May 05

Tips to Obtain Mortgage

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When you decide acquire a mortgage loan for housing will greatly help if before concrete the operation, devotes some time to compare the most convenient options the market. Price and terms of a mortgage may be negotiable, therefore will be important to know the total cost that implies the get the loan at order to save significant sums when negotiating with a lender.

Some tips to keep in mind:

• Get information from multiple entities: Son many public bodies and private that offer this type of credits to acquire property. Each one may quote different prices for identical properties, have different interest rates, among other variants. Do not rush, evaluate offers, point by point.

• Meet all costs: You should know in detail what you can afford as a down payment and find out all the costs of the loan. It is not enough to know the monthly fee and the interest rate only. Remember there may be costs of fees, sealed, etc.. It will also be important to know clearly what is accessing interest rate: fixed, variable, mixed, etc.. Check if you can make advance payments and what values.

• Get better deal: When you have decided which credit institution shall request remember that it is a negotiated agreement for both parties. Try to get the conditions best suited to their abilities.

• Be honest about your economic reality: If at some point in your life, unique issues such as illness or temporary loss of employment prevented him and timely comply with commitments made, notify the institution where credit requests. Your credit history only reflects your payment habits, but do not consider the exceptional circumstances that may have led to a contrary observation. This should not be an obstacle for you to access a loan.

• Learn about property to be acquired: Check the ownership of the seller by a copy of the deed to the property. Know if you have loads through a simple note to Land Registry requesting a report. Make sure the house is not rented or should be, the term of the contract. Learn about who would pay the expenses determined by the operation. Maybe all these inquiries lead him ungrateful time but may save you time.

• Exercise your rights: You have the right to choose the notary who will be responsible for the deed to the property acquired and may request a copy of the loan contract within three business days prior to signing for detailed study. Use these rights in order to know precisely the obligations assumed by the lender. Feel free to ask anything you do not understand as many times as necessary.

Feb 11

Freedom from Debt

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Debt: Modern Lifestyle Communities

A friend once told me that not married, her credit card is a status symbol. The more the great taste. He held there are four, two from the foreign banks and two local banks. Usefulness nothing to improve the status symbol. To shop the latest fashion clothes and hangout with friends.

In addition to credit cards, he still has an apartment mortgage and car payments. Often without realizing it, his finances are bigger stakes than the pole. Eventually every month salary as a young executive is only used to pay debts. His life was no different from the office boy in the office that his wife and two children. Life cover holes dug hole.

Apparently, not only my friend who lives on a pile of debt. Countries of the world today is alive repose debt. Year 2013 is expected to occur because of the global economic tsunami debt pile euro zone countries, which have more than 100 percent of gross domestic product.

Why is this all happening? For years, the euro zone’s ability to live on their own. Debt to debt piled up to support the subsidy for subsidy. In the United States too, the economic crisis caused by debt.

Ease Credit

Today’s global economic crisis is the worst since the Great Depression in the 1930s. Fall of giants, financial institutions such as Bear Sterns and Lehman Brothers are astonishing world. What is the cause? “The availability of easy credit meant that too many people Borrowed to buy properties that they could not afford.

The bankers bundled up these loans and sold them to investors that could not understand the complexity of these bundles and the risks inherent in them.

Once U.S. borrowers started defaulting on their mortgages, they lost their houses and investors all around the world, Including banks and hedge funds, lost their investments; “- turns out the core cause is the ease of credit that led many people to consume beyond its means. This is compounded by the practice of banks selling debt without a clear risk management.

But it seems that the above facts do not deter the banking world. Bids unsecured intensified. Within a day, at least eight incoming text messages in my phone offering loans without collateral.

Plus the phone calls that often interferes with work, just to force me to go into debt. Not to mention the shopping center, not just once or twice I was “ambushed” and even “pursued” the manufacture of credit card offers.

The lure of credit is indeed tempting. With a credit card, interesting products desired (though sometimes not needed) can be obtained more easily. With unsecured loans, my friend down payment purchase apartments. Continue reading →