Questions tagged [loans]
This tag is a generic tag to be used when asking a question on Loans / lending. If there is a specific question the other related tags like home-loan, student-loans, etc should be used.
1,138
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Is car loan the better option when one has already saved enough to cover the purchase
Let's say someone has saved $100 000. There is no specific purpose for this saving
Now there is a car that cost $62 000
Financing the car entirely via a bank loan would cost around 50% of the salary ...
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4
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Which is cheaper: 50% down with 50% loan or 100% loan with 50% immediately paid after signing
I find myself in a position of needing to finance a large purchase. Fortunately, I saved a significant amount in expectation of this expense so I have about 50% of the total cost on hand and ...
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Would a personal loan likely be denied if the intended use was real estate?
I have an excellent credit score and long history with my bank. I would like to buy an apartment outside of my country (the US). Since I can't take out a mortgage with my US bank for this purpose, I'm ...
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Do I use savings to buy a car?
My current car worth £700 needs £1500 of repairs. It’s a bit of a money pit at the moment with big repairs needed a lot.
I want to buy a new car. I’m looking at used cars and I found a 2015 Corsa that ...
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Why would a loan company deposit a small amount into my account and require I send it back?
Why would a loan company deposit a small amount of money into your account to verify if you are honest about repaying the loan you’re asking for?
They want to deposit a small amount into my account, ...
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US: tax on revenues from loans (I'm the lender) and other services?
I have some spare money and would sometimes loan it to strangers in need on the internet. Let's say that I loan $100 and get $150 back after 5 weeks. Only that $50 should count as my income right? And ...
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Why offer at a lower interest rate on a loan then the expected ROI of investing in the stock market?
A quick google search told me that the expected ROI of investing in the stock market is roughly just under 10% That's admittedly a bit higher then I had anticipated, but quick scanning of their ...
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What would be a recommended interest rate for an unsecured loan to individuals with mediocre credit rating and income close to expenses?
I have a friend whose new wife is paying an absurdly high interest rate on her auto loan. They've asked if I was willing to loan them money at a more reasonable rate to pay off that loan and have ...
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Why the calculated cost of a loan is less than expected? Is the bank working at a loss?
Let's say I want to borrow $1000 from a bank at an interest rate of 12% per year, for one year. The number of payments in this case is equal to 12 (one year * months per year) and the interest rate ...
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How do I find company exposures to specific loan types? [closed]
I think student loan liabilities are likely to become a big problem pretty soon. How do I find the companies that would be most exposed to this? not sure where to start.
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Calculate Loan Balance and Future Balance with Extra Repayments
So, here's the current situation.
I took out a £7000 loan over 42 months at the insane interest rate of 47.4%.
I needed the loan, couldn't borrow it off family, and the interest rate is due to some ...
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answer
292
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Borrow from 401k (and pay interest to myself) or take a loan from bank (and pay interest to the bank) to buy a car?
Should I borrow against my 401k at 6% interest rate (which I pay to myself) or take a loan through a bank at 3.5% interest rate (which is paid to the bank)? Buying a car for my kids and can't afford ...
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If informal debt agreements ( e.g. IOUs ) aren't legally enforcable, how are they useful? When should you use a loan agreement instead?
I am unsure when to use IOUs for my business & friends' debt. Investopedia states that loan agreements are similar to IOUs but legally enforceable.
If informal debt agreements carry no legal ...
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Is there a way to not receive a credit score drop when paying off an auto loan by keeping the account active in another way?
I know the credit score drop is minimal if you have good credit and will recover eventually, but it just occurred to me that perhaps there is a work around like updating the account or restructuring ...
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What’s the real benefit of taking loan when interest rate is lower than inflation
This question is particularly regarding taking out a loan for a specific purpose, let’s say buying a car.
I understand that when taking out a loan when inflation is high and interest rates are low you ...
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What's the name for a group of people pooling fund every period then loaning the collected sum to a single member periodically?
