Archive for the ‘Loans’ Category

Various Types Of Loans

Tuesday, October 25th, 2016
Various types-of-loans

Different types-of-loans

Loans can be used for many different purposes. Loan can be used for financing a new business or taking new car or buying new home or buying jewelry or any such other reason. With different needs, come different loans. For getting the best and most suitable type of loan, you must be aware about the types of loans in the market. You must also see which type of loans are used for which purposes, what is the rate of interest and then g for the one which suits with your needs in best possible manner. Here are some of the most popular types of loans available on the market.

  • Personal loans

This is most common types of loans and is also offered by most of the banks. The proceeds from these loans have universal usage. It can be used for any purpose. It can be used for paying college fees or paying house rent or paying off the electricity bill or paying the installment of car. It’s a universal loan which can be used for any universal purpose. These loans are considered unsecured and its amount range is also not specified. It can range from some hundred dollars to thousands of dollars. Here the lenders will be in need of some kind of income verification or proof of your having any other asset which is having the value equals to the amount of the loan. The approval of such loans can be granted in few days of its application which is one or two page long. The interest rate of such types of loans is very much high it usually ranges from 10% to 12%. It’s one of the best sources of procuring finance for those individual having short term needs and can repay the amount within some years.

  • Home equity loans

Home owners can get finance against the equity or let’s say the assets they have. In short, homeowners can take loans against the value of the homes they are having. The proceeds from such types of loans can be used for any of the purpose but generally one would never risk their home for any small matters. Usually these loans are taken for home addition purposes or for debt consolidation purposes. The interest on such types of loans is very much reasonable and thus individuals are attracted towards this loan. The time period of such loans ranges from 15 to 20 years. This is a long term type of loans used for long term purposes.  This loan is also somewhat risky as you lose your home in case of failure of payment. Specifically for a family where there is single earning member and disability or death of that person can lead to losing your home.

  • Cash advances

Cash advances are generally offered by credit card companies in the form of short term loans. The interest rate usually remains high and they are also not tax deductible at source. The amount of loan is also usually high and for long term.

Tips To Pay Off Your Loan Faster

Friday, June 3rd, 2016

LoanLoan is very burdensome and we all we want to get rid of it soon as possible. When you are working towards paying off your loan faster, you try every trick and tip you can. While trying to pay off your loan faster, you try to save more money, you also try to increase your income and you also try to cut on your expenses. Your loan can be of any type like home loan, car loan, credit card loan, it doesn’t matter which type it is the important thing is to pay off your loan faster. Here are some of the tips which will help to pay off your loan faster.

  • Make Bi-weekly payments

If you make payment monthly you might be slow in paying off your loan faster. Thus try and make payment of your loan twice in a month that is every fifteen days or every two weeks. By doing so you will be able to pay off your loan faster and along with that you will get three things.

  • You will have to pay less amount of interest as you are making payment more often.
  • You will be able to pay a extra payment as there are fifty two weeks in a year which equals to twenty six monthly payments or you can say one extra payment.
  • By doing this duration of your loan is shortened and you could save several months and you will able to pay off your loan faster.
  • Round up the payments

Rounding up your payment is a very efficient way and also effortless way of paying off your loan faster. By doing so, you will be paying extra without missing out your funds. By doing so you will not be needing lots of extra bucks and make your savings empty you can gradually pay off your loan faster and you would not even know when it is over. You can even go a step further and you can increase your payment after sometime and by doing so you can pay off your loan faster. By doing so the life of your loan will be shortened and the amount of interest will be lessened.

  • Find extra money

You must be addicted to buy stuff on usual base but sometime do the opposite thing. You can sell out your extra things and generate extra money from that and increase your money and pay off your loan faster from that extra money. Although selling old stuff is not going to earn you a big fortune but it will definitely avail you with making payment of at least one of the instalment.

  • Make one extra payment

If you are not comfortable with making bi weekly payment of instalments for paying off your loan faster than you can try and make one extra payment every year. This will also help you to pay off your loan faster. Making one extra payment will also make you burden free early.

5 Tips To Get Easy Student Loan Approval

Thursday, February 27th, 2014

Student Loan ApprovalNot everyone can pay the ever increasing school fees with ease. Besides the tuition, you also need to think about food, dorm expenses and other such expenses. One of the safest things you can do in the case of financial struggle is to get a private student loan. It will help you to get more organised and get things under control too.

Instead of worrying about your debts, you can get back to focussing on your studies and extra-curricular activities.

Here are some tips for getting your student loan approved:-

• Improve your credit score

One of the best ways you could possibly get your loan approved is by having a very good credit score and a co-signer. Not many people have impressive scores, so if you can clean yours up, you just might land the approval.

• Find a partner

You can partner with your family, close friends or relatives. However, even they must have a very good credit score. They need to have at least a few years of credit history and a low debt-to-income ratio.

• Exploit your relationships

If there are institutions that are familiar with your record, then you should try to get them to aid you. You need to reach out to banks that you already have a well-established connection with. You can even try local community banks.

• Reach an impasse

Sometimes banks don’t hand out loans to schools with low graduation rates or high default rates. The best you can do here is talk to your lender and reach an impasse

• Prove your family or financial problems

Your parents may be unable to co-sign due to financial problems or in cases of broken homes. If you can prove you are a hardworking person with potential, the bank would be ready to help you.

