Loans – How To Choose The Best?

Today the offer of bank and financial loans is increasingly wide: but how to choose the best personal loan among the various proposals?

If you want to get an advantageous loan and minimize the cost of your financing, consider the APR. The APR, formed by the TAN and ancillary expenses, summarizes the real cost of a loan in percentage terms and allows you to immediately understand the convenience of the loan: the lower the APR, the cheaper the loan installment will be.

 

How much does the APR affect the total cost of funding?

How much does the APR affect the total cost of funding?

By applying for a $ 10,000 loan with a fixed TAN of 6.39% and an APR of 6.58%, the refund will be $ 195.20 per month for 5 years, for a total of $ 11,712. For a loan from the same amount and duration with a TAN of 8.72% and an APR of 9.66%, the monthly payment will be $ 206.23 and the total amount due by the customer of $ 12,526. A loan with a lower TAN, for example of 7.50%, but with a higher APR, for example of 10.13%, will raise the monthly installment to $ 207.39 and the total due by the customer to 12.650 $, almost $ 1,000 more than the first solution and $ 124 compared to the second, despite having a smaller TAN than the latter.

 

Check the cost of the insurance: It is not always mandatory

loan insurance: It is not always mandatory

Always remember to check if there are insurance coverage to be taken out when signing the contract. Depending on the type of financial insurance policies are offered in different ways: the subscription can be mandatory or optional . Insurance coverage is a cost that undoubtedly affects the value of the installment, but we advise you to evaluate the insurance as an opportunity to return the installments with complete peace of mind.

The insurance serves to protect you from the risk of insolvency, allowing you to support the economic commitment made even in the event of negative events (serious illnesses, permanent accidents, death and / or sudden unemployment). Thanks to the insurance coverage, the company takes charge of the installments in the event that you are unable to return the loan amount.

Loan insurance is mandatory in case of loan with assignment of the fifth ; in other cases it is usually optional, even if the bank or financial company may request it as an essential condition for disbursing the loan even when very large amounts are requested or when the debtor is considered a subject “at risk” (he was a bad payer or not has a fixed monthly income).

A small additional outlay protects against possible risks and proves to be particularly useful in times of economic instability, especially when applying for large amounts of financing, so it is important to carefully evaluate your personal situation before making any choice.

 

Report your guarantor: The request will be accepted with more probability

credit loans

In addition to the ability to repay installments, there is another factor that increases your chance of having your request accepted: the presence of a guarantor . The guarantor puts his signature on the loan agreement as guarantor. Its responsibility is to ensure the regular payment of the installments in the event that you can no longer meet the economic commitment made.

Banks and financial companies are increasingly careful to limit a possible risk of insolvency on the part of the applicant. The guarantor represents an additional security for the bank which, in this way, ensures the repayment of the installments in the manner and within the time established in the loan contract.

The presence of the guarantor is not always a necessary requirement for granting the loan, but a condition that helps make you an ideal customer.

 

Extend the duration to reduce the installment: you will get a loan easily

Extend the duration to reduce the installment: you will get a loan easily

When you apply for a loan, try to distribute the weight of the installments over several years: in this way you will get a cheaper installment value and increase the possibility of seeing your request accepted.

Keep in mind that, for banks and financial institutions, one of the fundamental conditions for granting the loan is the ability to support the economic commitment entered into. The finance company assesses your repayment ability by examining the ratio between installment and perceived income and checking that this does not exceed 30% of the total income.

Personal credit: how to read an amortization table?

The amortization table, in the case of a private loan, is a very useful document that summarizes on one page the information related to the repayment of the credit: amounts to be paid, dates, etc. But how to read this table and what is it for? Here are some explanations.

 

What is an amortization table?

amortization loan

It is a document that summarizes the set of payments to be made to settle a private credit. Each line corresponds to a date on which the debtor will have to make a payment. Furthermore, the above table will include for example 12 lines (12 months) in the case of a loan repaid in 1 year, and 60 lines (60 months) in the case of a loan repaid in 5 years.

