How to Get Financial Assistance If You Are A Single Parent

Being a parent is difficult. Being a single parent where you’re the only provider can be extremely challenging financially. Knowing how and where to get the help you need as a parent can make a difference in the quality of your life.

There are so many financial challenges that a single parent faces such as: Employment, daycare and housing.

There is plenty of financial help available for single parents. You just need to know where to look. Single parents need to educate themselves about what is available to them and how they can utilize the assistance to start a fulfilling life for them and their children.

One big area where a single parent can benefit is when they file their tax return. If they were employed throughout the year and have earned under a certain level, they can receive back a hefty tax return.

Financial assistance is also possible through government initiatives. Ontario Works is a program that allows residents of Ontario who are in financial need to get assistance. In order to apply for assistance you must provide:

• A social insurance number
• Health card number
• Proof of identity
• Information about assets, income and living expenses
• Signature allowing the government to verify all above information

Not all single parents have the support of family and friends to help guide and keep them on the right track so if you’re looking for local assistance for help in other areas of need, single parents can also turn to local services and churches. These services will help with clothing, shelter and providing resources.

We need to be honest about how expensive raising children really is. With a bad economy and the struggle with paying for gas, car payments, room and board, child related expenses such as diapers, medical and food will affect your financial situation dramatically.

Knowing how to deal with all this ahead of time will protect you. Managing finances can be overwhelming for anyone and although Government assistance can greatly help your circumstances, careful planning and budgeting and support from local services will empower you and make your life that much easier.

For more valuable tips and information, please visit www.prudentcreditrepair.ca

Defaulting On a Loan – The Dumps

Default, in the finance industry, happens when a debtor has not met their obligation according to a debt contract. This will occur when the debtor is either unwilling to pay their loan or they are not able to pay their loan.

When you default on a loan, it means you’re neglecting your financial responsibility. We are all aware of the reasons why someone would not be able to pay their loan. People lose their jobs or a sudden medical emergency may happen but whatever the reason may be, you should always communicate with your lender. Most lenders will work with you especially if your financial hardship is temporary.

Most of us have occasional late payments but when it evolves from a late payment to a missed payment to no payments, the debtor will suffer the consequences. The first thing that happens when you default on a loan is the organization will begin to contact you to get their money. It will start with friendly reminder calls or correspondence but as the default continues, they become more aggressive and the contact is more frequent.

Eventually your account will be turned over to a collection agency. This kind of action will begin to affect your credit. When this happens, it will be harder for the debtor to get other loans, it will increase your interest rates and sometimes may even affect your ability to get a job. It can even result in a repossession or foreclosure depending on the type of loan.

If you simply don’t have the money to pay, it still is best to be proactive. When you approach the situation in this manner, the lenders will peg you as a delinquent with no intention to pay and take their actions accordingly. If you are genuine and want to make the effort, then contacting your lender to create an easier payment schedule is more likely to happen or even having the interest rates reduced.

If you have already ignored the situation, it is never too late. Your credit will most likely already be damaged but the negotiation process is never off the table and there may still be a chance for damage repair.

Putting yourself in this situation can and will only lead you into a world of madness. You will be consumed by the stress of your finances, frustrated by the constant aggressive contact and the feeling of depression will arise and will only deepen. Take care of you and your financial health!

For more valuable information, please visit www.prudentcreditrepair.ca

What Should Your Credit Score Be?

Most of us depend on credit for many things such as buying a car, house or getting a loan. Your credit report is your credit history wrapped up in three digits. It measures your ability to make payments on time and is designed to help lenders determine your credit worthiness.

Credit scores in Canada can range from 300-900. The higher your score, the healthier your financial record is and lenders will view you as less of a risk to them. The interest rates you receive will be determined by your score. Maintaining a good credit score is essential to your financial well being.

What is a good credit score?

You are considered to have good credit if you have a number of 700 and up on your credit scale. This score will allow you to have fewer problems applying for loans and getting better interest rates.

You are in the okay range if your credit score is between 450 and 650. You may be viewed as a risk but one that is acceptable to most organizations depending where you fall between these 2 numbers. The closer you are to 650, the better.

Anything under 450 is considered bad credit. You will be looked at as a high risk to the lenders. You will have significant trouble acquiring loans. Nowadays, there are plenty of places that will approve you for a loan but the downfall is that your interest rates will be sky high.

There are other factors that contribute to your credit score. The major factors contributing to your score is made up of the amounts that you owe and your payment history. The lesser factors are the type of credit you are using, the percentage that is new debt and the length of your credit history. These are all factors that are considered when determining your credit score.

You have a right to see your credit report. No one can have access to your report unless you allow it. Remember that every time you apply for a loan or credit card, you are allowing the company to check your credit report.

Knowing your actual credit score is a great start. You should understand the key factors that affect your score and learning how to increase and/or maintain your score over time is also important.

For more valuable tips and information please visit www.prudentcreditrepair.ca

Smart Things to Spend Your Tax Return On

With many people anxiously awaiting their refund from the Canada Revenue Agency, now is a great time to think about how you can spend that tax return. The biggest mistake one can make is to look at the refund as free money. A tax refund is NOT free money, it’s YOUR money! When you view your refund as something other than a paycheque, you’re more likely to spend it on treating yourself. Of course, there’s nothing wrong with treating yourself but here are just a few smart ways of spending your tax refund.

Credit Card Debt – If you’re getting collector calls then you know that ignoring them won’t make them go away. Use your refund to take care of those late payments. If you’re current on your bills, why not bring down or pay off your credit card debt balance. This way you have the chance to increase your credit score and be free of interest accumulating.

Mortgage – If you have a mortgage loan every extra payment you make reduces the length of your loan and the amount you pay in interest. Every extra payment will allow you to pay more in principal and less in interest in the long run.

Auto – If you have a car loan, this is a great opportunity to make an extra payment. If you are planning on selling your car, then use your refund or part of your refund to get your car detailed. Getting your car detailed can make a huge difference when you’re putting your car up for sale. You can also use the money to service your car properly. Many just put off servicing their car so this is a good time to get that oil change you’ve been putting off, check your tires and get that long awaiting tune-up. A well maintained vehicle with properly inflated tires burns less gas and saves you money in the long run.

You – Hopefully your tax refund is enough to cover one of the above and give yourself a little treatment but remember there’s always a balance. They key is to take care of your responsibilities first and then enjoy your money. If you and your family have been stressed because of daily life chores and haven’t had the time or money to enjoy a nice family meal at a restaurant then now is a good time for that. Buy tickets to a show or enjoy a day at the spa with your child. Buy yourself that one good suit you’ve always needed.

There are so many things you can do with your tax refund, you just gotta take care of your obligations first. For more valuable information and tips, please visit www.prudentcreditrepair.ca