payday loan disbursements increased 36% in the second half of this year. One reason for this is that it is already very cheap to get a payday loan if you are careful enough. Unfortunately, many still pay more than they would have needed. But, how do you find the best payday loan? Show!
Applying for a payday loan is quick and easy. It can take up to a few days to complete the process, and you may still be billed on the day you apply. The most important aspect of debtors is how much interest they can get on the money they need. The worst thing you can do is visit your account manager bank and take out a payday loan there. The laymen think that the bank will certainly give the existing customers the best interest. This may even be true, as credit institutions can really give you all the benefits of a discount, but the price difference between loans is so great that you may not be sure to get the best credit.
General parameters of borrowed payday loans
According to the MNB, the general parameters of borrowed payday loans are: HUF 1.8 million, 3-year maturity, fixed interest rate. The monthly repayment is between $ 57 and $ 69,000, depending on which bank you choose. The amount to be reimbursed over three years can also be very different. The difference between the most favorable and the most expensive product is almost HUF 500,000. Logically, the larger the loan amount, the more significant the price difference. Currently, the best interest rate products have a fixed interest rate, which means that the monthly installment cannot change over the term.
Borrowing a more expensive loan will not only increase your expenses but also reduce your creditworthiness. The JTM (Income Proportional Rate Indicator) regulates how much of your income can be borrowed. In the case of unsecured payday loans, if the borrowers have a certified monthly net income of less than HUF 500,000, the repayment installment of the existing and new loans, if any, may not exceed 50% of the certified income and 60% in the case of income exceeding HUF 500,000 patients. Income and debt are to be treated in a consolidated manner for several co-debtors.
Many people do not compare the cost of loans
Interestingly, when it comes to another product that people want to buy, their first thing is to go to one of the price comparison pages and see where they can get the cheapest product. According to the MNB, the average APR on payday loans disbursed in Q2 2019 was 13.48% . According to other surveys, credit institutions offered payday loans at 7.28% APR in May. That is, people chose the more expensive payday loans because they were not careful enough. If they looked more closely at the banking market, they could have obtained a cheaper payday loan.
The Verena Tarrant payday loan calculator will help you choose the best payday loan. If you don’t want to waste your time going from bank to bank and listening to payday loan offers, apply for a loan online. When applying for a loan online, you can find out more quickly if you have approved a credit institution than personally. The system submits your claim directly to the bank’s pre-review or review department, so you can find out whether you’re eligible for the credit within a few hours.