You want to use a consumer loan for a trip, for renovations, or simply to indulge in a few quirks, … But you do not know how to correctly calculate the value of the loan? Here are 5 tips that can help you make the right choice.
Start by evaluating your cash flow
In order to get a loan, it is obvious that you need a job or other source of income to help you repay. Before committing to a bank loan , it is advisable to calculate all your repayment possibilities. In this way, you will only commit the strict amount that will match your purse. And as a result, unnecessary and stressful over-indebtedness will be avoided.
Budget your fixed costs
The family is paramount. If you make a loan, it is precisely to hope to improve your daily life. Fixed charges such as electricity, gas, telephone charges, etc. will always be mandatory. Also, in addition to your source of income, determine what would be your potential savings. This is one more way to correctly evaluate the consumer loan you want.
Use credit simulators to compare market rates
It is also recommended to use the various online credit simulators to ensure lower reimbursement rates. A credit simulator provides various useful information. If you plan to apply for a 5000 Euro credit , it will immediately see you, instantly on your computer, the total amount you have to repay at a given time. Again, you will avoid asking for more than you can repay.
Avoid repayment deadlines deemed as standard
Rates and repayment times are critical to determining your benefits. Generally, borrowing terms are 3, 5, 15, 20, 25 and 30 years. It is however recommended to find deadlines breaking this standardization imposed by the bank. It is preferable to find maturities of 4, 18 or 22 years. Thus, you will enjoy a lot of money without increasing the monthly payment you owe.
Make your consumer loan a pleasure
If you are thinking of making a loan, it is to live better. In no case should your credit be a concern for you, nor a moment of extra stress. By following all these tips, you will avoid over-indebtedness. Which will bring you to live deeply your life, with the pleasure which accompanies it.