xmlns:fb=”http://www.facebook.com/2008/fbml”> Lending Institutions | Planning Financials | Personal Finance To Help Make You Rich
Making Money With a Blog
Wed, 04/28/10 – 16:3820 Comments

In the past 5 years, blogs have exponentially increased their frequency throughout the world wide web.  At first, it seemed that blogs were looked upon only as additional journalism resources and that official journalists could …

Read the full story »
Attitude

Debt and Loans

Goal Setting

Investing

Miscellaneous

Home » Debt and Loans

Different Types of Loans and Lending Institutions

Submitted by on 57 Comments

Banks and Lending InstitutionsAs I discussed in the consumer loans post, credit markets and lending are an essential part of financial planning and personal finance. I wanted to discuss the different types of lending institutions. By learning the differences and the strength of each institution, you can better know which institutions are best for the type of loan you are looking for. At the end of the day, you can save thousands of dollars just by using the right institution.

There are two main types of lending institutions, banks (which in a sense are institutions who take deposits) and non-banks (without deposits). Lets first discuss banking institutions:

Banking Institutions

Commercial banks – Usually the most popular source for loans. These are the institutions most know by people such as Wells Fargo, Bank of America, and Washington Mutual. Even though these institutions are the most widely used, usually they do not offer the most competitive rates for deposits and loans.

E-commerce or Internet Banks – Recently introduced to the world as the internet gained in popularity. Internet banks do not have your standard branches and bank locations for deposit. As a result, these institutions save a lot money from the lack of overhead, and in turn, are usually able to offer higher yields on deposits and lower interest rates for loans. Due to new technology, internet banks are still relatively low in popularity due to many consumers being uncomfortable with the new system. However, most are still FDIC insured and are backed by the Federal Reserve. In fact, now there are sites that have FDIC insured internet banks bid for your business. This can really enable you to get the best rate, see more at www.MoneyAisle.com.

Saving and Loan Associations – These institutions are very similar to commercial banks, but differ in ownership structure and procedure. Usually you are able to get more competitive rates for loans and deposits with saving and loan associations than with commercial banks.

Non-Banking Institutions

Brokerage Firms – Not only can you make stock trades from your brokerage account, but for most of them, you can issue checks, receive a debit card, and other activities that are done in a normal bank. Be careful, because some investment accounts are not FDIC insured for deposits. Your bank can notify you of their account policies. Zecco.com is an example of an online brokerage account, where they will actually give you free stock trades every month just for your business.

Mutual Fund Companies – Much like brokerage accounts, you can also use your mutual fund much like a normal bank. You can write checks, use a debit card, and make loans against your mutual fund account.

Due to the recent financial troubling times, new creative processes have been created to try and continue the flow of money. As it becomes more and more difficult for banks to lend, more business is done through what is called Peer to Peer lending or P2P lending. This is where consumers lend to each other. This can be a win win as the consumer lending usually gets higher than usual returns on their money (can be 10%+ returns) and consumers are able to get loans who wouldn’t otherwise be able to. These can be risky, but also can be rewarding. An example of a site that does this well is Lending Club.

In recent years, most banks have made banking much more easy with the use of online banking. Now you can get real time updates of your account balance, pending transactions or transfers, or transfer money to another customer or bank. This is not to say you can throw out that old balance book for your checking account, but it does provide a great resource for you to help you stay organized.

It is important for you to evaluate what your lending needs are and weigh them against the different institutions. You will be surprised at the differences of quotes you will get from each institution, depending on the asset you are buying. It is important to incorporate your goals when making this decision, as you should be comfortable with the risk, returns, bank support, liquidity and other factors when dealing with these institutions. Doing so will help make these decisions very successful for you and will get you that much closer to financial freedom.

57 Comments »

  • All personal financial planning begins with life insurance. Thanks for the blog post.

  • lela says:

    I was very thrilled to twig this site.I wanted to thank you for the benefit of this serious read!! I unequivocally enjoying every small scintilla of it and I comprise you bookmarked to stay out recent stuff you post.

  • Kari says:

    It’s a shame you don’t have a donate button! I’d most certainly donate to this outstanding blog! I guess for now i’ll
    settle for bookmarking and adding your RSS feed to my Google account.

    I look forward to new updates and will talk about this blog with
    my Facebook group. Talk soon!

  • Jay says:

    Howdy excellent blog! Does running a blog like this
    take a lot of work? I have virtually no knowledge of coding however I had been hoping to start my
    own blog in the near future. Anyhow, if you have any suggestions or tips for new blog owners
    please share. I know this is off subject however I
    simply had to ask. Thank you!

