Avoid unnecessary debt

Lending money is a great business, so banks and non-banking institutions can literally break into convincing you that you can indulge in anything you don’t have enough money for. But borrowing on futility is the first step into a debt trap… frederic-robinson.com for more.

 

Not every loan is in principle bad

Not every loan is in principle bad

Housing loans or loans for things that have the character of long-term investment can certainly be accepted. However, loans for consumer goods, Christmas gifts, entertainment or holidays are bad. So, before you take out a loan for a beautiful new TV or shiny iPhone, consider it well. For example, we don’t have to go far, for example, a recent HANEP survey on Christmas shopping. Almost ten percent of respondents were willing to borrow to buy Christmas presents. Smaller debts of up to 10,000 often cause the biggest problems.

Many households not only borrow when necessary, such as a broken washing machine or fridge, but also use loans to raise their standard of living. A frequent reason for lending is not only home appliances and electronics, but also the purchase of summer holidays.

Learn how to save and read terms Investigation is especially not very popular among younger years. Creating a certain financial pillow for unexpected events is the basis of family or personal finances. If you are unable to save anything from your income, look for savings or additional resources. It is ideal to have a reserve of three monthly earnings on hand.
If you run into a situation where the provision to cover expenses is not enough, consider carefully from whom and under what conditions to borrow money. The offer of loans comes from all sides, but offers are not always fully transparent. As a consumer, you should always know in advance what the amount of repayments will be, how much you will pay, and what sanctions and charges you may have.

 

Don’t sign anything you don’t understand

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For example, such a credit card is a great thing if you understand how it works. On the one hand, it is a handy way to have a financial reserve, but on the other hand, it is important to bear in mind that money (the credit limit) is not yours and is still a loan. Fifty-day and longer interest-free periods are tempting to buy a trip or a new television, but irresponsible purchases are, according to experts, a way into a debt trap.

A situation where the cardholder ends regularly in negative and starts to have problems with repayment is not exceptional. In the worst case, he then breaks the wedge with the wedge, sets up other cards, overdrafts, etc., to pay the debt on existing credit cards, or borrows the debt elsewhere. When there is nowhere else to borrow from, so-called micro-loans with APRs in hundreds of percent come. And the path to the debt trap is complete.

 

Our Advice

debt loan

Finally, before borrowing, try depositing an amount equal to the loan repayment on your savings account for a few months. This makes it easy to tell if you will tighten the loan.

Fast non-bank loans via the Internet

Sometimes a loan is the only way out of a difficult situation – usually we usually turn to the people closest to us – family and friends. However, this is not always the best solution; it is worth considering the fact that our loved ones will not always be able to help us. What can we do then?

Although we have a special trust in our family, we do not always have to ask her for financial help, especially when it comes to small expenses. This is especially true for young people who are generally afraid of making independent commitments. However, it turns out that taking advantage of a non-bank loan offer can be a much better solution.

Loan: learning independent commitments

Loan: learning independent commitments

Young people, even after becoming independent, often seek help from their parents or relatives. This is undoubtedly a convenient solution, but it should be taken into account that people close to us have their own expenses – when we borrow money from them, they usually have to change their existing plans, such as refurbishing an apartment or buying new home appliances.

For this reason, it is worth considering a financial loan from another source first; one solution is to turn to lender. In this way, a young person learns to take independent financial obligations, which may pay off in the future, eg in the case of taking out a mortgage or a car loan.

When should you consider a loan?

When should you consider a loan?

A non-bank loan is a great solution for people who need a small amount of money for a short period of time. The reasons for entering into a commitment may be different – a dream of a trip abroad, the desire to buy the necessary home appliances for a new apartment, or a family celebration, such as a wedding or a christening party.

Most often, additional expenses are associated with an unexpected situation that could not be taken into account when planning your home budget, and therefore an additional financial injection is also needed. A non-bank loan then allows you to cover the necessary costs without losing financial liquidity, and in addition allows you to remain independent.

Loans: what is worth knowing about them?

Loans: what is worth knowing about them?

