Discounted rates are offered by banks and lenders to pull in new customers, although existing customers can sometimes benefit from them too. A discounted rate is a special rate set a certain number of points below standard rate. As a variable rate loan, amount you pay will vary of course as interest rates rise and fall, even though you will always be a certain level below market rate. Some discounted homeowner loans have 'clawback' conditions - if you repay loan early there may be penalties. A 'cashback' loan is exactly how it sounds - on completion of loan process, you get 'cash back' to spend how you like. The rates charged on homeowner loans of this type tend to be least attractive.

A capped loan is a variable rate loan that also promises rate will not ever go above a certain level of 'cap'. These can be good for you if you want to take advantage of any interest rate falls, yet not expose yourself to downside of unexpected interest rate rises, which make them less attractive, at least to staff at www.mortgagedown.com ! Once again, these loans tend to have early redemption penalties or other conditions that compensate lender for generous conditions.

The amount they will lend you will depend on your circumstances, as well as property that will be used to secure loan. Your income tends to be less important, as lender has 'secured' debt against your home, and will assume that you would not take out a loan you couldn't service, as your home would then be at risk. To apply, you will need paperwork such as bank statements, proof of residence, recent bills and tax returns to get your homeowner secured loan.

So what can you spend it on? Generally anything you like. A new car, home improvements, consolidating credit card bills or even a fancy holiday. Only least prudent, of course, would attempt to pay for a 2 week vacation with a 25 year loan!

The interest rates on commercial mortgages tend to be lower than interest rates on unsecured business loans and repayment terms are usually longer. This makes them useful for all sorts of business financing requirements.

A commercial mortgage can be a cost-effective way to fund many business activities. They can be used to develop an existing business through purchase of increased office or factory space.

A commercial mortgage can also provide a way of raising additional business loan finance, if finance is linked to business activity.

The amount of loan required and level of interest charged will depend on your credit worthiness and an assessment by provider of your ability to repay. If you have an exemplary business record and have other visible business assets which can be used as a guarantee, then you'll have no trouble getting a commercial mortgage at an attractive rate of interest.

A commercial mortgage can be available for almost any period from 12 months to 25 years.

There are generally two types of interest schemes available when you are applying for a commercial mortgage, fixed rate and variable interest rate.

The Lender will usually ask you to provide your last three years of audited financial statements including a Profit and Loss statement, balance sheet and a cash flow forecast.

Commercial mortgages are specialised because lender has a legal claim over property until loan has been repaid in full. In event of non-payment property can be repossessed and sold to repay outstanding mortgage balance.

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