We all know that the economic situation is not very easy, despite trying to show otherwise. A good part of Brazilians are being forced to borrow money to deal with the problematic situations that the lack of liquidity causes in people and in families. Daily are dozens of people borrower money here at the Ramsay family, imagine in the rest of the financial institutions.
You’re among the hundreds of people applying for loans and personal loans at banks and financial institutions, we’ve listed tips for you to choose loans with favorable terms, protect yourself from unpleasant surprises in the future, and escape from repressing your goals and interests. Some important rules to follow before applying for a loan no matter how convenient and safe it is. Check out also the articles on the best personal loan rates on the Internet and want a personal loan over the internet!
1 . Interest Rate – Always choose an institution that offers the best monthly interest rate. The interest rate is an index that banks and financial use to set the value of each installments charged monthly on the loans granted.
2 . The CET – Also known as Total Effective Cost. Choosing a loan with the best and that suits your needs, before completing the deal, observe all the charges and expenses that involve the repayment of the requested capital or payment of interest.
3 . Cost of insurance – It is not always mandatory to take out loan insurance, but this depends on the type and line of credit requested, ie depending on the type of financing, financial insurance are offered in different forms: signing may be mandatory or optional. Loan insurance coverage is an expense that will undoubtedly affect the value of the installment up, even though it is valid to consider contracting the insurance as an opportunity to pay the installments in case there are momentary liquidity problems.
The insurance in the loans protect against the risk of default and occurrences that are beyond our control, such as illness and accidents. With insurance coverage in credit operations, the lender / insurer takes care of the installments in cases of inability to repay the amount borrowed.
4 . Loan guarantees – There are transactions with or without guarantees, the application is most likely accepted when the institution has relevant and favorable information regarding the applicant. It is customary for banks and financial institutions to be on the defensive, nowadays they are increasingly careful to limit the potential risks of default by applicants. Giving some guarantees may favor the release of more expressive loan amounts.
5 . Term Loans – The duration of the loan should be taken into account, the longer the term the lower the installment and the more expensive the loan will be. Institutions always offer extended terms to get more profit from the operation, stay tuned! When you are applying for a long term loan, ie with several years, make the total debit balance bills, you will be surprised.