If you decide on a non-bank loan, it is worth getting acquainted with lender’s offer. The company offers two types of loans – short-term and installment. The offers differ from each other in the maximum amount that we can get under the loan, as well as the repayment period and the total cost of the service.

In the case of a short-term loan, we can get up to USD 2,500. However, this applies to customers who have already used the services of lender (for new customers the maximum amount of liability is USD 1,500). The cost of a short-term loan for new customers is only USD 10, and the repayment period is 60 days.

As for the installment loan, the maximum amount that customers can get in this case is as much as USD 20,000. At the same time, the repayment period is longer – the customer can enter into a commitment for up to 60 months. The cost of the loan can be easily checked using the sliders on the lender homepage – all you need to do is select the amount and installments you are interested in and the total value of the commitment will be displayed.

So many got debt relief since the new law came into force

On November 1, 2016, the Debt Settlement Act was amended. The new law is part of the government’s strategy to counteract over-indebtedness and now the enforcement authority has issued a first report and analysis of the effects of the amended legislation.

 

The size of the debt does not have a decisive significance

debt loans

It is easy to misunderstand that existing legislation exists to help people with large debts. The analysis shows that this is not the case. People with small debts also have the option of obtaining debt relief if they have no repayment capacity. In total, more than 31,000 people have applied for debt relief since the new law came into force. The median debt for those granted debt restructuring was approximately USD 558,000. USD 13,426 was the lowest debt amount for a person who received debt settlement among those included in the analysis.

The analysis shows that, above all, three factors affect the possibility of debt settlement:

 

1. The cause of the payment problems.

Illness, divorce and unemployment mean more likelihood of debt relief than over-consumption or other causes.

 

2. Age of applicants

Older people are more often given debt relief.

Nearly 75 percent of those who applied for debt relief were over 40, 13 percent were 67 or older. The analysis shows that the likelihood of debt settlement increases with increasing age. The explanation for this could be that older people, especially pensioners, find it more difficult to change their income situation in order to pay off their debts in the long run. In addition, older people have often been over-indebted for a long time.

 

3. If they have visited a budget and debt adviser.

 

There is a marked difference in the degree of grants of people who have visited debt counselors compared to those who have not taken help.

“It is very gratifying that the Corona Lend Finance has done this analysis which adds a lot of knowledge about the new debt restructuring law that came into force in November 2016. I think it is a common misconception among the public that it is only the people who have “large debts” who receive debt restructuring, which is not the case, “says John Henry, Vice President Debt Collection at Klarna and course leader at the Arts to get paid and continue. “The basic prerequisite for being able to benefit from debt restructuring at all is that you cannot” pay for your debts “for a reasonable period of time. It is therefore also very reasonable that the probability of getting debt restructuring is higher the older you are . “

Here you can find out the analysis “The reason for the payment problems more important than the size of the debt when deciding on debt restructuring”

Posted by / January 14, 2020 / 0Comments / Posted in Uncategorized

Which credit card for Philippines trip ?

A vacation in the Philippines means wonderful beaches, diving spots, tropical flair, multicultural metropolises and much more that leaves nothing to be desired. In order for the vacation to be enjoyed without any worries, it is important to inform yourself in advance about the payment methods on site. The following guide provides useful information about the local currency, common means of payment, and fees for withdrawing money in the Philippines. A credit card should not be missing in the Philippines, as it can be used at ATMs and for cashless payments.

Basic Acceptance of Credit Cards in the Philippines

Basic Acceptance of Credit Cards in the Philippines

ATMs are available on all Philippine holiday islands, for example in shopping centers, tourist facilities and banks. Credit cards from Visa and Mastercard are highly accepted , which applies to ATMs and to payments in hotels, shops or restaurants. However, the foreign transaction fee applies to the cashless payment of many credit cards. Sometimes the acceptance points can also charge service fees. It is therefore advisable to withdraw cash with your credit card.

Cashless payment

Cashless payment

Cashless payment is particularly widespread in tourist areas and cities. In many places you can easily pay with the Visa and MasterCard. Diners Club and American Express are also partially accepted. In the larger hotels and restaurants, EC cards are sometimes accepted as a form of cashless payment, but you should take enough cash with you before going on trips to the countryside, to more remote areas or when visiting a market.

