life would never be the same, easy to read without them. ‘Plastic’ is the place which contains everything: a single piece instead of multiple layers of thin cash bundles. And the process is entirely digital and recorded. So now, while you’re at the supermarket, mall, or fuel pump, there are better ways to shop.

On the Internet, you can look for various types of credit card offers. Read the full post

  Tags: Credit card shopping

Spouse average FICO credit score is higher?

September 20, 2011   admin   No comments

Having drastically higher average credit score than that of your spouse sometimes presents a problem. Especially if your incomes are quite different, and you and the spouse are applying for a mortgage together to use both incomes in order to qualify. Both will be on the mortgage application. Normally, the spouse with the higher income is a primary borrower, whereas the spouse with the lower income is a co-borrower.

In ideal scenario, primary borrower has higher income and higher or close to that of the co-borrower average FICO credit score. But that is not often the case, so what happens when the co-borrower spouse has higher credit score?

If the average FICO score of the higher earner is only lower by 20 to 25 points than that of the spouse, he or she can remain primary.

Read the full post

  Tags: Credit Score, Higher

Short sale and tax consequences

August 27, 2011   admin   No comments

Q: Do I have to pay tax after a short sale? I am selling my house short and the neighbor told me that the IRS requires lenders issue form 1099C for all debt that was forgiven. In my case, it is almost $70,000 and paying taxes on that much will be impossible.

A: Is this short sale on your primary residence? If yes, you should be fine, because The Mortgage Debt Relief Act of 2007 does not consider forgiven debt on your principal residence as a taxable income for either short sale or foreclosure. It also applies for debt reduced through mortgage restructuring. This provision is valid for up to $2 million in debt for a married couple, forgiven from 2007 through 2012.

Read the full post

  Tags: Short Sale, Tax
Page 1 of 1812345...10...Last »