Wednesday, December 21, 2005

Taking the Time to Find the Best Loan Offers
by: John Mussi

When you're looking for a loan, it might seem easy to simply accept the first loan offer that you receive. While it's true that you might receive a good deal on a loan this way, there's an even greater chance that you'll end up missing out on a better offer… and in some cases several better offers.

If you're wanting to find the best loan offers that are available to you, you need to take a little bit of time so as to shop around and see what other offers you can find… and the first step of this process comes with realizing that there are more lenders available to issue you a loan than just the bank that you usually do business with.

Considering multiple options

Don't misunderstand… there's nothing wrong with applying for a bank loan, especially at a banking institution where you have a history. Before you submit your application, however, you should take the time to consider the other options that are available to you as well.

A variety of lending institutions, from finance companies and loan offices to online lenders, are more than willing to make loan offers to individuals with the collateral to secure the loan… some of these offers will not be as good as those offered by your bank, but some of them may be better.

The only way that you can really tell which lender will offer you the best rates and terms on your loan is to take the time to request loan quotes from several different lenders, and then compare the quotes to determine which loan offer is really the best one for you.

Requesting loan quotes

When requesting loan quotes from different lenders, it's important to keep the collateral that you're using to secure the loan and the amount that you're asking for the same for each quote request. This keeps all of the external factors at the same level, so that the comparison of interest rates and loan terms can truly determine which offer is best.

The quotes that you receive should include the interest rates that you'll be charged, any special repayment terms that you must follow, and additional information that pertains to the loan and the repayment process.

Once you've gotten quotes from a variety of lenders, it's time to start comparing them so as to determine which loan offer is the best of all that you've received.

Comparing offers

In order to compare loan offers, it's important that you don't let the interest rates overpower the other factors that influence the loan. You may find a loan offer that has a wonderful interest rate, but the repayment terms and other parts of the quote make it less than ideal for your needs.

On the other hand, finding the loan with the best terms doesn't do much good if the interest rate makes it cost more than you can afford. Take the time to compare all of the factors of the loan quote so as to find the one or two loan offers that have the best balance of interest rates and other loan terms.

Once you've found your best offers, you should then finish the application process for the loan that serves you best… make sure that you keep the other top loan offers until after the loan has been approved, though, just in case something unexpected occurs and you're unable to get the original loan that you apply for.

You may freely reprint this article provided the following author's biography (including the live URL link) remains intact:

About The Author

John Mussi is the founder of Direct Online Loans who help homeowners find the best available loans via the website

Monday, December 19, 2005

Another reason why having too much equity in your house is not a good idea is the situation, I believe,we're in right now. The real estate market is near a top, if real estate prices come down as most people seem to think homeowners will be left holding the bag.

Anyone who has lost a job and has tried to refinance and take some cash out of THEIR house knows what I'm talking about. There isn't a bank that will let you take out all the equity out of your their home without showing what's called in mortgage business as the three C's.

Credit, Collateral and what we're discussing here Capacity, as in the capacity to repay the loan. Real tough to do when you're out of a job.

I help people implement strategies foung in Doug Andrew's book Missed Fortune.
Visit here for a free report on this subject.

Sunday, December 18, 2005

Missed Fortune by Douglas Andrew is an incredible book. A real eye opener, a life changing experience if you will. Missed Fortune carries the subtitle " Dispel the Money Myth Conceptions- Isn't it time you became wealthy?"

Douglas Andrew calls 23 common misconceptions, "Myth-Conceptions". I call them
Missed Conceptions.

Missed Conception Number 1 > The best way to pay down a house is to prepay the mortgage.

I always believed that paying off your mortgage was the best way to pay off your house but Missed Fortune shoots holes through that. Douglas Andrew shows you at least three reasons why that IS NOT the way to go. One reason is simple, the only tax deduction still afforded the average guy is their mortgage interest deduction. Someone paying six percent interest is actually paying about 4.2% interest rate taking into account a 34% tax bracket.

More Missed Conceptions to follow shortly. If you can't wait, look at my site for your free report.

Joe Hernandez

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