Since the Great Recession, the costs of many commodities have gone high with most of the traditional lenders tightening their borrowing regulations. Before the economic crisis, there was the huge amount of funds that entered the US monetary markets. Foreign governments gave money by trading with Treasury bonds and avoiding the direct effects of the crisis. On the other hand, US households utilized money borrowed from foreigners in housing assets which led to financial institutions with loan solution putting their resources (foreign money) in mortgage-backed securities. From July 2004 to July 2006, the funds’ rates were also significantly raised, which caused an increase in ARM (1-year & 5-year adjustable-rate mortgage) rates, making the repaying of loans difficult for homeowners. Equities First Holdings added to the housing bubble deflation as asset costs move inversely to interest proportions. It also became riskier to predict on the housing investments.
As the financial hardships followed that have affected the lending sector to date, financial assets and US housing dramatically went down in value following the housing bubble bust. With the shaken financial institutions, the aftereffects are still felt today, whereby banks have made their lending criteria tighter, and that has resulted in either limiting or chasing of many loan applicants. Business investors are also finding it hard to secure easier and affordable cash. Hence, the majority of borrowers have currently turned to alternative lending firms.
Equities First Holdings is a unique company that has been commended for its special products, whereby the firm gives borrowers fast & affordable stock-loans. The loans come with various merits, and presently the company is recording a high traction stock-loans borrowers. The economic crisis facilitated the declining of subprime lending standards, and by 2005, the majority of lenders dropped the needed FICO score to 620, which made it easier to access prime loans.
That made subprime lending a dangerous business. Currently, many investors are finding it easier to seek funds from alternative lenders, making Equities First the most searched companies in the alternative lending sector.
Respecting Equities First Holdings: www.glassdoor.co.uk/Overview/Working-at-Equities-First-Holdings-EI_IE1401879.11,34.htm