I got into an argument with a family member about a loaning mechanism they and their friends are using. They detailed it this way: in a group of 5, every member submits $200 to a safe keeper in the ...
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Are there any home-loans that compound every quarter or half-year or annually?
Are there any home-loans that compound every quarter or half-year or annually?
Asking for a friend who keeps bugging my other friend to give them money to buy a house, and the friend doesn't want to ...
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What is a reasonable ROI on friends & family capital loan for startup venture?
Every investor obviously interested in max ROI but what is a realistic ROI an investor would seek on a capital loan for startup venture?
What is a reasonable duration for that receiving back the ...
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Bank appears to be charging me more interest on a loan than they should
I have a car loan. This is a simple interest loan. When I enter in the details into a loan amortization calculator online, I get a different payment amount than what I have been paying. And, the ...
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How is making a down payment different from getting a smaller loan?
What is the difference between these two things?
$100k loan with $20k down payment to buy a $100k thing
$80k loan with $0 down payment to buy a $100k thing
They seem effectively identical. But in ...
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2
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Is this a weekly compounding loan amortization schedule?
I am currently having a disagreement with my colleagues regarding whether a loan is compounding or not.
I have linked below an image of a amortization schedule for a 52 week term for a $50,000 loan. ...
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How can I calculate amortized payment when the payments are made in advance?
I'm trying to calculate the payment amount on an amortized loan with interest where the payments are made in advance.
If the payments are made in arrears there's a simple formula, but since the first ...
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Extension of Credit meaning
I'm reading some finance literature and often when it refers to loan it instead uses these term:
extending credit
extension of credit
credit extension
When I google define "credit extension&...
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Effective interest rate of two loans
Let's say I have two loans and want to calculate the "effective" interest rate. To make things easy let's assume they have the same principal and the same terms (30 years), just two ...
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When using land as a down payment for a construction loan, how much money can I borrow?
I am looking to purchase some land in cash (in the USA) and build a house on the land. I intend to use the land as equity (as part of the down payment) for a construction loan.
I'm looking to ...
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Income Tax Return: Is the co-op's mortgage (not the lending institution mortgage) a secured or unsecured loan?
I have two 1098 forms: One from the lending institution and another from the Corporation. For the lending institution 1098 form, I deduct the mortgage interest and there are no real estate taxes. It's ...
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Should I buy a second car at 18 years old? [closed]
Is it smart to buy a 43k car when I have saved up 26k and make around 1000 a week as an 18 year old
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Title company doesn't know how to amortize a loan?
More likely I don't get it/am not used to this. Can anyone explain/formulate what I'm told is a "Daily amortized, 5.5%, fixed interest rate loan"?
I've been buying and selling properties for ...
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Put down only 10% or put 20% down and pay a family member back the other 10% at 2.99% interest rate?
I am buying a 350K condo with 10% down, 2.99 interest rate, 30 yr fixed mortgage (I hope to pay it off in 15 yrs).
I cannot put down more without depleting my savings. Should I ask my dad for a $35K ...
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Bought a Harley, had my father co sign. He's listed as primary
I bought a Harley this past April, my credit wasn't up to par for the bike I was interested in so the dealer asked if I could get someone to co-sign. I talked it over with my father and he agreed to ...
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What could prevent a bank from lending to me to buy commercial real estate?
If I want to take out loans to buy real estate with the intention of renting it to cover the interest on the loans, what are the red flags that might prevent a bank from extending a loan to me?
...
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Lending money to strangers
A person I met online came to me asking for $200. He said he needed it to pay for a very important bill and he will pay it back on Monday. He also said he wouldn't be able to provide any liquid ...
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What's the APR for this in combination with the Balloon Payment of 6525 USD?
I am trying to solve the following:
Finance Amount: 24.951,82 USD
Interest Rate: 2.29%
Residual Value: 6.525 USD
Number of Months: 60
Fee: 374.28
Years: 5
What's the APR for this in combination with ...
