With regard to the exacting policies and requirements that banks are asking for from the borrowers, the latter are leaning towards the stock-based and/or margin loans that do not require them to produce a tangible collateral, according to the Equities First Holdings, LLC.
This is a development in money lending that the CEO of the said firm, Al Christy, Jr., thinks of as a viable loan option for the entrepreneurs who are in search of ways to increase their funds. He stated that it will be more advantageous for borrowers to collateralize stocks as it present lower probability of putting some or all of their investments in jeopardy.
Christy further clarified that as opposed to what many believe, margin and stock-centered loans are two different concepts. Whereas the first-mentioned works similar to a regular loan in which the lender will necessitate the debtor to produce a physical collateral that they can clear up in case the person fails to pay his or her debts on the date they have initially agreed on, the second-mentioned allows the borrowers to obtain a loan at a stable interest rate and without having to explain what and where they need the money for.
Dealing With Equities First Holdings
Granting that previous debtors may have had bad personal experiences from firms that did not return the stocks utilized as collateral, Equities First Holdings wants to assure people that the main objective of the company is to provide minimal hazards to investors who wish to increase their capital.
Equities First Holdings has been established in 2002 to offer diverse loan solutions that will not require business owners to make use of any investment apart from stocks as a collateral. This gives the borrowers a fairer ground since the interest that they will have to reimburse is not going to vary. It will stay at three or four percent until the end of the arrangement.
The firm has created subsidiaries in nine foreign lands and gone over 650 deals that amount to 1.4 billion dollars at present.
If you wish to find out more details about the company, go to the www.equitiesfirst.com .