Category Archives: Finance

Preparation Tips on Taking a Mortgage Loan

Deciding to buy your first house finally is a big deal. It usually takes a lot of preparation and hard work to make it come into fruition. You also need to make a lot of decisions. And sometimes, it is these decisions that can stress you since you do not want to make a mistake.

You might be feeling both excited, nervous and scared at the same time. Don’t worry, if you prepare for everything, things will go smoothly for you. You might have heard stories about some individuals who get stuck paying on their mortgage loans or those who are not able to pay and had their home repossessed.it doesn’t mean it would happen to you too. We do not know the reasons why they defaulted. Partly, maybe it is because of the high-interest rate or the type of price they have as well as hidden charges. For some, they might not have anticipated growing expenses over the years. But let us not linger on them, here are the basic things you can do when preparing to take out a mortgage loan successfully.

Build Your Credit

First and foremost, you need to build your credit. It is a significant factor as it is also the primary basis on whether you are qualified for a mortgage loan or no. If you are not aware of the requirements, most lenders require a credit score of at least 640, although there are some lenders like the FHA loans Fort Worth who require a lower one at 580. What you need to be aware of though is that there are also other lenders who require a higher score with a minimum of 680. It all depends on the type of loan you will get. It is also wise to make sure that you are not delinquent or miss out your payments since any lousy credit report will stay on your record for the next seven years, and it will significantly affect all your future loan application.

Set a Budget

Do not start house shopping without deciding on a budget first. You need to take into consideration not just the price of the house itself but also the interest as well as closing costs. What you need to decide on is how much would you want to spend for a home? How much do you think you can pay per month? How long are you planning to pay for it? After considering all these factors, then you can go to the next step.

Prepare Your Down Payment

You need to prepare a down payment for the house. Usually, the required amount is twenty percent of the total cost of the house. But, do note that some are expecting more than twenty and there are those that need lower even for as little as three percent. But we do suggest that you try to earn and pay as much as you can on down payment. It is for you to have a lower principal that will be calculated with your loan. You also need to consider closing costs. Usually, it is around $10,000. It includes inspection fees, attorney’s fee, appraisal fee and the like.

Car Finance Loans to Save Money

Car insurance online is the best way to secure auto insurance quickly. This is the fastest and the best means of getting this kind of insurance. You can also choose from a wide number of quotes available online. The financial experts offer the best insurance services in the loan market. Gone are the days when you had to approach a lender personally.

With the constant rise in the number of lenders offering an auto insurance policy, borrowers have a large number of options open. They are free to choose any policy that suits their personal needs best. Now, just at the click of a button, you can search for the best car cover policy.

Choose from a wide variety of car assurance quotes online. There are various lenders offering car assurance quotes at varying terms. Study the terms and conditions well before you make any choice.

Used Cars insurance is very easy to get online. A favorable credit history ensures that you get a car indemnity at a lower rate of interest. Interest rates can be fixed or variable. Fixed interest rates are set for a particular amount on the car indemnity. Variable interest rates fluctuate depending on the prime rate. In case, you have an interest rate that is set at prime plus two points, and the prime rate is at 3%, then your interest rate will be 5%. If the prime rate goes up, so will your interest rate. If the prime rate goes down, so will your interest rate. Fixed rates do not change. They are constant through the life of your loan. Car indemnity rates vary from lender to lender.

One of the main benefits of checking out online car insurance quotes is that it gives you the ability to shop for car assurance at home. You can save money as well as time. It is very easy to get the cheapest car insurance online. Just check online and apply for the one that suits your needs most.

Owning a car is hugely expensive and can cost you a lot too. Adding on to the expenditure is car assurance. You may have to shell out a huge amount of money if you don’t have a fair idea about the prevailing rates on car insurance policies. Nowadays, lenders are offering attractive insurance policies to women. Car insurance for women is the happening thing now.

Again, you can find a wide variety of insurance policies online. However, we suggest you keep in mind the following things before deciding to go for anyone. Check our site AutoVillage.co.uk

Credit Financing Loan For Boats

When you hear of the term bad credit loan you should not be worried as this not like your bank is rejecting you or either are you forced to pay higher mortgages, but the real point is that these loans are very important. This is because of the fact that anyone can be approved for such a loan no matter what is their initial credit score.

