Loan negotiation is a
difficult process. All lenders want to give you the biggest interest rates they
can. The only reason they will not give you too high is because a competitor can
give you better and then they can loose the profit they will do over your loan.
Yes you will generate a profit.
what to do?
Use their one game against themselves shop around and use (with some respect)
what the other offer you as a leverage. Yes they will tell you a work hard for
you. Do they really work for you? If you don't get the same or better: they
are not working for you!
Mortage line of credit
This is a very powerful financial tool, but also as much of powerful things a
dangerous one if baddly used. I extensivly insist on this side in the next
sections.
Warning: if your not good using a budget and/or spend compulsivly this types
of product is not for you
Why some poeple should not use it?
Because it's a very powerful financial instrument and if badly used it can
put you in bad financial shape. Since you can used your house value for
unesseary spending.
for people that credit margin, credit card and bank acount are all
consider the money they can spend, this is NOT FOR YOU! you will be at the
credit limit sooner or later and will be unable to go out of it and this credit
will probably be nearly the max you can get before going to bancrupty. Not much
alternative will be available to get you out of it.
Why it is good
Criteria to use: Your finance are in control
It can be very good because it gives you flexibility, you can consolidate
your more expensive debt at a lower interest rate (you should avoid contracting
other debt). You can make big plan spending without taking more expensive
loans.
What about the all included version
Many Mortage line of credit comes in a packages that is a bank account, a
mortage, a line of credit all at the same place. And the best feature usually a
no fee account.
when you put your saving in it you make the interest of the loan! you can try
to get it ouside with 0% risk and 100% liquidity. If you find better then
that send me an email I want to know this !
Notary fee
most of the time financial institution will pay the notary
fee for a new mortage. Ask if tehy do it, they will probably not offer it to you
if they think you will go with them anyway, but will gie you if you ask for
it
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