Conventional Loans

Conventional loans are loans that are not insured or guaranteed by a government agency (see FHA and VA for information on government loans). They can be conforming or non-conforming loans. Most of the conventional loans that have been made in the last several years have three basic attributes in common: 1) They have been for long terms, 2) They have been loans with fixed interest rates, and 3) they have been fully amortized (see Fixed Rate Loans and Adjustable Rate Loans.

TIP: Think about your purchases. If you are not able to afford the purchase now, chances are you won't be able to afford it in a month when the credit card bill comes in!