尋找財技達人 difference, mortgage, question, between, credit

librazhy

想問問有無高人可以指點一下關於理財既技巧

My first question: What is the difference between (House mortgage loan ) and (Line of credit)?

ravemother

A bank would offer you a House mortgage Loan (Home Line) if you have a mortgage with them. Since you have the property to as the collateral, the rate is usually significantly lower than than a normal Line of Credit. As you slowly pay down your mortgage, you can also increase the limit of the mortgage loan.

Line of Credit is just a revolving personal loan people use for all kind of purposes, eg emergency, home renovation, etc. You must pay interest on the outstanding balance every month. it is similar to a credit card but with a larger limit and a lower interest rate.

auyatyat

整條home owner line of credit 用o下~

librazhy

If I have a home line of 2.95% interest rate with a maturity date of 2011 October, should I go get a 2.75% personal line of credit to fully replace the home loan?

Do the banks actually allow me to do that? Heard that there's a penalty when you pay off the home line before the maturity date, so, when is the best time to switch status? four weeks before or four months before?

At the end, how much do I actually save for a case of 0.20% with $100,000? Am I going to save $200 per year? But is there any sort of administration fees or surcharge when it comes a real line of credit statement?

ravemother

then you better talk to your bank since each bank do things differently and have different rules. Just consider the amount of saving with all the hassles. I am sure your account manager will be able to do a math break down for you. AM has all kinds of financial calculators.