If You Want Security Get a Fixed Interest Rate Mortgage
Fixed interest rate mortgages are considered by many to be the safest mortgage loan available. This is because fixed rate mortgages have rates that remain the same throughout the life of the loan. With a fixed rate borrowers are never faced with unexpected changes in there monthly payments.
There are two main types of fixed rate loans. A thirty year fixed rate loan allows you to spread your loan and interest payments over a period of thirty years. It allows for lower monthly payments but your interest rates will be higher due to the higher risk to the lender. The equity in your home is accumulated at a much slower rate due to the fact that most of your interest will be paid off in the beginning of the loan. However there is a benefit to this, your tax deduction will be higher.
A fifteen year fixed rate loan is similar but spreads your loan and interest payments over fifteen years. The benefit of this kind of fixed rate mortgage is that the equity in your home is accumulated at a much faster rate because the risk to the lender is less. You will have higher monthly payments with a fifteen year loan but you will pay much less in interest every month.
Besides these two fixed rate loans there are also forty year loans and fifty year loans available to borrowers today. These loans are not very popular due to the extended period of time that you have to pay on the loan.
With fixed rate mortgages the interest rates tend to be a little higher than adjustable rate loans. The reason for this is that with adjustable rate loans there is the risk of interest rates rising, while fixed rates do not have this possibility. This does not mean that an adjustable rate is better then a fixed rate. With a fixed rate mortgage you never have to worry about your payments going up because of an adjustment in rates. An adjustable mortgage loan can and more then likely will be raised.
Another great benefit of having a fixed rate mortgage is that the chance of foreclosure is extremely low. This is due to the fact that with this type of loan you can always depend on the payments staying the same, allowing for monthly budgeting.
With the amount of people in foreclosure and the economic problems that we are facing today a fixed mortgage loan may be the best option for you. The reason for this is that with a fixed rate mortgage you will be assured a regular monthly payment without increases that could possibly make it difficult or in some cases impossible to afford your monthly payments.
A Fixed Rate Mortgage is definitely the safest way to go these days. To learn more about different kinds of Mortgages Visit my website.
วันอาทิตย์ที่ 27 กันยายน พ.ศ. 2552
วันเสาร์ที่ 26 กันยายน พ.ศ. 2552
Fixed Rate Mortgage - Security in Turbulent Times
Fixed Rate Mortgage - Security in Turbulent Times
Fixed rate mortgage at the name suggests is a mortgage whose interest rates cannot be altered. Fixed rate mortgages are usually a characteristic of a mainstream mortgage and thus are offered to people with good credit ratings. People who are sure of their method of repayment and people who prefer certainty usually take the fixed rate mortgage. Fixed rate mortgages usually have a high rate of interest though the borrower is sure of the overall payment at the end of the mortgage period.
Fixed rate mortgages allow the borrower to plan their payment installments and are stress free since the borrower is always aware of the installment obligation. Fixed mortgage rate is also advisable for people with good liquidity since it takes a shorter period to complete the mortgage plan. The borrower is allowed to pay the principal amount early and this is to their advantage since they reduce the level of interest payment. This characteristic tends to alter the title of the mortgage but the 'fixed' title is due to the fixed repayment period.
The interest rates of fixed rate mortgage increase with the increase in the repayment period. Fixed rate mortgage for a short period will have lower interest than that of a longer period. In the United States, people prefer fixed rate mortgages that have a period between 10 to 30 years, which is a considerable period for the loan repayment. It is advisable that the borrower pays the principal as fast as they can to ensure that that they pay lower interest rates in the subsequent years. The fixed rate mortgage is suitable for people who want to have their dream home. This is because they can take a big mortgage and fund it over a long period at a constant installment rate.
In addition to this certainty, a fixed rate mortgage is advantageous more so when one gets a salary increase since the interest rate remains the same and thus, there is an increase in one's disposable income. They are also good mortgages when the interest rates are low since there is no pressure in paying the installments. In case the market mortgage rates increase, the fixed mortgage rate interest does not increase and this is an advantage to the borrower. It is one of the best mortgage plans for people who are not risk takers since they are certain of the payments unlike the adjustable mortgages that move with the market trend.
The fixed rate mortgage is a disadvantage since as market trends change, there are better rates and custom mortgages that are coming up allow one to take full advantage of this. Moreover, people like changing with the financial times. The fixed rate mortgage interest is rigid thus even when there are better mortgage rates, its rates cannot be adjusted. The fixed rate mortgage is also a disadvantage more so when the interest rates are high since there are no adjustments that can be made.
It is advisable that before one takes up a fixed rate mortgage, they should calculate the overall cost that they would have to pay to ascertain that they are able to fund the costs.
For more information on mortgage interest rates please visit: http://www.mortgageinterestrates.cc
At http://www.mortgageinterestrates.cc/Mortgage-Interest-Rates-Predictions.html you will find information about the direction of interest rates.
Fixed rate mortgage at the name suggests is a mortgage whose interest rates cannot be altered. Fixed rate mortgages are usually a characteristic of a mainstream mortgage and thus are offered to people with good credit ratings. People who are sure of their method of repayment and people who prefer certainty usually take the fixed rate mortgage. Fixed rate mortgages usually have a high rate of interest though the borrower is sure of the overall payment at the end of the mortgage period.
Fixed rate mortgages allow the borrower to plan their payment installments and are stress free since the borrower is always aware of the installment obligation. Fixed mortgage rate is also advisable for people with good liquidity since it takes a shorter period to complete the mortgage plan. The borrower is allowed to pay the principal amount early and this is to their advantage since they reduce the level of interest payment. This characteristic tends to alter the title of the mortgage but the 'fixed' title is due to the fixed repayment period.
The interest rates of fixed rate mortgage increase with the increase in the repayment period. Fixed rate mortgage for a short period will have lower interest than that of a longer period. In the United States, people prefer fixed rate mortgages that have a period between 10 to 30 years, which is a considerable period for the loan repayment. It is advisable that the borrower pays the principal as fast as they can to ensure that that they pay lower interest rates in the subsequent years. The fixed rate mortgage is suitable for people who want to have their dream home. This is because they can take a big mortgage and fund it over a long period at a constant installment rate.
In addition to this certainty, a fixed rate mortgage is advantageous more so when one gets a salary increase since the interest rate remains the same and thus, there is an increase in one's disposable income. They are also good mortgages when the interest rates are low since there is no pressure in paying the installments. In case the market mortgage rates increase, the fixed mortgage rate interest does not increase and this is an advantage to the borrower. It is one of the best mortgage plans for people who are not risk takers since they are certain of the payments unlike the adjustable mortgages that move with the market trend.
The fixed rate mortgage is a disadvantage since as market trends change, there are better rates and custom mortgages that are coming up allow one to take full advantage of this. Moreover, people like changing with the financial times. The fixed rate mortgage interest is rigid thus even when there are better mortgage rates, its rates cannot be adjusted. The fixed rate mortgage is also a disadvantage more so when the interest rates are high since there are no adjustments that can be made.
It is advisable that before one takes up a fixed rate mortgage, they should calculate the overall cost that they would have to pay to ascertain that they are able to fund the costs.
For more information on mortgage interest rates please visit: http://www.mortgageinterestrates.cc
At http://www.mortgageinterestrates.cc/Mortgage-Interest-Rates-Predictions.html you will find information about the direction of interest rates.
