Posted this comment last week ..
"ok... now are you ready for a story, everyone comfortable.. good, then here we go :c)
One of my friends owns a small non-bank loans franchise. He got a call from his main lender two days ago to advise him that rates would be rising next month. If he wanted to protect his customers he needed to contact them and convince them to change to fixed rate ASAP.
He is a very small operator, so I'm guessing that he was way down the list of people contacted..
Ok.. good investing.
Regards,
Mike"
Talked to my work friend (Nurse and owner of lending franchise) this AM... this version of the story is a little different to the one that I was told...
Should have waited a week to get it from the horses mouth.
He got an e-mail from his lenders advising him to encourage all his clients to shift from variable to fixed (2 yrs)... based on a rise of interests (UP TO 1%) over the next few months.
He feels it's a shakedown for more $$$ (switching fees ect) and to lock clients into business... since a bit of panic has gone from the money market he is less worried about this happening, but accepts rates are on the way up (higher than Fed's rises).
Once again... sorry for not checking this up 100% before posting.
"ok... now are you ready for a story, everyone comfortable.. good, then here we go :c)
One of my friends owns a small non-bank loans franchise. He got a call from his main lender two days ago to advise him that rates would be rising next month. If he wanted to protect his customers he needed to contact them and convince them to change to fixed rate ASAP.
He is a very small operator, so I'm guessing that he was way down the list of people contacted..
Ok.. good investing.
Regards,
Mike"
Talked to my work friend (Nurse and owner of lending franchise) this AM... this version of the story is a little different to the one that I was told...
Should have waited a week to get it from the horses mouth.
He got an e-mail from his lenders advising him to encourage all his clients to shift from variable to fixed (2 yrs)... based on a rise of interests (UP TO 1%) over the next few months.
He feels it's a shakedown for more $$$ (switching fees ect) and to lock clients into business... since a bit of panic has gone from the money market he is less worried about this happening, but accepts rates are on the way up (higher than Fed's rises).
Once again... sorry for not checking this up 100% before posting.
