Want this question answered?
Yes, if the line of credit is a home equity line where the home is the collateral for the loan then you will have to prove that you have insurance on the home for the home equity loan. Any time you use collateral for a loan then part of the loan agreement will involve proof of insurance on the collateral.
A secured home loan is a home loan where there is a security or collateral used to secure the mortgage. Often times the home itself can be used as collateral to lower the interest rate and monthly payment. By using the equity in the house as collateral for the secured loan.
OFFHAND I WOULD SAY THERE IS NO DIFFERENCE. WITH A HOME EQUITY LOAN, THE COLLATERAL THAT YOU OFFER TO THE LENDER, IS YOUR HOME. WITH A COLLATERALISED LOAN, YOU PUT UP SOME OTHER ITEM THAT YOU OWN, MAYBE A CAR OR STOCKS OR BONDS IN ORDER TO OBTAIN A LOAN.
It may be necessary to put up collateral of similar value to the loan.Then if the loan in not repaid the lender can seize and auction the collateral to try to recover the loss.This is why car loans and home mortgages are relatively easy to get, the car or home purchased with the loan is the collateral for the loan. But an ordinary personal loan does not automatically have collateral like those loans do, so it is harder to get if your credit is very bad.
A home equity loan is a type of loan in which the borrower uses the equity in their home as collateral. There is no restriction on how we can use the money from Home Equity Loan.
Normally it is called an Auto Loan if you are using the vehicle as collateral for the loan. But, you can use something else as collateral such as your home, in which case it would be a Home Equity loan.
You can get cash for an annuity, but it's usually done through a third party rather than your bank. You can, however, use an annuity as collateral on a secured loan obtained through a bank.
She is willing to put up her home as collateral for the loan
Home forclosures happen when a person who has taken out a loan for the purchase of a house has defaulted on this loan. The house has become the collateral for the business providing the loan.
You can use home equity to get a loan by using it as a collateral. You can read more at www.bankrate.com/brm/howdoi/howdoighel.asp -
A person with bad credit can still apply and get a home loan by using the equity in their home as collateral. The more equity in the home the better the chances of being approved for the loan.
Not sure what the question is. If you take out a mortgage loan on a home. the Promissory Note is used to show the debt (the promise to repay) and a mortgage lien is placed on the home to show that the home is collateral for the Note if the promise to repay isn't kept. Does that answer the question?