วันศุกร์ที่ 25 กันยายน พ.ศ. 2552
Reverse Mortgage - Home Security And Income
Reverse Mortgage - Home Security And Income
When you take a reverse mortgage, you sell the equity in your house but still have the ability to stay in it till you die. In this way, the properties equity yields fixed payments. However, this arrangement depends upon how old you are, and there are other potential difficulties that might be greater than the advantages in your case. It is a good idea to speak with your attorney before taking any action.
It is possible to get cash payments from your lender as advances against the equity that you currently have in your home. This reverse mortgage is the opposite of a regular mortgage where you would be paying cash to the lender. You are able to exchange the equity you own for cash that you need.
You can do whatever you want with the funds that you receive as a result of getting a reverse mortgage. You also are not responsible for paying anything on this loan as long as you still live in the house. These mortgages were created so that seniors could get loans for their everyday living expenses without having to sell the homes.
To be entitled for this mortgage, you must meet the following criteria: own your home, utilize the house as your principle residence for over six month a year and be a minimum of 62 years of age. If there are liens against the home, they must be paid off before acquiring the mortgage. It is also possible to use an immediate cash advance from the mortgage to resolve any liens you may have.
The amount of money that you can borrow against your equity is based on a number of things, including age, how much equity you own and the interest rate of your loan. The cash payments you receive can also come in a number of ways such as one large payment, monthly payments or credit lines. Usually the most money goes to older people who own expensive houses with low interest rates.
Usually you won't be responsible for repaying the loan unless you move, sell the home, or die. The exception is that you could have to repay the loan when you reach the end of its term. Even though you don't have to pay back the loan, you still own the house so are still responsible for all of its costs. These include taxes, repairs and maintenance. If you fall behind on paying these costs, the loan you have received may become payable in full.
Your heirs will still get the title of your home when you die, but they are responsible for paying off the loan. This can be done by switching the reverse mortgage over to a more traditional mortgage, or selling the home. Many reverse mortgage plans exist out there at banks such as Bank of America, and there are a number of advantages and disadvantages that come along with getting a reverse mortgage.
There are different reverse mortgage plans available. There are also many advantages and disadvantages of a reverse mortgage - Bank of America reverse mortgage also provides this type of financing. For more information about reverse mortgages, please visit our website -
online-reverse-mortgage.com.
When you take a reverse mortgage, you sell the equity in your house but still have the ability to stay in it till you die. In this way, the properties equity yields fixed payments. However, this arrangement depends upon how old you are, and there are other potential difficulties that might be greater than the advantages in your case. It is a good idea to speak with your attorney before taking any action.
It is possible to get cash payments from your lender as advances against the equity that you currently have in your home. This reverse mortgage is the opposite of a regular mortgage where you would be paying cash to the lender. You are able to exchange the equity you own for cash that you need.
You can do whatever you want with the funds that you receive as a result of getting a reverse mortgage. You also are not responsible for paying anything on this loan as long as you still live in the house. These mortgages were created so that seniors could get loans for their everyday living expenses without having to sell the homes.
To be entitled for this mortgage, you must meet the following criteria: own your home, utilize the house as your principle residence for over six month a year and be a minimum of 62 years of age. If there are liens against the home, they must be paid off before acquiring the mortgage. It is also possible to use an immediate cash advance from the mortgage to resolve any liens you may have.
The amount of money that you can borrow against your equity is based on a number of things, including age, how much equity you own and the interest rate of your loan. The cash payments you receive can also come in a number of ways such as one large payment, monthly payments or credit lines. Usually the most money goes to older people who own expensive houses with low interest rates.
Usually you won't be responsible for repaying the loan unless you move, sell the home, or die. The exception is that you could have to repay the loan when you reach the end of its term. Even though you don't have to pay back the loan, you still own the house so are still responsible for all of its costs. These include taxes, repairs and maintenance. If you fall behind on paying these costs, the loan you have received may become payable in full.
Your heirs will still get the title of your home when you die, but they are responsible for paying off the loan. This can be done by switching the reverse mortgage over to a more traditional mortgage, or selling the home. Many reverse mortgage plans exist out there at banks such as Bank of America, and there are a number of advantages and disadvantages that come along with getting a reverse mortgage.
There are different reverse mortgage plans available. There are also many advantages and disadvantages of a reverse mortgage - Bank of America reverse mortgage also provides this type of financing. For more information about reverse mortgages, please visit our website -
online-reverse-mortgage.com.
วันพฤหัสบดีที่ 24 กันยายน พ.ศ. 2552
If You Want Security Get a Fixed Interest Rate Mortgage
If You Want Security Get a Fixed Interest Rate Mortgage
Fixed interest rate mortgages are considered by many to be the safest mortgage loan available. This is because fixed rate mortgages have rates that remain the same throughout the life of the loan. With a fixed rate borrowers are never faced with unexpected changes in there monthly payments.
There are two main types of fixed rate loans. A thirty year fixed rate loan allows you to spread your loan and interest payments over a period of thirty years. It allows for lower monthly payments but your interest rates will be higher due to the higher risk to the lender. The equity in your home is accumulated at a much slower rate due to the fact that most of your interest will be paid off in the beginning of the loan. However there is a benefit to this, your tax deduction will be higher.
A fifteen year fixed rate loan is similar but spreads your loan and interest payments over fifteen years. The benefit of this kind of fixed rate mortgage is that the equity in your home is accumulated at a much faster rate because the risk to the lender is less. You will have higher monthly payments with a fifteen year loan but you will pay much less in interest every month.
Besides these two fixed rate loans there are also forty year loans and fifty year loans available to borrowers today. These loans are not very popular due to the extended period of time that you have to pay on the loan.
With fixed rate mortgages the interest rates tend to be a little higher than adjustable rate loans. The reason for this is that with adjustable rate loans there is the risk of interest rates rising, while fixed rates do not have this possibility. This does not mean that an adjustable rate is better then a fixed rate. With a fixed rate mortgage you never have to worry about your payments going up because of an adjustment in rates. An adjustable mortgage loan can and more then likely will be raised.
Another great benefit of having a fixed rate mortgage is that the chance of foreclosure is extremely low. This is due to the fact that with this type of loan you can always depend on the payments staying the same, allowing for monthly budgeting.
With the amount of people in foreclosure and the economic problems that we are facing today a fixed mortgage loan may be the best option for you. The reason for this is that with a fixed rate mortgage you will be assured a regular monthly payment without increases that could possibly make it difficult or in some cases impossible to afford your monthly payments.
A Fixed Rate Mortgage is definitely the safest way to go these days. To learn more about different kinds of Mortgages Visit my website.
Fixed interest rate mortgages are considered by many to be the safest mortgage loan available. This is because fixed rate mortgages have rates that remain the same throughout the life of the loan. With a fixed rate borrowers are never faced with unexpected changes in there monthly payments.
There are two main types of fixed rate loans. A thirty year fixed rate loan allows you to spread your loan and interest payments over a period of thirty years. It allows for lower monthly payments but your interest rates will be higher due to the higher risk to the lender. The equity in your home is accumulated at a much slower rate due to the fact that most of your interest will be paid off in the beginning of the loan. However there is a benefit to this, your tax deduction will be higher.
A fifteen year fixed rate loan is similar but spreads your loan and interest payments over fifteen years. The benefit of this kind of fixed rate mortgage is that the equity in your home is accumulated at a much faster rate because the risk to the lender is less. You will have higher monthly payments with a fifteen year loan but you will pay much less in interest every month.
