Christy Bieber The Motley Fool Published 6:00 AM EDT May 9, 2019 Personal loans have many significant advantages over other types of loans, such as credit cards. The interest rate on a personal loan is typically well below the standard APR on a credit card. And personal loans come with fixed repayment terms and predictable repayment schedules, so there’s no risk of getting mired in debt forever as there is with a credit card. But just because personal loans can be an affordable way to borrow doesn’t mean it’s always a smart idea to take out a personal loan. In these five situations, borrowing from a personal loan lender can be a big mistake. 1. When you can't get a loan at a reasonable rate There are all sorts of personal loan lenders that cater to borrowers with different credit histories and different borrowing needs. Unfortunately, some of those personal loan lenders are unscrupulous and charge very high interest rates and high origination fees. … [Read more...] about Times when it’s not a smart idea to take out a personal loan.
30 year home equity loan rates
‘We paid £10k to escape our sky-high equity release rate’: how to switch plans and save thousands
Older homeowners are throwing away huge sums of money by failing to switch from poor-value equity release plans. Retirees can make substantial savings even if they are forced by their current provider to pay thousands of pounds in exit penalties. Sales of equity release mortgages have boomed as homeowners have decided to use their homes like cash machines. Interest rates have fallen significantly in the last few years, meaning that existing customers can potentially save tens of thousands of pounds by switching. Figures from Moneyfacts, a data provider, show the average equity release loan has an interest rate of 5.2pc today. This is lower than the 6.22pc market average in February 2015 and represents... To continue reading this article Start your free trial of Premium Access all Premium articles Subscriber-only events Cancel any time Free for 30 days then only £2 per week Try Premium Access one … [Read more...] about ‘We paid £10k to escape our sky-high equity release rate’: how to switch plans and save thousands
Nationwide says house prices growth is at slowest pace for almost six years
HOUSE prices slowed sharply at the end of 2018 recording its weakest annual growth in nearly six years, according to a property index. Growth slowed from 1.9 per cent in November to 0.5 per cent in December, Nationwide Building Society said, the slowest rate since February 2013. House prices were also down by 0.7 per cent month-on-month at the end of the year, with the national average now at £212,281. London and some commuter belt areas surrounding the capital have seen house prices dip year-on-year. In the capital, the average house price in the fourth quarter of 2018 was £466,988 - 0.8 per cent lower than the same period in 2017. The weakest performer regionally for annual house price growth was the Outer Metropolitan area, which includes Reading, Slough, Windsor and Maidenhead and Wokingham. Average house prices in the UKHERE are average house prices across the UK's alongside the annual change, according to Nationwide Building Society: - Northern Ireland, £139,599, … [Read more...] about Nationwide says house prices growth is at slowest pace for almost six years
Young couple get the last laugh buying £170k home at just 19 – after broker thought they were joking
A YOUNG couple from Norwich who started saving for their first-home when they were 16 managed to get the keys to their two-bed house by the time they turned 19. On average, first-time buyers are now 30 years old, but Nathan Stearman, 21, and his girlfriend Emma Smith, 19, achieved it a decade earlier. Nathan, a self-employed painter and decorator, and Emma, a book keeper, bought their home in Sprowston, Norfolk, for £168,500 in August this year after saving for between three and five years. But youth wasn't always on their side when it came to getting a mortgage, even though you can apply for one once you turn 18. To begin with, their broker didn't think they were being serious and even advised them not to even bother applying to some lenders because their age made them less likely to be accepted. Emma's credit history wasn't strong either, having never taken out a credit card or even borrowed money. But she turned this around by taking one out to boost her score and now the … [Read more...] about Young couple get the last laugh buying £170k home at just 19 – after broker thought they were joking
Fed interest rate decision: How latest move effects credit, savings
Paul Davidson USA TODAY Published 12:01 AM EST Dec 19, 2018 A parade of Fed rate hikes this year is starting to make a dent in the wallets of American borrowers. Here’s the good news: Bank customers are also starting to see noticeably higher savings rates. With the Federal Reserve set to announce a fourth interest rate hike this year Wednesday, rates on credit cards, adjustable-rate mortgages and home equity lines of credit are likely to rise, experts say, increasing consumers’ monthly payments. All are revolving loans with variable rates that are directly affected by the Fed’s move. The Fed is virtually certain to lift its benchmark short-term rate by a quarter percentage point to a range of 2.25 percent to 2.5 percent. It will have bumped up the key rate nine times since late 2015. “They’re accumulating and the (total) impact is large,” says Tendayi Kapfidze, chief economist of LendingTree. “You need to stay on top of it” so … [Read more...] about Fed interest rate decision: How latest move effects credit, savings