Browse Category: Financial Solution

Equities First Holdings: Restoring Borrowers’ Confidence in Stock-based Loans

With banks tightening their grip on loan-lending regulations, it has become impossible to acquire a working capital for many individuals. However, Equities First Holdings is changing this notion by bringing back stock-based loans.

The Predicament

With the newly revised lending criteria, by financial institutions, so many people have been locked out of qualifying for a new loan. This means reduced working capital, stalled business progression, increased mortgage frustrations to mention a few. And the banks have made it even worse by raising interest rates, making margin loans a tad expensive.

The Solution

Despite the ongoing borrower’s quagmire, Equities First Holdings have discovered a way to beat the system. This is through stock-based consumer loans. The concept was already there, and lots of borrowers were already gravitating towards it, but the global lender has resorted to publicize this option as an available loan alternative.

Stocks are the new collateral for accessing loans and this comes with a lot of advantages for the consumer. To begin with, stock-based loans don’t require any pre-qualification requirements. This means that even with a poor credit history but available stock assets, you can still apply for a loan.

Conventional margin loans come with fluctuating interest rates which often affects the final amount to be paid back. It’s not the same for stock-based loans, the interest rate is fixed thus you are sure of what you pay back in the end. Moreover, whereas margin loans require collateral that can be liquefied when the borrower defaults in payments, stock-based loans have no such hold on the borrower. So you can freely walk away from then obligation even when the value of collateral stock drops.

 

There is, therefore, security in stock-based loans and Equities First Holdings are capitalizing on it. However, the biggest challenge for the global lender is convincing the masses that stock-based loans still work. Borrowers are still petrified by the past cases of borrowers dumping consumer collateral stock into the market and fleeing when stocks crash. Equities First Holdings promise Integrity and transparency when handling stock-based loans.

About Equities First

Equities First Holdings is a global lender of non-purpose capital loans to business and wealthy individuals. The firm has over 14 years experience in loan securities and have 9 established offices globally. They offer alternative lending solutions to individuals who cannot access conventional loans. Equities first consider themselves the pioneers of stock lending, a concept that was once shunned due to unscrupulous dealings by early lending institutions.