Besides these two fixed rate loans there are also forty year loans and fifty year loans available to borrowers today. These loans are not very popular due to the extended period of time that you have to pay on the loan.
With fixed rate mortgages the interest rates tend to be a little higher than adjustable rate loans. The reason for this is that with adjustable rate loans there is the risk of interest rates rising, while fixed rates do not have this possibility. This does not mean that an adjustable rate is better then a fixed rate. With a fixed rate mortgage you never have to worry about your payments going up because of an adjustment in rates. An adjustable mortgage loan can and more then likely will be raised.
Another great benefit of having a fixed rate mortgage is that the chance of foreclosure is extremely low. This is due to the fact that with this type of loan you can always depend on the payments staying the same, allowing for monthly budgeting.
With the amount of people in foreclosure and the economic problems that we are facing today a fixed mortgage loan may be the best option for you. The reason for this is that with a fixed rate mortgage you will be assured a regular monthly payment without increases that could possibly make it difficult or in some cases impossible to afford your monthly payments.
A Fixed Rate Mortgage is definitely the safest way to go these days. To learn more about different kinds of Mortgages Visit my website.
วันพุธที่ 23 กันยายน พ.ศ. 2552
Get Financial Security In Old Age Through Nevada Reverse Mortgage
Get Financial Security In Old Age Through Nevada Reverse Mortgage
Owning a house is often one of the most prized possessions for any individual, as it is much more than simply a roof over your head. It is a secure haven for you and your loved ones and when the need arises it can also act as one of the bets investments that you have made during your active, service life. Most of the other investments of an individual are usually locked away in various funds that are generally on a long term basis. In times of financial emergency, it may therefore, be a big hassle if you require instant funds and cannot encash your long term investments for instant liquidity. A house can then be your biggest asset, which can easily secure a decent amount of loan for you at whatever time you need it. So, if you are sixty five years of age or above, are retired and living in Nevada in a house of your own, then the Nevada reverse mortgage is the most feasible option to ensure financial security for yourself.
The Nevada reverse mortgage option has been steadily increasing in popularity due to the multiple advantages which it offers to any senior, retired house owner residing in Nevada. One of the major advantages of opting for a Nevada reverse mortgage is that the house ownership remains with the original owner, who is the borrower and hence he can continue to use the property as his primary residence for as long as he desires. Also, the loan amount of the reverse mortgage need not be repaid by the borrower for as long as he is residing on the mortgaged property as the house itself is the collateral for the loan and the amount will be repaid in full by the house itself. The lender will recover his loan amount form the sale of the house once the borrower expires or decides to sell off the house and move on, so there is no financial constraint on the borrower of a reverse mortgage loan.
The burden of the Nevada reverse mortgage loan does not pass on to the heir of the borrower for the same reason, which is that the house itself will pay off the loan through the sale proceeds itself. The borrower of the loan only needs to pay the regular costs and charges for the house which would be the house tax and the cost of repair and maintenance. Also, the borrower could opt for a lump sum payment of the loan amount or maybe get the loan money in monthly installments. Many retired citizens prefer the installment mode of payment as it implies that there is a regular inflow of cash into the household even after retirement.
So, if you are an individual, who has enjoyed an independent financial existence during your entire work life, you would not like to ask any family member or friend for any financial help post retirement. In these circumstances the Nevada reverse mortgage is the most feasible option for you to get easy and convenient financial security and assurance of a roof over your head for as long as you live.
Simon Lowa is an expert in mortgages and retirement solutions.He gives advice to clients who are looking for counsel on reverse mortgage. For more queries about Reverse mortgage,reverse mortgage seniors,reverse mortgage broker and Nevada reverse mortgage visit http://www.reverse-mortgage-seniors.com
Owning a house is often one of the most prized possessions for any individual, as it is much more than simply a roof over your head. It is a secure haven for you and your loved ones and when the need arises it can also act as one of the bets investments that you have made during your active, service life. Most of the other investments of an individual are usually locked away in various funds that are generally on a long term basis. In times of financial emergency, it may therefore, be a big hassle if you require instant funds and cannot encash your long term investments for instant liquidity. A house can then be your biggest asset, which can easily secure a decent amount of loan for you at whatever time you need it. So, if you are sixty five years of age or above, are retired and living in Nevada in a house of your own, then the Nevada reverse mortgage is the most feasible option to ensure financial security for yourself.
The Nevada reverse mortgage option has been steadily increasing in popularity due to the multiple advantages which it offers to any senior, retired house owner residing in Nevada. One of the major advantages of opting for a Nevada reverse mortgage is that the house ownership remains with the original owner, who is the borrower and hence he can continue to use the property as his primary residence for as long as he desires. Also, the loan amount of the reverse mortgage need not be repaid by the borrower for as long as he is residing on the mortgaged property as the house itself is the collateral for the loan and the amount will be repaid in full by the house itself. The lender will recover his loan amount form the sale of the house once the borrower expires or decides to sell off the house and move on, so there is no financial constraint on the borrower of a reverse mortgage loan.
The burden of the Nevada reverse mortgage loan does not pass on to the heir of the borrower for the same reason, which is that the house itself will pay off the loan through the sale proceeds itself. The borrower of the loan only needs to pay the regular costs and charges for the house which would be the house tax and the cost of repair and maintenance. Also, the borrower could opt for a lump sum payment of the loan amount or maybe get the loan money in monthly installments. Many retired citizens prefer the installment mode of payment as it implies that there is a regular inflow of cash into the household even after retirement.
So, if you are an individual, who has enjoyed an independent financial existence during your entire work life, you would not like to ask any family member or friend for any financial help post retirement. In these circumstances the Nevada reverse mortgage is the most feasible option for you to get easy and convenient financial security and assurance of a roof over your head for as long as you live.
Simon Lowa is an expert in mortgages and retirement solutions.He gives advice to clients who are looking for counsel on reverse mortgage. For more queries about Reverse mortgage,reverse mortgage seniors,reverse mortgage broker and Nevada reverse mortgage visit http://www.reverse-mortgage-seniors.com
วันอังคารที่ 22 กันยายน พ.ศ. 2552
Find Financial Security And Peace With A Florida Reverse Mortgage
Find Financial Security And Peace With A Florida Reverse Mortgage
Old age can be a period of rest and peace of mind if you have sufficient investments made to last you until the end. Life can be really enjoyed post retirement, as you finally find the time to actually do the things which you have always wanted to do but never found sufficient time to do it. If you are also a homeowner then the security is complete as a house is indeed one of the best investments that can individual; can make. However, in spite of your best efforts if a financial crisis still hits you and you cannot get access to instant liquidity as most of the investments are on a long term basis, your house can still be your best bet on raising the much required funds. If you are sixty five years of age or above and a retired homeowner in Florida, then a Florida reverse mortgage is the most feasible option to get the necessary funds for your needs.
The Florida reverse mortgage has many benefits for the senior, retired citizen and one of the primary benefits is that the borrower can use the mortgaged property for residential purposes for as long as he lives. Also, the ownership of the property remains with the original owner in spite of the Florida reverse mortgage on the house. So the owner can even choose to sell off the property if he so desires. However, in case of a sale, the sale proceeds must be first utilized towards paying off the mortgage on the house before any part of the proceeds is claimed by the owner of the house. The heir of the owner also does not have any claim of the mortgaged property unless the mortgage loan has been paid off. However, this also implies that the mortgage loan does not pass on to the heir in the case of demise of the owner. The house itself is the biggest security against the loan as it is sold off to repay the loan without any burden on the owner or his heir.
