A TRUE LOAN
Category: Event / Party Planning
A True Loan (also known as a True Stock Loan or TLP) is a form of proprietary stock loan offered as a financial service by private lenders within the finance industry to shareholders of publicly traded companies seeking liquidity from their stock without having to sell their securities. Unlike a typical stock loan where borrowers are normally required to pledge free trading securities, the True Loan is a specialty vehicle allowing loans to be secured against both affiliate (as defined by the SEC) and non-affiliate restricted stock and/or Rule 144 stock and a public company’s treasury stock. Free trading shares are also viable collateral for the TLP.
True (Stock) Loan vs. Stock Loan
Like all stock loans traditionally offered by private lenders, the True Loan is secured by the pledge of stock as collateral; giving no credence to the borrower’s credit or economic background. The primary difference between the True Loan and other stock loans as it pertains to the collateral is:
1.True Loan borrowers never relinquish ownership or any other type of control over their collateral;
2.True Loan borrowers maintain and control all voting rights directly;
3.True Loan borrowers directly receive all dividends;
4.True Loan format accepts the pledge of stock in electronic and/or certificate form whether its freely tradable shares or restricted securities. In the case of restricted shares, the stock can be pledged with restrictive legends intact; and,
5.True Loan collateral is never sold, traded, shorted, loaned, hypothecated or hedged against in any way.
Interest Rates Between 2.5% and 4.5% - Fixed!
Aggressive LTV Up To 80%!
No Credit History and Income Required!
Interest-Only Quarterly Loan Payments!
Funds For Any Purpose!
Fast Close - Matter of Days!
Receive All Dividends and Upside Market Appreciation!
Loan Terms of 3, 5, 7, or 10 Years
Non-Recourse Loan, No Collateral Except The Pledged Securities!
The time frame for fun
Relevant Education / Credentials
Western Governors University, Los Angeles, CA
Years Experience: 21