By whom are consumer loans offered? Best bank, universal banks, banks and savings banks are usually specialized in the award of purchase credits, purchase credits and consumer loans. Guide to talking about a private consumer loan. Consumer credit is given to private individuals to finance consumer goods. Achieve your goals today with our consumer credit.
Consumer Credit – What does it mean? What to look for?
Consumer credit, also called installment loan in everyday language, is a short-term personal loan. It is awarded in the range of between $ 1,000 and $ 75,000 and has a remaining term of between 12 and 84 years. In a consumer loan, the conditions are very different. A consumer loan can be worth a comparison since it depends on different influencing factors such as the loan amount, duration, own creditworthiness, the own reliability of the borrower and the income.
Probably the biggest benefit of a consumer loan is that it is easy to plan because the monthly repayment rate is fixed over the entire duration and does not change. In addition, consumer credit is often granted as so-called blank credit. In this form of assignment, the lender can claim the tranches for overdue payments directly from the borrower’s salary.
Such consumer loans are less burdensome because almost every retailer selling high quality goods offers different financing options. Another advantage is the good comparability of consumer loans, as the lenders are forced to specify the annual interest. Of course, consumer loans also have disadvantages. Probably the biggest damage is the quick temptation to raise several loans with advantageous monthly installments and long maturities.
As a result, the school’s credit rating is poor, which means that many years later not a single credit will be achieved, even if the financial situation allows it again. Another negative circumstance that comes with the entry into the new company: Every consumer loan will be announced to the company.
This influences the number of points the Foundation regularly collects. This is also a handicap for consumer loans. In particular, if the loan is needed for refinancing, the loan term should always be smaller than that of the respective financing object (eg auto financing). With consumer loans, it is possible to determine the conditions and thus the installment amount.
Higher sentences shorten the duration, deeper sentences expand it.
A repayment plan prepared in detail by the lender can provide clarity over the total life of the consumer loan, as the repayment installments are composed of a fixed repayment installment and interest rate. Therefore, the due date should always be noted in the loan contract so that the repayment plan can be fixed.
In consumer credit comparison, the annual fee percentage should be discussed more closely. If possible, it should be fixed for the entire term of the loan. Nonetheless, a transparent consumer credit comparison is possible with him. More than 362 million individual data for 62 million people. In addition to these details (eg checking current account / credit card / leasing contract), negative features (eg rejected loan, loan termination) are also reported to the Credit Bureau.
When a consumer loan is taken, the house bank reports all credit information, such as the name of the borrower, the amount of the loan, the duration, the installment payment, the term extension or an early repayment to the house bank.