 

What are the elements indicated?

personal credit

Each row of the document is divided into several columns based on the information you want to appear. In general, an amortization table includes at least, on each line:

  • The number of monthly installments, or the date of payments: indicates which installment the line refers to. The first line corresponds to the date of the first payment to be made, the last one to the date of the end of the payment.
  • The monthly installment: it is simply the invoice amount to be paid.
  • Amortization: this is the amount used to repay the loan.
  • Interest: the interest paid monthly.
  • The balance: the remaining amount to be paid to ensure that the loan is fully amortized.

 

Depreciation, interest, monthly installments

interest rate

One of the fundamental elements to understand in an amortization table, is that every month paid by the debtor includes on the one hand the amortization and on the other the interest paid. If, on the other hand, the installment is fixed for the entire duration of the repayment, the parts that concern the amortization and the payment of the interest vary with time. For example in a credit of USD 10,000 in 12 months with a rate of 8.9%.

  • The fixed installment is 872.45 USD / month.
  • In the first month, the depreciation will be USD 801.16 and the interest paid will be USD 71.30. The invoice total therefore returns to USD 872.45.
  • On the 6th month, the depreciation will be 824.25 USD, and the interest paid will be 48.21 USD. The total invoice therefore remains at 872.45 USD.

Generally speaking, the portion of interest paid by the borrower is more important at the beginning of the repayment than at the end.

 

Credit balance and early repayment

Credit balance and early repayment

The balance to be paid corresponds to the total amount of the credit, of which we deduct the amortization already made. This is an amount “which remains to be repaid”. Knowing how much remains to be paid is particularly useful if the debtor decides to make an early repayment. At any time, the latter can in fact decide to “settle” his credit by paying all the invoices that remain to be paid. Interest paid in addition will be returned to him, except for any deductions for early repayment fees.

 

How to get your own amortization table?

How to get your own amortization table?

In general, it is always possible to claim this document (or its equivalent) with the bank where the credit was requested. But be careful, because this service could sometimes be billed up to 200 USD per bank! At the conclusion of the contract, some intermediaries provide this amortization table, tailored to each client. 

Consumer credit: positive data already for the first month

The Italians begin 2018 by requesting more loans. In fact, the first month of the year compared to 2017 recorded a 3.3% growth in consumer financing requests. The data come from the CRIF Barometer. The most important boost was given by personal loans which even peaked by + 13% after constant growth for the whole of last year.

A negative figure, on the other hand, comes from “finalized loans” with a drop of -3.3%. What caused this drop? The value seems to have been conditioned by the decrease in the request for loans for the purchase of cars or goods with a smaller amount. Loans not finalized, such as the transfer of the fifth, are instead one of the most popular forms of financing by Italians.

 

Consumer credit 2018: “technical” data of loan applications for the month of January

credit loans

The average amount requested by Italian families also increased and amounted to 9,372 dollars, a value that is 7.4% higher than in January 2017, but not only. With this figure, the record of the last 7 years was marked with the highest average amount requested, approaching the maximum peak of February 2010 when the maximum quota reached 9,630 dollars.

60.3% of requests for finalized loans concern amounts that remain below $ 5,000 while for personal loans, the most requested figures are between $ 10,000 and $ 20,000.

The Executive Director of CRIF stated that new lifestyles and new consumer habits have favored new ways of interacting also with the credit market. For example, more and more Italians are applying for online loans and who, before carrying out a proposal from a company, calculate different estimates to find the best offer.

 

Consumer credit 2018: what is the average age of applicants for personal loans?

Consumer credit 2018: what is the average age of applicants for personal loans?

If you look at the distribution of requests by age group, it seems that those who have most requested personal loans are between 45 and 54 years old (about 25.4% of the total) immediately followed by those between 35 and 44 years of age with a 23.2%.

Consumer credit 2018: Italians apply for more loans already in the first month last modification.

Best Retired Loan: Does It Really Exist? Which one to choose?

Is There Really A Better Retired Loan  Is there a form of financing that offers advantageous conditions to those who receive a pension? The answer is absolutely yes!

Let’s start by saying that in Italy in recent years the number of retirees who have turned to banks and financial institutions to request a loan has increased. The sums may vary: there are those who require small amounts, but also those who need more liquidity to meet different needs. Not all pensioners, however, manage to easily repay the amounts obtained: the installments are often too high and reaching the end of the month becomes complicated.

