Stock-Based Loans from Equities First Holdings: A Viable Borrowing Option

Equities First Holdings has been in operation since 2002 providing alternative financing solutions that enable clients meet their various personal capital goals. Today, Equities First Holdings is seen as a global loan provider with headquarters in Indianapolis, Indiana, and offices in the United States, London, Hong Kong, Sydney and Bangkok.

EFH was quick in discovering the important place stock-based loans occupy in economies where banks and other financial institutions are making lending criteria insurmountable. One viable alternative open to borrowers in urgent need of capital but could not meet the criteria for conventional credit-based loans is to put in for stock-based loans from Equities First Holdings. The benefits of such action will pleasantly surprise you.

Institutions providing stock-based loans demands for collateral just like all other lending organizations only that borrowers are privileged to use stocks or shares as collaterals. This provides an escape rout for individuals who do not have other precious things or assets that lending institutions demand for.

Loans collateralized by stocks usually have a higher loan-to-value ratio when compare to the likes of margin loans. In other words, lenders of stock-based loans give you something very close to the entire amount requested for the stated purpose loan the loan is meant for. In a way it increases the risk of the lender because in the event that the borrow default in paying back and the value of stocks fall, the lender may not be able to get back the full amount given out. Fluctuations in the stock markets are becoming rampant these days. However, EFH is not relenting in assisting clients with these loans despite all the uncertainties in global economies.

Also, it is expected that in a situation where the loan-to-value ratio is high, then the interest rate must be correspondingly high. With EFH stock-based-loans, the reverse is the case. EFH offers a fixed interest rate, between 3 to 5 percent. Borrowers have no need being afraid of sporadic increase in interest during the life of the transaction as is the case with fixed interest rate loans.

As more and more people get to know the superior advantages of stock-based loans, particularly the ones EFH provides, it is expected that the rush for this borrowing option will increase and more information click here.