The issue of credit rating is like your records as a borrower in the financial sector, so basically if you are maintaining some kind of financial status the bank will check to see if you can be able to pay the installments. And having a poor credit rating will make the various financial institutions have doubt in lending you their money. Despite this there are many financial institutions that are ready and willing to give credit loans and some of these organizations can deal with your application as quick as a week.

News like this is nice for people who do not have the proper type of securities to stand against money that is borrowed. If wanting to buy a boat you should not think that it is too expensive for you as all you will need to do is to get a bad credit boat loan. The main issue when looking for a loan like this is to make sure you get a good one as some of them may charge a higher interest rate. And some of them will collect a processing fee that in case you cannot repay the loan.

Commercial Financing Loans

In the past commercial lenders were able to turn loans around and get them closed within 4 weeks. Now, some of these transactions are getting pushed back to 4 months before they close. Even in the past it was rare that a lender could get all of the underwriting, third party reports, third party report reviews, ordering of loan docs, signing, closing, funding, and recording all within 30 days. Now, anyone who tells you they can is flat out lying to you. It is getting to the point where even 45 days is becoming a stretch.

What is causing the long approval processes and longer closings? Many things are contributing to this problem. It is important to note that loans with more guarantors, or entities are naturally going to take longer to review and make sure the lender has all of the documentation they need for underwriting. Aside from that here are a list of some things to be aware of when considering the timing of the loan:

1. Get your LOI signed and Send in Your Deposit as Soon as Possible

Although the market is down, many lenders are incredibly busy with loan requests. They are moving forward with borrowers who are qualified and ready to move forward. After the lender provides the borrower with a letter of intent (LOI) they move to the next deal. Any hesitation on the borrowers part after the lender has given them the LOI is typically seen as the borrower “shopping the deal”. When the borrower finally decides to move forward, the lender may have put a few other loans in process before them.

2. Third Party Reports

Up until recently appraisers had many comps and all were increasing which made third party reports, such as appraisals, a breeze. Today appraisers are finding it more difficulty to get an accurate valuation of each property. On top of that, lenders and regulators are watching closely to make sure appraisers are being honest and giving honest valuations. With everyone watching every step of the way, appraisers have been taking their time to make sure that can be as accurate as possible.

3. Additional Approvals From Banks/Lenders

With all the current problems that lenders are facing, many banks and lenders are requiring additional approvals within their organizations. Most managers at banks who have been approving loans for years, now need the President or CEO to sign off on almost every deal. The additional approvals usually add at least 3 extra days and sometimes longer as each deal needs to be presented and explained.

Personal Financing Loan Tips

Why should you take out a personal loan? There are so many answers to this question. While a lot of people will opt for person loans to meet up with some of life’s necessities, others will decide to take out personal loans because they simply want to better enjoy their lives. Whatever your aims are, you should know that you have a duty to pay back any personal loan as agreed. Failure to fulfill this may mean that you will be facing problems with a personal loan recovery agent.

Who is this personal loan recovery agent? He is responsible in recovering what you owe. This is a profession which is a bit difficult. What you should know is that most of such agents have compassionate feelings and so, they will really sympathize with you. Therefore, you have to give in all what you have as assistance. Remember that he or she is there to specially help you move out of debts. He or she is not working for the lender alone. No agent will be in a position to help you out of debts if you are not willing to offer full cooperation to him or her.

Things may become worse for you if no reasonable conclusion is arrived at between you and the recovery agent. Work with the agent so that your person loan may be modified to conform to lower payments. Remember that some reasonable agreements may include a waiver of penalties. Remember that everything worked out is to ensure that you do not only move out of debts, but that you avoid falling into debts once more. Remember that you will also have to candidly disclose everything in relation to your way of using money. You will be advised to work according to your means and most of these counseling will be offered without cost.

But if you are not able to work out anything reasonable with the recovery agent, remember that what you had set out as security for the loan will be forfeited. This is mostly done when the personal loan is a secured one. Once your guarantee has been taken away, it will be auctioned to redeem your debt. This will not be enough. If the security cannot take care of your debts, legal action may further be brought against you for the balance.

