Repayment remortgages is the cure for outdated endowment policyWritten by Amanda Thompson
If bulls and bears of stock market have no effect on your mortgage plan then you must apply for endowment to repayment remortgage. An endowment mortgage is a financial product offered mainly in UK. Endowment mortgage comprise of an interest only loan secured on your mortgage and an investment in stock market. As against an ordinary repayment mortgage, customer pays only interest on capital. The balance goes into endowment fund. This stock oriented mortgage policy was workable in context of stock boom of 1980s and 1990s. At end of mortgage term, it seemed plausible that investment would pay off capital. But present day market status is unreliable and fails to make endowment mortgage a much sorted out plan. In recent years it is appropriate to revolutionize your endowment mortgage to repayment remortgage. Remortgage is highly misunderstood for over time we grow too comfortable in our mortgage policy. Holders of endowment mortgage are urged take up repayment remortgage so as to forestall risk of being in huge debts once your mortgage matures. This you might shun as a possibility. But it is a very functional possibility. Why remortgage? If that is your query! Then you need to read more about your endowment mortgage. Repayment remortgage is very essential because endowment remortgage suffers from two major problems – shortfall and mis-selling. Most consumers did not realize that their endowment mortgage could not reach its desired target. The risk of shortfall in endowment mortgage is a very strong vote in favour of repayment mortgage. Endowment policy is not an appropriate mortgage for everyone. So, if you have been sold an endowment mortgage without making you aware of risk involved then perhaps you have been mis-sold their endowment policy. Any of these condition calls for fast action in favour of repayment remortgage. The trends in stock market are unanticipated. You never know when wind changes direction and you might not be able to repay your mortgage. This could mean capitulation of your endowment policy. Before this effects your credit status get a repayment remortgage. Mortgage is secured loan keeps your property as a compensation of loan. Under no circumstances you can risk possession of your property by giving consent to an incompatible mortgage deal. Remortgage to a repayment mortgage is definitely a much more dependable option. The monthly payment of repayment remortgage pays both loan amount and interest. As long as you don’t falter with making your repayments at remortgage, you will be able to forfeit your remortgage completely by end of loan term.
| | Do You Get Scared When the Market Falls?Written by Joseph Sgro
Why?If you do, you are employing wrong strategy and you should STOP right Now! Companies are bought and sold every day on "emotion" and not on "value". That's why market goes UP and DOWN! If you believe fundamentals rule price of a stock, think again. The price is dictated by simple rule of "supply" and "demand". More sellers means that prices will go lower - it's that simple! There are certain creatures in market known as, "market makers". They buy atr one price and sell at another. They aren't fussy - they just make profits. A pro trader gets excited when market falls and when market rises. However, a stock holder starts to go green when market falls. What happens when a nation has so much debt that more and more money is required to service debt? Do you think there will be some selling of stocks? What happens when traders lose confidence in economy? The stock market goes down! You see, market works according to two forces: GREED and FEAR. Do you really want to be a stock holder? Wouldn't you rather be a stock trader or an option trader - where you play market UP or DOWN? It may require a little work but I suggest you learn to trade market UP, DOWN or SIDEWAYS, because this is exactly what pro traders know how to do and if you don't you will fail as a trader.
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