Borrowing from bank to buy stocks

[stevak]

I am thinking of borrowing from a bank to buy stocks. The bank has approved the loan which is at 21 per cent per annum. But I need advice. Is it a viable option to borrow money to fund my stock purchases? Is there any body out there with experience who can show me the way?

stevak

[aogundele]

Originally Posted by stevak

I am thinking of borrowing from a bank to buy stocks. The bank has approved the loan which is at 21 per cent per annum. But I need advice. Is it a viable option to borrow money to fund my stock purchases? Is there any body out there with experience who can show me the way?

stevak

There a definitely a lot of stocks doing above 21% right now on the market, with the right info it might make some sense to borrow and invest. However one should stay clear of IPO's right now, i borrowed funds to buys a few IPO's late last year and was alloted barely 5% of shares paid for. I work in bank so the interest cost is still manageable and i haven't gotten my returned monies back.

[threecrown]

Originally Posted by stevak

I am thinking of borrowing from a bank to buy stocks. The bank has approved the loan which is at 21 per cent per annum. But I need advice. Is it a viable option to borrow money to fund my stock purchases? Is there any body out there with experience who can show me the way?

stevak

stock trading is about volume and a good stock and you need money for that so its not a bad idea going for a loan. Stocks are performing well above 21% even 100%.
But you need a good broker to help you out as well as your own homework.
Dont buy po's o.

[idowu_k]

I'm also interested in taking advantage of a bank loan to finance my shares acquisition having read diverse opinions on the matter. Does anyone in the house know any financial institution that is client-friendly when it comes to interest rate for loan to purchase shares in the stock market? Looking for the bank whose interest rate is below 18-19% with a clearly spelt out agreement i.e. no hidden conditionalities embedded in the MOU.

[bwalaman]

Share Loans

Check this link out...

[emmaylots]

Please advice, is it okay to go for a share loan. Is the risk worth taking?

[XXCASH]

Originally Posted by emmaylots

Please advice, is it okay to go for a share loan. Is the risk worth taking?

With the way the market is today, you have alot of guts thinking about share loan. But come to think about it, i sould be suprsied if you can access share loan now giving that alot of banks are holding back on this.
Which bank/broker are you accessing this loan from

[hispy99]

Originally Posted by emmaylots

Please advice, is it okay to go for a share loan. Is the risk worth taking?

Are you new to investing? If you are, you need to be careful, especially in the current climate.

[billions]

Originally Posted by XXCASH

With the way the market is today, you have alot of guts thinking about share loan. But come to think about it, i sould be suprsied if you can access share loan now giving that alot of banks are holding back on this.
Which bank/broker are you accessing this loan from

na true u talk ooo...

[Apache]

Originally Posted by emmaylots

Please advice, is it okay to go for a share loan. Is the risk worth taking?

There already an existing thread for share Loans where this issue has been discussed exhaustively.