Student loans are the most common and least
risky type of interest - only loan.
Not exact matches
Due to the fact that these
type of loans tend to be
riskier, they have higher
interest rates and often poor loan terms.
Some
types of investments paying
interest are relatively safe and others can be quite
risky.
High
interest debt is much
riskier than low
interest debt, so determining the
type of debt you have will help you figure out if paying it off first is the best strategy for you, explains Felicia Hemby, Certified Financial Educator at cwoenterprise.com.
This
type of loan is still a
risky financing option; however, the fixed
interest rate offers stability from
interest rate hikes.
Interest - only mortgages have gotten a lot
of ink lately, but there's another
type of potentially
risky home loan that deserves even more scrutiny, according to some in the real estate industry.
You may also be
interested in this
type of policy if you know you're about to do something dangerous during a set period (like a
risky job,) and you want to be covered for it.
These
types will pool investors» money, give fractionalized
interests, have no reserves and carry out
risky deals with a smile, slap on the back, a dash
of hype on a promise.
Because it is
riskier for the bank to lend money to someone with an unverified income, expect your mortgage
interest rate to be higher with either
of these
types of loans than with a full - documentation loan.