There are many reasons why people take out loans from banks and other lending institutions. As for me, I find that the usual reasons include consolidating their debt, doing home renovations, for unexpected or emergency expenses, business needs, and even personal interests.
Thankfully, I found that Morgan Stanley helps me achieve all of my goals and more, one step at a time, through their Morgan Stanley Loan options. Apart from delivering tailored solutions, they also provide access to a financial advisor to help me get the right loan type for my needs.
To learn more about the Morgan Stanley Loan, read on. I have compiled a comprehensive list of topics that I will be covering throughout this article. By the end of it, I hope that readers will gain more knowledge about these products, and by extension, learn how they could apply for these as well.
- Morgan Stanley Loans – Get To Know Them
- Main Features Of A Morgan Stanley Loan
- Learn How To Apply For A Morgan Stanley Loan
- Rates And Fees That Come With The Loan
- Managing The Morgan Stanley Loan
Morgan Stanley Loans – Get To Know Them
There are different types of Morgan Stanley Loans available from the global financial services firm. As a company recognized for its wealth management and investment services, I feel at ease knowing that I will have an array of options to choose from.
Among the loan options available from Morgan Stanley are home loans designed for purchasing a home or even doing a home renovation, cash management, and securities based loans for personal or business needs, the last of which I will be focusing on.
How These Loans Work
The concept of loans is easy to understand; however, the rules for borrowing can vary from one lender to another. In general, loans work by providing me, as the borrower, with my intended amount of cash. This is on the condition that I will repay this loan from Morgan Stanley alongside the interest that comes with it.
Morgan Stanley loans usually require borrowers to make monthly repayments. For interest-only loans, I discovered that borrowers should first pay off their accrued monthly interests during the introductory period, after which they could proceed with paying the combined rate of principal and interest.
Main Features Of A Morgan Stanley Loan
As I have mentioned earlier, I will be focusing on the Morgan Stanley loan offer that is its Securities Based Loans (SBL). From its name, I want to point out that an individual like me can only take out this loan if I agree to leverage my account or other eligible securities in my Morgan Stanley account for collateral.
The beauty of having a securities based loan from Morgan Stanley is that I can use this as a flexible line of credit. Not only can I keep my assets and investment strategies in place without liquidating my assets, but I also have the option to generate tax consequences that will return in my favor.
What’s more, I find that a securities based loan from Morgan Stanley is more accessible than ever. I can access my funds on demand once this is approved and through different means such as via check, online, or through wire transfers.
What I find even better than the benefits above is that I can use a securities based loan for just about any personal or business needs that I may have given its flexibility. Besides purchasing real estate, I can also use this to make repairs or home improvements, cover emergencies, pay for tax liabilities, education, and funding personal goals.
Other Highlights Of A Morgan Stanley Loan
Apart from those aforementioned, the securities based loan from Morgan Stanley also comes with a lower cost thanks to its competitive interest rates. Compared to traditional lenders and financial institutions, the loans I take out will not be charged separately for me to establish or use my current line.
Morgan Stanley seems to have my best interests at heart. I have the choice of either going for a fixed interest rate or a variable interest rate with flexible repayment options, allowing me to find a scheme that comfortably fits my financial situation and preferences.
Of course, I think it is also worth mentioning that applying for Morgan Stanley securities-based loans is relatively simple. In just one to two days, the application process and decision can be finished, allowing me to obtain my funds without any hassle.
Learn How To Apply For A Morgan Stanley Loan
Since I have already talked about how streamlined the application process is, going through the whole process should be a no-brainer. The best way, I found, was to check their website online and looking up a financial advisor near my area.
After keying in my zip code and using some of the filters found on the website, I was able to find a financial advisor near me. The filters are easy to use, and I can search according to location, branch, or financial advisor’s name.
While there is an abundance of wealth and financial advisors from Morgan Stanley, I needed to go through the services provided by each branch or facility. Once I have chosen a branch and advisor, I set up an appointment to call them and meet personally.
As of writing, Morgan Stanley has yet to open up a platform to apply online. While this can be pretty daunting for some, I believe that the purpose of having to converse with financial advisors is a great idea on their part as it allows me to better familiarize myself with their products and what best suits my needs.
Qualifying For A Morgan Stanley Loan
To qualify for a securities based loan, I discovered that I needed to have a brokerage account with Morgan Stanley. This brokerage account needed to have eligible securities in order for it to be used as collateral for the securities based loan I intend to take out.
To create a brokerage account, I also needed to be a resident of the United States and over 18. Usually, the minimum amount required to have a brokerage account and invest is $5,000.
The bank may ask for further documentation when opening a brokerage account with them. In my case, I just prepared proof of my identification, proof of address, and proof of employment and income documents such as bank statements and the like.
Rates And Fees That Come With The Loan
Taking out a Morgan Stanley loan comes with a huge responsibility. To keep enjoying the benefits, it affords me, I need to make sure that I stay on top of my finances and the fees that come with it. This also ensures that I make good on my payments and keep in the bank’s good graces.
The fees and charges that come with a Morgan Stanley loan vary from one loan to another. This largely depends on the loan I am taking out, my assets and securities in my brokerage account, and other factors.
I can lock in a fixed interest rate for as low as 1.75% for one year on new incremental fixed-rate advances for amounts of $50,000 or more. For two years, I can get 1.95%, 2.50% for five years, and 2.60% for seven years.
Other fees will be discussed with the financial advisor of Morgan Stanley during consultations. They can provide a more in-depth look into this as they aim to provide more personalized and tailored financial products and experiences, so speaking with these professionals is a must.
Pay Attention To This
On top of the interest rates that come with getting a securities based loan from Morgan Stanley, I must point out that there are also other fees that I need to take care of with my brokerage account.
This includes the annual fee of 0.30%. Besides this, I also need to pay for the operating expenses that come with the mutual funds and exchange-traded funds (ETFs) in my portfolio, among other fees.
Managing The Morgan Stanley Loan
Managing my Morgan Stanley loan is possible with their array of financial management tools. These tools can be accessed through Morgan Stanley Online or through the Morgan Stanley Mobile App.
After signing up and logging in, I can not only add external accounts and enter my credentials, but I also manage my accounts with ease. With these tools, I can see an overview of my finances, whether it be my savings account, brokerage accounts, and even loans, all in one place.
The online banking option, as well as the mobile app, serve as great places where I can discover the latest trends in the market and identify areas where I can improve my savings and goal planning,
Morgan Stanley Head Office And Contact Details
To contact Morgan Stanley, I found that they can be reached through their number at 1-888-454-3964 for individuals in the United States.
Meanwhile, their head office is located at Morgan Stanley, 1585 Broadway, New York, NY 10036, for people like me who prefer to make an appointment and visit them personally.
The Bottom Line
Getting a Morgan Stanley loan is truly a personalized and one-of-a-kind financial experience. With the expert guidance and assistance from its advisors and its different offerings, I believe that there is a loan product for just about any type of person out there.
Disclaimer: There are risks involved when applying for and using a loan. Please see the bank’s Terms and Conditions page for more information.