Choice of loans and lender – Loans Finance and Money
Compare loan agreements
Try to make a decision as possible before taking out a loan. The interest rate can vary greatly on private loans and loans by a large amount over time, leaving the difference in the price of the loan to be large. It may be good (and sometimes necessary) to do some programs to find out which lenders have actually been the most competitive rate for you, with many lenders applying to the individual rate. Apply, but not more than necessary when lenders take credit for you in connection with the program, and it does not affect you positively when you take out a loan. However, as long as you do a couple of programs (about 2-3) it is our opinion that added value for comparison outweighs the disadvantages.
The interest period on the loan
The longer the repayment period the higher the total cost of credit that you have to pay interest for a period. A slightly higher interest rate might not be a problem if you to borrow a smaller amount for a shorter period and you know you can pay off the loan. However, if the loan has a long repayment period that interest all the more important.
Type of interest and fees on loans
With many lenders, you can choose linear depreciation or insurance. Choose the annuity you pay the same amount (interest + amortization) each month to the lender. Choose linear depreciation, the amortization portion is equal each month, but as the interest component is greatest in the beginning so that means there will be more payments to the lender first with this type of installment. Note that not all lenders offer two types of installment. Examine the type of mortgage in force in each lender before the loan.