ECONOMICS
CREDIT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Car
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House
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College Education
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A dog
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Detailed explanation-1: -In order to avail a home equity loan, you need to make sure that you have an excellent credit history, reasonable loan-to-value and combined loan-to-value ratios.
Detailed explanation-2: -To qualify for a HELOC, you need to have available equity in your home, meaning that the amount you owe on your home must be less than the value of your home. You can typically borrow up to 85% of the value of your home minus the amount you owe.
Detailed explanation-3: -Home Equity Loan Disadvantages Higher Interest Rate Than a HELOC: Home equity loans tend to have a higher interest rate than home equity lines of credit, so you may pay more interest over the life of the loan. Your Home Will Be Used As Collateral: Failure to make on-time monthly payments will hurt your credit score.
Detailed explanation-4: -In a loan against equity shares, you can pledge your shares as equity to avail of funds of up to 50-60% of the share value. Bajaj Finserv offers loans against security of up to Rs. 700 Cr (Subject to eligibility and BFL board approval for amount above Rs.
Detailed explanation-5: -A good credit score. A maximum loan-to-value ratio (LTV) of 80 percent. A debt-to-income ratio. A documented ability to repay your loan. Equity Account number. 01-Feb-2023