The Advantages & Disadvantages Of A Secured Loan

Many guides throughout the internet scan over the main points than the finance is secured against your property and that people failing to keep up with repayments face the danger or repossession. While these are two very valid points that are certainly worth people knowing by themselves they don’t provide enough information for people to truly appreciate what they are getting into.

To add some meat to the bones here are further details on the advantages and disadvantages of taking out a secured loan from

Advantages of Secured Loans:

  • Your monthly repayments can be lowered by spreading them over a longer period of time (be aware that while this can be advantageous in the short term it could mean you actually repay more in total interest over a longer period).
  • If you decide to take out a secured loan rather than remortgage you can avoid the potential problem of losing any special rates currently enjoyed on your existing mortgage deal.
  • Changing your mortgage to raise extra funds could mean facing large early repayment charges, taking out a secured loan help to avoid this.
  • A secured loan can be used for any purpose as long as it is legal, raising extra funds via a remortgage may have usage restrictions

Disadvantages of Secured Loans:

  • The interest rates on secured loans will be higher than for a mortgage; this reflects the risk involved on the lender’s behalf, even though you, the borrower, have provided security against the capital. Another reason is the lender only has what is called a “second charge” on your property.
  • If you’re planning to use your secured loan to purchase a new vehicle or “white good” i.e. a washing machine you may well be left with the debt long after the usefulness of your purchases has expired.
  • The upfront costs such as valuation fees and arrangement fees will increase your expenditure.
  • Paying off your secured loan each month may leave you short of cash to meet other bills. The temptation to borrow more to meet these demands presents the very real risk of falling into a debt spiral. With the national UK debt well past ?1trillion many UK homeowners currently experience such difficulties.

When considering the possibility of taking out a secured loan it is important to weigh up both the pros and cons to make sure you reach the right decision. If there is any doubt in your mind the best course of action is to speak with an independent financial advisor to discuss your options.

If you feel this form of borrowing is right for you make sure you get the best deal possible, online to scour the market for the best offers currently available.

It’s important to remember that by taking out a secured loan you are putting your home at risk, this is a decision you want to make with absolute confidence for your own peace of mind.

Will Blockchain Make Finance Redundant?

With every new technological development with, it is claimed that banks will become redundant. Yet, in 2017 – in the age of internet and information – there are more banks than ever before.

The debate over bank disintermediation has stepped up a notch in the past couple of years, however, in light of the strides made in blockchain and its possible use in trade.

Banks are hungrily eyeing blockchain technology – whereby all transactional detail would be logged and stored on an immutable, shareable, digital ledger – as a way of speeding up transaction time and cutting costs. It is also seen as a fool-proof way to stop large-scale fraud, such as the warehouse receipt scandal at Qingdao Port in 2014.

“Trade today is prone to fraud. Whether it’s supply chain finance where you have invoices, or Qingdao where you have warehouse receipts or bills of lading… wherever there’s a document, there can be fraud. and blockchain, while it’s not ‘fraud-less’, reduces the options,” Adnan Ghani, global head of trade at Westpac, told GTR’s Australia Trade Forum in Sydney last month.

For industry figures too with, trade finance processes are frustratingly old school and open to manipulation.

“The sector is ripe for disruption because it’s so antiquated. It’s a paper-laden process, there’s still message formatting created in the 70s such as Swift and EDI [electronic data interchange]. It’s pre-internet and it’s not current,” says Mark Pryor, CEO of US commodity trading software company The Seam.

Cutting out the middle man

But while banks are looking to use blockchain to improve their profit margins, others are talking about cutting them out of the equation altogether.

“Blockchain is inherently P2P. It cuts out the middle man, lowers transaction costs, provides visibility throughout the supply chain. You can track fleets, goods, store documents and make payments, all without a massive room of manila envelopes and 20 bankers,” Collin Thompson, the co-founder of Hong Kong-based blockchain consultancy Intrepid Ventures, tells GTR.

He adds: “Companies like Olam could finance their own supply chain. There’s a spectrum of constituents that would be able to transact business seamlessly, then there’s downstream finance, where you can finance suppliers. You could provide a letter of credit for them to purchase seeds, or create financial solutions for them to hedge their harvest, or even insurance. Imagine Olam providing crop insurance to the farmers.”

Already, some of the blockchain companies in trade are offering downstream financing solutions as part of the package.

As well as working with Commonwealth Bank of Australia and Wells Fargo on the first trade finance deal conducted on multiple blockchain platforms last year, Skuchain has been offering supply chain financing as an incentive for more suppliers to sign up to use its blockchain solution.

While some will be onboarded by the buyer at the top of the chain (which has actually invested in the blockchain technology), others need more coaxing.

Vice-president for business development and strategy at Skuchain Rebecca Liao explains: “We have a supply chain financing solution that allows for a secure, immutable, auditable ledger. It’s collaborative because all the parties to the transaction can write on the ledger. You have a transaction that’s only as risky as the goods themselves.

When Is The Right Time To Expand Your Business?

Did you come here thinking of a question when the right time to start growing your business is? There are certain things that you need to consider before you decide to expand your business because the answer to your question is yes there is a right time to grow your business. The first thing you need to consider is your market or customers. You need to know if your clients are in need more of your service or product, because if yes, then you would need more people to cater your customers, more goods or services to satisfy them. But if you can provide your clients and make them satisfied with your product or services then it’s okay not to expand yet.

