Posts Tagged: conventional loan

Equities First Holdings- Daily Forex Report

The Founder and CEO of Equities First Holdings Explains Margin Loans verse Stock-Based Loans

The Founder and CEO of Equities First Holdings Al Christy, Jr.- says conventional has different rates also, that the loan-to-value ratio ranges from 10 to 50 percent and anything above this, could mean the lender stands at a liquidation risk. Mr. Christy, further explains the variance amid margin loans and stock-based loans; saying a borrower has to be prequalified before getting a conventional loan and when approved, the money borrowed can only be used for the specific purpose it was meant for.

He said in the case of stock-based loans, the interest rate ranges from 3 and 4 percent and that loan-to-value ratios vary from 50 to 75 percent; it is “non-recourse” the borrower does not have to use the money for a particular purpose and therefore can decide to opt out of their borrowed loans without having to pay outstanding interest even when their collateral value has reduced.

Details Equities First Holdings via twitter : https://twitter.com/equitiesfirst?lang=en