When you have opted for a Florida reverse mortgage then you not only get easy access to ready funds but you also do not have to make any payments towards loan repayment like in the case of any other traditional home loans. All that the homeowner needs to pay are the regular costs and charges of the house such as the house tax and other costs of house repair and maintenance. Also, the homeowner has the option of taking the loan amount either as a lump sum or in the form of monthly installments.
Many retired citizens who have opted for the Florida reverse mortgage usually prefer the monthly installment form of payment as it ensures a regular inflow of income in the household even after retirement. The loan amount can be easily used to pay for any household costs that you may be having or for any financial emergency that may have cropped up and you need instant liquidity for this emergency. So whatever may be your use, the reverse mortgage on your house can easily come in handy.
Simon Lowa is an expert in mortgages and retirement solutions.He gives advice to clients who are looking for counsel on reverse mortgage. For more queries about Reverse mortgage,reverse mortgage seniors,reverse mortgage broker and Florida reverse mortgage visit http://www.reverse-mortgage-seniors.com
Old age can be a period of rest and peace of mind if you have sufficient investments made to last you until the end. Life can be really enjoyed post retirement, as you finally find the time to actually do the things which you have always wanted to do but never found sufficient time to do it. If you are also a homeowner then the security is complete as a house is indeed one of the best investments that can individual; can make. However, in spite of your best efforts if a financial crisis still hits you and you cannot get access to instant liquidity as most of the investments are on a long term basis, your house can still be your best bet on raising the much required funds. If you are sixty five years of age or above and a retired homeowner in Florida, then a Florida reverse mortgage is the most feasible option to get the necessary funds for your needs.
The Florida reverse mortgage has many benefits for the senior, retired citizen and one of the primary benefits is that the borrower can use the mortgaged property for residential purposes for as long as he lives. Also, the ownership of the property remains with the original owner in spite of the Florida reverse mortgage on the house. So the owner can even choose to sell off the property if he so desires. However, in case of a sale, the sale proceeds must be first utilized towards paying off the mortgage on the house before any part of the proceeds is claimed by the owner of the house. The heir of the owner also does not have any claim of the mortgaged property unless the mortgage loan has been paid off. However, this also implies that the mortgage loan does not pass on to the heir in the case of demise of the owner. The house itself is the biggest security against the loan as it is sold off to repay the loan without any burden on the owner or his heir.
When you have opted for a Florida reverse mortgage then you not only get easy access to ready funds but you also do not have to make any payments towards loan repayment like in the case of any other traditional home loans. All that the homeowner needs to pay are the regular costs and charges of the house such as the house tax and other costs of house repair and maintenance. Also, the homeowner has the option of taking the loan amount either as a lump sum or in the form of monthly installments.
Many retired citizens who have opted for the Florida reverse mortgage usually prefer the monthly installment form of payment as it ensures a regular inflow of income in the household even after retirement. The loan amount can be easily used to pay for any household costs that you may be having or for any financial emergency that may have cropped up and you need instant liquidity for this emergency. So whatever may be your use, the reverse mortgage on your house can easily come in handy.
Simon Lowa is an expert in mortgages and retirement solutions.He gives advice to clients who are looking for counsel on reverse mortgage. For more queries about Reverse mortgage,reverse mortgage seniors,reverse mortgage broker and Florida reverse mortgage visit http://www.reverse-mortgage-seniors.com
วันจันทร์ที่ 21 กันยายน พ.ศ. 2552
Insure Your Old Age With The Security Of A Reverse Mortgage
Insure Your Old Age With The Security Of A Reverse Mortgage
Old age brings with it many insecurities and fear for your loved ones and also about your own existence in the mad world. Since you have retired, it means that you have also left the rat race behind you, the race to earn more money, the race to increase your standards of living, the race for survival at any cost. During your active service life you may have made some profitable investments that are your security now and you may even have build a house of your own, which is your haven now. However, the uncertainties of economic fluctuations leave you wondering, will your investments be sufficient in your time of need? It is natural to be worried and concerned about your life post retirement but if you make the right decisions even now, then there is no need to worry about your finances ever. After all, being a home owner, who is retired and is sixty five years or above, you always have the reverse mortgage plan working for you.
More and more American, senior, retired citizens who are homeowners, are opting for the reverse mortgage plan as and when they face a need for financial resources. The reverse mortgage scheme owes its increasing popularity to the multiple benefits which it provides to the borrower. One of the biggest advantages of placing your home for such a mortgage is that the ownership of the house remains with the borrower, who is the original owner and hence, he can continue using the mortgaged property as his primary residence.
A borrower who has taken a reverse mortgage on his house also has the benefit of not being required to repay any part of the loan for as long as he is alive or decides to reside on the mortgaged property. All he needs to pay for are the usual charges and costs of maintaining the property like the house tax and cost for repairs and maintenance. However, if the borrower decides to sell off the mortgaged property, then the loan amount needs to be paid off by using the sale proceeds of the house, before the owner or his heir can lay their hands on any share of the sale proceeds. It also ensures that your heirs will not have to bear the burden of your mortgage loan after you, as the house itself will pay off the mortgage through its sale, when it is required.
As a salaried individual, you have led your life independently, relying on no one for you financial existence. Now, post retirement too, you would like to lead an independent existence, without having to ask any family member or friend for financial support. So, make the best use of the house which you have so lovingly bought or built and let it secure your future for you. A reverse mortgage on your house will ensure that you not only have a roof over your head permanently but also a financial support in the form of a lump sum loan amount or monthly installments, to act as a household income, even long after you have retired.
Simon Lowa is an expert in mortgages and retirement solutions.He gives advice to clients who are looking for counsel on reverse mortgage. For more queries about Reverse mortgage seniors, Reverse mortgage broker, Reverse mortgage marketing and Reverse mortgage visit http://www.reverse-mortgage-seniors.com
Old age brings with it many insecurities and fear for your loved ones and also about your own existence in the mad world. Since you have retired, it means that you have also left the rat race behind you, the race to earn more money, the race to increase your standards of living, the race for survival at any cost. During your active service life you may have made some profitable investments that are your security now and you may even have build a house of your own, which is your haven now. However, the uncertainties of economic fluctuations leave you wondering, will your investments be sufficient in your time of need? It is natural to be worried and concerned about your life post retirement but if you make the right decisions even now, then there is no need to worry about your finances ever. After all, being a home owner, who is retired and is sixty five years or above, you always have the reverse mortgage plan working for you.
More and more American, senior, retired citizens who are homeowners, are opting for the reverse mortgage plan as and when they face a need for financial resources. The reverse mortgage scheme owes its increasing popularity to the multiple benefits which it provides to the borrower. One of the biggest advantages of placing your home for such a mortgage is that the ownership of the house remains with the borrower, who is the original owner and hence, he can continue using the mortgaged property as his primary residence.
A borrower who has taken a reverse mortgage on his house also has the benefit of not being required to repay any part of the loan for as long as he is alive or decides to reside on the mortgaged property. All he needs to pay for are the usual charges and costs of maintaining the property like the house tax and cost for repairs and maintenance. However, if the borrower decides to sell off the mortgaged property, then the loan amount needs to be paid off by using the sale proceeds of the house, before the owner or his heir can lay their hands on any share of the sale proceeds. It also ensures that your heirs will not have to bear the burden of your mortgage loan after you, as the house itself will pay off the mortgage through its sale, when it is required.
