Take that trip you have always dreamed of, reform the house, buy a car or study the master’s degree that will open the doors of the labor market. These are some of the main reasons why we sometimes have to apply for financing. We are going to see some requirements and advice to request a loan and do it with guarantees of success.
One of the first issues that we must take into account is our financial situation at the time of requesting the loan. Analyzing our income and expenses will help us know if we are going to be able to meet the loan installments in a timely manner and without problems. For this, experts recommend that fixed expenses do not exceed 40% of income. In addition, our spending capacity is one of the aspects that the entity will analyze when granting us the loan or not.
5 tips for borrowing
- Don’t ask for more money than you need. Before requesting a loan, it is important to know what you need it for, since the amount you request will depend on the project in question. Keep in mind that the higher the amount, the higher the interest. For this reason, at Across Lender we offer you specific loans depending on the use: new, used vehicle, reforms, holidays, studies … We adapt to your needs!
- Study the return terms. The longer the repayment time, the higher the interest, but also the lower installments. The term in which you want to return the money is something that you must assess depending on your financial situation. Make calculations and try to adjust the term as much as possible, always thinking of being able to pay the fee with ease. A shorter repayment term increases the monthly payment, but the loan is cheaper, while a longer repayment time makes the payments smaller, but we will pay more interest.
- Review the interests. Another aspect to consider before requesting a loan is interest. They are the APR and the TIN. The APR is the Annual Equivalent Rate and represents the cost of the loan including the commissions and other associated expenses. The Nominal Interest Rate or TIN is the price charged by the entity for lending us the money and is calculated based on a percentage of the total amount requested. The main indicator, the one that encompasses all the concepts
And which you should look at when choosing a loan
In addition to interest, it is usual for loans to have associated commissions. The most common are the opening and cancellation fees in full or in part.
When we are clear about all these issues and go to the entity to request the loan, it is important to have regular income that allows us to pay the monthly installments comfortably.
It is one of the determining factors when the loan is granted or not
If you are thinking of applying for financing, do not hesitate to go to your nearest Across Lender office, where we will be happy to advise you on everything you need. Article Name Tips for requesting a loan that you should consider Description Reform the house, buy a car, travel … If you need to apply for financing, take a look at our advice to ask for a loan and do it with guarantees of success Author