Payments
- A minimum payment of interest monthly is required.
- A fixed principal and interest payment option that amortizes the loan over a 20 year period is also available.
- Payments are debited from your client's deposit account on the 20th day of each month.
- Please include a void cheque with loan submissions (not required if applying online).
For a fast and simple way to calculate loan payments,
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Margins
Wealth Builder Investment Loan
- There is no margin call on the
Wealth Builder Investment Loan.
2 for 1 Investment Loan
- Margin call and no margin call options are available.
- The loan to value ratio ("LTV") starts at a maximum of 67%. On loans with the margin call option, a margin call occurs if the LTV reaches 85% or more.
- Should a margin call occur, the LTV must be lowered to 80% or less. This can be accomplished by paying down the loan, by pledging more eligible funds, or a combination of the two.
- Trading of securities will not be permitted if the loan is in a margin call position or if the trade would cause a margin call.
Fees
Effective May 1, 2008
- An administration fee of $45.00 is charged for items such as a change in loan terms after the funding date (e.g. payment preference), late or missed payments, settlement of a margin call (for loans with a margin call feature), duplicate statements, or processing of a manual payment.
- For complete fee details, refer to the “Loan and Security Agreement” in the application
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