The need to hire a serious private lender usually arises mainly for these two reasons:
- At the time that banks reject access to credit , whatever the reason, and you have to look for alternative financing.
- Another reason why it is needed is when you want urgent financing , in a very short period of time, and it requires a faster process than the banking one.
To obtain financing in either of these two situations, a private lender is an option. If you want to opt for this option, above all, it is very important to make sure and guarantee that you are dealing with a serious private lender .
It is important to make sure because the figure of the lender has always had a light-dark representation. Sometimes, unfortunately, there are private lenders that can be taken advantage of by users who desperately need financing because they cannot access it due to their financial condition.
Luckily, it is a regulated sector , increasingly regulated, and one that can offer private financing with security and guarantees. All you have to do is make sure you hire a serious private lender.
Therefore, in this article we will help you to recognize the best private lenders and before that, we write down some essential tips:
- Don't trust just anyone.
- Make sure that the company or lender complies with all the appropriate regulations.
- Always check different options.
- Choose a serious brokerage company that has been in the sector for years.
- Miracle solutions do not exist. Sometimes good advice is better.
What are private lenders?
Private lenders are still investors who, thanks to the private capital they possess, seek a way to maximize their money through interest. To request credit from a private lender, many requirements are not required, simply knowing the current financial situation of the applicant well to assess the risk of the operation and, depending on the amount, they will always request a real estate guarantee as collateral.
“A serious private lender is one who complies with the law, has experience, transmits transparency, trust and tranquility throughout the process. In addition, it shows interest in solving the current situation "
As we have seen, private lenders are investors who give their money to other companies or people who need it, with the aim of increasing their capital thanks to the interest generated with the return. Obviously, they will only deliver their money in operations that they are sure that they will recover their investment. Private lenders are generally accessed when you do not have access to your own emergency savings, credit cards, or a traditional bank that you can finance.
There are two types of standard loans that individual lenders can offer:
- Mini credits : Perhaps the most popular for private money lenders. They are used to fix small amounts, regardless of the purpose, the employment status, or the delinquency record.
- Home equity loans: These loans are used to request large amounts of money and require much less requirements, in fact, only a real estate guarantee.
It is also important to know the figure of the mediator . There are companies that obtain the regulated intermediation qualification and are dedicated to meeting the needs of many companies and people, who need financing and the bank does not offer it . They get this financing with investors who have capital and want to obtain interest. They mediate between companies or people who need financing and private money lenders or investors who want to increase their money. The more serious the mediator company, the more serious the lender will be.
Many private lenders come from regulated financial entities and their capital remains private. These entities have a more developed business structure and generate much more trust than a simple natural person.
How do you know that a particular lender is serious?
Don't trust all private lenders because not all are serious. Nor with the first one to find the internet because some, unfortunately, seek to keep the goods under abusive conditions.
First, the contact with the person, who is interested in solving the problem and repaying the loan, not so much in signing a contract quickly. He has calm and sincerity to explain all the pros and cons of the contract, he argues the rates and what happens in the case of defaults.
Most of them tend to be discreet and act through intermediaries, financial advisers, prosecutors, lawyers ... These intermediaries are the ones who look for clients , perform the appropriate filters and present the operation to private money lenders for them to decide.
It can be said that there is more risk if you hire an independent lender than an experienced and quality intermediation company, with a whole team behind it.
Beware of the particular money loan contract
Like any contract, you have to read everything well before signing anything. Ask about any questions you have and, in this way, you can also check the security, transparency and trust of the intermediary figure. Once the contract is completely clear, you must always sign before a notary.
It is not advisable to look for a private lender directly because with the intermediary companies you get more security because they already have a reputation and you can get a second opinion. Because the situation is usually delicate and urgent for those who need financing, it is best to put yourself in the hands of the best professionals; Many times, no matter how much it hurts, a no with a good argument from an expert and a different possible solution will always be better than a yes without knowing all the conditions.
On the other hand, you do not have to sign anything if you do not have complete assurance that you will always meet your payment obligations . If you do not have full guarantees and security that the payment of all the fees will be fulfilled, it is better not to sign anything.
Many times, when searches such as "I am looking for a particular lender", "particular money lender", "someone knows a particular lender" or "I need a particular lender" are performed, surely, the results will be from pages that offer online loans . When we find these online loan pages, we must be very careful not to fall into fraud. Never ever give money up front and if interest rates are very low or zero, be completely suspicious.
We recommend, whenever possible, contact the company and find out about it. Go to the office and speak with those responsible if possible, that they listen to the case well, see what solution they offer and that everything is well explained and detailed in the contract.
Private money lenders
The particular money lender is also a figure within the financing possibilities that it is possible to locate. Private money lenders usually invest their capital in stocks, mutual funds or real estate. When a private person lends money to a company or individual, their only objective is also to make their money profitable and increase it through the interest on the loan.
Anyone can act as a lender as long as they comply with the current law. But, in any case, it will always be better to go to an intermediation company because it guarantees processes that are more in line with the law and show more transparency than private money lenders . That is to say, a friend or relative can be a private money lender, but, to make everything much more reliable, transparent and effective, you have to make a contract correctly, that is registered for activity, sign before a notary public .. And this collateral is easier than offered by a brokerage company.
I am looking for a private lender
Finding a private lender is not an easy task, it is rather complicated. By many pages that are looked at on the internet, it can be seen that there are many private lenders but not all of them are serious and transparent.
It is difficult to find a reliable, efficient and successful lender.
In some cases, when you search for “ I'm looking for a private lender ” in Google, there are pages that offer private loans at a very low percentage or even 0%, but this is not a serious private lender , because in reality, nobody offers free financing, it is probably hiding something.
We repeat what has been said above, we must ensure its reliability, that everything is clear and better if it is a serious brokerage company.
Dark Keep has a very good reputation within financial intermediation. Thanks to the financial experts, lawyers and advisers that we have, we have some of the best teams in the sector that will help solve any economic situation.
With a serious and transparent company like Dark Keep, it is guaranteed that the process is beneficial for all parties and that there are no unforeseen events or setbacks. The contracts will comply with all legality, the client will be accompanied throughout the process to explain the entire procedure, apart from that the notary can be chosen for greater peace of mind and choose the terms and fees so that they are custom.
We have private equity offices in South Dakota, Nevada and North Carolina.