Sentences with phrase «riskier loans like»

For riskier loans like those for clients with no income or seeking second mortgages, the fees are usually higher than those for bank loans are.

Not exact matches

Home Capital Group has seen some of its riskier lending business drain away to the private, unregulated mortgage lenders — firms like Alpine Credit or the many so - called «mom - and - pop» shops which proliferated as small investors teamed up with brokers to provide short - term, non-amortized loans.

Like CDOs, CLOs buy up riskier debt, bundle those loans together, and then slice that debt up into bonds for investors with varying risk levels.

In the quest to compensate for low fixed income returns, pension funds have plowed money into stocks, private equity funds and illiquid and very risky investments, like subprime auto loan securities and commercial real estate.

While some school administrators may frown on the practice of using borrowed cash for non-school expenses — and taking out student loans for risky investments seems like a great way to graduate with even more debt — per Student Loan Report there aren't any rules against it.

Because Chinese banks only have a limited ability to sell off loans as securities, they don't offer risky mortgages like those that triggered the U.S. housing debacle.

The interest rate on CD loans is much lower than those charged by credit cards, unsecured loans or riskier loans — like payday or title loans.

Riskier investments like second mortgages, or where a borrower has no income, the fees will be higher than for a bank loan.

Private mortgage insurance also enables mortgage companies to grant loans that would otherwise be considered too risky to be purchased by third party investors like the Federal National Mortgage Association (FNMA) and the Federal Home Loan Mortgage Corporation (FHLMC).

While transferring your student loans to a balance transfer card may seem like a great idea, it can be risky.

Riskier mortgages like second mortgages or where the borrower has no income tend to attract higher fees compared with traditional bank loans.

This is again because lenders don't like making risky loans.

A qualified mortgage is one that is free from terms that can prove risky to borrowers, like loans that span more than 30 years or payment structures that allow the borrower to pay less interest than is actually owed (which causes the loan to be more expensive over the long run).

To keep performance high, credit - focused managers are moving back into some of the risky assets that got tarnished during the financial crisis like collateralized loan obligations, or CLOs, securities cobbled together from pools of corporate loans.

Because they are risky, adjustable rate mortgage loans often have lower initial interest rates (which is why people seem to like them).

It makes sense to go through with the loan if you're borrowing money to upgrade your home, but it is very risky if you're using it to eliminate unsecured debt like credit cards or medical bills.

Making a so - called «qualified mortgage» (QM), which can't have riskier features like interest - only payments or balloon payments, protects a mortgage lender from liability if it sells the loan to investors and then the borrower defaults.

These grades are much like credit scores as they determine borrowers» interest rates and tell investors how risky loans are.

So it looks like my strategy I laid out a few months ago of adding more risky C, D and F grade loans is paying off so far.

Lenders also like to see that you have six to 12 months of mortgage payments in reserves, which makes the loan less risky for them.

Credit scores are a numerical representation that attempts to capture how safe or risky it would be for a lender like a bank, credit union, or credit card company to loan that individual money.

Combining some of these criteria with loans in the riskier categories like loan grade C and D can really help boost your returns on fewer bad loans.

These loans come cheap only because lenders deem them less of a risky investment Private lenders like issuing loans as registered mortgages as protection from the high risk posed by some borrowers.

The interest rate on CD loans is much lower than those charged by credit cards, unsecured loans or riskier loans — like payday or title loans.

The personal loan would be riskier than parking the money in an FDIC insured bank account, but the risk can be mitigated if the loan is secured by the home like a regular mortgage.

Shorter term fixed rate mortgages — like two or three years mortgages — are not discussed here as they all require a qualification rate check — in other words they are being treated by the regulators as risky as variable rate loans.

Looks like the cycle is just about to trend up for the risky loans and a crash in 3 - 5 years.