Things you need to know before you take out a home loan

Thursday, August 16th, 2012

Home loans, loansThere are a few things that you need to consider in order to get a good home loan. It is very important to shop around so that you find the right deal. It might be the case that you get disapproved by a bank but that does not mean that all banks will do the same.

In order to make the right decision, it is very important that you look for the deals and compare them. It is also very important that you are well informed. You have to be ready with the information when your lenders ask you for it. This will make the process much faster. Before you make the application, it is important that you improve your credits. If the credit score is well, the chances of getting a good loan increases manifold. It is advisable that you speak with a representative physically than going online with the job.

125% security of home equity loans even with bad credit

Tuesday, July 31st, 2012

Home equity loans, home loansEver thought how you can manage a loan putting a value more than your home equity? 125% loans are actually second mortgages that increase the value of a property with its previous mortgage. It need not be an exact 25% enhancement in the equity value, 125 is just a term used to define this particular kind of loan. Lenders are turned off with bad credit records risking to faulty payments. But 125 equity loans are a better deal when considered bad credit. Property has the best security among all alternatives and this is what drives the lenders to provide a loan in hope of getting better profits. A substantial increase in the security value is the logic behind approval of such loans and it is easy to get even with bad credit. Usually 125 loans charge a higher interest rate involving both principal and interest and this is a good thing for the lenders.

The options of payday loans during a cash crunch

Sunday, July 15th, 2012

Benefits of payday loans, payday loansIf one happens to be in the centre of a cash crunch, it is the payday loan that could be your savior. Be it the temporary or short-term financial debt, you can seek cash as advance easily. There no requirement for a guarantor and security. The loan is served against your forthcoming salary. This sort of borrowing consists of many advantages over traditional loans and mortgages. Some outstanding features are mentioned below:

Advantages of payday loans:
Confidential: You lend money via this method thereafter the complete transaction will be processed online. This will make sure that no one is able to know about your borrowings.
No Guarantor: Another attractive advantage which is absent in regular loans. There is no need of a guarantor or any

kind of security.
Credit history: The lender does not even check the credit history. Unlike, a mortgage loan provider and a credit card provider, the credit scores are not taken into consideration.

Advantages of bridging loans

Saturday, June 30th, 2012

Advantages of bridging loans, bridging loansHave you heard about bridging loans? These loans are loans which tackle financial shortfalls in between the time of buying and selling property. These loans are also used to cover businesses while funding tranches. The bridging loans have quite a few advantages. One of the most important advantages of bridging loans is they are approved fast and you can get the money in as less as 24 hours. In fact, they are the ideal type of short term loans and they can be set up so that there are no charges on early repayment.

While applying for the bridging loan you can use more than one property as security because raising 100% for the price of purchase by using the additional property to handle the equity gap is possible. Moreover, the bridging loans are extremely flexible and the terms of the loan can be tailor made to meet your specific requirements.

How to find an easy VA loan

Wednesday, June 27th, 2012

VA home loan, loansVA loans can be very time consuming and a problem is that mostly first time homebuyers misunderstand how they function. It is vital to have knowledge about the fact that veterans meeting required qualifications are guaranteed by the VA or Veterans Administration for mortgage loans but it does not perform as the lending agent. Before applying for any kind of loan, it is best to know your credit rating by consulting a credit counselor so as to take preparations before reaching for the guarantee.

For the first time homebuyers, there is a fee for VA funding which is mandatory. The idea behind the obligatory fee is that the veteran’s cost of mortgage gets increased and he does not need to rely on the tax payer. The first time home owners are charged with a fee of two percent for “no down payment” loans and veterans buying their second home are charged with a fee of three percent. Disabled veterans are exempted from this fee.

Car loan application: avoid mistakes

Monday, June 25th, 2012

Apply for a car loan, car loanMany of you dream of having your own car. But it may not be always possible for you to buy the car with all cash payment. Very naturally you have to depend on the bank for getting loan. But before you approach the bank for car loan, you should know some basics about car application to avoid few very common mistakes. The very first thing that should take care of is the price of the car model you are selecting. Depending on that you will have to apply for loan. But then you should know that you can’t get the full price of the car as loan. You have to make an initial down payment on your own.

The amount of down payment depends on the price of the car. Only after you assure to make the down payment the bank will then be proceeding further to process you loan application. While applying a loan you must provide some collateral security against which the bank will give the loan. In absence of a solid security your loan application may get rejected. When everything is alright you must be sure about the interest rate and the processing fee so that the monthly installment doesn’t become a burden for you to carry every month.

How to get a legitimate online cash loan

Saturday, June 23rd, 2012

Online cash loan, loansIt has become really essential to find legitimate cash lenders who will lend according to the rules and regulations of law. If the lenders do not abide by the rules of law then he can end up in very serious problems. So working according to the law is the most essential step. Firstly you need to check the financial transactions websites of your state government. Take into note the various rules and regulations. If you are lucky enough, then you can find the list of registered lenders. You can take help from these regulated lenders.

Secondly, you can contact the lender and enquire about the various registration formalities, if he hesitates to reveal them, then you can comprehend that your lender is not a legitimate one. Another important thing you need to know is about the reputation of the lender in the market. If there are many complaints then you can avoid him. There are many websites and you can go through them to compare and see which is best for you. You have to get all the required information from authentic source before you take loan.