Time To Flex Your Loan Muscles
A flexible loan is designed much like your credit card plan in a lot of way. You might think of a flexible loan almost like overdraft protection. A lot of
financial professionals consider a flexible loan as a combination of the best services and features of several loan options. They have good reason for
When you take out a flexible loan you can either overpay or underpay on your loan repayments, as you see fit. That can change for you every month if
you wish. You just don't get more flexible repayment options in any type of loan or mortgage than that of a flexible loan.
Everybody - unless they are the richest of the rich and have always been - has been in a financial crisis or other tight money situation where being
able to procrastinate on one payment would have resolved an immediate cash flow problem nicely. Unlike the more rigid loan and mortgage options,
the flexible loan you give you that option.
Strangely enough, skipping payment is better than making partial payments with a flexible loan. Interest rates can add up if you underpay and you can
pay for it at the end of the loan's term. In contrast, though, you can overpay with a flexible loan as well. Studies have proven that 70 percent of people
with a home loan pay it back early, and many of them have large prepayment penalties as a result. Virtually no flexible loan, in contrast, will charge
you any penalty for early payment.
What's perhaps even better than the early payment option is that you can borrow that same money again. If, for example, you overpay and you need it
back to pay for another unexpected emergency you take that money out against that flexible loan. The loan just gets recalculate or extended. Most
flexible loan providers now let borrowers set their own borrow limits. Set as a fixed rate, you don't have to use the money if you don't need or want to.
No matter what, it's not going to cost you any extra money.
There are those who might say that a flexible loan - and its resulting flexibil