If the personal loan was not a secured one, legal action will be brought against you. In almost every case, your co-signer will have to be pursued for the loan. He or she will be informed of the balance of the debt due the lender. Court action will exist when he either refuses to acknowledge the debt or fails to pay back the money.

Every borrower should be aware of the fact that failure to pay back a personal loan is something very severe. It will not only have a negative impact on your credit worthiness, but it will negatively affect the probability of you getting any more loans in the future. To always avoid the distress associated with such things, make sure you borrow wisely and spend wisely. If you have taken out a personal loan, develop a plan for making payments and make sure you observe that plan. Whenever there are any hitches along the way, inform the lender. Every reasonable lender will be willing to understand with you and help you out.

Quick Finance Loan!

– Bar counter
– Dance floor
– DJ
– Lights
– Music system
– Eating outlets

In order to bring about changes in your pub, you may need sound finance from experts. If you are purchasing a pub for the first time it is good to seek sound advice from mortgage experts. Consider your mortgage options before you finalize with any. Beware of the repercussions of loan defaults as you may end up losing your collateral pledged against it.

If you think your business is not doing really well, you must need to bring in some changes. May be your bar counter needs some refurbishments, you may want to spend on interiors. Do not forget the music system you have and the DJ who mixes the music for you. It is worth considering a good DJ and a better sound system. No night club would work better with out a good sound system in place. Those lights should be really exquisite to allure more dancers on the dance floor.

Some lenders may not consider your credit scores or any financial standing. These are known as non-status lending this also means that the publican’s past track record, credit history or loan serviceability has no bearing on the funding decision. A broker will be least affected whether your credit score is good or bad as he has a collateral pledged against the loan he lends to the borrower.

You are at liberty to either approach a commercial mortgage banker/broker or a Brewery owner for funds. You may enjoy better benefits if you approach a brewery owner. Loan rates would be more competitive and you may need to sign an agreement which mentions that you will buy your liquor from them. With the signing up of contract, you will get your liquor at a better deal.

SR&ED Finance Loans in Canada

SRED Financing is your firm’s ability to take immediate cash flow and working capital advantage of our SR&ED tax credit claim. This program, (formal name = Scientific Research and Experimental Development) is bar none the best tax incentive program in Canada. Other than being taxable as income the refund you receive from the government is a non repayable grant. What could be better than that?

The irony in this great program is simply that almost 70% of companies in Canada that are eligible for the program do not even apply, let alone receive their funds! It clearly is a source of untapped cash flow and working capital for your Canadian business that should be maximized to the hilt.

The other 30% of Canadian firms who use the program utilize it around their efforts to develop new products and services, building prototypes, and solving technological challenges.

So your Canadian controlled private company utilizes and files SRED filings. Did you know your claim can be financing immediately after you file it, literally the same day. Specialists that work as ‘SR&ED consultants are experts in preparing your claim and in Canada your SRED claim can be prepared at your cost – and you keep all the proceeds of the government grant, or alternatively, your claim can be done on a contingency basis, at no cost to yourself, and the consultant usually keeps anywhere from 10-30% of the total refund received.

However most Canadian business owners and their SRED consultants do not know that your claim can be financing, either during the preparation of your claim, (yes, before your file, if you qualify!) or immediately on filing of your claim.

Generally with this type of financing you receive immediately approximately 70% of the value of your claim. The other 30% still comes back you of course, but its simply a bit of a buffer to cover financing costs and any risk that a portion of the claim will be disallowed or clawed back.

When we think in terms of specialty financing we can categorically state that SRED financing is specialty financing in Canada. We urge clients to locate a business financing advisor who has credibility, experience and background in this area.

The SRED financing process is not as complicated as you seem if you are well prepared and have access to good assistance. Its as simply as completing a basic business financing application, ensuring proper back up is in place and valid. That includes info on your company, the SRED claim itself, your previous SRED claims if you have filed previously etc.

