Month: March 2020
Among banks that provide consumer loans with a 60-month term , there are private banks as well as state banks. There are banks that people who want to get a general purpose loan, but who want to pay their installments in long terms, can apply. Many of the banks can offer a 60-month maturity option for consumer loans. See vipxiyue.com for details
How to Apply 60 Months Term Requirement Loan?
One of the channels of application methods of general purpose loan for 60 months is bank branches.
Those who want to get a general purpose loan can take their application forms, identity documents and income documents, and go to the bank branches and make their applications. They can apply for loans to retirees, public employees, private sector employees, salary customers, students and students with a 60-month term.
What is consumer loan interest rate?
Consumer loan interest rate changes according to the number of loans and maturities. The lowest interest rate of this loan, which can be withdrawn up to 100 thousand dollars, is 1.89%. While this interest is 1.99% for 25 thousand dollars, interest rate can increase up to 2.04% for 15 thousand dollars. 60-month consumer loan application can also be made through the website. This requires the following information:
- Personal information,
- Credit information,
- How it works and income information.
In case the bank gives approval after completing this application form, the application should be completed with the required documents along with the bank branches.
How Can I Pay 60 Months Loan?
Bank offers different options to its customers for 60-month loan payments. Bank provides consumer loans up to 90 thousand dollars with a maturity of 60 months. The bank is given the opportunity to postpone payment for this loan to its customers. Those who wish can benefit from 1-month, 2-month or 3-month deferment campaign. In addition, it can choose different options for installment payments. These options are as follows:
- With monthly installments,
- With increasing installment,
- With decreasing installment,
- Equal installments every 3 months,
- Balloon payment in the last installment,
- Variable installment.
If the persons who will apply for a loan cannot decide which payment plan is more suitable for him, they can contact the bank’s customer representatives and request support on this matter.
Option of using a special tuition fee loan
In the meantime, study fees have been introduced in some federal states. These have to be paid per semester, but their amount depends on the location of the university. It may therefore be worthwhile to choose the place of study even after the amount of the course fee. However, since many federal states are familiar with the financial difficulties of students, these fees often do not have to be paid immediately. Instead, there is the option of using a special tuition fee loan. In this way, the fees can be shifted to the end of your studies. The lenders of the tuition fee loans are on the one hand the respective regional banks, but DLB, the credit institution for reconstruction, also offers corresponding loans. With this course fee, all students have the opportunity to study, even if their parents’ financial situation is not so good. Proponents therefore also call this practice socially acceptable.
Since the federal states are basically responsible for educational policy themselves, they can also determine the scope and type of the loan and its repayment themselves. Therefore, there are numerous different variants of tuition fee loans that should first be checked. However, all these loans have in common that they provide an age limit for the borrowers. This is a maximum of 35 years, sometimes even 40 years. Older students are therefore no longer entitled to such a loan. Also, people who start a second degree often have no chance of getting the loan. The same applies to foreigners who want to study in Germany.
Tuition fee loans have in common that they have an upper limit of interest
The loan can only be granted here if it is an asylum seeker, a member of an EU country or recognized refugees. However, the respective state ministry can provide more details. Furthermore, the tuition fee loan is often only granted for a certain number of semesters. This limit is often the standard period of study plus 4 semesters. This invoice also recognizes all university semesters that have ever been used, which can quickly lead to exclusion in the event of a relatively late change of subject. Furthermore, all tuition fee loans have in common that they have an upper limit of interest. This should save the students from too high costs.
A debt ceiling is also often set. Once the student has completed his studies, the loan must be repaid. The amount of the repayment also differs greatly, it is between 20-150 USD per month. If a DLB loan was used, the repayment is usually made over a period of 10 years, the rate is adjusted accordingly. Conclusion: A student fee loan can help many students to start studying despite the high costs. However, the costs should be considered, because interest increases the loan amount steadily.
Loan is granted in particular by credit institutions
The financing of goods or services is often made possible in the event of a lack of financial resources by taking out a loan. In addition to private lenders, a loan is granted in particular by credit institutions and provides the borrower with financial resources, which in return must be paid back with additional compensation for expenses (interest).
The taking up of a loan must be carefully considered, because it usually has to be decided whether it can be paid back and whether the taking out is worthwhile over a longer period of time. In addition to the necessary reasons, loans are also taken out to purchase luxury goods. The risk of taking out a loan is that it can no longer be paid back due to low income. In particular, the factual situation of compound interest can lead to further indebtedness despite constant repayment.
Debt trap is attributed in particular to unemployment
The risk of taking out many different loans is particularly dangerous because they add up to an overall loan. Many loans also include a necessary examination of them, because the interest and the term can vary depending on the lender, so that an overview of the total debt and its further development appears difficult. Due to this fact, it can be difficult to keep an overview without intensive computing efforts, so that supposedly cheap and small loans grow quickly and lead to overindebtedness. The situations mentioned can quickly lead to a debt trap, which can usually no longer be dealt with without debt advice or insolvency advice.
From the debtor’s point of view, a debt trap is attributed in particular to unemployment, short-time work, divorce, loss of income and illness. Before taking out one or more loans, you should therefore consider carefully whether they can be coped with according to the situation. The debtor often sees himself as a victim of over-indebtedness, the system and circumstances outside his sphere of influence. Officially, overindebtedness is primarily attributed to poor consumer behavior and insufficient economic education. It should be noted that a debt trap occurs not only among lavish people, but especially among companies and ordinary citizens.