Special features of the Philippine ATMs

Special features of the Philippine ATMs

If you want to withdraw money from ATMs in the Philippines, you should note a few peculiarities. Depending on the operating bank, a limit of either 4,000, 5,000 or even 10,000 pesos is set up for the payment per withdrawal process. If, for example, 40,000 pesos are to be withdrawn with a credit card, the withdrawal process must be carried out at least 4 times. Ultimately, this means that the fees of around 5 USD must also be paid at least 4 times, which corresponds to a total of around 20 USD. To avoid this, the best travel credit card is presented below, with which cash can be withdrawn free of charge abroad.

Withdraw money in the Philippines

Withdraw money in the Philippines

Withdrawing money is no problem, at least in the larger cities in the Philippines, because there are many ATMs. Most ATMs accept credit or Maestro cards if they have the Maestro or Cirrus symbol. A credit card is generally the best way to withdraw money in the Philippines. However, it can be a little more difficult to withdraw money with a foreign card away from the larger cities, because many ATMs only accept local cards. So if you are away from the crowds of tourists, you should ensure that you have enough cash. In addition, credit cards are not accepted in numerous smaller resorts or accommodations.

Posted by / January 11, 2020 / 0Comments / Posted in Uncategorized

12 month loan: which is the best?

Financial Check is a market-leading credit comparison. The loan calculator is free. The offers are submitted without obligation. There are no preliminary costs. The comparison portal works with over 20 reputable direct banks and can compare a large number of different loan offers. This loan calculator is our recommendation

After you have filled out the loan request, you will receive the cheapest loan offers in a matter of seconds, taking into account your details and your credit rating.

Take a look at the offers in peace. If an offer meets your expectations, you can submit a loan application to the selected bank.

If you do not agree with any offer, simply let the matter rest. You then do not need to do anything else.

Good Credit’s loan offer

Good Credit

Good Credit, the credit broker from Halle, also provides loans with short terms of 12 months, 18 months or 24 months.

The interest depends on the creditworthiness. Leave the loan compared to a professional who has already helped many customers to find cheap credit solutions.

Let us advise you on the right loan for your needs. Good Credit is one of the market leaders in the industry.

Self-employed people also have a chance of getting small loans. The self-employed, regardless of whether they are traders or freelancers, generally do not receive any worse conditions.

The application process for the self-employed is very straightforward compared to the credit requirements at other direct banks.

Smaller loans are granted from the first month of self-employment. Few documents are sufficient to prove the income situation, sometimes even bank statements are sufficient.

Loan requests, advice and the submission of the loan offer are free of charge and without obligation. If a loan agreement is concluded, the brokerage credit is part of the effective annual interest rate.

The offer brokered by Good Credit can therefore easily be compared with the offers of the competition. As a rule, the commissions do not raise interest rates because the partner banks are responsible for this.

Unlike some of its competitors, the financial services provider has an excellent reputation. The customer reviews are mostly positive. Good Credit is the credit broker that we recommend.

Good Finance P2P credit

Good Finance P2P credit

The alternative to bank credit is a loan from private for private from Good Finance.

The offer is currently included in the Fine Bank loan calculator. A loan application can of course also be made directly on the Good Finance website.

Self-employed and older people have a real chance of getting a loan. The same applies to people with slight problems with Credit Checker.

Good Finance has a sophisticated, independent system for credit checks and does not rely solely on Credit Checker. Motor vehicles can also be provided as security.

There are not many loans for 12 months

bank

Short terms and small loan amounts, this combination is not exactly popular with direct banks and branch banks.

Because the relationship between yield and effort is significantly better with longer terms and higher sums.

For this reason, not all banks deal with loans for 12 months. The choice of loan offers is not very extensive, especially when it comes to smaller amounts.

Nevertheless, cheap loans with a term of one year can be found on the Internet.

The interests of borrowers are exactly the opposite of the business interests of banks. The shorter the term of a loan is granted, the lower the interest costs.

At least that’s the theory. In practice, however, there are interesting exceptions in individual cases, as we will see below.