construction loan

How Does a Construction Loan Work?

A construction loan is designed for individuals and businesses that intend to build their own property instead of buying an established building. Unlike the traditional mortgage loan where the lender gets the home itself as collateral and a guarantee of not losing the money, a construction loan is much riskier. First of all, due toContinue reading

Renovation Loan

What is 203k Renovation Home Loan and how does it work?

FHA 203k loan is designed to finance the needs of homeowners when it comes to buying an old, damaged or even “inhabitable” house. Obviously, an old house costs much less than a brand new one but the flip side of it is that this abode can eventually cost an owner much more due to massiveContinue reading

сredit score

Everything you need to know about credit scores!

A credit score is the key parameter all lenders evaluate before making a decision about a loan approval. It is important for banks to know whether the client is trustworthy enough in terms of his solvency, reliability and financial stability. A credit score is a financial “passport” saying about the borrower everything, based on hisContinue reading

Business Loan

How do balloon loans work?

Balloon loans are, basically, any type of loans with a special system of payments, called “balloon”. Mortgages and car loans are the most common loans with a balloon payment and it has several reasons why. Balloon loans can be a highly beneficial alternative to traditional loans as it has a special structure of payments thatContinue reading

Subprime Loans

What Do You Need to Know About Subprime Loans?

Subprime loan definition was made up after crisis that took place in 2008 and since then it was used to describe “high risk” loans. For now the majority of debts made are stated to be subprime. Subprime loan characteristics: borrower has low credit high interest rate low repay rate Borrower Has Low Credit Usually thatContinue reading

cost

What affects the cost of a loan?

The cost of the loan is the main thing everyone pays attention to when borrowing money. Yet, the majority mistakenly assumes that the cost of the loan equals the interest rate. It turns out that the total (the final) cost of a loan is comprised of several elements along with the interest rate. Each elementContinue reading

 loan

Five steps to becoming an expert in loans

You will hardly find a person who was never thinking of getting a loan, as modern life dictates the terms where most of the things revolve around money. You get married and get a loan for a house, you send your children to college and you get a Students loan and so on. Knowing howContinue reading

bank loan

15 key facts about getting a bank loan

Getting a bank loan requires a thorough research and a clear understanding the pros and cons of the terms. You should know exactly what aspect of the loan Agreement plays in your favor and what terms could eventually cost you extra money. Here is the brief list of the most useful and helpful facts aboutContinue reading

Debts

What Debts to Pay Off First?

This is the question you should answer if you have several debts. Having several debts may include mortgage, car loan, student loan, credit card debt or any other kind of a debt you may have. Usually, debts for the most important things that provide you with living and education are available with a relatively lowContinue reading

Cosigner

How to Remove Your Name from Cosigned Loan Agreement

The essence of cosigned loan agreement is the fact that you guarantee that other person’s debt will be payed off either by him or you. It is a huge responsibility and usually someone asks about this as a favor. In most of the cases it is impossible to remove your name from the agreement andContinue reading