Tag Archives: loans
Cheap Home Loans
Simply put, the “cheapest” home loan or mortgage is the one that costs you the least over the term of the loan taking into account interest rates, fees and penalties. If you are looking for a cheap home loan deal, here are some tips that could save you time and money:
Dont assume that your trusty bank of 20 years is going to give you the best deal today because they offered you a great deal the last time you needed a home loan. Today, there are a lot more home loan options than there used to be.
There are hundreds of home loan products available and shopping around could save you tens of thousands of dollars. The Internet has made comparing home loans fast and easy. With todays online mortgage comparison tools, it is possible to identify a list of potentially suitable home loans in a few minutes. Comparing home loans with the aid of these advanced tools is the smart and convenient way to find you ideal home loan.
Nowadays, prospective borrowers are bombarded with marketing claims of “discounted” or “low” rates. Often these so called “discount rates” may only be introductory offers or come with other fees and conditions in the fine print. It is important to look beyond the headline rates and see what you are actually getting. A good comparison tool could help you see beyond the hype and hidden costs.
Consider your particular circumstances carefully. One home loan product may be ideal for one borrower but may not be the best option for another. The terms and features specific to each loan product could make a huge difference to their cost over the term of the loan.
One way to reduce accrued interest is to make biweekly repayments rather than monthly repayments. An even better way to reduce interest is to take advantage of the offset feature offered by many lenders. Offset facilities allow you to deposit your spending money into a linked account, whereby the balance is subtracted (offset) from the home loan principal. This is especially beneficial if you have significant amounts of money coming into your accounts on a regular basis.
Redraw facilities, if used effectively, could also save you a great deal of money over the term of your mortgage. Every time you receive a lump sum of money or have any money left over, you could deposit it into your mortgage account, reducing the principal and therefore the interest. Then, when you need money for an emergency or unexpected expense, many good home loan products will let you take it out again without fees. Parking additional money in your home loan is better than putting it into high interest accounts, which usually pay a lower rate of interest than the interest charged on home loans.
Conversely, even small penalties and fees can compound and be extremely costly over the term of the loan. Beware of fees and penalties such as monthly recurring fees, late payment penalties and redraw fees.
On a final note, beware of costly “exit fees” that may apply for several years after you take out a mortgage. Special introductory rates often come with severe penalties in the event that you pay off of the mortgage within a few years, and this could be a considerable burden if you are forced to sell your home.
Instant Unsecured Loans: Fast Loans without Any Security
Instant unsecured loans are the quick loans provided without keeping any security. It is the best loan for tenants who need some urgent cash but either dont have any property to keep as security or dont want to risk them. As these loans are generally provided by online lenders, the loan is approved quickly. Also being unsecured there is no wastage of time in documentation which further makes the whole process fast.
Generally bad credit holders such as people having CCJs, arrears or any default payment can also apply for these loans.
These loans are not only for tenants without any home but homeowners can also apply for it. You can easily find a lender offering such loans. For the convenience you can go for online search so that you can avoid the mental and physical stress while finding a lender by going to various lenders office. You can use this loan for your personal uses like going on a holiday trip, home improvement or car repairing.
The prerequisites are very simple as stated below:
a) you must be a resident of UK
b) you must be above 18 years of age
c) you must have a regular employment
d) you must have monthly income above £1000
e) You must have a personal checking account operating since 6 months.
The range of loan amount is £1000 to £25000 with a repayment period of 6 months to 10 years. The interest rate is a bit high as the loan is approved fast and without any security. The people having good credit history can get benefit as they may get a cheap interest rate. To get a cheap loan you should search the market well. Also the timely repayment is must as in case of failure you not only increase your interest rate but also hamper your credit history.
Summary
Unsecured instant loans provides quick loan without keeping any security. These loans are especially meant for tenants and even people with bad credit can apply for such loans. The interest rate is a bit high so timely repayment is must.