Aug/110
Mezzanine Loans
Mezzanine loans have become a common alternative to conventional subordinate financing where the terms of a superior (first position) loan prohibit the placement of junior liens on the subject property. The reason a mezzanine loan remains possible under such circumstances is that a mezzanine loan is not secured by a trust deed on the property, but by stock in the entity that owns the property. If a conventional subordinate loan is in default, the lender cannot take ownership of the property through foreclosure, since the claim against title represented by the superior lien would have to be satisfied before the subordinate lender could take action. If a mezzanine loan is in default and the proper UCC foreclosure is carried out, the lender essentially takes majority ownership on the holding entity, and therefore also controls the property. It can then proceed, for example, to sell the property. The superior lien must still be serviced and paid off if the property is sold, but the mezzanine arrangement gives the lender more flexibility in negative circumstances than it would have with a conventional subordinate loan.
Mezzanine loans present certain complications to the origination process, including restrictions on the structure of the holding company and typically cumbersome paperwork. However there are advantages for both the lender and the borrower: for the lender, in case of default the foreclosure process is relatively streamlined; and the borrower is able to leverage the property to an extent otherwise impossible: 90% CLTV is entirely typical, and some lenders may go up to 95%.
A typical mezzanine loan might be provided by a bank or conduit that is also providing the superior financing for the property, with a term of 3 years and the lender’s return being composed of a combination of front- and back-end fees (of perhaps 1% each) plus the 60-day LIBOR rate plus 4% (currently about 8%). Alternately, a hard money lender may offer a mezzanine loan with a similar term, but with a 15% interest rate and higher fees.
May/110
Credit Cards Help Repair Credit
If you are currently experiencing credit problems, you might think that there is no way out. There are several ways to repair your credit and one of them includes using a credit card. Those with bad credit histories can still get credit cards from some particular organizations that specialize in giving credit to those who are in debt. These cards are referred to as secured credit cards. Getting these cards is easy no matter how bad the credit history.
A secured card works like the regular cards but the only difference is that you will be required to put in a deposit against the card’s limit. This is the money the lender will use as security if you default on your payments.
The secured credit card will help you with your credit repair when you prove that you are able to make regular payments on the card. It is important to ensure that the credit card company that you get the card from reports to all the 3 credit agencies so that the payments you make are reflected on all the reports and credit scores. This is one of the ways you can prove to future lenders that you have a good payment history.
Once you get approval for the card, it is important to keep in mind that you are going to use the card for credit repair by building a positive credit history. This means that you should not use the secured card to acquire debt. The card should only be used for making small purchases that can be easily paid off at the end of the month. If there is a purchase that you cannot afford to pay for, avoid charging it to your account.
Most of the credit companies will give you a regular card once you have made regular payments on your secured credit card for a period of 1-3 years. The regular payments will act as evidence that you have actually turned your financial situation around which gives you the opportunity to get a regular card that does not require a deposit and also help with your credit repair.
Sep/100
Daily Car Insurance!
Day car insurance is an easy way to get insurance coverage for short distance travelling. If you need to drive a car for a day, you can make use of this kind of insurance cover. It comes in handy even when you borrow a friend or relative’s car for short distance travel. In case, you meet with injuries while travelling, you can get duly covered for the loss. This kind of cover provides protection against any kind of injuries sustained while driving.
You can also get comprehensive cover, which provides for most eventualities including fire, theft or damage or injuries sustained due to collision. There are various types of insurance covers available. You can also get a low cost insurance cover. This will help you save a lot of money too. You can also get advice from short term insurance experts. They can guide you get suitable insurance cover. You need not suffer for the fault of someone. A short term insurance will protect you against any kind of damages.
It may also happen that you may your vehicle may be out of service and you may need a loan car. You may even purchase a cheap car and plan to sell it at some point of time. You can also take ownership of a new car from auction or the dealership. Whatever, be the need – you can benefit from this kind of insurance. This kind of insurance is available for immediate comprehensive coverage for motor cars or vans. Basically, a comprehensive short term insurance policy covers you for:
o Liability against damage of another person’s property
o Liability against injury or possible death of another person as a result of an accident
o Loss or damage by fire theft or vandalism
o Accident recovery and repair
o Damage in the event of an accident
If you are a policyholder or an additional driver, you must:
o Be aged 21 – 75 years (and age 21 – 75 as an additional driver)
o Have no more than 6 penalty points on your licence in the last 3 years
o Have not been disqualified from driving in the last 5 years
o Have not had more than one fault claim in the last 3 years
If you need insurance for a short period, you can make use of this kind of insurance. At any point of time, if you feel the need to cover an additional driver for your car, this kind of insurance can come in handy. Short term insurance comes in handy in times of need. The cover is comprehensive in nature and can be taken out for a day or up to 28 days.
Aug/100
Various Car Insurance Options Available For Young Drivers
Most insurance companies tread carefully when it comes to providing cheap car insurance for young drivers. The rates are usually higher considering the risks associated with a 17 or 18 year old driving for the first time and the safety of many individuals have to be considered. Also it is widely known that young drivers are highly risk prone and susceptible to accidents.
In order to avoid high premiums associated with these policies, be wise and go through a number of quotes before purchasing any insurance. There are options such as flexible coverage which contain provisions for modifications in premium later on. Policy holders can go in for a lower coverage and further build up on it when they can afford more.
The best way to assess your insurance needs is to contact an insurance agent, especially one who deals with young drivers insurance and follow his advice to lessen the premium and overall cost of car insurance.
Fact is that there are some insurance companies out there who are ready to provide cheap car insurance for drivers considering all the risks present. You need to take time and find them.
Two teenage drivers maybe offered different rates by the same insurance company for simple reasons of their cars being different or one of them has a driving experience of less than 3 years.
Drivers can take advantage of discounts in premiums available for short distance commute to school or work, good grades in school etc. Some teenagers may have undergone a safe or defensive driving course which also entitles them to a discount.
Rule out unnecessary ‘collision’ coverage in case your vehicle is an old and battered type. Monthly withdrawal of premium amounts from your account ensures less billing expenses. You could also consider paying premiums in advance like for a year or six months, again to reduce billing fees.
Some teenage drivers get their cars insured along with their parent’s car insurance to take advantage of multi car discounts. But the feasibility of doing so should be checked out with the parent’s agent and a comparison should be made with the option of the young driver going in for a ‘solo’ policy.