Hey, Your LetmePayday Newsletter For 27 August 2022

This is your Newsletter. [LPB]( [LPL]( [LetmePayday Newsletter]( You Might Like     [Learn more about Jeeng](  [What is a Credit Agreement?]( [What is a Credit Agreement?]( A credit agreement is a legally binding agreement entered into between a lender and a borrower. It outlines all of the terms of the borrowing relationship, such as the interest rate, costs of originating the loan, and other borrower and lender rights and obligations. Virtually all types of loans have credit agreements, including revolving credit arrangements. Definition and Examples of Credit Agreements Credit agreements are written documents that a lender creates and that you agree to accept when you take out a loan or open a line of credit. They govern the relationship between the lender and the borrower. They establish all of the terms of the borrowing relationship, including how much funding is available and when and how you are obligated to make repayment to the lender. For example, a credit card company’s credit agreement would be provided when you sign up for a credit card. The agreement would specify the terms of the credit card and the relationship between you and the creditor, such as: - The annual percentage rate (APR) for purchases, balance transfers, direct deposits, and cash advances - Information on how that interest is calculated and what balances are subject to interest - When a penalty APR applies and what the amount is - The minimum interest charge - Any account fees or transaction fees such as a balance transfer fee, ATM cash advance fee, or check cash advance - Penalty fees [[icon] Read MoreÂ](  [Get the money you need](   [Personal Loan vs. Home Equity Loan: Which Is Best?](  [Personal Loan vs. Home Equity Loan: Which Is Best?]( The best loan depends on your financial situation, including your income, credit, and how much home equity you have. Key takeaways - Home equity loans typically have lower rates and longer repayment terms than personal loans, but you need enough available equity to use them, and they require your home as collateral for the loan. - Personal loans are typically funded more quickly than home equity loans. They often have higher rates and shorter repayment terms but don’t require collateral. - If you’re not sure which option will fit best in your budget, compare offers from multiple lenders before you decide. Home equity loans and personal loans are both fixed-rate, lump-sum financing options, but deciding which is right depends on your financial situation, including your income, credit, and how much equity you have. Also, consider what you’re financing. Personal loans are often a better choice for debt consolidation, while home equity loans include tax incentives if you’re doing a home improvement project. Here’s what sets these two loan types apart. Home equity takes time to build If you’re a new homeowner, you might not yet have enough equity in your home to borrow from, says Ryan Greiser, owner and certified financial planner at Opulus, a financial advisory firm based outside of Philadelphia. [[icon] Read MoreÂ](  You Might Like     [Learn more about Jeeng]( Connect with LetmePayday on Social Media Pages [Facebook]( [Linkedin](    [Unsubscribe](