Sentences with phrase «less risk to the lender»

Older businesses typically pose less risk to lenders, so having a mature business will benefit your score.

Small - dollar personal loans, on the other hand, are usually unsecured loans for $ 3,000 or less and present less risk to lenders because the borrowed amount is smaller.

With this in mind, better credit scores mean less risk to lenders and often better rates on loans and credit cards for the consumer.

But, with secured loans, using something valuable as collateral gives less risk to the lender.

Secured loans usually come with lower interest rates compared to an unsecured loan because there is less risk to the lender who has collateral to fall back on.

Older businesses typically pose less risk to lenders, so having a mature business will benefit your score.

When you put down 20 % of a home's purchase price in cash and finance the other 80 % with a mortgage, your loan presents less risk to the lender.

With secured loans, using your valuable motor vehicle as collateral gives less risk to the lender, hence why it is easier to obtain this type of loan.

Government Guaranteed: In reference to USDA (Rural development mortgage guaranteed by the Federal government) loans which the USDA will repay in the event of a default and VA (Veterans Affairs guaranteed) loans which the VA will repay in the event of default, offer 100 % financing options but with less risk to the lender because of the government guarantees.

They are usually easier to get because the Government insures the loan so that there is much less risk to the lender.

Secured loans have one major advantage over unsecured loans in that they represent less risk to the lender, since they can always size the property if you default on the loan.

There's far less risk to lenders if they lend money for a car (and put their name on the title, and in the case of a car actually hold the title),...

Essentially, auto loans are secured loans, with the vehicle itself acting as a sort of collateral against default (i.e., if you don't pay back your loan, the lender can sell the car to get their money back), which means less risk to the lender.

When you put down 20 percent of a home's purchase price in cash and finance the other 80 percent with a mortgage, your loan presents less risk to the lender.

Thus the lower a property's loan to value the less risk to the lender which correlates to a lower mortgage rate.

Secured loans generally have lower interest rates than unsecured loans since there is less risk to the lender.

A HELOC poses less risk to the lender than an HEL because the total value of the equity is not cashed out all at once.

True, the better the deal, the less risk to the lender, but the points are going to be substantial.

The premise that a 3 % down FHA owner occupant loan is less risk to the lender than a 25 % down investor loan is incorrect.