As a salaried individual, you have led your life independently, relying on no one for you financial existence. Now, post retirement too, you would like to lead an independent existence, without having to ask any family member or friend for financial support. So, make the best use of the house which you have so lovingly bought or built and let it secure your future for you. A reverse mortgage on your house will ensure that you not only have a roof over your head permanently but also a financial support in the form of a lump sum loan amount or monthly installments, to act as a household income, even long after you have retired.
Simon Lowa is an expert in mortgages and retirement solutions.He gives advice to clients who are looking for counsel on reverse mortgage. For more queries about Reverse mortgage seniors, Reverse mortgage broker, Reverse mortgage marketing and Reverse mortgage visit http://www.reverse-mortgage-seniors.com
วันอาทิตย์ที่ 20 กันยายน พ.ศ. 2552
Take the Advantage of a Reverse Mortgage Loan For Financial Security
Take the Advantage of a Reverse Mortgage Loan For Financial Security
Once you have reached your old age and the regular inflow of income has stopped due to retirement, managing your finances and running the household can be quite a challenge. Also, during the old age the cost on health care is bound to rise and with little social security, you may find yourself being forced to depend on others. However, since property, especially residential property, forms a major chunk of the total asset share of any retired, senior citizen, an individual can utilize this property to his financial advantage. Converting your residential property into an easy source of liquid funds is easy, provided you make the smart choice. A reverse mortgage on your home can be the most feasible method of insuring a regular inflow of liquid cash, that can help you treat your old age as the golden era of your life.
If you have a residential property and want to continue using it as your primary residence in the near future, then you could easily place it for a reverse mortgage loan. The multiple benefits of a reverse mortgage are that firstly, it allows the borrower to reside on the mortgaged property indefinitely. Secondly, the ownership of the property also remains with the borrower, giving him the option of selling the property as and when he so desires. However, when a property is sold by the owner, the sale proceeds must first be used to repay the mortgage, before any share of the funds can be claimed by the owner or his heirs. Thirdly, the borrower can also opt to get the mortgage loan amount either as a lump sum payment or in the form of monthly installments, ensuring a regular inflow of funds into his household.
Perhaps one of the biggest financial advantage of opting for a reverse mortgage is that the borrower need not repay the loan during his lifetime, as long as he continues to use the property for his residential purposes. All that a borrower needs to pay during the tenure of the mortgage are the regular costs and charges for house repair and maintenance and the house tax. So, with a regular inflow of funds and no outflow of cash as payment to the lender, the borrower can ensure a secured old age for himself and his dependents. Also, a property that has been placed on this mortgage plan can be re-mortgaged again, provided that this mortgage was the first of its kind loan on the property.
The reverse mortgage plan is continuously gaining popularity among the retired, senior citizens of United States. So, if you are a senior citizen of sixty five years or above, are retired and own a residential property, then opting for this kind of a mortgage scheme would be the ideal solution to all your financial problems. If throughout your life, you have led an independent existence, without seeking the help of others, then there is no reason that your old age should be any different. Opt for the smart solution of mortgaging your property and enjoy the financial benefits of being a homeowner.
Simon Lowa is an expert in mortgages and retirement solutions.He gives advice to clients who are looking for counsel on reverse mortgage. For more queries about Reverse mortgage seniors, Reverse mortgage broker, Reverse mortgage marketing and Reverse mortgage visit http://www.reverse-mortgage-seniors.com
Once you have reached your old age and the regular inflow of income has stopped due to retirement, managing your finances and running the household can be quite a challenge. Also, during the old age the cost on health care is bound to rise and with little social security, you may find yourself being forced to depend on others. However, since property, especially residential property, forms a major chunk of the total asset share of any retired, senior citizen, an individual can utilize this property to his financial advantage. Converting your residential property into an easy source of liquid funds is easy, provided you make the smart choice. A reverse mortgage on your home can be the most feasible method of insuring a regular inflow of liquid cash, that can help you treat your old age as the golden era of your life.
If you have a residential property and want to continue using it as your primary residence in the near future, then you could easily place it for a reverse mortgage loan. The multiple benefits of a reverse mortgage are that firstly, it allows the borrower to reside on the mortgaged property indefinitely. Secondly, the ownership of the property also remains with the borrower, giving him the option of selling the property as and when he so desires. However, when a property is sold by the owner, the sale proceeds must first be used to repay the mortgage, before any share of the funds can be claimed by the owner or his heirs. Thirdly, the borrower can also opt to get the mortgage loan amount either as a lump sum payment or in the form of monthly installments, ensuring a regular inflow of funds into his household.
Perhaps one of the biggest financial advantage of opting for a reverse mortgage is that the borrower need not repay the loan during his lifetime, as long as he continues to use the property for his residential purposes. All that a borrower needs to pay during the tenure of the mortgage are the regular costs and charges for house repair and maintenance and the house tax. So, with a regular inflow of funds and no outflow of cash as payment to the lender, the borrower can ensure a secured old age for himself and his dependents. Also, a property that has been placed on this mortgage plan can be re-mortgaged again, provided that this mortgage was the first of its kind loan on the property.
The reverse mortgage plan is continuously gaining popularity among the retired, senior citizens of United States. So, if you are a senior citizen of sixty five years or above, are retired and own a residential property, then opting for this kind of a mortgage scheme would be the ideal solution to all your financial problems. If throughout your life, you have led an independent existence, without seeking the help of others, then there is no reason that your old age should be any different. Opt for the smart solution of mortgaging your property and enjoy the financial benefits of being a homeowner.
Simon Lowa is an expert in mortgages and retirement solutions.He gives advice to clients who are looking for counsel on reverse mortgage. For more queries about Reverse mortgage seniors, Reverse mortgage broker, Reverse mortgage marketing and Reverse mortgage visit http://www.reverse-mortgage-seniors.com
วันเสาร์ที่ 19 กันยายน พ.ศ. 2552
Income Insurance Mortgage Payment Protection For Security
Income Insurance Mortgage Payment Protection For Security
Income insurance mortgage payment protection is one way of ensuring that you would have an income if you lost your own. You could lose your income to accident, sickness or unemployment and this would mean that you are left struggling when it came to being able to pay your mortgage. Along with your mortgage you would also have to meet many other outgoings which could include any loan repayments or credit card outgoings. You would also have to meet any other bills that came into the home on a regular basis that would need paying in order to keep the home running smoothly.
Not being able to keep up with the mortgage repayments means that you are risking losing your home to the mortgage lender. If you cannot afford to pay your mortgage while at the same time catching up on the arrears then the lender will have no choice but to take you to court. A single missed payment would be cause for concern with the lender and they would send out a letter reminding you of the missed payment. Another payment and you would have to meet with the lender to make an agreement to catch up. However at the same time you would be expected to continue paying the mortgage payments as usual. If you have income insurance mortgage payment protection to fall back on you would not have to give a thought to falling into arrears. This would allow you to concentrate on making a full recovery without adding stress onto an already stressful situation. If you were unemployed it would allow you the time to search for work without any distractions.
Of course your policy would do much more than this; you would also be able to pay any other outgoings which would include any loan repayments that you had to make each month. Getting behind on loan repayments also has many consequences with the least being that your credit file would be affected. Your credit file is essential when you apply for credit of any kind as it is the first thing that all lenders will take into account. If you have missed payments then you would find it extremely hard to be approved for credit. You would also have the money from your tax-free income to continue meeting such essential outgoings as your food bills, electric and gas bills.
