Asset-based lending and factoring got attention when banks slashed credit lines in the 2008 financial collapse.
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The aim was to break out of collateral-based lending, making no-collateral loans based on evaluation of various risk factors.
One popular real-estate strategy, according to Anthony D'Andrea, UBS's head of securities-based lending: Use a stock-based loan to make an all cash bid for a property, then refinance into a traditional mortgage once the deal is closed.
It also believes that modernization of the Federal Housing Authority will encourage more flexible, risk-based mortgage lending.
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His strategy was based on the fixing of three-month swaps pegged to Euribor -- the euro-based interbank lending rate set in Brussels by averaging 44 banks' submissions, regulators have said.
"FICO allowed finance to scale but it is inferior to lending based on reputation and your standing in the community, " said Mr. Stewart.
This was novel stuff: it implied that the government would allow foreign takeovers and would countenance lending based on borrowers' commercial rather than political credentials.
When the economy is buoyed by too much borrowing, when those bills come due to every American household and to every American company that has been making a profit on irrational spending based on irrational lending, which, you know, which happen all over the place over the last several years, it's going to hurt people.
Check Into Cash, a Tennessee-based pay-day lending company, opened its first store in 1993 and now operates a chain of 432 stores in 16 states, including more than 30 in Illinois.
Rohit Arora, chief executive of Biz2Credit, a small-business lending broker based in New York, says demand for loans from small firms is picking up as sales improve and businesses become more creditworthy.
Rohit Arora, chief executive of Biz2Credit, a small-business lending broker based in New York, says he believes the interest rates and other related costs may come down as a result of increased competition among lenders.
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Like the DCLG survey, the surveys are based only on property sales financed by mortgage lending, ignoring sales which are sold for cash.
With the Federal Funds rate now at 2.5%, the Fed is effectively lending money at zero interest, based on August's 2.7% rate of inflation.
His model is based on factors such as changes in bank lending, the economic growth rate and the size of the speculative-grade market (a glut of issuance tends to be an indicator of loose lending practices).
So for more on what you can do to protect yourself from predatory lending we're joined now by Keith Corbett, senior vice president at the Center for Responsible Lending, and Los Angeles-based foreclosure specialist Azeem Ali, with Pacific Coast Capital.
Lending Club categorizes borrowers into 35 levels based on their credit histories and other data.
Lending Club also sets the borrowers' interest rate based on FICO scores and determines who gets funded.
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The researchers found that incentive schemes based solely on origination resulted in a 16 percent increase in lending compared with a high-powered incentive scheme, and reduced profitability by 5 percent.
Somolend is a site for lending for small businesses in the US, providing debt-based investment funding to qualified businesses with existing operations and revenue.
How can we have a benchmark interest rate based upon the prices at which banks lend to each other if banks periodically simply stop lending to each other?
The book, based on information collected before 24 November, also says that consumer spending has weakened, while lending has contracted.
Going the digital route has certainly been a growing trend -- 3M recently launched a Cloud Library lending service while one Austrian town kicked off its own unique e-book repository based on stickers equipped with QR codes and NFC chips.
At the same time, toughened lending standards and capital constraints put in place since the financial crisis are preventing community-based financial institutions from providing small businesses with the credit they need to grow and hire employees.
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Based on the size of external and budget deficits, inflation rates and the pace of growth in bank lending, India, Turkey and Hungary were deemed to be most vulnerable.
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