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Discussion Starter #1
I am looking to loan $15,000 CAD. Any best private lenders you guys can recommend? Thank you in advance.
 

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If you are looking to loan money, I'd say you are the private lender already. Or are you looking for someone who can help you find a borrower, someone to act as a broker for you? $15k is a rather small sum to make it worthwhile to engage a broker.

Or are you looking to borrow $15k?
 

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If you are looking to loan money, I'd say you are the private lender already. Or are you looking for someone who can help you find a borrower, someone to act as a broker for you? $15k is a rather small sum to make it worthwhile to engage a broker.

Or are you looking to borrow $15k?
I used to watch Judge Judy and this was one of her biggest pet peeves (people not knowing the difference between borrow, lend, loan). English is my second language and I have issues with stuff from time to time, but this is one thing that always baffles me. I don't understand why people get the terms confused.
 

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I believe the original poster is looking to borrow.

Not sure why he wants a private lender as opposed to a bank/ loan company.

Private lenders tend to be very localized. Very few will lend money without security( usually a mortgage or lien against property). Occasionally you find someone who will take equipment or vehicles.

Local mortgage brokers and some lawyers will have a list of of local private individuals who lend privately.

These loans tend to be expensive and involve hefty fees.
For example. You borrow 26,000 but a mortgage is registered on your house for 30,000. You pay 12% a year for two years. At the end of two years you pay back 30,000 plus a 500 discharge fee. If you can't repay, the lender will renew for a 1000 fee. Or the broker will shuffle you off to another lender for another fee.

These lenders are almost always local in order to know the local market and security.

Hopefully this is useful. There is of course the lenders who will send big Tony, or Vito to collect but hopefully the OP is not that desperate.:-(
 

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Best private lender - that's like asking "what weighs more, a pound of feathers or a pound of rocks"

Do you want to borrow or lend out?

Borrowing - as long as you are willing to pay the price, anyone is willing to lend you money in the private sector. Try the banks first - you could be surprised at their options.
Lending - Don't recommend lending $15k unless you're willing to lose it.
 

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Discussion Starter #7
I am sorry to confuse everyone, pardon my lack of knowledge in proper use of terminologies, what i really meant was to BORROW and not to loan. I had this "stay away from banks" mindset so I thought private money lenders would be the first option for this.
 

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Discussion Starter #8
I am looking into Borrowell right now... for now it says..

5.6 - 29.9% APR
1k - 35k Loan amount
3 -5 years TERM

It also says...

There are no prepayment penalties for making extra payments or paying your loan off early.
 

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I think mortgage u/w gave good advice. Try some of the conventional lenders.

In 1998 I had the need of some quick cash, not a large amount, and I did not want to go to the trouble (and expense) of putting up security and having security documents drawn and registered. I phoned what used to be called ING Direct (they have since morphed into a citrus fruit). In very short order I had an unsecured loan for $25,000. I just put up my signature on a one-page document and they made available to me a line of credit at a rate of about prime +1% or so. I could go online and move the money into any financial institution account I liked.

Unless things have changed again, ING no longer makes loans of that type. I called them a few years ago when I again had need of a fairly small amount of cash for the short term, I needed about $40,000. I called them, thinking that since I had been a good performer over many years, with stellar credit, they would raise the limit to $40,000 without question. Even though it had been a long time since I needed to borrow any money, I had drawn down the line from time to time, then paid it back, just to show that the account was not dormant. I did not want it cancelled. Anyway, when I called, they said they would not increase the line because it was no longer part of their business. They said they would continue to service existing lines of credit that remained in good standing, but were granting no more.

I suspect that if you call some banks (and maybe some outfits like PC Financial), you might find something that works for you. You can also try calling a mortgage broker or two. Can't hurt.
 

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I am looking into Borrowell right now... for now it says..

5.6 - 29.9% APR
1k - 35k Loan amount
3 -5 years TERM

It also says...

There are no prepayment penalties for making extra payments or paying your loan off early.
You posted again while I was typing. I never heard of Borrowell (or many others, I am sure). An unsecured line at 5.6% sounds okay. As for 29.9%, well....
 

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Discussion Starter #11
I suspect that if you call some banks (and maybe some outfits like PC Financial), you might find something that works for you. You can also try calling a mortgage broker or two. Can't hurt.
I will try and see what they can offer for me. Salamat! :)
 

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Discussion Starter #12
You posted again while I was typing. I never heard of Borrowell (or many others, I am sure). An unsecured line at 5.6% sounds okay. As for 29.9%, well....
Thanks for the advise! I'll keep that in mind. how far is "sounds okay" for you? 7%?
 

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I think mortgage u/w gave good advice. Try some of the conventional lenders.

In 1998 I had the need of some quick cash, not a large amount, and I did not want to go to the trouble (and expense) of putting up security and having security documents drawn and registered. I phoned what used to be called ING Direct (they have since morphed into a citrus fruit) ... Unless things have changed again, ING no longer makes loans of that type ...
I suspect that if you call some banks (and maybe some outfits like PC Financial), you might find something that works for you ...
ING Direct doesn't offer it as they were sold by the ING Group (Netherlands) to Bank of Nova Scotia (BNS). The switch to Tangerine was to reflect the change in ownership. For whatever reason, the closest BNS has decided Tangerine will offer is a HeLoc.

PCF also does not exist anymore as Loblaws and CIBC decided to dissolve their partnership. PCF is now Simplii Financil which is wholly owned by CIBC. Simplii offers Secured and Unsecured LoCs as well as loans.


Without some indication as to why the OP would be forced to be looking at a high rate as 29.9% instead of something a lot closer to prime, calling some banks/credit unions/online banks seems an easy way to cut the interest rate dramatically.


Cheers
 

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If that's the best they can give me, I think I can live with that too. hehe
How do you know this is "the best" if you haven't shopped around?

Financial institutions (and cable/phone/cell phone etc. companies) make a fortune off people who don't shop around.

As an example, when I shopped around for my first mortgage - four of five mortgage companies were within a couple of thousand of each other while the last was willing lend $50K less. Going for the easy route might have restricted my borrowing dramatically, in addition to raising my borrowing costs.


Cheers
 

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^^ just ensure you compare apples with apples. Different pricing comes with different benefits. So yes, shop around but also keep in mind the product benefits.
 

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Discussion Starter #19
Okay, just made my first call with ATB and asked them about line of credit. Please walk me through this guys as I have never done this before...

Of course they needed information on my end asking they would pull my credit information (which i assume necessary to determine how much they can lend me and what rate)
They also asked for my SIN, and I told them I dont have it accessible right now ( I learned not to give your SIN easily to anyone)

After the call, they said they can lend me 15k on 7.95% interest rate which is better than I have with RBC (where I do my banking right now) which is 10k on 9.43%.

So my question is how much info or what infos I can give to them if ever I make any future calls to other banks for comparison of their line of credit rates?
Does it affect my credit rating when they pull my credit info everytime I make calls when shopping around?

Thanks in advance, cheers!
 

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Discussion Starter #20
Also, my car is fully paid now and I believe to be around 20k on current market. Can I use it to apply for a secured line of credit? If yes, is it a good idea to do so?
 
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