Choosing the right mortage loan

At some point, almost everyone's life, they ask, what kind of loan do I get? It is true that this issue gets less attention than it deserves, because it seems that almost everyone in a hurry for money and a higher weight value, which is what they wanted the loan to get first place. Start here.

How do you know about the loan? This article is intended to briefly describe the main types of loans, so you can a complete picture of this problem.

The lending process is as follows: the borrower receives cash, which he repaid to the lender within a certain period. Cost of service is called interest. The loans can be secured or unsecured, and the period of weeks to more than 20 years, and the annual interest rate is a maximum of three-digit percentages.

Loans

Mortgage

Mortgage lending is a common kind commonly used for purchasing properties. If you want to residential and commercial real estate purchase and you can not afford to pay the full value immediately (and this happens in most cases), you can arrange the mortgage. You can borrow money and purchase the property and financial institution security
entitled to be paid to the house completely.

Home equity loans

By using your own home can you get a lot of money that you need to be repaid over a certain period at a low interest rate. If you can not pay, you can lose your home. This is a popular source of financing.

Car Loans

You can such a loan if you want a new or used car purchase. Collateral for the loan of the car itself. The loan is less than the mortgages, because the lifetime of a car reflects.

Unsecured Loans

Credit Card Debt

The name of such a loan should be granted to the user card credit low system.You can be paid to those who accept credit cards than the previously established credit limit. In principle, you borrow money from the issuer. Every purchase is made, you consent to that amount, plus pay interest.

The difference between a credit and debit card is the first not remove money from your account for each transaction. Each month you receive a notification the amount due for each purchase, and a total one. You must be at least a part of the bill paid at maturity. The interest rate charged by the credit issuer is much higher than what is charged, and many other loans.