Almost everyone in not only in the UK but throughout the civilized world except perhaps the most affluent people in society at some time or the other require a loan.
Even people who are relatively comfortable and have money in the bank often feel safer keeping it in their account in case of anything going wrong in the future when the savings will be required, and subsequently they often prefer to take out a loan than to pay cash.
If we could see into the future and could see that we will never be out of work and will always have the same high salary right up to retirement that we have now we may feel different about loans and might prefer to sometimes to lift money from our savings instead.
Also no one with hand on heart can be 100% sure of their employment security, and as has been witnessed during this credit crunch redundancy can happen when we least expect it.
What loans are is money that we apply for to a loan lender and which he advances to us with interest placed on top of what we owe which forms the profit of the loan lender.
Loans are as such a fairly important part of the lives of many people throughout the world.
They are also an essential part of the life of a nation. Lending wisely and prudently borrowing what you can comfortably afford to pay is the basis of a healthy economy.
It is when the granting of all shapes and forms of loans reaches crazy lax proportions, and when those borrowing these loans receive the loans with no hope of ever paying them back that the economy of a nation collapses, and we all know all about this at present.
Loans are a requirement of civilized society but both the loan lender and the loan applicant must make sure that the loan borrower can always afford the monthly loan repayments. It was the reckless lending of all types of loans and especially self certification mortgage loans that in fact precipitated the current economic crisis. - 30462
Even people who are relatively comfortable and have money in the bank often feel safer keeping it in their account in case of anything going wrong in the future when the savings will be required, and subsequently they often prefer to take out a loan than to pay cash.
If we could see into the future and could see that we will never be out of work and will always have the same high salary right up to retirement that we have now we may feel different about loans and might prefer to sometimes to lift money from our savings instead.
Also no one with hand on heart can be 100% sure of their employment security, and as has been witnessed during this credit crunch redundancy can happen when we least expect it.
What loans are is money that we apply for to a loan lender and which he advances to us with interest placed on top of what we owe which forms the profit of the loan lender.
Loans are as such a fairly important part of the lives of many people throughout the world.
They are also an essential part of the life of a nation. Lending wisely and prudently borrowing what you can comfortably afford to pay is the basis of a healthy economy.
It is when the granting of all shapes and forms of loans reaches crazy lax proportions, and when those borrowing these loans receive the loans with no hope of ever paying them back that the economy of a nation collapses, and we all know all about this at present.
Loans are a requirement of civilized society but both the loan lender and the loan applicant must make sure that the loan borrower can always afford the monthly loan repayments. It was the reckless lending of all types of loans and especially self certification mortgage loans that in fact precipitated the current economic crisis. - 30462
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