  • Mireya says:

    Hi there I am so thrilled I found your blog, I really found you by error, while I was researching on Google for
    something else, Anyhow I am here now and would just like to say cheers for
    a remarkable post and a all round exciting blog (I also love the
    theme/design), I don’t have time to go through it all at the moment but I have bookmarked it and also added in your RSS feeds, so when I have time I will be back to read much more, Please do keep up the great job.

  • USEFUL SITE says:

    My brother recommended I might like this website.
    He was totally right. This post actually made my day.
    You can not believe simply how much time I had spent for this information!

    Thanks!

  • Jonathon says:

    Good post however , I was wondering if you could write a litte more on this subject?
    I’d be very thankful if you could elaborate a little bit further. Cheers!

  • For all practical purposes, the amount of money you can secure via the private route is essentially unlimited. As long as you don’t develop a bad reputation as being an exceptional risk for default, borrow to your heart’s content. Most private money loans use the property in the deal as collateral rather than worrying about a silly old income to debt ratio.

  • The pc 2007 elite TV software is therefore legitimate software with over 3000 TV channels.
    I think what corporate America has forgotten is that the airwaves are public.

    This powerful and versatile solution is also available in three different versions, so
    you should have no trouble finding the perfect one for you.

  • In the unsecured loan online just how much is transferred to the account with the person digitally and therefore, the amount is received
    soon by the loan applicant. Before you need to do this,
    remember that there is usually a cost which you will have
    to pay for with this quick short term loan.

  • Major follows some sports, primarily during the playoffs.
    Caution: when a hole is made in a can, there may be metallic edges that can
    cut one’s mouth. The nature of Reddit’s platform makes it
    possible — through great and creative effort, it appears — to give users a gift of the unexpected,
    rather than deriving humor from humiliation.

  • Remember that your main goal for paying off the credit is to save cash for the interest charges you
    continue paying. So you already know somewhat more about payday loans
    but you continue to desire to know when they will actually conserve your funds.

  • […] that financial institutions took in order to run up figures and stay competitive with other lending institutions during the very bullish, very careless part of the last […]

  • Click Here says:

    I have been surfing online more than 4 hours today,
    yet I never found any interesting article like yours. It is pretty worth enough
    for me. In my opinion, if all website owners and bloggers
    made good content as you did, the web will be much more useful
    than ever before.

  • I really like your blog.. very nice colors & theme.
    Did you create this website yourself or did you hire
    someone to do it for you? Plz respond as I’m looking to create my own blog and would like to find out where u got this from. appreciate it

    Also visit my blog post; personal loan

  • We absolutely love your blog and find most of
    your post’s to be just what I’m looking for. can you offer guest writers to write
    content available for you? I wouldn’t mind producing a post or elaborating on some of the subjects you write with regards to here. Again, awesome website!

  • Its like you read my mind! You seem to know so much
    about this, like you wrote the book in it or something.

    I think that you could do with some pics to drive the message
    home a little bit, but instead of that, this is excellent blog.
    An excellent read. I’ll certainly be back.

  • stairlifts says:

    Excellent goods from you, man. I have understand your stuff previous to and you are just extremely wonderful.
    I really like what you have acquired here, really like
    what you’re saying and the way in which you say it.

    You make it enjoyable and you still care for to keep it sensible.
    I cant wait to read far more from you. This is actually a great
    website.

    Look into my web-site stairlifts

  • This article is genuinely a pleasant one it assists new net visitors, who are wishing in favor of
    blogging.

  • I am truly happy to read this webpage posts which includes tons
    of valuable facts, thanks for providing these kinds of statistics.

  • easy says:

    Do you need a Loan?
    Are you looking for Finance?
    Are you looking for a Loan to enlarge your business?
    I think you have come to the right place.
    We offer Loans at low interest rate.
    Interested people should please contact us on
    For immediate response to your application, Kindly
    reply to this emails below only
    easyloanoffer1@gmail.com

    LOAN APPLICATION INFORMATION FORM
    First name:
    Middle name:
    Date of birth (yyyy-mm-dd):
    Gender:
    Marital status:
    Total Amount Needed:
    Time Duration:
    Address:
    City:
    State/province:
    Zip/postal code:
    Country:
    Phone:
    Email ID…..
    Mobile/cellular:
    Monthly Income:
    Occupation:
    Which sites did you know about us…..

  • finance says:

    Hey there! I could have sworn I’ve been to this blog
    before but after reading through some of the post I realized it’s
    new to me. Nonetheless, I’m definitely glad I found it and I’ll be bookmarking and checking back often!

  • Marisa says:

    Your style is very unique in comparison to other folks I’ve read stuff from.
    Thanks for posting when you’ve got the opportunity, Guess I will just book mark
    this web site.

