Needing Money? Learn How To Choose The Best Loan
I need money, now what? This is a common situation and can happen for several reasons. It does not matter why you are in need of money: to apply for a loan, you do not have to justify why. That’s right: you can use the money from your loan for any purpose.
Whether it’s to pay debts, remodel the house, pay for a trip, the cheapest credit you’re looking for can be here at AAV Lending. Next, check out the tips we have for you to choose your best personal loan:
Know the types of loans
There are different types of loans and we explain each of them here:
- Personal Loan : It is the most common type of loan and easy to hire. Anyone can apply for a personal loan.
- Payroll Loan : for employees with a formal contract, retirees or pensioners of the INSS and public servants.
- Loan with Vehicle or Property Guarantee : as the name itself suggests, are loans that have vehicle or property as guarantee of payment.
- Special Check : limit available in checking account. The overdraft has one of the highest interest rates in the credit market.
- Revolving Credit : it works as a financing of the debit balance of the credit card and leads and leads the ranking of the highest interest rates.
Clarify the purpose of your loan application
You do not have to justify the reason for your loan application if you do not want to, but it is important that you clarify for yourself the purpose of this choice.
Are you in debt and want to pay off your debt with a personal loan? Before applying for credit, know how much you need to take them off.
Do you need money for a trip? Research and define how much is needed to take advantage of this moment.
Escape from “achismo”: do the math and find the ideal value for your goal. Once that’s done, it’s easier to choose the best personal loan for you!
Find out how much you can afford per month
Once you clarify how much money you need for your goal, it’s time to plan for the repayment of your loan.
How are your finances? Make a financial checklist: what are your top accounts? What costs can be reduced or even cut so that you can pay off your loan without tightening?
Remember that when applying for a loan, you will need to commit part of your income for a certain amount of time.
So before you apply for your loan, in addition to setting the ideal amount for the monthly installment, think about the most appropriate payment term.
Compare the conditions in different financial
One of the mistakes made by those who need money is to seek a personal loan from a single financial institution, such as the bank in which they have a checking account.
Here, your loan application is sent to different partners at the same time, and you are more likely to receive several loan proposals to choose the one that most closely matches your profile. Only then can you find the best personal loan, with installments that fit in your pocket!
Be aware of the contractual clauses when accepting the money
Before signing the loan agreement, carefully read all the clauses of the agreement and only sign if you agree. If in doubt, contact the financial institution.
When you sign a contract, you agree to the terms set forth by the lender, which includes:
- Charges and taxes;
- Total Effective Cost (CET) with rates;
- Net amount of personal loan;
- IOF (Tax on Financial Transactions);
- Installment (quantity and value of installments and interest rates);
- Forms of payment of the installments (debit in account, ticket or pre-dated check).
Pay your loan on time
Now that you have already planned to borrow your credit, pay your loan on time, you only gain advantages! To increase your chances of getting a new loan later and avoid paying interest, it is important that you schedule for the payments of the installments.
By paying your loan on time, you also expand the possibility of access to credit with reduced interest. You can also anticipate the installments of your loan and have discounts. Avoid Forgetfulness: Create alerts on your mobile phone to be reminded of your due dates.