Monthly Archives: May 2014

Insurance Services in Illinois

Illinois is a right mix. Huge and sprawling metropolises give quickly away to small towns and farmland. The sate is mostly flatland, with the exception of the river valleys to the south. It even has its own set of Seven Wonders, one of which is a Baha’i House of Worship.  The people are a reasonably happy bunch and with the sort of insurance infrastructure they have, they should be.

The role of insurance in the state is important – the insurance industry is generally competitive with a high number of property insurers and a decent smattering of health and life insurers. According to a 2012 SNL Financial study, Illinois wrote $134.27 billion in premiums in 2012, making the sate the second largest in insurance in the country, with most of it coming from property-casualty premiums. The industry directly and indirectly provides jobs to over 325,000 people; with almost $300 billion in bond investments, the industry contributes substantially to infrastructure projects in the state; and there are about 175,000 licensed insurance providers in state, 75,000 of which are residential providers. conducted a survey on insurance customers nationwide, and asked them which were the most preferred insurance providers. Their results were compiled based on the claims processing customer service, value for price and financial strength of the companies involved.

Among the car insurance providers, USAA came out on top, closely followed by State Farm, Farmers and GEICO. The results were almost identical for home insurance, with Liberty Mutual displacing GEICO from the previous list. In life insurance the heavyweights were Jackson National, Prudential, New York Life and State Farm; in health, Kaiser Permanente, Humana BCBS(Florida) and UnitedHealthCare won out over the others (it should be noted that BCBS, Illinois came in 5th, so within Illinois its probably leading.)

Auto insurance is serious business in this state. If you’re driving in Illinois, then it’s mandatorythat you’re insured AND that you’re carrying your insurance card. That’s something you have to be careful about even driving someone else’s vehicle. You’ve got to have coverage for liability, body injury, property damage and uninsured motorist bodily injury coverage. The premium on the insurance is determined by your driving record, vehicle type, credit history and vehicle safety features. For quick quotes comparisons, check out Auto Insurance Centre and Nationwide.

The life and health insurance industries are relatively smaller, but still significant. Thanks to Obamacare, having health insurance is now mandatory in Illinois and not having is can incur penalties. The Illinois health insurance marketplace, also called the Illinois exchange offers, began offering its plans in Oct 2013 and subscribing to it may net tax credit subsidies; this option is not available to people who earn higher than $45,960. People with income lower than $15,856 can apply for Medicaid.

National results notwithstanding, within Illinois the leaders in life insurance are Primerica Life Insurance, State Farm, the Hartford and Mass Mutual. The most popular product seems to be term life insurance, followed by survivorship, universal and whole; Accuquote can help present the various quotes from these providers based on your personal needs. NetQuote can do the same for home insurance.

FHA Short Term Home Loans – Home Mortgage Solutions For First-time Buyers

FHA or Federal Housing Authority has started a mortgage scheme that makes it easy for first-time home buyers to finance their homes. This is a welcome addition to the existing home loan or mortgage schemes in the US. Moreover, this mortgage scheme from the FHA has fewer borrowing requirements which make it a popular choice among hundreds of home buyers. Some of its unique selling features such as low down payment (3.5%), flexible income and reasonable credit requirements. As compared to traditional loans, FHA home loans are more flexible as the providers of these loans look into a broader prospect rather than any single criterion.

FHA home loan background

It might sound easy that procuring FHA home loans are easy, but not all are eligible or even qualify for such loans. Borrowers find it difficult to understand the eligibility criteria that FHA home loan lenders look for. Moreover, this home loan is not provided by the FHA to the borrowers, but there are approved lenders who provide such loans. FHA only approves and guarantees the home loan. Therefore, you will find that all the FHA approved lenders offering the same housing mortgage throughout. These lenders operate under the regulation of FHA, so not matter which lender you choose for financing your home, the guidelines and the eligibility criteria remain the same.

Eligibility and mortgage

It is surprising to know that though FHA approved lenders operate under FHA guidelines with, they have been given the power to set their own eligibility criteria when it comes to providing loans to borrowers. Some lenders may have higher eligibility requirements compared to others. So, a borrower may get a home loan from one lender, while others might refuse. FHA home loan is only applicable for residences owned and resided by the borrower himself. This scheme is not meant for rental properties or investment. Townhouses, detached houses, row houses and semi-detached houses that fall within an FHA approved condo project are all eligible for FHA mortgage schemes.

