Equities First Holdings on Alternative Loans

If you are needing a loan, but cannot use more conventional loan techniques, then you might want to consider a margin or stock based loan. Before you contact a lender, however, consider the differences in the two types of loan and choose the one that is right for your individual circumstances. Equities First Holding is seeing a rise in the number of people who are obtaining loans by using their stock. These loans fall into two different categories. Before you try to obtain a loan using stock understand the difference.

 

A financial institution will typically pre-qualify a borrower seeking a margin loan using the same process that they do for those seeking conventional loans. Borrows can expect to need up to 50 percent of the loan’s value. These loans have a variable interest rate which can adjust at any time. Furthermore, financial officers may choose to liquidate the stock if a margin call happens without giving the borrower any advance notice. The money obtained from these loans typically has to be used for a specific purpose.

 

Financial institutions will issue a set interest rate with a stock-based loan. The interest rate on these loans is usually between 3 and 4 percent. Typically, borrowers may need up to 75 percent of the value of the loan in stock. If the value of the stock drops, then the financial institution has no recourse in collecting their money. A stock-based loan can be used for any purpose.

 

If you are interested in obtaining a margin or stock based loan, then Equity First Holdings hopes that you will contact them. They have been in business for almost 14 years. They have loaned customers over $1.4 billion dollars using these alternative ideas. The value of each loan has varied from $100,000 to $10 million dollars. They currently operate offices in nine countries, so one is conveniently located near you.

 

Al Christi Junior, the CEO of Equity First Holdings, says that while some borrowers can get loans through larger brokerage firms, these institutions often find it almost impossible to work with borrowers because of tight regulations from the Stock Exchange Commission and the Federal Reserve. Therefore, he highly recommends that if you are looking for a loan, you contact his company.

 

For more information please visit http://www.equitiesfirst.com/

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