Your income insurance mortgage payment protection policy would begin to payout after a pre-determined amount of time. Usually this is between the 30th and the 90th days of being unemployed or of being unable to work. Some providers would offer to backdate the cover to the first day of becoming unemployed or of being incapacitated so you have to check this in the terms and conditions before taking out the policy. Once the cover has started to provide an income you would a certain amount of time before it would stop. Providers will usually offer a plan of protection that would either pay you an income of 12 monthly payments or 24 monthly payments.
Simon Burgess is Managing Director of the award-winning British Insurance, a specialist provider of income insurance mortgage payment protection.
Income insurance mortgage payment protection is one way of ensuring that you would have an income if you lost your own. You could lose your income to accident, sickness or unemployment and this would mean that you are left struggling when it came to being able to pay your mortgage. Along with your mortgage you would also have to meet many other outgoings which could include any loan repayments or credit card outgoings. You would also have to meet any other bills that came into the home on a regular basis that would need paying in order to keep the home running smoothly.
Not being able to keep up with the mortgage repayments means that you are risking losing your home to the mortgage lender. If you cannot afford to pay your mortgage while at the same time catching up on the arrears then the lender will have no choice but to take you to court. A single missed payment would be cause for concern with the lender and they would send out a letter reminding you of the missed payment. Another payment and you would have to meet with the lender to make an agreement to catch up. However at the same time you would be expected to continue paying the mortgage payments as usual. If you have income insurance mortgage payment protection to fall back on you would not have to give a thought to falling into arrears. This would allow you to concentrate on making a full recovery without adding stress onto an already stressful situation. If you were unemployed it would allow you the time to search for work without any distractions.
Of course your policy would do much more than this; you would also be able to pay any other outgoings which would include any loan repayments that you had to make each month. Getting behind on loan repayments also has many consequences with the least being that your credit file would be affected. Your credit file is essential when you apply for credit of any kind as it is the first thing that all lenders will take into account. If you have missed payments then you would find it extremely hard to be approved for credit. You would also have the money from your tax-free income to continue meeting such essential outgoings as your food bills, electric and gas bills.
Your income insurance mortgage payment protection policy would begin to payout after a pre-determined amount of time. Usually this is between the 30th and the 90th days of being unemployed or of being unable to work. Some providers would offer to backdate the cover to the first day of becoming unemployed or of being incapacitated so you have to check this in the terms and conditions before taking out the policy. Once the cover has started to provide an income you would a certain amount of time before it would stop. Providers will usually offer a plan of protection that would either pay you an income of 12 monthly payments or 24 monthly payments.
Simon Burgess is Managing Director of the award-winning British Insurance, a specialist provider of income insurance mortgage payment protection.
วันศุกร์ที่ 18 กันยายน พ.ศ. 2552
Getting Mortgage Quotes Online - 3 Tips For Internet Security
Getting Mortgage Quotes Online - 3 Tips For Internet Security
Thanks to the Internet, the entire real estate process has gotten a lot easier. You can find homes and research prices online, and you can even request quotes from mortgage lenders with less time and effort than in the past.
And while these are certainly good things, you must also exercise a bit of caution when getting home loan quotes via the Web. You need to protect your personal information at all times, and you need to learn about the various companies that offer this kind of web-based service. This calls for some light "detective" work on your part, and that's what I'm going to teach you in this article.
Before we get to the actual steps involved in this process, let me offer you some good news. With a little research and common sense, you can benefit from the convenience and efficiency of online mortgage quotes while protecting your identity at the same time. There are plenty of reputable companies that offer these services. Of course, there are some scams out there as well, but these will be fairly easy to spot once you read this article.
Without further ado, here are five ways to protect your identity while getting loan offers via the Web:
1. Go With the Names You Know
Generally speaking, it's best to use a company you've heard of before when requesting mortgage quotes through the Internet. Here's why. The fact that you've heard of them suggests that the company spends a lot of time, energy and money on their brand name. Such a company will go a long way to protect its reputation and brand, and they do this by providing a good service and looking after their customers. Personally, I would never offer sensitive information to an unknown company -- too much of a wild card for my comfort. I recommend you do the same.
2. Look for the 'S' in the Web Address
A website that is truly secure have the letter 's' in the prefix of the website address / URL. This means the site is encrypted to keep hackers and identity thieves out, as much as possible anyway. When you visit a lender's website -- and before you transmit sensitive information through the site -- check the web address that appears in your Internet browser. If it's truly a secure website, there should be an "https://" prefix before the "www" part. Note the all-important letter 's' in that prefix. If the address starts with "http://www" (lacking the letter 's'), then it's not a secure site.
3. Look for Third-Party Verification
Reputable mortgage companies will go the extra mile to have ensure their websites are secure for visitors. This will often include the use of third-party verification of site security. In other words, the company will hire another company to test and verify the secure areas of their website. You've probably even seen the certification seals on financial websites in the past. A common one is the "TRUSTe" seal of approval. In most cases, you can actually click on the image / seal to check the security status of the site you're on.
Conclusion and Going Forward
Using the Internet is a great way to get quotes for a home loans while saving time and energy in the process. You just have to exercise a little caution along the way. Follow the safety guidelines I've provided above when requesting mortgage offers via the Web, and you should be fine. And remember this mantra of Internet safety and security ... when in doubt, back on out!
Brandon Cornett is the publisher of the Home Buying Institute, an educational website for first-time home buyers and mortgage shoppers. Learn more about getting loan quotes online by visiting http://www.homebuyinginstitute.com
Thanks to the Internet, the entire real estate process has gotten a lot easier. You can find homes and research prices online, and you can even request quotes from mortgage lenders with less time and effort than in the past.
And while these are certainly good things, you must also exercise a bit of caution when getting home loan quotes via the Web. You need to protect your personal information at all times, and you need to learn about the various companies that offer this kind of web-based service. This calls for some light "detective" work on your part, and that's what I'm going to teach you in this article.
Before we get to the actual steps involved in this process, let me offer you some good news. With a little research and common sense, you can benefit from the convenience and efficiency of online mortgage quotes while protecting your identity at the same time. There are plenty of reputable companies that offer these services. Of course, there are some scams out there as well, but these will be fairly easy to spot once you read this article.
Without further ado, here are five ways to protect your identity while getting loan offers via the Web:
1. Go With the Names You Know
Generally speaking, it's best to use a company you've heard of before when requesting mortgage quotes through the Internet. Here's why. The fact that you've heard of them suggests that the company spends a lot of time, energy and money on their brand name. Such a company will go a long way to protect its reputation and brand, and they do this by providing a good service and looking after their customers. Personally, I would never offer sensitive information to an unknown company -- too much of a wild card for my comfort. I recommend you do the same.
2. Look for the 'S' in the Web Address
A website that is truly secure have the letter 's' in the prefix of the website address / URL. This means the site is encrypted to keep hackers and identity thieves out, as much as possible anyway. When you visit a lender's website -- and before you transmit sensitive information through the site -- check the web address that appears in your Internet browser. If it's truly a secure website, there should be an "https://" prefix before the "www" part. Note the all-important letter 's' in that prefix. If the address starts with "http://www" (lacking the letter 's'), then it's not a secure site.
