Month: February 2020
There are fanatic savers. At the beginning of this year we had a savings bank of almost 344 billion dollars together. A substantial amount! Especially when you consider that the interest on savings is very low.
More striking is that one in six savers has a loan. While a loan costs more than saves money.
Ever-lower interest-rate savings
That the interest you get for your savings is low is no news anymore. The bank has continued to lower interest rates. This has made borrowing money cheap for banks. They therefore need consumers’ savings less and they are therefore less willing to pay for this. At most large banks, the interest on savings is now also below 1%.
There is another thing that makes saving unattractive: the capital contribution levy. Did you save more than 21,330 dollars? Then you pay tax on the return that you achieve on the amount that you have more.
But with the Tax Authorities they still assume a return of 4%. While most people simply have the money in a savings account and therefore earn less than 1% in interest. This will change in 2017, but at the moment you are still expensive with a full savings account.
Repay loan with savings
Of course: a little interest is always better than no interest. But if you have a loan at the same time, paying off your loan is wise. The interest that you earn with your savings does not outweigh the interest that you pay for your loan. Then you can better use your savings for paying off your debt.
Responsible lending and repaying a loan
Please note: a continuous loan can always be repaid without penalty. But paying off a personal loan can incur additional costs.
Also, do not immediately clear your entire savings account before paying off your loan. Always keep an amount in mind for emergencies. So that you do not have to take out a loan immediately if, for example, your car fails.
Request a loan repayment request
In addition to advising on loan applications, my colleagues and I are also happy to help you repay your loan. For example, do you have multiple loans? Then it can be interesting to look at the merging of your loans in addition to the repayment. Knowing more? Request a free quote now and discover your options.
Are you planning a family trip over Christmas and New Year? Maybe a much needed vacation in the sun, or a ski trip in the Alps. No matter what, it may be good to check now that your finances are stable enough to handle all expenses.
Hotels, restaurants, shopping, spa treatments, ski hire and experiences in the form of concerts or nightclubs. When you set out on a journey, the costs are eased off. No wonder about it, no real vacation if the family is not allowed to indulge in relaxing and fun activities. However, this also means that a buffer is often required to lean against. A sum of money that goes to both planned and unexpected costs.
However, a buffer requires some savings, and it is required of all who have the opportunity to put away enough money each month. In these situations, the account credit service is an excellent solution and a flexible alternative to traditional SMS loans.
For those of you traveling, this form of loan includes the following advantages:
The fact that the account gap is empty may in some cases come as a surprise, and many may recognize in the scenario that the money just seems to have been lost in a hub, without knowing exactly what. In these cases, there is no room for extended messages, although you probably want quick information on whether the claims can be approved or not. Unless otherwise possible to plan and post a travel budget. When choosing an account credit, it is always very easy to apply online, and answers always come immediately.
Account credit is a service that is managed and monitored using a digital platform. In other words, just a simple login is required online and then as a borrower you can make free withdrawals, correct your installment plan and make deposits. Thanks to this, it is possible to make withdrawals anytime – anywhere abroad. In the end, you only pay for the amount of money taken out, and the reimbursement is always made up according to your personal assumptions.
If you want to pay off the entire amount at one and the same time, or if you want to make extra deposits, then it is easily done through that high platform. Account credit is a flexible service without the conditions that usually apply to text loans with high interest rates.
Secure winter travel with the help of Goodmobile Loan and our service account credit which provides a secure buffer to lean on in unexpected or unforeseen expenses. This loan form provides a direct alternative to SMS loans. Apply today!
When taking out a loan you agree to the corresponding conditions. The most important condition is that you must repay the loan to the bank or continuous loan provider within the agreed term via monthly amounts. You enter into this payment obligation when you take out the loan. The bank applies strict rules with regard to the granting of loans.
Taking out a loan (online) is not possible in all cases. There are a number of clear exclusions. You cannot take out a loan in the following situations:
- Your living situation is resident (with parents, family or friends or you live in rooms) and you have a temporary employment contract
- You are self-employed or employed
- You are younger than 21 and older than 65 in the case of a continuous loan
- You are younger than 21 and older than 74 in the case of a personal loan
- You have a negative registration
- You have one or more debts in the form of payment arrears
- You have borrowed more than your maximum responsible continuous loan
- You are single and have a residence permit type 1 or 3, only in nationality
- You live and work abroad
- If your income is deposited into a foreign checking account
Borrow without testing
Especially on the internet is advertised for taking out loans without a review at the . This is offered by rogue parties that do not comply with the rules of the AFM. Borrowing without a test seems to be an attractive option for people who are at their continuous loan limit or who have a negative registration. Thanks to this offer, taking out a loan now seems an option. Granting a loan without checking at the is not permitted.
Your loans and continuous loanen are registered with the . Without checking a new loan you can get a wrongly high loan amount. Based on your personal and financial situation, a maximum loan amount is appropriate, so that the loan is a responsible loan. If you borrow an amount that is higher than your financial capacity, payment problems may arise from the monthly charges.
