There are advantages with home improvement loans as opposed to other types of loans because interest paid on home improvement loans may be a tax deduction for some. Be sure to ask your accountant or tax person if you quality.

If you have elected to use the financing provided by a siding company, and should there be a problem with the job several months later, you may call the bank and let them know you will not make payments until the problem is resolved.

This step should only be taken if your siding contractor has failed to follow the terms of your contract. Should you elect to use financing from a siding company, all of the paperwork will be completed in the home at the time of the sale.

There is, however, one document you should never sign until the work is completed and you are satisfied and that document is called a "completion certificate". Once this document is signed it allows the company doing the work to be paid.

Remember: most banks secure their loans with a mortgage or lien on the property. Shop for the best interest rate and make sure there are no prepayment penalties for early payoff.

NOTE: Some states will not allow siding companies to sell bank financing in the home. If that is the case, you may have to go into the bank personally or the banker may come to you to complete the paperwork.

BUYER BEWARE

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