 

Searched the internet for a better retired loan

retired loan

There is good news: thanks to the agreement stipulated directly with Social Security, we at Lite Lender are able to offer all our retired customers loans at reduced rates and to be repaid even in 120 installments in order to obtain a low installment to pay. Here you will find more information on Social Security retired loans.

 

Best Retired Loan: Why is the assignment of the fifth the ideal solution?

Best Retired Loan: Why is the assignment of the fifth the ideal solution?

Not everyone knows about it, but the assignment of the fifth is really the best retired loan. Why? For the conditions it offers and for the method of repayment of the amount obtained: the payment of the installment will be made directly on the pension and may not exceed one fifth of the net of the same. We see below the advantageous conditions offered by the assignment of the fifth.

  • Up to $ 75,000 can be obtained
  • Extensions up to 10 years
  • Up to 85 years of age at the end of the loan
  • Requesting it is very simple: all you need is an identity document and a health card
  • Fixed installments and rates for the entire duration
  • Aimed at all categories of Social Security pensioners
  • Possibility of obtaining a deposit on signing the contract

You can make a quote for the transfer of the fifth on this page and directly request an online quote. One of our consultants will get you a quote in a few minutes.

Best pensioner loan: here is the most convenient form of financing last modification..

How does microcredit work?

To be eligible for the Fund, professionals must be registered with professional associations or join professional associations registered in the list kept by the Ministry of Economic Development pursuant to law 4/2013. Professionals and businesses must operate in the sectors eligible under the Fund’s Operating Provisions.

 

What is the maximum amount of the microcredit? and the maximum duration?

micro credit

Loans can have a maximum duration of 7 years, cannot be backed by collateral and cannot exceed the limit of $ 25,000 for each beneficiary. This limit may be increased by $ 10,000 if the loan provides for fractional disbursement, making the payments subject to timely payment of at least the last six previous installments and the achievement of intermediate results established by the contract. It is possible to grant the same person a new loan for an amount which, added to the residual debt of other microcredit operations, does not exceed the limit of 25,000 dollars or, in the foreseen cases, 35,000 dollars. The reservation does not automatically imply the granting of a guarantee or of the related financing. The reservation remains valid for the next 5 working days.

Within this period, the beneficiary must find a person available to grant the financing and to confirm the booking online. After confirmation of the guarantee, the request for admission to the guarantee must be submitted within 60 days by a person authorized to operate with the Fund.

 

What are the eligible purposes of funding?

credit loan

Loans for the purchase of goods and services directly related to the activity carried out (including the payment of the leasing fees, the financial microleasing and the payment of the expenses connected to the underwriting of insurance policies), the payment of salaries of new employees or working members and the costs incurred for training courses.

 

What are auxiliary services?

credit loan

The entities that provide a microcredit operation are required to provide, during the preliminary investigation and during the repayment period, at least two of the auxiliary services of assistance and monitoring of the financed subjects envisaged by the legislation. These services may concern support for the definition of the development strategy, training on administration techniques or the use of advanced technologies, the definition of marketing strategies, support for the solution of legal, fiscal and administrative problems or for the identification of critical issues of the funded project.

 

Maximum amount, financing characteristics

Maximum amount, financing characteristics

Loans can have a maximum duration of 7 years, cannot be backed by collateral and cannot exceed the limit of $ 25,000 for each beneficiary. This limit may be increased by $ 10,000 if the loan provides for fractional disbursement, making the payments subject to timely payment of at least the last six previous installments and the achievement of intermediate results established by the contract.

It is possible to grant the same person a new loan for an amount which, added to the residual debt of other microcredit operations, does not exceed the limit of 25,000 dollars or, in the foreseen cases, 35,000 dollars. The reservation does not automatically imply the granting of a guarantee or of the related financing. The reservation remains valid for the next 5 working days. Within this period, the beneficiary must find a person available to grant the financing and to confirm the booking online. After confirmation of the guarantee, the request for admission to the guarantee must be submitted within 60 days by a person authorized to operate with the Fund.