You get a negative code if you are a few months behind in the repayment of your loan. Borrowing money in this situation means even more payment problems. Professional and reliable banks and continuous loan providers of not grant loans to consumers with a negative code.
Borrow with payment arrears
It is not possible to take out a new loan in the event of payment arrears with institutions. For example, if you are no longer able to pay the payments for your rent, health care or tax and you have a debt with that institution, taking out a loan to eliminate those arrears is not an option.
If you have debts in the form of a loan or continuous loan without payment arrears, you can take out a loan. The relevant customer is advised with a continuous loan specialist to sit down and discuss the options. In some situations, a new loan can prevent debt from rising.
Maximum loan amount
A maximum amount of loans and payment obligations means that you cannot take out a new loan. A maximum loan amount has been determined based on your personal and financial situation. A loan amount above this maximum amount means an irresponsible loan. From the duty of care that we have as a financial service provider, we do not provide irresponsible loans.
If you are looking for a loan, it is important to compare your options. You must be sure that the loan you take out fits your wishes and your personal situation. But what should you actually pay attention to if you want to take out a loan?
Compare on form and content
First, it is important to determine what you want to borrow money for. The term of your loan must fit in well with the life of your product. A loan of 60 months is appropriate for a car loan, while a duration of 120 months is more suitable for a bathroom.
You can then compare the different loan forms. Do you opt for a personal loan or does a continuous loan fit in better with your loan objective? Consider whether you need the security of a personal loan or prefer the flexibility of an ongoing loan .
When you have determined which loan type is the most suitable, you can start comparing the loans. If you want to compare different loans, always make sure that the term is the same, otherwise the comparison will be flawed and you will not paint a realistic picture.
Compare the terms and conditions
Equally important is comparison based on the general terms and conditions. You can then think of:
The advice provided by the bank or the intermediary on, for example:
The risks of borrowing
What happens if you die unexpectedly
Your (financial) future
What do you have to take into account when you turn 65?
Aftercare, how does the bank or intermediary deal with you after taking out the loan?
A bank / intermediary can act proactively (and therefore call you if something changes that could be to your advantage) or reactive (the bank / intermediary will only act if you ask)
Ask for advice
Taking out a loan requires care. After all, you want to take out a responsible loan in order not to get into financial difficulties. If you have doubts or questions, make sure that you seek advice from the bank or the intermediary. Better safe than sorry!
The tiered loan or pull-out loan consists of building a mortgage, involving several credit formulas. A low-valued type of assembly, which nevertheless has great advantages, even if you have to be aware of its disadvantages. The assistance of a broker is essential here to combine security and optimization of this financing.
How does a loan arrangement in 2 lines work?
The use of a pull-out or multi-line loan makes it possible to reduce the total cost of a mortgage, by playing on smaller sums and varying durations, subject to different rates.
For example, under a conventional loan, a loan of USD 200,000 with an interest rate of 3.20%, granted for a period of 20 years, will cause a total cost of USD 70,960.
As part of a 2-line arrangement, the amount to borrow will be divided into two separate loans. The first of USD 150,000 at 3.20% over 20 years, will generate a total cost of USD 53,280; the second, from USD 50,000 to 2.35% over 15 years, will cost USD 10,300. In other words, an overall cost of USD 63,580 and a reduction of USD 7,380!
What is the point of using a pull-out loan?
With an interest rate that increases in parallel with the repayment period, the use of a pull-out loan makes it possible to play on this variable, to reduce the total cost of financing.
Not to mention that the cost of borrower insurance will also drop. Theoretically, the rate associated with the shortest loan is normally lower than that associated with the longest loan. But, even at the same rate, the weight of insurance is reduced, since part of the loan is insured over a shorter period.
To further reduce the cost of this multi-line loan, it is also possible to act on the guarantees requested by the banking establishment. Skilfully orchestrated negotiation could avoid guaranteeing the shortest loan, if the amount and duration allow.
Regardless of these financial advantages, the pull-out loan makes it possible to gain flexibility and management. In particular, in the event of an inflow of money which could settle one of its lines in advance, without however being sufficient to settle the entire credit.
Who can explain the technicality of the financing operation to you: the broker
Up to now little valued, the tiered loan tends to democratize: today, half of the banks offer it. However, the technicality required for its assembly requires the assistance of a credit broker. The only one likely to “erase” the disadvantages of such a device.
A loan with 2 lines (or more) supposes the subscription to two distinct credits, with two monthly payments, two rates, two guarantees (sometimes), two insurances… Consequently, the borrower must support a change of monthly payments at the maturity of shortest credit. Not to mention that they are higher than a conventional loan at the start.
Naturally, it is possible to carry out a smoothing, to have only one and the same monthly payment throughout the repayment of the property, but this will cause a systematic increase in the total cost of the credit.
Thanks to his technical know-how, the credit broker will allow you to make real savings on the loan, while avoiding repayments that are too heavy to bear, given your personal situation and your financial capacity. Only he is able to operate on the different variables, so that you only benefit from the advantages of this device. Do not hesitate to contact a expert for free advice!