Credit score and FHA loan

Just like traditional loans, FHA home loans are given to individuals on the basis of their credit scores. A minimum credit score of 500 has been set for FHA loans, where anything under 620 has been regarded as subprime. Therefore, borrowers having credit scores below 500 automatically disqualify for such loans. Credit score is also applicable for the lenders as they need to maintain a minimum score that FHA has set. However, these home loans are ideal an easy to get for people with bad credit scores or financial problems. If the borrower doesn’t have a credit history, he/she can still apply for an FHA home loan. Lenders look for past payment records such as house rent payments and utility payments for such borrowers.

FHA loan underwriting process

The underwriting process that is followed in FHA loan schemes is known for its flexibility. The ability to repay the loan money for every borrower is evaluated in a flexible manner. Since FHA loan is based on a broader picture, even borrowers with bad credit ratings and other financial problems are eligible for a loan. There are plenty resources available online for interested FHA loan borrowers which can help them in understanding the whole picture of FHA mortgage schemes. Moreover, they will get all the information related to eligibility criteria and credit scores which can be extremely beneficial when applying for FHA home loans.

The Rise Of Payday Loans And Its Trends And Benefits In The Current Scenario

If you are looking for some quick cash to meet your urgent need, payday loan is something that you can consider. This is a relatively new concept in the market and a lot of people are unaware about these quick cash advances or loans. So far, people used conventional methods for procuring loans which were mainly through personal loans or credit cards. But, a lot of things have changed and these traditional methods have had their own limitations. Credit cards are convenient, but people often end up paying more than they actually borrowed by paying the minimum amount over a long period of time.

Payday loans vs. credit card vs. personal loans

Credit cards have been designed by banks or other financial institutions to benefit them as users have to pay interests in addition to their late payments. On the other hand, personal loans are considered to be a much better option for people looking for additional money. However, the process of getting a personal loan can be complex and time consuming. Banks or other financial lenders often go through a ton of paperwork and check the credit worthiness of the borrowers before making the payment. This is the reason why there has been a significant rise in the number of people opting for payday loans.

Hassle free and convenient

Payday loans are convenient and hassle free. Individuals who are not eligible for credit cards can choose this type of loan to meet their needs. However, payday loans have a bad reputation in the market because of their diverse portfolios and high rate of interest. Even then people choose these loans over conventional loans. These types of loans are extremely popular among certain income groups in the society. So, if you are still skeptical about payday loans, you can go through some of the online sources to find out their advantages and disadvantages. This will help you to decide whether you want to opt for these types of loans or not.

Benefits of payday loans

Payday loans are fast and convenient with minimum paperwork. You can get the amount in your bank account within hours of getting it sanctioned. This speedy cash transaction is something that even banks can’t match. This is simply because the process takes place online which makes the process of applying and disbursing loans extremely fast paced. Interested borrowers need to visit online websites of lenders and fill in their details in the application form to get the loan amount in their bank account.Since these are short-term loans there is no waiting period as such. Moreover, you can quickly pay off your debts in this type of loan schemes. Failure to pay the amount in time will mean that you have pay additional charges and interests along with the due amount.

Other additional features of payday loans

Payday loans have been designed to provide financial assistance to a large number of people. Occasionally, lenders face defaulters and that is the reason why they design their loan schemes to avoid such issues. They do not take action against such people, but they ban them from getting loans. The chances of getting these loans are quite high as these are of small amounts for a stipulated period of time that generally lasts for a couple of weeks. So, the risks associated with such loans are meager. Therefore, you will find that these lenders have a huge customer base. However, it is better to choose a reliable & reputed lender for payday loans to avoid discrepancies.

Unsecured Personal Loan – Some Of The Key Factors To Look For

Borrowing money as a loan is a common factor in most people’s life. At some point, we all need additional money to meet certain emergencies. You may need additional money to meet your medical expenses, car repair expenses, home repairs and others. There are high chances that you take out unsecured personal loan which can negatively affect your credit rating in the future. This is where one needs to be cautious and deal with loans in a planned manner than taking hasty decisions. However, there is a wrong notion that you need a healthy credit score to be eligible for loans. Loan eligibility criteria have changed a lot and credit rating is not an essential requirement anymore.

Changing market dynamics and loan policies

After the global recession, banks and other financial institutions have changed their lending policies. Therefore, applying for a loan in this current market scenario is like visiting the Queen. These days, there are plenty of products that one can avail to meet their current contingencies. These products are available even available to individuals with bad credit rating. This implies that more & more people are choosing bad credit unsecured loans from money lenders to meet their daily or monthly requirements. Most of these loans are available for a period ranging from one to three years. You need to decide the amount of loan and the period to repay the borrowed amount. Moreover, repaying your debt within the stipulated period will save you from paying high interest rates.