Sentences with phrase «safer loans because»

Riskier loans command higher interest rates than safer loans because of the greater chance of default on the repayment of the risky loan.

Not exact matches

A fixed - rate mortgage is generally a safer bet than an adjustable - rate mortgage because you know what your interest rate will be for the length of the loan and your payments will stay the same for the duration of the mortgage.

Well, if the Fed tries to do something similar to «operation twist» it would require banks to hold more capital against their positions, because the safe interest rate falls, it causes the risky portion of each loan to rise.

This is because conventional loan borrowers are typically seen as safer investments for lenders, so the insurance requirements are less stringent.

It's just as safe to apply for cash advance loans online as it is to do all those other financial activities, because the exact same type of encryption technology protects the loan website as it does the others.

In fact, an online loan can be even safer because there is no paperwork that could circulate and get into the wrong hands.

Lenders charge borrowers with better credit less for their loans because they are safer investments.

By the same token, a person who regularly borrows money and pays it back is somewhat safer to loan money to than someone who's never borrowed money before, simply because the latter is a more unknown quantity.

Generally, federal loans are the safest, least expensive type of student debt you can take on, because Congress sets the rates each year.

And because we're a not - for - profit, we pay back earnings to you with higher savings rates and lower loan rates, using the best tools to keep your money safe.

Another advantage of these home loans is that they are considered safer by lenders than other types because they are secured by the house.

«This is consistent with the narrative that, if you're a very safe borrower or a large corporation, it is very easy for you to get a loan — in fact there is a lot of competition because these borrowers have access to lots of nonbank sources,» Covas said.

«People are being overly cautious because no one can pinpoint where these subprime loans are anymore,» says SNL's Carwile, «and they're afraid adjustable - rate mortgage resets will cause defaults, even though a large portion of the portfolios are safe.»

Federally backed home loans from the Rural Housing Service have been called one of the the government's best kept secrets because buyers can get safe, affordable mortgage financing in areas where few other loan options are available.

This is because banks consider real estate a «safer investment» since the loan is backed by tangible collateral.

The home must be safe, clean, in good condition and move - in ready, partly because the U.S. Department of Veterans Affairs doesn't want to back a loan where the military member's finances are at risk because they have to make unexpected home repairs.

There were other defensive moves as well, because in its original form the rule included very specific credit standards borrowers would have to meet, and those were also taken out and replaced with a broad rule that gives lenders flexibility in how they meet the rule's intent, which is to create a class of safe loans that borrowers have a reasonable expectation of paying back.