Tag: creditworthiness

Compare Loans Properly

Posted by admin – October 14, 2008

An emergency, the new car, the long-awaited vacation or otherwise the realization of a wish. Good reasons for a loan, there are many, but the matching credit is finding increasingly difficult. It was formerly with the terms of their own house documentation that exists today a wide range with countless variations and credit providers. Under these circumstances, a comparison of the credit providers is essential. To view not to lose helps the Internet.

What’s important now, however? Basically on interest amount, duration and amount of credit.

Interest calculation
The interest rates depend on the amount of the loan amount, the duration of use, and increasingly even after the creditworthiness of the borrower. Loans make sense to compare, you should be on the effective interest rates are respected.

The appropriate term
Normally, it is that the shorter the duration, the lower the lending rates, because the shorter duration and the risk to the lender decreases. However, a low maturity also mostly higher monthly loan rate, since the loan amount in a few payments to be repaid, it may blow her budget.

How much money do I need?
This of course depends on individual use of the loan from. Often it is recommended that the loan amount to calculate relatively generous to include any hidden costs into account. A real threshold represents than CHF 1,000 that many banks no credit loans under this limit.

General Tip: Be careful when comparing their different maturities for you to the appropriate relationship between maturity and interest to be found. Next it is also the principle loan amount compared to Bim vary.

Consider these points when comparing the task is to find their loan request nothing in the way.

Alternative to conventional credit cards

Posted by admin – September 15, 2008

Traditional credit cards allow cardholders to purchase without cash. Worldwide, there are several million outlets for credit cards, for example, boutiques, supermarkets, department stores, restaurants, but also gas stations, travel agencies, airlines, car rentals and hotels. Possible through a loan under which the bank on the credit card is available. The amount of the credit-oriented framework is usually at the level of income and general creditworthiness. However, for example, credit ratings has a negative entry, usually the bank refused to issue a credit card.

For these cases, there is an alternative solution to the so-called credit card without good credit report. It works like a prepaid card, a prepaid card, because this type of credit card can only be used to pay again if money to the card account has been transferred. In this mobile phone cards from well-known principle, the cardholder is always in full cost control and can not fault, because the output limit is always in the amount of the card itself.

The prepaid card can also be used by customers, for example, not yet 18 years old and are no separate income. How can parents their offspring, the study abroad or learn from Europe on the card account deposit, which the children abroad or when paying cash. An attractive side effect of prepaid credit cards: Some companies pay interest on the credit cards with interest rates. This allows the holder also a part of the annual fee back in the prepaid cards incurred. The transfer back to their own checking account at any time without notice possible. The money is usually funded within one to two days.

Even if the annual fee is higher than comparable Classic credit cards, falling further charges are often lower. So are the prices for cash at ATMs or pay expatriate significantly lower than those of normal tickets are priced and limited, while the minimum fees typically from 2 to 10 dollars per withdrawal are incurred.

The service account for a prepaid credit card is usually free. Postings on the information once a month on a free account. More and more credit card companies also offer online banking cards on the Internet. Besides the monthly payroll can daily sales and cash-recycling them.