A difference borrower should evaluate the financial burden that will fall on his shoulders when he reimburses the bank product. The client must choose such proportion of the amount and term of the loan, in which the amount of payment in the consumer’s loan will not exceed half of his monthly rent.
First, you need to familiarize yourself with the proposals of the banks that can provide the customer with preferential conditions – lower rates for individuals. First, you should pay attention to organizations in which the customer has a salary card, an open deposit or a positive credit history.
Often, the amount that the borrower must return to the bank, consists not only of the principal and interest, but includes additional payments, not apparent at first sight.
Fees may be charged by the bank at one time after the receipt of the loan or monthly for the entire period. Sometimes, instead of a commission, banks set a growing interest for the first month. At the same time, during the rest of the period, lower rates are applied, which are indicated as basic rates. In addition, often in the first month there is no refund of the principal. Only the amount of accrued interest is paid. As a result, interest is charged twice on the same loan amount, which significantly increases the final overpayment amount.
If you agree to ensure your life, health, risk of loss of work, the client can borrow under more favorable conditions. In general, the rates for personal insurance offers are 1-2 percentage points lower compared to uninsured offers. Which option to choose, the borrower decides for himself: personal insurance is a voluntary service, the bank has no right to impose it.
Taking into account the objectives of the consumer, the availability of collateral, the available documents and the desired period of consideration of the application, the borrower will offer various options of about a thousand proposals from Russian banks. Consumer loans are loans issued by citizens in the bank in cash or non-monetary form. The purpose of the loan can be any purchase (TV, refrigerator, computer), payment for services (tourist vouchers, courses, treatment) or cash to meet everyday needs. Consumer loans can be selective and non-selective, with or without guarantees.
Borrowers with a positive credit history, who provided a complete package of documents and have an income of which no more than 40% of the monthly income will go to loan payments, may qualify for the minimum interest rate. In addition, the discount can be obtained by borrowers who receive salaries through the bank in which they apply for a loan.
The advantage of consumer credit is the ability to obtain money quickly for any purpose. Therefore, it is not necessary for you to save yourself for a long time, risking that, for example, a product or Service can talk about price. Citizens have the opportunity to buy a loan directly at the store or at any branch closest to the bank.
All credit products can be divided into two categories: specific and non-specific. The objective includes funds provided for the purchase of a particular product or service. Most of the time they are taken for large purchases – a car or an Apartment, or for activities that require significant costs – such as training or repair.
Banks take this into account and offer customers specific loans that are issued for strictly defined purchases. These borrowed funds are much “cheaper”, but the Credit Institution is closely monitoring the fact that the money issued was actually spent on purpose. Therefore, the borrower will have to collect a large number of documents in order to demonstrate the intended use of the funds.