Often, banks are satisfied with various types of promotions. They do this to maintain brand awareness, as well as to increase customer traffic in the future. The basis of this stock is the interest rate or rather, the decline. So, if you are lucky enough to take this action and get a consumer loan of 12-13 %%, there is no point in canceling the loan early. The reason is simple the constant depreciation of the money supply in the country. That is, if you extinguish it strictly according to schedule, you are practically losing nothing because of inflation.
Every year it is more than 12%. It makes more sense to pay according to schedule and do, for example, hoard. In this way, you can realize what you’ve been dreaming for so long rest, cottage, car and more. Not many are lucky, most borrowers are still thinking about how to repay loans faster. Before writing this article, we looked at many informational materials from various sites.
Unfortunately, the recommendations are of the same type. Borrowers are offered to learn how to save to repay loans according to the rules of around 10 percent. Some, especially authors who are resourceful, reach the point of absurdity, suggest dieting in general, until you pay off the loan. We can say with certainty that there are several ways, but they are in this article which we will share about them. You will have to Search Manchester Mortgage Brokers who can guide you into finding the right mortgage loans as well as how to repay them
How to pay loans faster:
Pay as many loans as possible. If you plan to repay a loan that is larger than the schedule, be sure to let the bank employees know. The reason for this is a statement that needs to be signed so that the entire amount deposited is paid. Otherwise, only monthly payments will be billed, the remaining amount will be hung in the account. In this way there is one nuance that is very important. When making an initial payment of part of the loan, be sure to reduce the time period, not the amount. The reason for this is that psychologically paying more is very difficult, especially if there is an understanding that there is an opportunity to pay less. Reduce the time period, not the payment amount.
Credit Despite the improvement of the situation towards financial literacy in Russia, many consumers have valid loans of 30% per year and higher. The best way to repay loans faster, and reduce financial burdens, is to reissue loans at other banks. Refinancing allows you to close a current loan by processing on more favorable terms. Especially now that banks offer attractive interest rates. You can reissue loans at 15-16% per year. Thus reducing almost double the payment and significantly reducing the overpayment of the loan.
It’s more accurate to say it’s not the way, it’s a kind of rule and it must be strictly obeyed. Never delay. If payment by that date is much slower than salary do it immediately after receiving the RFP.