The 7 Most Common Mistakes Borrowers Make When Shopping for Loans

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The 7 Most Common Mistakes Borrowers Make When
Shopping for Loans
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Not shopping for a loan-

• There are many debtors or borrowers who are with
  polite credit get run through with loans intended
  for people with bad credit. So loans are often
  more beneficial to a broker which are calling as
  sub prime loans. And this is the reason why
  inferior moral mortgage brokers may push for sub
  prime mortgages and commercial loans. In case the
  debtor does not know what the restrictive
  interest rates are for someone with their good
  credit standing, they can easily spend thousands
  of dollars more than they need to spend..See
  more at http//hardmoneyloan.blogspot.com/2014/02/
  not-shopping-for-loan-big-mistake-of.html

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Assuming that every Internet company that
advertises getting you up to 4 loan offers can
really save you time and money

• The brokers who contact you afterwards will
  promise to beat all the other prices, but have
  neither the capacity nor the intention of
  delivering such prices. Since the other companies
  do not provide the means to compare quotes, you
  are at the mercy of brokers whose objective is to
  rope you in and move the process along until it
  is too late for you to back out. At that point,
  they raise the price using any of a dozen tricks
  available for that motive. See more at
  http//hardmoneyloan.blogspot.com/2014/02/assuming
  -that-every-internet-company.html

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Assuming that you can shop Lender A today and
Lender B tomorrow

• Because of market disbelief, prices gained on
  different days will not be able to compare.
  Unless you shop all the sources on the same day,
  you are wasting your valuable time. It is a great
  problem. We should always aware about this
  mistake.
• See more at http//hardmoneyloan.blogspot.com/2014
  /02/assuming-that-you-can-shop-lender-today.html

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Do not think that the lenders who offer the best
price on one type of loan will also have the best
price on another

• There are many borrowers who start out thinking
  he wants a fixed-rate loan, and then switches to
  an adjustable.
• Borrower starts out thinking he wants 30-year
  term, and then switches to a 15-year term.
• Borrower starts out thinking he wants a loan at
  zero-point, and then switches to 3 points.
• Generally I would advice you that do not think
  that the lenders who offer the best price on one
  type of loan will also have the best price on
  another. Such switches may reject your shopping
  because the loan provider with the best price in
  one loan category may not have the best price in
  another.
• See more from http//hardmoneyloan.blogspot.com/20
  14/02/do-not-think-that-lenders-who-offer.html

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Selecting the loan Provider offering the best
price over the telephone, on the radio or in the
newspaper

• If you cast a spacious adequate net you are bound
  to find an evildoer who will beat all the several
  prices, but has neither the capacity nor the
  intention of delivering such prices. His motive
  is to rope you in and move the procedure along
  until it is too late for you to back out. He
  raises the price at the point by using any of a
  dozen tricks available for that purpose. So, be
  on the alert. You should be alert about this
  because this market is changing every moment
• See more at http//hardmoneyloan.blogspot.com/20
  14/02/a-great-mistake-of-borrowers-selecting.html
  

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The Last Two Big Mistakes

• Not For Shopping for a Loan

• Not Being Prepared

• Too many borrowers with decent credit get stuck
  with loans meant for people with poor credit.
  So-called "subprime" loans are often more
  profitable to a broker. Thats why less ethical
  mortgage brokers may push sub prime mortgages and
  loans. If the borrower doesn't know what the
  prevailing interest rates are for someone with
  their good credit standing, they can easily pay
  thousands of dollars more than they need to pay.
• See more at http//www.lendinguniverse.com/Borrowe
  rsMostCommonMistakes.aspNot_shopping_for_a_loan

• Not having financial records that verify income
  and assets and not fixing your credit prior to
  applying for a loan but keepiing your fingers
  crossed, hoping your credit will allow you to
  qualify for a loan, are among the worst mistakes
  one can make. Your credit score can make a major
  difference in loan quality. Not having
  documentation ready can mean higher rates and
  often even a declined loan. This applies to any
  co-borrower as well as the primary borrower, as
  often the co-borrower's financial information is
  just as important as the borrower's.
• See more at http//www.lendinguniverse.com/Borrowe
  rsMostCommonMistakes.aspNot_being_prepare