With a Personal Loan, you deposit a fixed amount each month.
It is actually a form of saving afterwards, but now you can immediately use your investment. You can make large purchases such as a motorcycle, a new stereo system or a caravan. Buy now and save the required amount afterwards. If you want to give yourself financial space to, for example, make an unexpected expense, you can use a revolving credit.
Why a Personal Loan?
You know every month where you stand because you pay a fixed amount of interest and repayment every month. Moreover, you know in advance how long the term and how high interest rates are. The amount is automatically debited from your bank account every month.
How does it work?
You make arrangements in advance about the amount and duration of your Personal Loan. The maximum amount depends on your fixed costs and your monthly income. Usually the term is between 6 and 60 months, but in some cases you can also opt for a longer term (for example, when renovating)
Redemption of a Personal Loan
A fixed amount is automatically deducted from your account every month.
Cost of a Personal Loan
The moment you take out a Personal Loan, interest is determined for the entire period, regardless of any future interest rate rises. You know in advance exactly how much you pay the entire term. With most banks you receive an overview of the interest paid each year.
|Benefits||You know in advance how much and how long you have to pay.|
|Cons||With some banks, you have to pay a penalty for early repayment .|
|Handy||Consumables with a long lifespan such as a car, caravan and furniture .|