The Early Loan Repayment Trap! How Paying Off Your Loan or Mortgage Early Can Cost You Money
Kawana, Australia (ContentDesk) November 15, 2005 -- The drive for fat profits by many of the worlds large mortgage and loan companies has resulted in them including clauses in their loan agreements that leave borrowers facing hefty fees for the privilege of paying off their loans ahead of time.Businesses or Home owners that take out loans or mortgages usually do so to cover some additional expenditure such as a holiday, new car a building extension or perhaps a temporary shortfall in funds. Very often they go to their bank or Mortgage and Loan Company, fill out the forms and wait, sometimes nervously, for an approval.But what happens when you get an upswing in your financial situation or your businesses cash flow improves dramatically? In order to save money you might just want to pay that new loan off ahead of time or make a big dent in it by paying in a lump sum.Not so fast!The fact is that many mortgages and loans carry not a discount for being good and paying off early but a penalty clause that can cost you thousands.According to Karen Jones of All Options Mortgages, www.alloptions.com.au, there are options that you really should look at before you enter into a loan or mortgage agreement.In her radio programme, Karen explains just what to watch for, how to avoid being caught by penalty fees for early repayments or lump sum loan reductions and the options that can save you a great deal of money.The information is available from the home page of All Options, you dont need to register, the information is given freely as a service to those wishing to learn more about Mortgages and Loans..
Offshore Mortgages for Non-UK & UK Residents buying UK Property
Copyright 2006 Nigel Osgood
MORE PEOPLE COULD BENEFIT FROM AN OFFSHORE MORTGAGE THAN YOU WOULD THINK!
If you fall into any of the following categories and are considering buying or remortgaging a residential property in the UK for investment or buy to let purposes, you could be one of them:
(a) Non-UK residents (UK expatriates and Nationals of another country) wishing to purchase/remortgage a property in the UK for investment/buy to let purposes
(b) UK residents (Non-UK domiciled) wishing to purchase/remortgage a property in the UK for investment/buy to let purposes
(c) UK residents but deemed Not Ordinarily Resident in the UK for tax purposes, wishing to purchase/remortgage a property in the UK for investment/buy to let purposes during the period of their UK residency
Properties may be purchased via a UK Regulated Mortgage Contract for any applicants wishing to use a property as their main residence.
Properties...
Mortgages > Offshore Mortgages for Non-UK & UK Residents buying UK Property
No Fee Mortgages Coming Soon
Buying a home, especially for the first time, can be a daunting experience. There are endless credit checks, bank checks, employment checks, appraisals and more paperwork than seems to make sense. Adding to the angst associated with buying a home is the endless list of fees that are added to the cost of the mortgage. In addition to the interest rate quoted for the loan itself, lenders add other items to the closing costs, including appraisal fees, loan origination fees, credit report fees, document preparation fees, postage fees and all manner of other items that are often not even mentioned by the lender until closing time. The borrower often ends up suffering from a form of "sticker shock" at closing time, as the costs associated with closing on the loan are often substantially higher than expected.
That may change, however, as several banks are about to introduce so-called "no fee" mortgages.The concept of lending without a long list of additional fees isn't new; banks have...
No Fee Mortgages Coming Soon
Mortgages > No Fee Mortgages Coming Soon
Endowment Mortgages & Endowment Shortfalls
Endowments and endowment mortgages have received a lot of bad press in recent years, amid concerns over falling policy values and accusations of endowment misselling. This article attempts to answer some of the questions and concerns you may have about the way endowments work, what's happening to them, and what you can do to ensure your mortgage is paid off at the end of the term if you have an endowment mortgage. What is an endowment mortgage?There are two basic types of mortgage. The first is a repayment mortgage, where you make one monthly payment to the lender which is part interest and part repayment of the original capital. Then there are interest-only mortgages, where your monthly payment to the lender is just the interest on the original loan and the mortgage debt remains unchanged.
You then make separate payments into an investment scheme (such as an endowment), with the idea being that at the end of the mortgage term this investment will have grown sufficiently...
Endowment Mortgages & Endowment Shortfalls
Mortgages > Endowment Mortgages & Endowment Shortfalls