 

Who should I contact to confirm the guarantee booking?

credit loan

To confirm the booking, the company or professional can contact a bank, a supervised financial intermediary or a microcredit operator (ex art.111), authorized to submit guarantee requests to the Fund. After one of the listed subjects has confirmed the booking, the guarantee request, always within 60 days, can also be made by a condition that the latter indicates as the lender the same that made the confirmation (in others terms the confidi can not confirm the booking, but can make the request for admission to the guarantee based on a reservation confirmed by a lender)

 

Clarification on booking and guarantee request

credit loan

It is possible to make multiple booking requests, provided that the sum of the amounts does not exceed the limit of 35 thousand dollars. If the reservation expires due to lack of confirmation within the deadline, the relative amount is canceled from the occupied ceiling and a new request can be made.

Booking is not a necessary step to obtain the guarantee. Companies and professionals can directly contact banks, supervised intermediaries, microcredit operators or confidants who, even in the absence of a reservation, can make the request for admission to the guarantee for a microcredit operation. The resources destined for microcredit represent the ceiling within which it is possible to acquire online reservations. If this limit is reached, the reservation of resources is suspended, to be eventually reactivated with the resources freed from the unconfirmed reservations. In case of suspension of the reservation, the guarantee applications on the microcredit operations presented by banks, trust and accredited intermediaries will continue to be accepted by the Manager, even in the absence of a reservation.

 

Guarantee granted without economic-financial evaluation

financial loan

The modalities of access for microcredit operations to the public guarantee are particularly advantageous : the Fund intervenes without the economic-financial evaluation of the final beneficiary. This means that, in order to access the guarantee, there is no need to present any accounting documents or a business plan to the Fund: the creditworthiness of the company or professional is assessed by the lender.

The coverage of the guarantee for all microcredit operations is the maximum provided for according to the legislation in force: in fact, the Fund intervenes up to 80% of the amount of the loan granted (Direct Guarantee) or 80% of the amount guaranteed by Trust or from Other Guarantee Fund, provided that the guarantees issued by them do not exceed 80% of the loan. The granting of the guarantee is completely free, as it does not involve the payment of any commission to the Fund.

Urgent day loans: here’s how to get them

If you need immediate liquidity, urgent day loans can be for you. Do you want to know how they work? Do not worry because in this article you will find all the answers to your questions. If for a variety of personal needs you have to solve a problem and need immediate liquidity, read carefully until the end.

How to get urgent day loans?

How to get urgent day loans?

If you want to understand how to obtain this type of financing, you need to know that there are Financial Institutions that offer and provide urgent day loans to their customers in the form of non-finalized personal loans. This type of financing, in fact, provides for a very rapid evaluation procedure of the applicant for the financing . Just provide your data and an income document and the financial institutions, which have this type of loan in their portfolio, make a quick check and approve the loan in a few hours.

Most loans online offer quick approval, some offer same-day approval while most is 24 business hours approval. The most common factor that causes a delay in loan approval is incomplete documents.

If you want your loan to be approved within the given time frame or as fast as possible, gather all the complete documents first before submitting it to the loan provider.

Personal loans, in the form of urgent day loans , represent a great opportunity if you need to get a certain amount quickly, but they have some disadvantages . One of them is the impossibility of requesting too high amounts. If you need big numbers and you can wait a few days, you have to choose different solutions. Let’s see which ones to choose.

What are the alternatives to urgent day loans?

What are the alternatives to urgent day loans?

If the basic objective is to obtain high amounts, it is necessary to move towards different solutions, such as online loans or the payday loan.

With the former, there are much lower costs and faster management thanks to the use of the internet . With the second alternative instead, namely that of the payday loan, you can receive up to 75,000 dollars to be returned at a fixed rate in 120 installments (10 years) .

Payday loan: Where to request it?

In a delicate period like this, even asking for a small loan can be difficult when you are afraid of not being able to pay the amount established by the contract with the financing company every month. This is why many give up, aware of the fact that they will perhaps not always be able to repay their financing in the required way. However, there are several possibilities that Italians can exploit, to obtain liquidity quickly through a loan to be repaid in installments.

