Posted by Felix on September 22, 2003 at 14:24:34:
Yes, that does seem high. I assume your co-signing for your business, with high 700’s I’d see if they would be willing to waive the points.
pay too much? - small biz line of credit? - Posted by tony b of columbus, ohio
Posted by tony b of columbus, ohio on September 22, 2003 at 06:10:43:
I have an application for a small biz line of credit. My credit scores are in the 790’s. The morgage broker is quoting costs for a 35k line of credit at $2400 for points, $200 for loan application, and $50 a year. The rate will float and currently will be at 8%. It is a 20 year balloon.
For a 35k line of credit, is $2650 too much to pay?
if so, lower cost alternatives???
Thank you,
Tony
Re: pay too much? - small biz line of credit? - Posted by tony b, columbus ohio
Posted by tony b, columbus ohio on September 24, 2003 at 13:49:54:
well, i called a local bank and asked about an unsecured business line of credit. turns out they will take my application, up to 35k line, for no points, and $100 per year. So you do the math, 2600 vs 0. hmmm.
Re: pay too much? - small biz line of credit? - Posted by Bob
Posted by Bob on September 22, 2003 at 12:45:18:
Tony:
The $2,400 for points and 8% rate seem like numbers for an unsecured line. If it is a secured home equity line of credit, many banks won’t charge the loan fee, and the rate should be a lot less.
Bob
Re: pay too much? - small biz line of credit? - Posted by tony b, columbus ohio
Posted by tony b, columbus ohio on September 22, 2003 at 15:04:05:
yes, correct unsecured. does that seem like a large fee for an unsecured loan?