By Lou Wallace
Historically a first tier lender has been an institutional lender such as a Bank or similar company which falls under the regulatory agencies such as the FDIC or Federal Reserve. The rates of interest they charge are almost always tied to Prime, or to the Libor rate of interest. The interest charged is at quoted rate plus a factor which can be as high as 4%. An example would be if the rate was agreed to be the prime rate, you would take that rate and add 4% to it which would get you your annualized interest rate. Read the rest of this entry »