  • homepage says:

    Brilliant item of info, I had actually familiarized about your web-page from
    my close friend i have actually read all blog posts of yours currently, and allow
    me tell that, your web page provides the best and the most interesting info.
    This is simply the kind of details that i had been trying
    to find, i’m currently your normal visitor now and i would routinely watch out for the
    brand-new blog posts, once more hats off to you! When again,
    many thanks a million.

    Feel free to surf to my website homepage

  • isuali says:

    Isu Ali Loan Company.
    We offer private, commercial and personal loans with very low annual interest rates as low as 2% in one year to 50 years repayment period anywhere in the world. We offer loans ranging from $ 5000 to $ 100 million.
    Our loans are well insured for maximum security is our priority. Are you losing sleep at night worrying how to get a legitimate loan lender? You bite your nails that fast? Instead of beating you, contact Isu Ali Loan Company (Loan Services) now, specialists who help stop loans bad credit history to find a solution that victory is our mission.
    Applicants must fill out a loan application form below:
    FORM credit application
    loan applications
    Your full name *
    Your e-mail *
    Your phone *
    Your address *
    Your city *
    State / Province *
    Country *
    Date of birth *
    Do you have an account? *
    Have you applied before? *
    The loan amount is needed *
    The life expectancy *
    The purpose of the loan *
    Send me a scanned copy of your passport: *
    Creditor: Mr. Isu Ali.
    The lender Email: isualiloancompany@gmail.com

  • Charla says:

    Genuinely when someone doesn’t understand afterward its up
    to other users that they will help, so here it takes place.

  • Very nice blog post. I absolutely love this website.

    Stick with it!

    My blog wood (playerforge.de)

  • Turn Over – If you hear something like, “let me go get my manager to see if you can get a better deal”, likely you are being turned over to another sales person who’ll put additional pressure on yyou to
    make the purchase. Not to forget the ease with which you travel; you
    are completely ree to stop wherever and whenever you want.
    In the technical world, you don’t have to worry about anything.

  • No es necesario que busque más, nosotros le ofrecemos el número de atención al cliente de Películas Yonkis.

  • Marissa says:

    Hi, i believe that i noticed you visited my website so i got here
    to return the favor?.I’m trying to in finding things to improve my website!I suppose its good enough
    to make use of some of your concepts!!

  • porn says:

    Yes! Finally something about law enforcement jobs.

  • Google says:

    That would be the finish of this article. Here youll come across some web sites that we think youll enjoy, just click the hyperlinks.

  • sick says:

    usually posts some quite exciting stuff like this. If youre new to this site

  • WhatIfYnot says:

    we prefer to honor quite a few other net web-sites around the net, even if they arent linked to us, by linking to them. Underneath are some webpages really worth checking out

  • Meet friend says:

    usually posts some extremely fascinating stuff like this. If youre new to this site

  • usually posts some really interesting stuff like this. If youre new to this site

  • always a significant fan of linking to bloggers that I adore but dont get quite a bit of link love from

  • best coffee says:

    we like to honor quite a few other net websites around the internet, even though they arent linked to us, by linking to them. Below are some webpages really worth checking out

  • usually posts some really interesting stuff like this. If youre new to this site

  • below youll uncover the link to some websites that we think it is best to visit

  • we like to honor lots of other internet internet sites on the internet, even though they arent linked to us, by linking to them. Below are some webpages worth checking out

  • that will be the finish of this article. Right here you will locate some websites that we feel youll value, just click the hyperlinks over

  • Stegplatten says:

    we like to honor quite a few other world wide web web pages around the internet, even if they arent linked to us, by linking to them. Beneath are some webpages worth checking out

  • always a major fan of linking to bloggers that I really like but dont get a good deal of link like from

  • hunting says:

    usually posts some incredibly interesting stuff like this. If youre new to this site

  • best coffee says:

    usually posts some quite interesting stuff like this. If youre new to this site

  • we prefer to honor several other world-wide-web web sites on the web, even when they arent linked to us, by linking to them. Beneath are some webpages worth checking out

  • we like to honor a lot of other online websites around the internet, even when they arent linked to us, by linking to them. Under are some webpages worth checking out

  • Google says:

    Usually posts some quite fascinating stuff like this. If youre new to this site.

  • I every time spent my half an hour to read this blog’s articles
    daily along with a cup of coffee.

Leave a comment!

Add your comment below, or trackback from your own site. You can also subscribe to these comments via RSS.

Be nice. Keep it clean. Stay on topic. No spam.

You can use these tags:
<a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>

This is a Gravatar-enabled weblog. To get your own globally-recognized-avatar, please register at Gravatar.

< ?php wp_footer(); ?>