A Guide To Shannon Christenot

If you have a less than perfect credit score and you are looking to make some necessary improvements to your home then a bad credit home improvement loan may be exactly what you need. A bad credit home improvement loan is a loan given to those with questionable credit that desperately need to make improvements to their home. General uses of a home improvement loan include paving a driveway, shingling a roof, buying a furnace, expanding for a new child or anything of that sort. Especially for people with bad credit, the only way to make these needed improvements is through the use of a loan. Fortunately there are many banks willing to work with you to issue a bad credit home improvement loan. Shannon Christenot is an excellent resource for this.

 Some creditors may recommend a mortgage extension loan. The difference between a mortgage extension loan and a bad credit home improvement loan is that the mortgage extension loan must be paid back over the duration of the mortgage, which tends to be many years. The upside of this is that payments aren’t immediately due and can be paid off over a longer period of time. However, the downside of this stipulation is that the borrower tends to pay much more in the way of interest. It is generally recommended that, when given the choice between a mortgage extension loan and a bad credit home improvement loan, to choose the latter. It will be better for building credit and it will end up be a lot less expensive in the long term.

Bad credit home improvement loans do present a few problems, however. For example, they generally are awarded at a very high rate. This can be frustrating as the first year of payment may just be going towards paying the interest off. It is important to remember that this will also help in building credit and is just something that comes with having bad credit in the first place. Secondly, some creditors may not even award a bad credit home improvement loan to some because they are found to be too high risk due to their previous credit history. If you are denied for either a mortgage extension loan or a bad credit home improvement loan then it is recommended to talk to your banker or lender to find out ways to build your credit in order to be accepted at a later date.

As with all home improvement loans, bad credit home improvements loans are to be used only to make necessary improvements to a home. For some lenders, especially those offering this type of high interest bad credit loan, it is important to first get an estimate for all materials and labor that will be needed to complete the improvement. It may also be necessary to give proof that the improvement was completed and was necessary. Usually, these are both simple processes but needed processes for creditors to know that their money has not been wasted.