Selling common stock shares may not be necessary with a securities based loan.  But you may not have to, because we offer a loan program that will give you the cash and still hold on to your investment such as stocks, mutual funds, etc.

After the U.S. stock market lost more than 50% of its value from its peak and hit new cyclical lows in early March 2009, the obvious question lingering on the minds of investors everywhere: When will it end? I need cash now, but is this a good time to sell my stock shares. Selling it now would mean I would have to take a huge loss.

You do NOT have to sell your stocks to get the cash you need. We offer a great alternative!  Increase your borrowing power without selling your investments by pledging eligible securities in your portfolio to secure financing to buy a home, business, refinance, or for any other purpose. Virtually anything. Using securities as collateral makes sense.

Why take a loss now, when you can hold on to your securities and benefit from the eventual appreciation and dividends that may come.

Florida Mortgage Corporation offers a NO DOC securities based loan that allows you to borrow up to 80% of your Stock shares portfolio value at unbelievable FIXED interest rates from 3%.  The loans are non-recourse, and you can use the cash for any purpose.  In today’s tightening credit markets, Securities Based Lending offers a funding option that is worth exploring, without selling the stock. FREE Custom Quote  -  NO obligation.

If you OWN any securities or shares such as stocks, bonds, mutual funds that are publicly traded, you may be eligible for a Stock Loan.  U.S. or Foreign Stock Exchanges.

AVAILABLE IN ALL 50 STATES  -  NATIONWIDE & INTERNATIONAL

In a volatile market like we are all experiencing today, a stock loan allows you, the borrower, the flexibility of letting your stock/mutual fund portfolio work for you. The borrower gets to benefit in the event of a market downturn, yet still retain upside potential should the price per share increase during the term of the loan. If the price of the stock significantly decreases, you can walk away from the loan, and if the stock increases, you can pay off the loan and keep the upside.

A credit report is NOT required, and NO income or employment verification is done. You can get your cash in as little as 7 days. It’s a quick and easy process! Just one simple phone call or application and you’ll receive the terms for your loan quickly.

Borrower keeps all market appreciation opportunity and receives the benefit of any dividend or interest that the securities generate.

ASK FOR A "FREE" CUSTOM QUOTE  -  NO OBLIGATION  (PDF Form)

This is a Non-Recourse Loan – A Stock Loan with NO personal liability. A non-recourse loan is secured by some form of collateral, your securities. If there is a default, the borrower keeps the loan proceeds and the lender only claims the collateral. The borrower’s liability is limited to the collateral pledged for the loan. The lender has no right to proceed against the borrower for any deficiency whatsoever.

As a Non-recourse loan, there is never any effect on your credit record either in default. No hoops to jump through, no heavy paperwork, no fine print. Just your stocks acting as collateral for your loan.

We accept all forms of free-trading (and some restricted) stock and stock options, on both U.S. and Foreign Stock exchanges. UK, Canada, European, etc..

The word "loan" is typically synonymous with debt. This type of financing differs from other methods as it alleviates the risks associated with traditional lending. As well as personal liability associated with debt. In fact, the borrower has the right to walk away from the loan, can you really call this debt? 

You can "extract" value from your shares today WITHOUT SELLING. You keep the future capital appreciation, minimize taxes, and (where applicable) avoid margin calls if the stock goes down during the term of the loan.

Through our global network of financial institutions, we access below market, fixed-rate interest loans which facilitates our clients' ability to access capital in a tax-free and private transaction without having to sell stock into the market.

A stock loan is the lending of funds collateralized by shares of a publicly traded stock that you OWN, domestic or foreign. It gives the borrower access to the liquidity of the assets without actually selling the stock. The term of the loan is typically three to ten years and the shares are returned upon repayment of the loan.
 

AVAILABLE IN ALL 50 STATES  -  NATIONWIDE & INTERNATIONALLY

   Inexpensive:  Below market, "interest only" payments  (From 3 % FIXED Interest Rate)

   Eligible:  Stocks, bonds, mutual funds, etc.....

   USA Stock Exchanges and Foreign Stock Exchanges   (International)

   Flexible Lending Terms:   Loan terms of 3, 5, 7, or 10 years  (Up to 80% of Stock Value)

   Non-Recourse:   Never at risk for more than the pledged assets

   Use of Funds:   Virtually NO restrictions on loan proceeds or use

   Simple:   NO Credit Report  *  NO Income Verification  *  NO Employment Verification

   Quick:   Stock Loan closings typically within a week

   Loan Amounts:   From $50,000 to $20 million

   Upside:   Borrower benefits from asset appreciation, dividends, etc.

   NOT reported to credit bureaus

   Flexibility:  At the end of the term, loan can be paid off, refinanced or renewed

 

PAYMENT EXAMPLE

ASK FOR A "FREE" CUSTOM QUOTE  -  NO OBLIGATION  (PDF Form)

During bear markets, especially ones as severe as the current downturn, the obvious temptation for investors is to sell their stocks and take the cash, usually at a huge loss. A common refrain from investors is that they will "wait until things get better" to restore their allocation to stocks at a level that is consistent with their longer-term investment strategies. The criteria for improvement often implies the investor will hold out for some positive news about the economy, or possibly wait for the market to start rising again in a more sustained manner.

The stock market has typically turned up well before an economic recovery occurs. During the past 14 recessions since 1926, the stock market has typically bottomed about halfway through the recession -- about six months after a recession has begun. The median return thereafter, from the market low point until the end of a recession, has been 25%. Even during the worst of the Great Depression, the stock market bottomed and began to rebound a full nine months prior to the end of the 1933 recession. So historically, the market has looked beyond current conditions and begun to rally while the economic data still indicated contraction and the unemployment rate continued to go up. For the 11 recessions that coincided with stock bear markets since 1926, eight of them experienced the beginning of a bull market well before the end of the recession.

While this strategy may sound reasonable at a time when stock markets continue to decline and investors take comfort from avoiding losses, the flaws are exposed when the bear market comes to an end. As noted, the market tends to rise six months before the economy stops contracting, so waiting for good economic data to hit the headlines inevitably means missing out on the early stages of the rally. Of course, waiting for the stock market to go up as a signal of the end of the bear market also necessarily means an investor has to sit on the sidelines while a new bull market begins.

No one can predict with exact certainty when the current bear market will end. But if historical patterns are a guide, the stock market will turn suddenly upward at some point during the recession, the biggest gains will come in the early months of the rally, and many investors who made a tactical move into cash will miss out on much of the rebound.

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