Personal loan, a short-term help
 Many people request a personal loan with motives that really do not deserve to be exhibited to the risks that these contract. It is important that we bear in mind that a personal loan is not the best option to confront expenses that are produced, for example, in the epochs of holiday as in Christmas or new year, in the epoch where the school year of the children begins or even in those unexpected expenses that usually appear in many hearths. The principal characteristic of the personal loans is that they possess a term of relatively short refund, which goes from 3 months until four years.
Also they are provided with an interest rate and a margin for his negotiation with the greatly high bank (between 10 and 15 %) so that this way to the bank there should turn out to be profitable to him the fact of giving little money in a short term. These rates of a little higher interest take place because the banking institution covers a major risk on not having had any guarantee in case any non-payment takes place. During the year 2007 personal loans registered in Argentina for a value for 150 million dollars, 4 % more that in 2006, nevertheless, a personal loan does not represent a good idea of financing to confront expenses that allow us to go out of some economic hole; in this case a recommendation that can prove to him is to confront these expenses with a credit card. Thus we will save ourselves the fact of being paying the interests that a personal loan imposes, without mentioning all the documents and roles that a loan request needs.
 Many people usually confuse a personal loan with the mortgage one, and it is necessary that we know the differences between both. In the latter case we must say that they arise in those cases where the prestario needs he wants to buy a housing or building. Due to the price in which it is quoted at present metro2, the logical thing is to have to resort to these financial institutions to be able to obtain a loan and power finance this acquisition; if I impede in other occasions the possibility can go so far as to happen of that a person who has already a proper house, for any situation in which it is, needs to request a long-term loan, and generally to obtain it is probable that he has to mortgage his house as guarantee of the return of the money of the loan. But if we speak about the personal loan, we say that it is that whose destination is for the consumption of objects or services, and generally his acquisition happens when the prestario has not the cash to realize the buy. When it is a question of a personal loan that is linked to any buy realized in a commerce, the logical thing is that the same establishment works with some financial institution it is able to be offered to the client; it is all forms important that it is born in mind, that in these cases, the client does not have the obligation to realize the operation with her and is perfectly free to choose some financial company that is of his taste.
To request a personal loan
At present of the personal loan, one of the requisites that is having more modifications in favor of the client is the term; the están same ones extending, so that this way, the monthly quota is much easier to pay, by what they are offered we are big enough in a term of up to 10 years.
The advantage that these so long periods possess is in the monthly quotas, not only they are easier to pay, but also they are much cheaper, nevertheless the client must know that anyhow he will be paying a money-market rate for a lot of more time with what the loan will always work out for him much more expensive. For example if we request a personal loan for 12.000 dollars the same one can be paid in quotas for 548,76 dollars during 24, but the interest will raise the total of the loan to 13.170,24 dollars; also it is possible to extend to 48 months, paying a whole in the quotas of 294,73 and in the interest it will do that the loan receives a value for 14.147,04 dollars. In many cases, many entities present periods of lack where they allow to us that the monthly quotas should be a little lower since the lack implies having to pay only the piled up interests and not the whole of the capital. But as everything in the financial system, the lack periods in a personal loan also is provided with his disadvantages, and the principal one here is that as soon as the lack period was spent, the quota to pay per month suffers a really notable increase, since the client has the obligation to have to begin to pay the requested capital. |
