Fast Unsecured Loans
Question about personal loans from BOA..please suggest…?
My boyfriend and I want to take out a $3,000 loan for a down payment and first months rent on a rental home. I have a few questions:
1. Do you have to belong to the bank you get the loan from?
2. If one of use has better credit than the other, is it better to do two separte loans or do one loan together.
3. How long does a loan take to come through?
4. Are there penalities if you pay the loan off faster than scheduled?
5. What about Bank of America: are they good? Wachovia?
6. What is the difference between a secured personal loan and unsecured personal loan?
i’ll hazard a guess that a credit union would be a better place than either BofA or Wachovia. Interest rates will be lower and they’re likely more tolerant of unusual situations.
In general, the big banks have gotten away from small, personal, unsecured loans. What they do is issue a credit card with a sufficient credit limit and say “use this instead”.
The reason they do this is cost. They already have a very cheap system in place to run credit cards. Their operating costs on the personal loan are higher and then the darn thing runs out on them in a couple or three years whereas if they’re lucky the credit card will be used and they’ll be earning interest for many years to come.
Count on a week or two from application to funding or card in hand. You might get a deal on the startup interest rate since they know you’ll want $3,000 immediately.
credit cards do not have prepayment penalties … most credit unions don’t either. Don’t know about the banks.
you do not have to be a depositor in advance. you do have to have verifiable income. Naturally, they want you both to sign on one deal so they can chase both of you if payments are late.
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See the other questions for cautions about what happens if you split up and party C moves out … both the loan and the rent will want you both to pay for the rest of the term — this will be difficult to do since the one who moves out will have own housing to provide then.
GL