Personal Loans - Bylas,AZ

Okay, so here's the deal. I am not a certified expert, BUT I do know quite a bit about this stuff. ;)

What you are talking about is NOT a personal loan. It sounds like you will probably not be able to get a personal loan due to your low credit score. SO, you're going to have to do your best to figure out how to get the money you need now for whatever it is you need that money for (sorry, I know that is not helpful).

What this company is talking about is a SECURED line of credit. Let me explain how this works. Typically, if you get a credit card, that would be an UNsecured line of credit. They will give you a limit and they *trust* that you will pay them back. They base your limit off of your credit score.

When your credit is bad and you are trying to better your credit score, most personal finance experts will suggest that you apply for a credit card with a SECURED line of credit. This means that YOU put money on that card and then that is all you have to spend.....So YOU put $500 on the card (for example), then you spend your $500. Then YOU put more money on that card and you spend that money. Now, you're probably thinking, "what's the point of that?" The point is that by doing this with a SECURED credit card, you are starting to build a positive credit history. Since it is a SECURED credit card (even though it's your money), this gets reported to your credit report each month that you are in good standing with this account. Usually, after a period of time where you have proven to this bank that you are able to spend wisely (and stay, obviously, within your amount that you have on your card), then they will start to grant you UNsecured credit (like a regular credit card). The point is that you are building good credit so that you can eventually get the loans that you need.

You can get secured credit cards from a lot of different places. I would start with your bank first to see if this is something that they offer. Many banks do offer this. I do not know if Fair Harbour Financial is legitimate or not....they very well may be. For me I would probably prefer to keep it a little closer to home so that you have someone to talk to in person as you are starting to rebuild your credit.

Hope this helps!

3 moms found this helpful

What is the company? A lot of these places are massive scams. There are scams that have been around for decades, so 10 years doesn't mean anything. What is the interest like? What are the rules of the loan. If you don't make a payment what happens? Many places, if you miss a payment you gain interest...BIG interest. It's like that payday loans. When you can't pay it back, you end up having to pay the huge interest...which means you're stuck in a cycle of paying and paying...and you never make it ahead. To be quite honest, most legit places won't give a loan to bad credit now. Google the name of the company with "scam" behind it. (ex. Loans are us scam) You can do that with anything, so you have to be careful to read legit reviews. If a lot comes up, and there is nothing positive said...move on.

2 moms found this helpful

I would be very cautious. Depending on the reputation of the company, the interest rate and the repayment terms, it could be a good thing to build credit, or it could screw you over. If you do it, remember that in November you'll have to start paying it back...will you be able to make the payments and still live comfortably? Many times, if you miss one or are late on a payment, the interest rates skyrocket. Only you know the details...just make sure you read all the fine print and don't sign anything until you do.

1 mom found this helpful

When I googled Fair Harbour Financial, I found Internet addresses but wasn't allowed access. I'd be very wary of a business that one cannot get information on from the Internet.

Company name is on Internet. Harbour has to be spelled the British way. Their is no information attached to the name.

1 mom found this helpful

Well they are damn near impossible to google so I would imagine they shouldn't be trusted.

Sounds like the money must be in one of their checking accounts? As others have mentioned the amount will need to be the amount of the loan so if you need the money it will be a wash anyway.

I would say run!

1 mom found this helpful

Hi C.,

This doesn't sound on the up and up.

Collateral is something that is EQUAL to the amount of the loan. That is what secures the loan in case you default. If you are wanting a loan for, say, $10,000 a 'secured' loan would need something that is valued at $10,000 - like your car or your house or something. Then, if you don't pay the bank gets the car or the put a lein on your home or whatever.

An unsecured loan would not need collateral... because it's unsecured.

Cash is not collateral. if you have cash in the amount of the loan, you don't need the loan.

I'm not sure how much of a loan you are talking about and I'm not sure how much cash they want as collateral, but it sounds like you are going to put money in your checking account, give them the account #s and they are going to withdraw the money and you will never see a dime of your "loan".

This sound super risky. But - I'm pretty cynical.

As everyone else said - find out what interest rate, fees, late fees etc they are charging you - I would bet there are a TON of stuff that a regular bank wouldn't charge. Then decide if it's worth it. That way at least you aren't surprised when you start racking up $20 each month in fees you didn't know about.

Also - check them out with the better business bureau and the state's attorney for your state. That will tell you if they have actually been in business as long as they say they have and also if anyone else has filed a lawsuit against the company.

Good Luck.

1 mom found this helpful

No no, this sounds fishy and if it is not, you will be ripped off.

I am super cynical of things like this.

Do what you can to find another way. I don't know anything about Dave Ramsey but a lot of moms swear by him on here.

All I know is live debt free... I reasize it might take you a while to get there but do not use credit cards and fly by night businesses that charge you the unimaginable interest rates.

1 mom found this helpful

No, I would not do this. Go to the library and check out this book: The Total Money Makeover by Dave Ramsey. It will help you start dealing with your finances and take control of them. It changed my life.

Good luck.

1 mom found this helpful

I would do some research on them - find out how long they have been in business. Try to find some reviews on them. There are a lot of bad loan officers out there!

It sounds like you might be in a desperate situation but don't put yourself in a worse situation. There's several things that don't add up: 1) the company doesn't exist online, not even in the yellow pages, which is unheard of with a reputable company, 2) if you had money to put in the bank as collateral, you wouldn't be asking for a loan. Ask them to mail you detailed information. You might be better off borrowing from your 401k if you have one.