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GNUcash: How can I add a liability payment to an asset account? (ex: I pay a personal loan of mine and someone reimburses me for it)
I have a personal loan that I pay out of my checking account and my parents reimburse me for this loan. I also share subscription services (netflix, hulu,etc) and phone bill with them and I pay for ...
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I paid off a car loan early, but it was reported on my credit score as "closed" bringing it down. Shouldn't paying off that debt increase my score?
I paid on it for at least 3 to 4 years.
It was reported as a "closed account" instead of paid off in good standing.
I called the creditor and customer service ultimately send me a letter ...
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Which days count when daily rate is used to calculate interest?
Say you get a loan on Jan 20 with monthly payments due 15th every month. You have the money in your hand some time in the middle of Jan 20 already, that’s the day when the contract came to existence. ...
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Federal Perkins Loan is showing up unsubsidized despite not taking any unsubsidized loans
I've been repaying student debt and my university recently sent a loan that I didn't know I had to a collection agency. The loan is listed as a "federal Perkins direct Stafford" loan that is ...
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On what basis do countries repay international loans? [closed]
Most countries have their own sovereign currency. Essentially they can print their currency. So how do countries repay their loans? And a similar question would arise while granting a loan to another ...
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Is the holiday season an unwise time to apply for credit?
Given the rise in consumer spending during the holidays, do lenders mitigate the increased demand for credit by offering lower credit limits than usual, or having stricter criteria for approval?
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How does “Velocity Banking” actually work?
I’ve seen this mentioned a few times now in various financial articles, but it smells like some kind of “system” a gambling addict would come up with to “beat the house”. Doing a web search on it, I ...
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Are indexed universal life insurances of any use from a tax mitigation standpoint (= looking at after-tax returns) vs. a regular investment account?
I am a US lawful permanent resident. I am interested to know whether indexed universal life insurances have any upside from a tax mitigation standpoint compared to a regular investment account. I.e., ...
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Why doesn't just everyone mortgage a property from bank, rent it out and make monthly payment to the bank by that rent?
I don't have any background of loans and finance since I am an Engineer, but I have been planning to own a property lately. What I understood from my research is that there are two options to get a ...
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Better to withdraw from 401k or take out home equity loan for investment opportunity?
There is a fast-approaching investment opportunity (January) that I very strongly believe will have significant short-term (2x - 5x within a matter of months) and long term returns. I need ...
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How to prioritize paying back loans based on interest?
If I have a loan at 0% and can get a 7% return on my capital, then I wouldn't want to pay back that loan until the absolute last moment.
If I have a loan at 14% and can get 7% return on my capital, ...
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Could a bank take out a loan from another bank?
It costs a lot of money to start a bank from the ground up, for obvious reasons. To get this starting capital, unless the person starting the bank is already wealthy enough to pay for it themselves, ...
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How can one debt-finance a corporate takeover and then transfer debt to the company? [closed]
I'm reading about the Glazer family's takover of soccer club Manchester United nearly two decades ago. They apparently debt-financed their takeover, borrowing hundreds of millions of pounds, and some ...
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What are some of the factors that affect loan pricing?
In an interview for a bank, I was asked about some of the factors that could affect loan pricing.
They asked me which of the following factor should not affect loan pricing:
credit rating of sponsors;...
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Taking home loan and car loan separately with some down payment or taking one loan without any down payment. which one is good?
Am from India and planning to buy a house and a car. I have ~10L in my hand. House costs around 36L (Including Registration and other charges) and car cost around 11L (on-road price).
So paying down ...
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Are there any loan options for the international students in the US? [closed]
I am an international student of one of the university of California campuses. I study PhD and am a fully funded student with around $30,000 annual salary(before tax).
I need about $5000 in cash and ...
user109157
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What is the procedure of getting an auto loan?
I am a new international student in the US. My credit score is 702 in the Capitalone credit wise and 710 in the CreditKarma website. I am a fully funded PhD student and have an annual income around $...
user109157