The reality is that SRED financing can be completed within 2-3 weeks of starting the process. The beauty of this type of financing is that no payments are made on the SRED loan. In effect you can say that you have factored or discounted the SRED claim. You are simply waiting for your cheque from Ottawa, and are making use of the working capital and cash flow now. That’s a solid interim financing strategy for many firms, and that cash can be used for reduction of payables, investments in new equipment, additional staff, etc. The bottom line = any general worthwhile corporate purpose.

In summary, of course ensure you are taking advantage of Canada’s Sr&Ed program. Once that is the case you have the option of financing your claim, allowing you to maximize the true benefits of the program, i.e. the recovery of your R&D expenses in the most time efficient manner possible. That’s a solid financial strategy.

Equipment Financing

Are you looking to purchase a piece of yellow iron equipment or business equipment?

Obtaining business financing in the current economic climate can be a challenge because most lending institutions have strict lending requirements and only lend to companies that can show a sustained profitability and verified financial records.

So, where does this leave you? When you tried to get that loan, you were turned down. The traditional forms of financing aren’t available for you. Ninety percent of small businesses can’t get a loan from a bank.

There is a solution that is available to you. Equipment Leasing, it’s a form of financing that is used by corporations to acquire equipment. What’s the difference between a lease and a loan?
When a company executes a lease the title to the equipment remains with funding source. This means that you are renting the equipment and when you finish making the payments you will own the equipment at a pre-determined purchased option. Most of the leases you will see will either be a $1.00 purchase option (buck out) or a fair market value option (FMV) not to exceed 10% of original equipment cost. When a company executes a loan, the title to the equipment remains with the company and the equipment is used as additional collateral for the loan.

WHEN YOU LEASE: There is usually NO down payment (its up to you), NO Blanket Liens, NO Financial Covenants, end user does not bear the risk of obsolete equipment, PAYMENTS ARE TAX DEDUCTIBLE, off balance sheet transaction and it does not affect your available credit

WHEN YOU OBTAIN A LOAN: There is a down payment required, a Blanket Lien is required, Financial Covenant is required, you bear all the risk of obsolete equipment, only partial tax deduction, shows on your balance sheet and it does affect your available credit.

Generally your money should earn you 30% annually. Let’s take a look at how much money your company is losing by making a $50,000 equipment purchase as opposed to leasing.

EXAMPLE:

$50,000 (company money) X 30% = $15,000 income

Now calculate that 30% annual income of $15,000 over a 5 year period = $75,000

So, now you can see if you spent $50,000 on equipment, you would be out of pocket $50,000 and the 30% annual income over a 5 year term which is $75,000, you would be out of pocket a total of $125,000.

If you leased the equipment you would only have to put up one or two payments. These payments are a tax write off, so, which route would you follow?

Would you like to expand your business? Do you need an extra piece of equipment so you can start that new project that you were just awarded? If you could get that new piece of equipment, could you improve your business?

Financing can be arranged for customers that have had bankruptcies, tax liens, slow pays, judgments and repossessions. Assets qualify you, not credit scores.

KEEP IN MIND—each time you submit a deal to a leasing company and they pull your credit, your credit risk score is lowered. Be careful, or you may shop yourself out of any chance of obtaining your lease. Also an excessive amount of inquires will adversely effect you chances of being financed. Don’t make a lender ask themselves—Why didn’t any of these other companies finance this customer?

Our process is streamlined to facilitate lease approvals within 24 hours of receiving a completed application. Typically funding is done in five days, depending on the program that best fits your situation.

Personal Financing Loan Tips

Sometimes, it is very difficult to become familiar with all the vocabularies in relation to personal loans. A Personal loan is something which must very well be understood ahead of making any decision about it. There are so many explanations why you may opt for personal loans. If you look up for the right information about personal loans, you may be able to get what is right and perfect for you. Your aim should be safeguarding your money and nothing ought to be done that will plunge your finances into jeopardy.

A lot of resources exist in books that teach about personal loans. If you get a copy of such books, you should know that you are making a choice which is synonymous to a very great investment. Always keep in mind that to be forewarned is to be forearmed. This should be the best approach when you seek financial decisions and especially when it involves making a decision about loans.

One good book to read is Gary W. Eldred’s “Beginners Guide to Real Estate Investing”. This deals with realties in general, but there are adequate materials in it on the subject of personal loans. What you should know is that this text contains almost the best information that will help you make the best decision if you think of personal loans for real estates.

