Stock-based loans and margin loans are gaining traction as more lenders require excellent credit scores and other strict criteria to qualify for personal loans. Equities First, an industry leader in alternative financing solutions, sees the trend continuing as more and more borrowers need to raise quick capital in a tight lending market. According to the company, most stock-based loans have higher loan-to-value ratios and the loans offer low fixed interest rates. When borrowers qualify for stock-based loans, they use stock in existing investment portfolios as collateral for the loans.
One of the added incentives for borrowers according to Equities First is the ability of borrowers to walk away from their personal loans at any time. The incentive is known as a nonrecourse feature allowing borrowers to keep the loans initial proceeds while eliminating all loan obligations to the lender. Another added feature is borrowers can use the proceeds from the loans for any purpose. Some stock-based loans offer interest rates as low as 4 to 5 percent with LTVs ranging from 50 to 75 percent.
Equities First Holdings specializes in stock-based loans and is known throughout Australia for its alternative financing solutions. For the past 14 years, the organization has helped clients with loan solutions that meet their capital needs. The company helps clients from all over the world, including the United States, London, Hong Kong, Bangkok and Sydney. With over 40 million in managed assets, the company helps startups and small-business owners raise quick capital without struggling to qualify for traditional financing.
More visit: http://www.equitiesfirst.com/