3. Look for Third-Party Verification
Reputable mortgage companies will go the extra mile to have ensure their websites are secure for visitors. This will often include the use of third-party verification of site security. In other words, the company will hire another company to test and verify the secure areas of their website. You've probably even seen the certification seals on financial websites in the past. A common one is the "TRUSTe" seal of approval. In most cases, you can actually click on the image / seal to check the security status of the site you're on.
Conclusion and Going Forward
Using the Internet is a great way to get quotes for a home loans while saving time and energy in the process. You just have to exercise a little caution along the way. Follow the safety guidelines I've provided above when requesting mortgage offers via the Web, and you should be fine. And remember this mantra of Internet safety and security ... when in doubt, back on out!
Brandon Cornett is the publisher of the Home Buying Institute, an educational website for first-time home buyers and mortgage shoppers. Learn more about getting loan quotes online by visiting http://www.homebuyinginstitute.com
วันพฤหัสบดีที่ 17 กันยายน พ.ศ. 2552
Mortgage Life Cover For Mortgage Security in the Event of Your Death
Mortgage Life Cover For Mortgage Security in the Event of Your Death
Anyone who has a mortgage to repay over a span of many years needs to give some thought to taking out mortgage life cover. If you are the main wage earner in the family then you need to consider how your loved ones would cope when it came to paying the mortgage in the event that you as the main income provider died, so protecting them is essential. Without cover they might not be able to maintain the mortgage repayments and lose their home and with it they would be able to use the money from the cover to payoff the outstanding mortgage and at least not have the worry about losing the roof over their heads.
Mortgage life cover is usually known as decreasing life insurance. This means that the payout you would get back from the life insurance would decrease along with the mortgage. You would initially insure the mortgage balance when taking out a policy and as you payoff the mortgage each month you owe less. Therefore you would take out mortgage life insurance to reflect the number of years you have left to pay on the mortgage. If you die the amount left owing on the policy is paid out but if you outlive the policy then of course the mortgage would be paid off and there would be no payout.
This type of insurance is great peace of mind to safeguard and protect your family at a time when they need it the most. The cost of insurance would of course take into account the amount you chose to insure and other factors such as age and your health when applying for the policy. The younger you are usually the less life insurance will cost. Premiums will also take into account your family history health wise, for example if there is a history of heart attack or stroke in the family you would usually have to pay more for the policy.
If there are two names on the mortgage then you could take out a policy for both names. Usually you can insure to payout upon the first death and then cover would cease.
When looking for mortgage life cover you need to compare the cost of premiums from several different providers to ensure that you get cover at a price that suits your budget. One of the quickest and easiest ways of doing this is to allow an insurance broker to search around on your behalf. They will be able to gather insurance quotes which you can then compare in the comfort of your own home. When comparing the cost of life insurance always check the exclusions which should come in the key facts of the cover. Different providers add in different exclusions and these are what can stop a claim being made on the policy. It is essential when taking on the insurance that you always tell the truth, even if it means you would pay more for the cover, as if you are caught out then again a claim might be refused.
David Thomson is Chief Executive of BestDealInsurance an independent specialist broker dedicated to providing their clients with the best deal on their life insurance, critical illness cover and home and motor insurance.
Anyone who has a mortgage to repay over a span of many years needs to give some thought to taking out mortgage life cover. If you are the main wage earner in the family then you need to consider how your loved ones would cope when it came to paying the mortgage in the event that you as the main income provider died, so protecting them is essential. Without cover they might not be able to maintain the mortgage repayments and lose their home and with it they would be able to use the money from the cover to payoff the outstanding mortgage and at least not have the worry about losing the roof over their heads.
Mortgage life cover is usually known as decreasing life insurance. This means that the payout you would get back from the life insurance would decrease along with the mortgage. You would initially insure the mortgage balance when taking out a policy and as you payoff the mortgage each month you owe less. Therefore you would take out mortgage life insurance to reflect the number of years you have left to pay on the mortgage. If you die the amount left owing on the policy is paid out but if you outlive the policy then of course the mortgage would be paid off and there would be no payout.
This type of insurance is great peace of mind to safeguard and protect your family at a time when they need it the most. The cost of insurance would of course take into account the amount you chose to insure and other factors such as age and your health when applying for the policy. The younger you are usually the less life insurance will cost. Premiums will also take into account your family history health wise, for example if there is a history of heart attack or stroke in the family you would usually have to pay more for the policy.
If there are two names on the mortgage then you could take out a policy for both names. Usually you can insure to payout upon the first death and then cover would cease.
When looking for mortgage life cover you need to compare the cost of premiums from several different providers to ensure that you get cover at a price that suits your budget. One of the quickest and easiest ways of doing this is to allow an insurance broker to search around on your behalf. They will be able to gather insurance quotes which you can then compare in the comfort of your own home. When comparing the cost of life insurance always check the exclusions which should come in the key facts of the cover. Different providers add in different exclusions and these are what can stop a claim being made on the policy. It is essential when taking on the insurance that you always tell the truth, even if it means you would pay more for the cover, as if you are caught out then again a claim might be refused.
David Thomson is Chief Executive of BestDealInsurance an independent specialist broker dedicated to providing their clients with the best deal on their life insurance, critical illness cover and home and motor insurance.
วันพุธที่ 16 กันยายน พ.ศ. 2552
Mortgage Payment Protection Insurance Provides Home Security
Mortgage Payment Protection Insurance Provides Home Security
There are a few different types of insurance protection for consumers looking to protect themselves against missed income from the loss of a job due to redundancy, illness, or accident. The basic type is usually either mortgage or loan payment protection insurance or a salary income payment protection plan. Brits must examine their own financial situation and needs, as well as the unique benefits of different policy types, when deciding which coverage is right for them.
Although many of the benefits are similar, the basic difference between mortgage payment protection insurance and salary protection coverage is that mortgage coverage provides relief for those needing to meet monthly mortgage payment demands. Income protection, however, is intended to help offset some of the lost income that people rely on to meet basic budgetary requirements from month to month.
Typically, mortgage payment protection insurance policies offer a higher payout percentage, based on the covered person's normal monthly income. A mortgage cover, for instance, may allow coverage up to 65 per cent of income, while an income protection plan may only allow coverage of 50 per cent of the lost income. This means, of course, that premium costs are higher for the mortgage protection, or the higher payment protection policies.
Consumers need to keep in mind that payment protection policies are short-term in nature. Often confused with long-term income protection insurance, payment protection insurance is short-term, typically providing 12 to 24 months of monthly payments. Payments begin thirty to ninety days after a covered event, which must occur for the coverage benefits to kick in.
The payment protection insurance (PPI) industry has come under heavy scrutiny. It was targeted in 2005 by Citizen's Advice, a consumer group, for mis-selling practices and questionable sales techniques used by some leading banks and lenders and is now in the hands of the Competition Commission.
Many providers have been charged with selling policies to customers who are ineligible to receive payout benefits, such as part time employees and retired people. Others believe that, while not necessarily illegal, providers that have packaged payment protection plans with mortgages, credit cards, or other loans, have unethically deceived consumers. Institutional providers generally offer premiums 40-80 per cent greater than can be attained from more reputable insurance brokers or specialists. They also tend to have a greater focus on lining customers up with the appropriate protection. For large institutions, payment protection is often considered simply an add-on product.
