Consumer loan: tips adopted by borrowers to take out cheap
The production of consumer loans has just increased by 3%. Does that mean that everyone now knows how to take advantage of this type of offer?
The consumer loan has always had its followers. However, defaulted loans do exist. Many are still careful. They educate themselves, then use the following tips to take advantage of cheap credit, and it's effective.
Prefer the amortizable fixed rate loan to revolving credit
Avoiding unpleasant surprises is easier with a fixed rate depreciable consumer credit with a fixed repayment term than with a revolving credit with a variable rate and modifiable maturity. Most of those who were seduced by the initially attractive revolving credit rate were disappointed. The reason is that after the promotional period has passed, the rate increases dramatically to the point of approaching the usury rate. This makes revolving credit expensive.
Refer to the APR instead of the nominal rate
In the comparison of offers, borrowers who rely on the annual percentage rate of charge instead of the nominal rate refer to the correct indicator. Not only is the APR formula invariable for all banks and for all lending organizations, but this rate takes into account all costs. The nominal rate itself is included in the APR.
Prioritize affected credit
For once, the affected credit outweighs the loan without proof. Since the commitment is certain in the first offer, this reassures financial institutions much more. They are then inclined to grant a fairly low rate. That's not all. The affected loan being intended for a specific purchase, if this purchase is canceled, the loan is also canceled, while the credit without proof, it, must be repaid to the last cent, including the interest rate, even if the sale does not take place.
Making the most of interbank competition
The well-known expression "to play the competition" is still valid as online banks are increasing in number and as financial institutions and credit organizations are doing their best to attract customers. The use of comparators and loan simulators is facilitated . Everything works in favor of the candidate borrower. He just has to make the right choice. If he does not get out, he can always call on a broker specializing in consumer loans.
The consolidation of loans for cheap credit
It is an opportunity for:
- lowering your interest rate
- adjust your repayment period according to your budget
- pay only one monthly installment.
The list of ways borrowers get cheap credit is not limited to these five tips. There are indeed those who choose a mini-consumer loan on the short term. There are also those who know how to avoid prepayment penalties.