The Bank Loan Process, Creation and Destruction of Money
Do banks have to retire the principal portion of loans, or do they confiscate this also? I’m pretty clear about the confiscation of interest but the principal I’ve always assumed had to be retired. Thanks
I wouldn’t put it past them to confiscate the principal portion as well. It’s not surprising that banks would recover whatever they can from their borrowers, regardless of whether it is ethical or entirely legal (they will always come back with some obscure loophole if they were contested for such activity). They are managing and storing your money, so if you owe them money, then they supposedly have the right to access your money regardless of your financial situation. Borrow at your own risk…
The payday loan, can help you navigate away from rough financial seas when the money you require is more than what can be remedied with the funds in your bank account. It won’t finance a car, home or college education – it’s typically a loan of just a few hundred dollars. Payday loans are just enough cash to keep your budget afloat between paydays, sans excessive waiting, hassle or negative consequences. Bank loans are really of great help too thus, most of us apply for this.
From June 1st, I believe, the premiums of mortgage loan insurance has increased and will be 15%. I'm in the real estate business and wondering how it is going to effect the business, even though CMHC has confirmed there won't be much change what-so-ever. I'm wondering how that can happen? I'm looking to take up a mortgage and it is undergoing pre approval process from 5 Year Mortgage Rate.com right now, but I'm not sure will I be effected adversely or will it be favorable according to the change.
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