Consumers can put themselves in the best position by knowing the right questions to ask when looking at mortgage payment protection insurance products. They should avoid feeling pressured to by from mortgagers or credit card companies, but should look to brokers or specialists to learn about plans and explore benefits and terms of each. In spite of attempts by regulators to more thoroughly protect customers, there will always be some unscrupulous providers looking to take advantage of the unknowing consumer.
Simon Burgess is Managing Director of the award-winning British Insurance, a specialist provider of mortgage payment protection insurance.
There are a few different types of insurance protection for consumers looking to protect themselves against missed income from the loss of a job due to redundancy, illness, or accident. The basic type is usually either mortgage or loan payment protection insurance or a salary income payment protection plan. Brits must examine their own financial situation and needs, as well as the unique benefits of different policy types, when deciding which coverage is right for them.
Although many of the benefits are similar, the basic difference between mortgage payment protection insurance and salary protection coverage is that mortgage coverage provides relief for those needing to meet monthly mortgage payment demands. Income protection, however, is intended to help offset some of the lost income that people rely on to meet basic budgetary requirements from month to month.
Typically, mortgage payment protection insurance policies offer a higher payout percentage, based on the covered person's normal monthly income. A mortgage cover, for instance, may allow coverage up to 65 per cent of income, while an income protection plan may only allow coverage of 50 per cent of the lost income. This means, of course, that premium costs are higher for the mortgage protection, or the higher payment protection policies.
Consumers need to keep in mind that payment protection policies are short-term in nature. Often confused with long-term income protection insurance, payment protection insurance is short-term, typically providing 12 to 24 months of monthly payments. Payments begin thirty to ninety days after a covered event, which must occur for the coverage benefits to kick in.
The payment protection insurance (PPI) industry has come under heavy scrutiny. It was targeted in 2005 by Citizen's Advice, a consumer group, for mis-selling practices and questionable sales techniques used by some leading banks and lenders and is now in the hands of the Competition Commission.
Many providers have been charged with selling policies to customers who are ineligible to receive payout benefits, such as part time employees and retired people. Others believe that, while not necessarily illegal, providers that have packaged payment protection plans with mortgages, credit cards, or other loans, have unethically deceived consumers. Institutional providers generally offer premiums 40-80 per cent greater than can be attained from more reputable insurance brokers or specialists. They also tend to have a greater focus on lining customers up with the appropriate protection. For large institutions, payment protection is often considered simply an add-on product.
Consumers can put themselves in the best position by knowing the right questions to ask when looking at mortgage payment protection insurance products. They should avoid feeling pressured to by from mortgagers or credit card companies, but should look to brokers or specialists to learn about plans and explore benefits and terms of each. In spite of attempts by regulators to more thoroughly protect customers, there will always be some unscrupulous providers looking to take advantage of the unknowing consumer.
Simon Burgess is Managing Director of the award-winning British Insurance, a specialist provider of mortgage payment protection insurance.
วันอังคารที่ 15 กันยายน พ.ศ. 2552
What Is Mortgage-Backed Security
What Is Mortgage-Backed Security
Mortgage-Backed Security (MBS) is a pool of mortgage investment in which the investors get payments on a timely basis. These investments are guaranteed by a government agency.
In Canada, the Central Housing and Mortgage Corporation (CMHC) guarantee such investments thru the National Housing Act. In the US, the Fannie Mae, Freddie Mac, and Ginnie Mae guarantee such investments. Since the government agencies guarantee such investments, these types of investment are highly safe.
Long time ago, only the wealthy with large financial assets can get involve in such investments. With the introduction of Mortgage-Back Security, more people can get involve in such investments. An initial investment can go as low as five thousand dollars.
That is why these investments are getting popular. At this time, the total investments on Mortgage-Backed Security run in the billions of dollars. Although these investments are relative safe, the investors can encounter three kinds of risks.
First, the default risks are encounter when the borrower fails to make mortgage payment. Second, the interest rate risks are encounter when the borrower refinances to a lower interest rate. Finally, the prepayment risks are encounter when the borrower pays extra on the mortgage payments to pay off mortgage early.
The Private Mortgage Insurance (PMI), or Mortgage Insurance softens the blow for the default risks. In case the borrower misses mortgage payment, the PMI resolves the default risks.
The Insurance Company, Chartered Banks, Trust Company, Loan Company, Credit Unions, and Mortgage Lenders can offer Mortgage-Backed Security (MBS). The MBS can be open or close. The borrower can prepay the mortgage on open, while the borrower can not prepay the mortgage on close.
Mortgages are also on a variety of mortgage terms. For example, 6 months, 2 years, 3 years, or 5 years are common mortgage terms.
MBS are available for exclusive homeowner, multi-family, social housing, or combinations. Social Housing is housing co-ops, and senior housing.
In Canada, the MBS are currently eligible for RRSP, and RRIF. The RRSP and RRIF are tax-sheltered retirement investment fund.
The MBS is relative safe investment, because the government agencies guarantee the timely payment or profit. And, the profits are comparable to GIC, and Bonds. It is an investment that is worth to consider.
Dennis Estrada is a webmaster of mortgage calculators, pay off mortgage early, and Private Mortgage Insurance (PMI) website which calculate the monthly payment, bi-weekly payment, affordability, refinance, annual percentage rate, discount points, and more.
Mortgage-Backed Security (MBS) is a pool of mortgage investment in which the investors get payments on a timely basis. These investments are guaranteed by a government agency.
In Canada, the Central Housing and Mortgage Corporation (CMHC) guarantee such investments thru the National Housing Act. In the US, the Fannie Mae, Freddie Mac, and Ginnie Mae guarantee such investments. Since the government agencies guarantee such investments, these types of investment are highly safe.
Long time ago, only the wealthy with large financial assets can get involve in such investments. With the introduction of Mortgage-Back Security, more people can get involve in such investments. An initial investment can go as low as five thousand dollars.
That is why these investments are getting popular. At this time, the total investments on Mortgage-Backed Security run in the billions of dollars. Although these investments are relative safe, the investors can encounter three kinds of risks.
First, the default risks are encounter when the borrower fails to make mortgage payment. Second, the interest rate risks are encounter when the borrower refinances to a lower interest rate. Finally, the prepayment risks are encounter when the borrower pays extra on the mortgage payments to pay off mortgage early.
The Private Mortgage Insurance (PMI), or Mortgage Insurance softens the blow for the default risks. In case the borrower misses mortgage payment, the PMI resolves the default risks.
The Insurance Company, Chartered Banks, Trust Company, Loan Company, Credit Unions, and Mortgage Lenders can offer Mortgage-Backed Security (MBS). The MBS can be open or close. The borrower can prepay the mortgage on open, while the borrower can not prepay the mortgage on close.
Mortgages are also on a variety of mortgage terms. For example, 6 months, 2 years, 3 years, or 5 years are common mortgage terms.
MBS are available for exclusive homeowner, multi-family, social housing, or combinations. Social Housing is housing co-ops, and senior housing.
In Canada, the MBS are currently eligible for RRSP, and RRIF. The RRSP and RRIF are tax-sheltered retirement investment fund.
The MBS is relative safe investment, because the government agencies guarantee the timely payment or profit. And, the profits are comparable to GIC, and Bonds. It is an investment that is worth to consider.
Dennis Estrada is a webmaster of mortgage calculators, pay off mortgage early, and Private Mortgage Insurance (PMI) website which calculate the monthly payment, bi-weekly payment, affordability, refinance, annual percentage rate, discount points, and more.
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