 

Apply for a Loan at the Post Office

post office

As said, more and more Italians need to apply for a loan to meet daily or unexpected expenses. However, asking for a loan from the bank is not the only possibility, given that there is also the opportunity to contact Lite Lender .

There are several options made available by the postal company for those who need to apply for a loan. We just have to find out what they are together. Those who have an active checking account with Lite Lender can apply for the larger loan, ranging from a minimum of 1,000 dollars up to a maximum sum of 60,000 dollars.

The requested amount is paid directly to your account and can be repaid in fixed installments , with a classic French amortization plan. For the methods of repayment, both the installments and the duration of the loan are aspects that are established taking into account the availability and needs of the applicant. In any case, the time limit for reimbursement ranges from a minimum of 22 to a maximum of 120 . The installment is always debited from your personal bank account.

The online Best Bank Loan can be requested conveniently from home via digital signature. For all the other loan solutions proposed by Lite Lender, an appointment with a financial advisor must be requested. Once you have obtained this appointment, the consultant will explain the various possibilities available to you. By evaluating the different solutions according to your situation, you can thus choose the option that is right for you.

 

Apply for a Loan with Astro Finance

loan application

Astro Finance is well aware that those who need a loan also and above all need elasticity and so have thought of a flexible loan , which allows you to request the desired amount for your project by returning it in an absolutely personalized way.

This is why, after six installments already paid, the customer can decide to use the ‘Installment Change ‘ to change the amount of the base installment according to his needs, thereby also modifying the total repayment times. With Astro Finance, however, the benefits for the customer do not end there.

After the first six installments paid at full rate and regularly through automatic debit on current account, in fact, it will be possible to request the ‘ Skip installment ‘ option, which allows you to move the payment of the installment to the following month, extending the refund by one month overall loan granted. This useful option, which cannot be used in conjunction with the installment change, can be used for a maximum of 3 times for the repayment of the same loan, provided that the subsequent time required for the subsequent requests is met by the contractual clauses with Astro Finance.

Personalization, elasticity but also practicality. These are the three keywords of Astro Finance where the last one is concretized by the multiple channels through which it is possible to request a loan and modify it according to the different needs of each. To request a loan, in fact, the customer can connect directly to the official Astro Finance website and fill in the appropriate form to the right of the Home Page, use the Customer Area to change the amount of the installment or request to skip one, communicate with the financing company also through a very fast sms to request the installment jump.

Furthermore, thanks to the digital signature, it will be possible to sign the contract directly online and quickly send in digital format all the documentation required for the acceptance of the loan application. In this way the procedure becomes much leaner and faster and security is guaranteed by the PIN code, chosen by the customer and always valid for accessing the site, and by the OTP code , a code automatically generated every time and which is sent via SMS the number of the customer who will have to use it to access his online information.

 

Apply for a Loan with Andmore

Apply for a Loan with Andmore

Andmore Dunato is the financing company that allows you to obtain a small or large loan for every need in a very short time, with an installment that follows the customer’s possibilities and a flexible repayment plan that puts you in people’s shoes and understands every problem .

With Andmore, in fact, the customer can decide to skip an installment of the reimbursement, thus postponing the duration, to cancel early without penalty, to change the duration of the reimbursement or to request the modification of the installment. Through the new and immediate online formula, applying for a loan with Andmore has never been so simple and immediate. In a few steps, in fact, you can find out which installment is the best for our needs, among which repayment proposals with variable duration you can choose and how to accessorise your financing. The new loans from Andmore are in fact designed step by step.

We all start with a basic TAN rate, which can vary according to two fundamental parameters: the repayment duration and the number of installments. By entering the amount to be obtained in the appropriate form, the online system automatically establishes how many different ways it is possible to return the amount financed, also giving the user the possibility to download a copy of the various proposals directly on their PC based on the desired amount.

By filling in the whole section on personal data and the so-called additional data at this point, the customer will be able to view a summary of all the information entered and submit the loan request to Andmore which will take it into management in a few days and will contact the customer to communicate the outcome of the request. Users who need assistance during navigation can call the toll-free number indicated at any time.