Another text, “The Book of Inside Information”, puts into plain words the basics of getting and dealing with a personal loan. This text goes beyond a mere explanation of personal loans to offering advices and tips of dealing with family finances. Another very recent publication is “The 21st Century Family Legal Guide: The Law You Must Know to Protect Yourself and Your Family”. Although a very practical text, there is still abundant and brilliant material in it which deals with personal loans.

You should be happy because every good text that gives you the basics about personal loans will also provide you with useful information on how to redeem every personal loan. For example, “Live Debt Free” (3rd Edition) has reliable tips for paying off loans. Remember that this text will never teach you of any means to become prosperous. Rather, it teaches you on means to better manage your money and better management of your money is one of the keys to becoming prosperous.

There are also some excellent periodicals such as Money Today and Reader’s Digest which offers write-ups that give an idea about which loan should be best for you. Most of such valuable information can also be reached through the internet. Also remember to go through the analysis always provided by the National Consumer Council on matters relating to personal loans.

Getting any of these texts is not enough. The key to every successful financial decision or decision on personal loan remains in your ability to go through and understand what is in the text. You must be able to understand and appreciate the ins and outs of personal loans. Remember to go in for books which have a balanced approach to personal loans. Keep in mind that you must appraise the excellent as well as poor resources on personal loan before you make a good decision.

Down Car Financing & Loans

Would you like to get approved for a “0 down” car loan?

There are ways to get this done even if you have bad credit. Getting a car loan with no money down or “0 down” is very simple if you understand the reasons why dealerships ask for down payments and how to avoid having to have one. Too often people believe what they are told by finance managers and car dealers, when in fact, if you know just a few key points, you can avoid all of those hassles altogether.

Why would a car lot want a down payment?

Dealerships use down payments generally as a way of adding extra profit to the sale of a car. That’s why they’re usually something that are flexible. A car salesman may hit you up for a $3,000.00 down payment just to see how you react. They start you off high and to see how much you can come up with.

It’s a game!

When I was at my first dealership, I was trained to “prime” the customer for a down payment at the end of the test drive. The way that I was trained to ask the customer about a down payment was by saying, “Mr. Customer, what were you thinking about doing for an initial investment? $3,000.00 or $4,000.00?” The reaction from the customer was always abrupt and they were taken off guard by this question. What it did though, was “raise the bar” and after being asked about $3,000.00 or $4,000.00 down, it made the idea of $1,000.00 or $2,000.00 seem a lot lower. That was the only purpose for asking the question… It’s called “working a customer for cash”.

The more down payment that a car dealer can get you to agree to, the less money needs to be loaned on the car, which means that the dealer can make more money.

The reason they can make more money when you have a down payment is because the lenders only allow a maximum amount to be loaned on the car. If a dealer can max out the amount that the lender will loan PLUS get a down payment for you…

BAMM!

You’ve just been had. It’s sad but true, but that’s the way that some car dealers still work today. It’s an old school way of doing business, but sadly, it works.

So, how can you get a “0 down” car loan when you have bad credit?

You have to remember that there’s only two reasons that you would ever be asked for a down payment, even if you have absolutely horrible credit. The first reason is simply as illustrated above… the dealer wants to maximize profit on the sale and tries to convince you that you have to have money down. The second reason is that the dealer has too much money in the car and the lender won’t advance the amount needed to match the sale price. Getting a good deal on a car certainly helps.

Different lenders have different guidelines and there are good lenders that will advance the full amount needed for you to buy a good vehicle with bad credit. 0 down is commonplace with these types of lenders. There are good lending networks online that will allow you to find lenders that will approve you based on your individual credit history. This makes getting approved, and getting approved for 0 down car financing very easy. The best part is that all you have to do is provide your basic information and don’t have to go through a long credit interview process and it’s all in the comfort of the chair that you’re sitting in now.

There are benefits of putting money down.

Down payments are not evil. They should not however, be a part of the negotiation process of buying a car. Even when you do have a down payment that you want to use to lower the amount financed, which lowers your payments, you should always negotiate the sale price and interest rates based upon having 0 down.