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Money Online

Tricky Situations Where Getting a Loan Online Makes Sense

December 24th, 2018 by

Online lenders allow you to borrow money quickly and easily by simply completing a request on your phone or computer without leaving the comfort of your house or office. Theoretically, you can take out an online loan for any reason, but you’ll only want to utilize a loan if you’re sure it’ll aid your situation and not worsen it. Online loans can often carry a lower interest rate than credit cards, which can help you consolidate credit card debt or make large purchases. Finding the best online personal loan site requires you to do your homework and know what you need. Here are a few situations that you could benefit from taking out a personal loan online.

Getting Out of Debt

Online loans are perhaps most often used to help people consolidate their existing debt into one account to make the payments more manageable or even improve credit ratings. Interest rates on online loans are sometimes lower than credit card interest rates, so consolidating your high-interest debt can help lower your monthly payments every month. Find the best online loan website or online lender in order to ensure you work with an experienced lender who can help obtain a loan that makes sense for you.

Covering Costly Expenses

Whether you’ve got a wedding on the horizon or want to upgrade your home theater system, you never want to spend money you don’t have. A personal loan can get you the money you need ahead of time with a manageable payment structure so that you’re able to cover large purchases and pay them off over time.

Funding Financial Emergencies

Medical emergencies are often unexpected, which can make the ensuing medical bills just one more thing you have to worry about. An online medical loan can provide you with the money you need promptly, enabling you to focus your attention on the emergency at hand. Being able to pay off your loan over an extended period allows you to take care of financial emergencies with a peace of mind.

If you need a personal loan fast, check out our personal loans page.

Does Your Upcoming Home Purchase Require a Jumbo Loan?

Does Your Upcoming Home Purchase Require a Jumbo Loan?

November 15th, 2018 by

Purchasing a higher priced home may require a jumbo loan depending on where in the country the house is located. Typically, a conforming loan is limited to $424,100 except in areas where the average housing cost is significantly higher. If the home that you are looking to purchase is outside of Fannie Mae and Freddie Mac’s guidelines, you will need what is called a jumbo mortgage. This type of loan comes with its own set of requirements and lending guidelines. A 30 year fixed jumbo mortgage will require a strong credit profile as well as a lower loan-to-value Ratio.

CREDIT STRENGTH REQUIRED

A 30 year fixed jumbo mortgage is usually only available to consumers with a strong credit score around 680 or higher. A larger minimum down payment will also be required. These requirements are fairly standard between lenders, which makes it difficult for potential borrowers with a less than stellar credit history to obtain a 30 year fixed jumbo mortgage.

HOME VALUATION AND LOAN-TO-VALUE

As with any mortgage, a home appraisal will be required. The maximum loan amount available will be around 70% and sometimes as high as 80% of the appraised value. If you are looking to finance an expensive home, take the time to ensure that you will qualify for jumbo mortgage prior to beginning the application process.

EXCEPTIONS TO THE RULE

In some areas where property values are much higher than the national average, In these areas it is possible to obtain a conforming mortgage up to $636,150 and a FHA loan up to $721,050. The application process and credit profile necessary to obtain a non-conforming loan make it worthwhile to first check for the conforming loan limit in your area. Interest rates for jumbo or non-conforming loans can be as much as 20 to 25 basis points higher than conforming mortgages.

If you require a non-conforming mortgage, be prepared for a higher down payment and a higher interest rate than if you were in need of a conforming mortgage.

If you are interested in a 30 year fixed rate jumbo mortgage, take a look at our GetMoney.com/fixed-rate-mortgage page to learn more about jumbo loans and our application process. We can pair you with the perfect lender in no time!