Good evening BP, I received a Bill Consolidation Loan Acceptance offering through the mail. It says I am pre-approved for $271,050 with a rate of 3.250% (4.056%) APR and says I can use it for anything I would like. Has anyone ever used this and does it work? I am asking because I am working towards investing in my first RE investment property.
Keep in mind you're preapproved which means you fit their shot gun approach of people who would take this type of financing. That could be anywhere between a high debt spending consumer to investor types.
Its likely you won't get that money at that rate(as those are the best tip top rates they can provide) and you will then be qualified for a loan at that point after they have actually looked at you as a responsible paying human being.
It sounds like "junk mail". You didn't contact them, right? They're probably just doing some targeted marketing. I have little faith that you'd get the "pre-approved" money at the stated terms without being expected to sell them a kidney.
That being said, I don't know that it wouldn't work. Call them and see what they say, just don't agree to anything. Do NOT succumb to the siren song of cheap, easy capital. If after talking to them it sounds like a good deal, come back to the forum BEFORE you sign anything. It's probably not as good a deal as advertised.
It would at least be a learning experience. I think you'll find there's a gaping hole in this unsolicited offer. I do, however, appreciate the "out-of-the-box" thinking.
Let us know how it goes.
@stevenjohnson @tommole thanks guys, I will definitely approach this mailing with caution and will let you know if anything comes out of it.
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