Expanding your business would require financial assistance so you can add more people and more of your products or services. If you are planning to expand your business make sure that you are not going to spend on something that is not going to be a waste of your time and money. Instead, open a business in a new location to gain new customers, or you can create a new plan of activities that would make your customers choose more of your product or service than other companies.

Now, if you feel that your business is really in need of expansion because more and more customers are trusting your business. Then it’s time to take action and plan the development of your business.  You can start ordering more of the products you usually make money and add new products that you would think your previous customers and new customers are going to like. You can also open a new location to target new customers from different areas. It is easier to expand business nowadays because of the bridge finance that is offered everywhere, or the best example is this site, you can inquire for further details. They have a variety of choice for your business to grow and you can even ask for emergency funds when you need it.

They have different terms that would suit financial needs, and their payment method could be depending on how you can repay your loan. Not just that, the best thing about bridge finance is that they can release your loan in just three days or a week. Just make sure that you get to present the precise requirements. If you are in need of financial assistance when your business is experiencing crisis, you can have someone to count on. So there is always a chance for you to grow and survive the business industry.

More and more business owners are ready to expand and fulfill their business expansion because of this kind of funding. It targets business owners and those who want to start their affairs. It’s not hard to reach your business goals nowadays, all you need is your plan of activities and guts to make it happen.

Can you benefit from derivative training


Have you ever wondered what the benefits are that you can get from derivative training? Because if you have then the answer is coming and you would be amazed at the benefits that you get when you are part of that training because you would say that it was a time worth investing. You can even tell your friends about the benefits and the experience that you have because they may want to join in all the fun and the excellent way of using your time and learning new things. After all when it comes to derivative training there is nothing like it.

If course derivative training can benefit you because for one thing it was made for you so that you can benefit from it. You see when it comes to learning there are very different ways for you to learn it and sometimes that method wouldn’t do you any justice. That is why derivative training was made so that when you are about to start learning, you are literally learning something. You wouldn’t even say you don’t have a productive day because you will have a productive day because of it. There is no reason why you can’t benefit from derivative learning.

You see according to derivative training is an innovative way for you to start learning things without having to think of it as learning. It is because you see sometimes you might have to study hard and remember the words and after a while you will forget it but the thing that derivative learning do is that it helps you retain the information because for one thing is they have the best teachers, and they can give you the best resources as well. If you have a subject that you are good at, then it will make sure that it will be expounded.

Another thing about derivative training and why it you can benefit from it is that you will be learning the subjects to its core so it would mean that there wouldn’t be anything to the left out because you have digested every information that they have given you. The best thing about that is you wouldn’t have to worry if you have full learning of the subject because you did and they do have the best teachers or professionals to help you. You can totally count on them you need to start learning because they know education is important.

So if you are ready to start learning, then it would be best that you start doing it with derivative training because what better else to learn than through them. After all, you will receive a lot of benefits from them so you just need to make sure that you get to be part of it because if you won’t then it would be a waste and you will regret it afterwards. Remember that every time you are part of the derivative learning is a whole new experience so be there and earn some more experience for you to benefit from.

5 different kinds of equity derivatives

Retail investors can use equity derivatives as a form of security when participating in price actions. The security of an equity derivative will also determine in part its value. So learning about equity derivatives can be an essential thing for many different kinds of investors. These are the five most common types of equity derivatives that you will encounter. If you want to learn more as an investor, you will have to be quite aware of what these different kinds of equity derivatives are.

  1. Single Stock Futures

A future equity derivative relies on a contract between the buyer and seller of an underlying security. The buyer has to agree to purchase the option at a specific time and date in the future. So this means that Futures equity derivative is essentially a contract, one that is made ahead of time between two parties, the seller, and the buyer.

  1. Stock options

Stock options are a form of contract which allows a trader to trade various kinds of stocks. Unlike Futures, an option does not automatically mean that the investor has to purchase or trade a stock in the future. The buyer is not obligated to purchase the underlying security when they purchase a stock option.

  1. Convertible bonds

Investors may also get convertible bonds. These types of equity derivatives can be converted into equity with the company that it is related with. While it still has a maturity date, just like a Futures bond, it is a more secure option. It is considered a more secure option because it has got more options for the investor. There are various other types of convertible bonds as well, so if you are planning to invest in this kind of derivative you will need to learn about exchangeable, contingent, hybrid bonds and more.

  1. Stock Warrants

This type of equity derivative can be called a right to purchase a stock during a predetermined amount of time. However, it is the company that issues stock warrants rather than an investor. This means that the investor is not obligated to purchase the stock option, they simply have the right to purchase it at a set time.

  1. Index Return Swaps

The cash flow coming from investments in different assets will be exchanged instead of the stock or assets themselves. This type of equity derivative is called Swaps. This use of swaps can give an investor the same kind of cash flow that they can receive when they get returns on their other investments.

If you want to learn more about equity derivatives it can be a good idea to search for training. You can usually find training about equity derivatives and other kinds of financial trading on the internet. Learning about these through online courses could be a great way for you to get into equity derivatives and trading in general. You can find equity derivatives training services quite easily on the internet. And many websites will offer very thorough training if you need it. So when you want to learn about commodities and equity derivatives, look no further than online training. You will get very effective training that will teach you all you need to know about equity derivatives and more.