Tag Archives: company

Why Not To Use a Payday Loan

April 12, 2020   Auto Loans

Payday loans may be fast and easy to obtain but before you sign on the dotted line it’s not just the high interest rates that you need to consider.

Originally the form of lending known as “Payday Loans” originated in the USA and has now landed on the shores of the UK – spreading at an alarming rate.

Payday loans are short term credit loans that are repaid in full on the day that you receive your salary from your employer. Payday loans are really designed to get you out of a ‘fix’ when you find yourself short of money before payday but they do have an extremely high interest rate attached to them.

A typical example of this would be that you borrow £100 but repay £130 or £140!!

When you take into account that a Payday loan is a fairly short term form of lending, the interest rate is a great deal higher than other forms of lending.

Now it may just be that you find yourself in desperate need of a small loan and a Payday loan will fit your circumstances. What you will need to bear in mind is that if you are short of money one month and you borrow money in the form of a Payday loan then you will need to pay the original amount that you borrowed, plus the interest.

This may have a ‘knock-on’ effect of then leaving you short of money again. When faced with that situation you may be tempted to turn to the Payday Loan option again and this is where the hidden danger is waiting for you.

Let’s say that you borrowed £200 one month and on your payday you paid back £260. This would leave a £260 hole in your wages which could temp you (or leave you no other option) but to use the Payday loan option again and borrow another £200.

This is the start of a vicious circle that many people find themselves trapped and the payday loan hidden trap will have snagged another victim.

Each month when you repay the £200 loan you are paying £260 out of your wages – this leaves a £260 hole in your wages – so you borrow £200 again to ‘fill the hole’.

Then the process repeats itself again when you have to repay £260 on payday – you’re trapped in the Payday loan circle of debt.

The loan company lend you £200 once – it’s the same £200 the re-lend you each month – and for this pleasure you are paying them £60 each month when you repay the loan.

Over a 12 month period you will have paid the loan company £1,200 for basically borrowing one lot of £200.

It is a very harsh reality for many people who unfortunately have no other option and are unable to get out of the circle. If you are considering a payday loan then carefully think about what you are getting in to before borrowing any money.

If you have no other option and are 100% certain that you will have enough money to repay the loan without it affecting the next months finances then a payday loan could be your only option.

Otherwise don’t fall into the payday loan trap. Try and get through or ask a friend to lend you some money – even if it isn’t as much as a Payday loan company – it will be cheaper when it comes to paying it back.

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Top 10 US companies for Mortgage Refinance

April 8, 2020   Loan Tips

Top 10 US companies for Mortgage Refinance

Home mortgage refinance services have definitely picked up in the second quarter of 2009. The increase in mortgage refinance operations account for an increase of 24 percent compared to the previous quarter performance.

While the economic meltdown did wash away even some of the giants in the industry, only a few able to stand the storm and rise again. Very low interest rates and home mortgage lending and refinancing spree has given rise to the increase in the number of loan disbursements.

Are you really interested in knowing the top 10 performers during the second quarter of 2009? Well, then here is a list of US Companies that have fared well in the business of mortgage loans and refinancing.

Top 10 US companies for Mortgage Refinance

* Well Fargo – Sustaining its position as one of the countries leading mortgage lender Wells Fargo tops the list of best mortgage refinance companies in the US. Home loan originations have seen a substantial rise in the second quarter of 2009 of 28%, which means big business. The company has definitely picked up from its previous performances.

* Citigroup – After all the drama and climax, finally Citigroup started recovering with substantial business and a fairly increased production of home loans and refinances. 42% increase in business during the second quarter is a positive note.

* Bank of America – Finding a place in top 10 list of mortgage refinance lenders Bank of America a definite performer in the mortgage business. Its loan origination figures have crossed $100 billion.

* Residential Capital LLC – Residential capital is a real estate finance company offering innovative capital solutions to customers from across the world. The company is a market leader both in the US and UK.

* Met Life Inc – The Company has operations in India and most parts of Europe and Asia. Together with insurance services the company also offers financial services to its customers.

* Quicken Loans – A variety of home mortgage loans are offered by the company. It is one of the best online home mortgage loan processing company and retail mortgage lender.

* Sun Trust Bank Inc – It specializes in a number of services like banking, mortgage lending, credit card, mutual funds, insurance and asset management services. The bank has more than 1500 branches in southern United States.

* Flagstar Bank Corp – Consumer financing, mortgage financing, asset management and banking services are the products offered by Flagstar. It is the holding company for Flagstar Bank. It is a national leader in the business of mortgage lending.

* JP Morgan – One of the oldest financial services company, JP Morgan offers a number of services namely commercial banking, investment, card and retail financial services namely mortgage lending and auto finance. It has the largest market capitalization among the banks in the US.

* US Bank Home Mortgage – US bank specializes in online banking, credit card processing, loans especially mortgage loans and wealth management. Online home mortgage processing and refinancing services offers great advantage prospective borrowers looking forward to find the best of home mortgage deals.

* PHH Mortgage- PHH offers one of the leading and best of Mortgage Solutions in the country. With its process efficiency, multi channel business, customer service it offers mortgage loan and refinancing services at a different level altogether.

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