I need a loan for an apartment in Dallas, TX

(Request from Chasity in Dallas, Texas) I am needing a loan so i can move into my apartment. I have three children will you please help on the verge of becoming homeless.

Dear Chasity,

Getting a loan to help pay your first month’s rent as well as security deposit may be a possibility. Of course this does depend largely on your income, other debt payments and your credit rating.

Each lender will set a minimum income requirement before they will lend money to you for an apartment. Most lenders require a minimum of at least $800 a month in income and many require much more than this. The good news is that lenders cannot discriminate based on where your income comes from, including sources of public assistance such as SSDI payments.

Any debt payments that you are making will reduce the amount that you will be eligible to borrow. Lenders will gather this information based on creditor data that has been reported to one of the 3 major credit bureaus.

Affordable rental loans generally require a credit score of at least 720. Many credit unions will also provide low rates for borrowers as long as they maintain a credit score of at least 650. Bad credit loans may be possible with a score of as little as 500 and even below this amount, but these loans are generally unaffordable.

Dallas rental loans can range from credit union unsecured loan products with single-digit interest rates to predatory cash advance loans that carry whopping triple digit interest rates. What you qualify for depends more on which lender you apply with rather than your actual creditworthiness. Therefore you should keep your options open to include mainstream banks and credit unions rather than automatically turning to fringe banking outlets that are frequented by lower-income households.

One alternative that should also be considered is one of the many rental assistance programs that are operated by area nonprofit organizations as well as the local human services agency operated by your county government. Rental assistance is provided to eligible households that have showed difficulties in making the rent payments.

Rental assistance is provided by the Dallas County Health and Human Services Department, the Dallas County Welfare Division And the Dallas County Veterans Service Office. Supplemental utility assistance may also be obtained by applying through the Dallas County Comprehensive Energy Assistance Program (CEAP).

Whatever you decide to do, take advantage of the publicly available benefits that can help you before you dive into more debt. Families with small children that are headed by a single mother often find that there are many programs that specifically provide benefits for their situation. It is definitely worth a shot. To get started, call the Dallas County Health and Human Services Department at 214-819-1936 so that you may schedule an appointment with the case manager so they may then refer you to the appropriate program.