Borrowing money as financial support or for “luxury” goods
At some point in their lives, most people experience times of economic bottlenecks in which they need financial support. Anyone who does not want or bother relatives or friends in such a situation can take out a loan to bridge the short – term bottleneck or make a very large purchase (for example, a car or real estate purchase ). Who constantly its line of credit takes to complete and now want to replace against a lower interest loan or want to combine several loans into one and let roll over, can also take out a new loan.
Credit for every need
As different as the people are, so different are their life situations and needs. Banks and credit institutions have adopted this diversity and offer consumers the right credit for every need. In addition to the popular installment credit (also referred to as consumer or consumer credit ), there are, among other things, car loans, small loans, personal loans and loans for specific groups of persons or occupations. Particularly popular are loans for the self-employed, pensioners, students or civil servants.
What you should look out for as a borrower
Regardless of which group of people you belong to and why you want to take out a loan, you should be aware of a few things before you sign a contract. First, critically scrutinize your desire to borrow and consider carefully whether you need the money for a really important and necessary purchase, or whether you can not delay it until your financial situation has eased. Determine the amount of the loan and the amount of the installment you can repay monthly without any further financial difficulties. Compare the different offers with a free online loan calculator and always use your actual wishes in terms of loan amount, installment amount and term.
Beware of scammers, especially for loans without Private credit!
In addition to the numerous reputable banks, there are unfortunately also some black sheep trying to capitalize on the plight of the people. They are aimed specifically at people who have no or very difficult to get a loan from banks and make especially on the Internet tempting offers. In fact, you just want to make it easier for even the most desperate consumers to make even more money and, for example, charge high fees for sending out loan documents or alleged consultations on expensive telephone hotlines. Avoid offers that require you to pay in advance or that the loan commitment is linked to other contracts, such as insurance. Reputable providers always demand collateral such as a regular income or a creditworthy guarantor.