| TYPES OF ACCOUNT: | | | | house, car, motor cycle or any of your valuables for |
| Ask questions from your bankers which of one these | | | | collateral just in case you were unable to pay them |
| will benefits you most and which one could be costly | | | | back, but, they are very quick to take your valuables |
| to you. You can also get free checks when you open | | | | and you may not have any re-course to take them |
| your account, you do not need to pay for checks. All | | | | to court for doing so. I would stay away from such |
| checks are processed the same way that is up to | | | | financing unless you have to... |
| you and how you manage your money. | | | | There is going to be a time when we are going to |
| -Savings Accounts: Custom Savings, Money Market | | | | need finance or re-finance our mortgages, car, |
| Account Checking Accounts: Economy Checking, | | | | motorcycle, big boat, air-planes etc., that we cannot |
| Express Checking, -Regular Checking, Senior | | | | come up with up-front lump sum money to pay for it |
| Checking, Student checking | | | | This force us to turn to our bank, family friends, |
| -Your Debit/Visa Card to use for shopping could be | | | | private capital market, small loan companies to loan |
| free when you open your account, make sure you | | | | us that money. This is where we are being taken |
| ask for it, at times they will ask you if you want one | | | | advantage of by offering us some sort of |
| or not. Where you use your Debit/Visa Card to | | | | un-affordable rates. At first you would think this a |
| withdraw money matters to your bank, it could cost | | | | great opportunity that it will not be problem, you |
| you for using it at the wrong places, ask your banker | | | | could afford that payment being offered to you by |
| for information where you could use your card | | | | your lender, you better think again before you sign |
| without paying extra charges... | | | | that dotted line. They could be collecting interest |
| Some banks charges between $1.00 up to $3.00 if | | | | from you money for long time without any of it |
| you use their card to withdraw money from another | | | | going to your principle. |
| bank that they do not do business with. It is your | | | | Pay attention to dotted Line and Small print in the |
| money... | | | | loan documents: |
| Each one of the above has advantages and | | | | The loan documents can be very tricky to read |
| dis-advantages, be careful when you are opening | | | | when you are not an attorney, the small fine prints |
| your accounts; you could loose money to the bank | | | | areas are very important areas to pay attention to, |
| right away. You also need to know if your monthly | | | | because this is where they hid rates, timeline, and |
| statements are going to be free or not, when you | | | | warrante, but if you don't pay attention to the rates |
| make inquiries, the bank could be charging you for | | | | they quote or offer to you in the loan document |
| too many inquiries. Some things are free from the big | | | | that you are going to sign you could be loosing a lot |
| banks and something's are cheaper from the | | | | of money. You probably better off to take to your |
| community banks. | | | | attorney before you sign the dotted line. |
| Basic Requirements for lending you money: | | | | In the fine print of the loan documents is where they |
| · Savings and Checking Account | | | | hid most important information that your lender did |
| · (2) Good Credit or No Credit it depends | | | | not want you to know about, especially mortgage |
| where you are getting the money. | | | | and credit card documents. It sounds strange, but it |
| · (3) Collateral such as your House, Car, Boat, | | | | is true, If you don't believe what I said here in this |
| Gold/diamond or any valuable assets they can hold | | | | document, go to your loan documents and read the |
| on | | | | small prints in there you may find out something that |
| · Driver's License, | | | | you would not like to see or hear about, or if don't |
| · Social Security numbers | | | | believe what I said here, ask yourself a question of |
| · Good Employment, at least for six months. | | | | why didn't they just print the whole loan documents |
| Lenders Information: | | | | in a readable format with nice fonts that an average |
| Big Bank requirements- | | | | third grader can read and understand it without |
| Can be very tough to meet because they have to | | | | having to scratch their head or look up words in the |
| abide by the 'Federal Reserve Bank or Federal | | | | webster dictionary for interpretation of words, after |
| Deposit Insurance Corporation (FDIC)' regulations. | | | | all you are the consumer paying them for this |
| They got their money from the Federal Reserve | | | | services and they will be collecting interest from your |
| Bank at a lower rate, however, they could turn | | | | financing for such a long time. 95% of mortgage |
| around and loan it to the smaller banks at a higher | | | | homeowner never gets to the point of paying |
| rate, and the smaller banks loan it at higher quote | | | | principle or their mortgage finance off before being |
| rate to the public. | | | | taken away from them, but the bank or private |
| Community Bank requirements/Credit Union: | | | | investor already started to benefit. Yes, I understand |
| Well, the community bank is no different either, they | | | | they took the risk to finance us. |
| turn to the big banks to borrow money at a lower | | | | I think what is fair is fair, they should make the loan |
| rate so that they can loan it to their customers | | | | documents more readable for us, and there should |
| clients at a higher rate to make some profit to stay | | | | be no small prints that is had to read on any loan |
| in business. | | | | documents. They should be in a readable format that |
| Private Capital market requirement: | | | | average Joe can understand; my question all the |
| This is where the business gets tougher. The Capital | | | | years was why are they making it so complicated to |
| Market enterprise is a big boy on the Wall Street, | | | | read if they do not have anything to hide? I also |
| where they can finance just about anything they like, | | | | think the loan documents should not have so many |
| because they are not being regulated by the | | | | pages when we are talking about saving the threes... |
| government, it is an individual rich businessmen that | | | | Not too many consumers read all these pages, it has |
| have money to loan out at a higher rate. They are | | | | no value to have so many pages when no one really |
| not required to follow financing rule rigidly as the bank | | | | reads it, of course the attorney will not be making |
| does, but they still have follow the consumer law | | | | money if they these document could be reduced to |
| that protect all of us from being taken advantage of. | | | | minimum. |
| Family friends requirement: | | | | My solution to this big fat loan documents should be |
| This one is your best source of financing, if you could | | | | to reduce them to minimum, all it should it be contain |
| find a rich friend or family friends that can loan you | | | | is, who own the house, the rate, how long is going |
| money without any attachment or collateral. They | | | | to be paid, warranty, borrower's and co-borrower, |
| may ask you to pay them some small interest, or | | | | and all other very valuable information it should not |
| none it all depends what you are using the money | | | | be more than 10 pages long. |
| for, at they would like to get a piece of the apple | | | | For more information and free reports on how to |
| when they know you are going to make a lot profit. | | | | start your own business and increase flow of traffic |
| Collateralization: | | | | to your business web site see my resource box. |
| There some companies out there that would loan | | | | I appreciate Ezinearticles management for given me |
| you money to meet your emergency needs, but | | | | the opportunity to publish my article on their web |
| becareful, they may ask you to give them your | | | | site. I plan to write more articles in the future. |