Welcome to Loans Guide
Small Business Loans Article
. For a permanent link to this article, or to bookmark it for further reading, click here.
The Facts Behind Unsecured Loans
from:Unsecured loans have been around of many years and are possibly one of the earliest forms of loans. Unsecured loans are not provided based on any type of collateral; rather they are based solely on the lenders belief that the borrower has the ability to pay. In an unsecured loan the lender is taking most of the risk as he or she is counting on the borrower to repay according to the terms of the loan. A secured loan is just the opposite, the borrower provides some type of collateral to basically assure the lender that even if they do not pay the loan as per the terms, the lender will still have the collateral which will be equal or greater in value than the loan itself.
Credit cards are the most common example of unsecured loans. The credit card company provides you with access to specific amounts of credit and in return you are able to buy items with the credit. If you don't pay the monthly bill, the credit card company is not able to simply come and get the items you purchased, all they can do is go through a legal proceeding to try to recoup their losses. Of course unsecured loans such as credit cards charge all borrowers higher interest rates to make up for the people that don't pay.
Typically people with good or high credit scores are more likely to qualify for an unsecured loan. Those individuals with bad credit or a poor history of making payments are far less likely to either qualify for unsecured loans or be able to get an unsecured loan at a reasonable interest rate. Think of unsecured loans as personal loans, which will help make sense of why some people are more likely to qualify than others. In all reputable loan companies your credit report will be pulled and reviewed, so being honest on the loan application is important. Know what your credit score is before applying for a loan to better understand your position with regards to getting a loan.
If you have bad or poor credit, there is still a possibility of getting an unsecured loan or even possibly using some type of collateral for a secured loan. Different banks and lenders may be willing to work with you for a loan, depending on how much you wish to borrow and if you have a good work history or possibly even a co-signer. Some companies will work with individuals with poor credit but a solid work history or those that are willing to work with the lender to rebuild their credit through the use of secured credit cards.
Small Business Loans Specific links
Small Business Loans News
SBA head looks beyond loans to help small business - BusinessWeek
 OpenMarket.org | SBA head looks beyond loans to help small business BusinessWeek Her previous experience gave her "the ability to understand challenges that face small businesses and to see around the corner at what might helpful to them in the future," she says. The SBA is probably best known for the loans it makes to small ... Where the presidential candidates stand on increasing bank lending to small ... |
Increase credit unions' small business loan caps - Austin American-Statesman
 Austin American-Statesman | Increase credit unions' small business loan caps Austin American-Statesman Increasing the amount of loans credit unions can make to small businesses will help rejuvenate our economy by making funds for expansion available to small businesses. It's estimated that this single action will make $13 billion in capital available to ... Commentary - Credit unions support and strengthen communities |
Loans available to rural communities and small businesses - KRBD
Loans available to rural communities and small businesses KRBD by Maria Dudzak Financial help is available to rural communities and small businesses throughout Alaska from the Department of Commerce, Community and Economic Development. Speaking at a Ketchikan Chamber of Commerce luncheon, Sandra Holst, a loan ... |
3 Things You Should Know About Small Business: May 23 - TheStreet.com
 Daily Mail | 3 Things You Should Know About Small Business: May 23 TheStreet.com By Doug Kass 1. The best banks for small-business loans. Which banks lend to small businesses the most? Not surprisingly, community banks. A new tool called Banking Grades by the Philadelphia-based company MultiFunding found some of the biggest banks ... Small firms can't even get an overdraft as it emerges 50 are failing every day |
NADCO Cites Importance of SBA 504 Loans During Small Business Week - MarketWatch (press release)
NADCO Cites Importance of SBA 504 Loans During Small Business Week MarketWatch (press release) CDCs are certified by the US Small Business Administration (SBA) to provide financing to businesses through the SBA 504 loan program. Our industry recognizes two members who were honored during SBA's National Small Business Week for their efforts in ... |