Loan Basics

Written by Paul Heath


There is more than one type of loan. Depending upon your situation, you might find that what works in one circumstance does not work in another. This means that it is very important for you to educate yourself about different kinds of loans so that you are more prepared when you speak with a lending officer, or with a financial counselor. It is especially important that you understand whatrepparttar different sorts of loans entail so that you are not pushed into making a wrong decision by a lender that is more interested in a percentage rather than your financial well being.

Understandingrepparttar 111701 difference between a secured loan and an unsecured loan.

At their very basic, loans come in two kinds: secured and unsecured. Whether you are looking into business loans or personal loans, they will either be secured or unsecured. Credit cards, which are basically consumer loans, are also denoted with these names. However, you will find that most credit cards are unsecured, unless they have a very high limit.

A secured personal loan is one that requires a form of collateral. Collateral is something of value thatrepparttar 111702 lender can possess if you fail to meet your obligations. A home loan is a secured loan. If you default, thenrepparttar 111703 lender can take your home to cover its costs. Auto loans and car title loans are other examples of this. It is also possible, for smaller loans, to offer valuable jewelry or electronic equipment as proof that you will pay backrepparttar 111704 money you borrow. However, it needs to be something thatrepparttar 111705 lender feels it can use to recover its loss should you default. If you are seeking a bad credit loan, more than likely you will have to put forth some collateral. When you have less than favorable credit, you are immediately seen as a higher risk, and therefore must offer something to justifyrepparttar 111706 riskrepparttar 111707 lender acquires in allowing you to borrow money.

Higher earners enjoy modest house price gains reports Moneynet

Written by Moneynet


Higher earners enjoy modest house price gains reports Moneynet.

Slight increase in March property values for higher income homeowners, reports Moneynet.

•Overall average property value was £205,518 •The average value of a property for a First Time Buyer (FTB) was £195,282 •Users looking to re-mortgage valued their property at an average of £249,322

PROPERTY values for workers inrepparttar higher rate tax bracket crept up last month (March 2005) according to Moneynet’s latest monthly mortgage data (see table below).

The overall UK average property value of higher earners – those inrepparttar 111700 higher rate (40% plus) tax bracket – climbed to £205,518, up from February’s £204,656 according to Moneynet (www.moneynet.co.uk) research.

“The slight rise in values in March is broadly in line with price rises signalled byrepparttar 111701 latest Nationwide Building Society,” said Moneynet chief executive Richard Brown.

“Average property values for visitors to our site – in common with many of those who regularly userepparttar 111702 internet for financial information and transactions – are higher than for those onrepparttar 111703 national average wage, but we believerepparttar 111704 survey to be a key tool for charting house price trends forrepparttar 111705 UK’s higher earners,” added Brown.

“As well as basic tables to be found withrepparttar 111706 press release, Moneynet can also provide a detailed breakdown ofrepparttar 111707 different categories of mortgage lending – eg fixed or discounted loans – favoured by consumers on a month by month basis.”

See below for full figures and tables

MONEYNET MORTGAGE DATA FOR MARCH 2005 AT A GLANCE ----------------------------------------------------------------------------------------------

AVERAGE PROPERTY VALUES •Overall average property value was £205,518 •The average value of a property for a First Time Buyer (FTB) was £195,282 •Users looking to re-mortgage valued their property at an average of 249,322

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