A 12-month consumer credit: rate and monthly payment
Most people who carry out projects do not necessarily have the funds to start, they have resorted to loans. 12 month consumer credit is a good alternative to make your dreams come true or simply to supplement your needs. It allows you to benefit from an immediate financial contribution from your bank or a financial institution or through a third party. Of course, it can only be used for your private expenses, that is to say not related to professional activities.
A personalized loan study
You still have to remember that loans, no matter how long, induce repayments. Your bank or the borrowing institution verifies that you meet the acceptance conditions, including the monthly payments. You must therefore check your repayment capacity before requesting its duration and that according to your income and your financial situation. The maturity of a consumer loan can range from 3 months to 7 years. The terms of your loan vary depending on your project. Indeed, your account manager will explain to you in detail everything about the 12-month credit rates in order to make your financing a reality.
12-month revolving credit
The consumer credit is renewable for 1 year and can be renewed each year on the proposal of the lender. In the case of a 12-month loan, the loan must therefore be repaid within 12 months. The latter is the most popular duration, probably because of the security of payment. Apparently, there is less chance of default since the term is short. If you are convinced to go for the 12-month term, assess your debt ratio. Know that your monthly payment must not exceed 30% including various debts, rare are the cases accepted above this threshold.
For a small credit
In cases where you need a low amount of credit, be aware that organizations do not offer promotional offers and very good rates for a 12-month credit since they will not earn enough money. In all cases, he will offer you a larger amount or a longer repayment period. The best credit rates for amounts less than US $ 3,000 are revolving credit. You can save more money by comparing rates. There are those who can offer you a rate of 2.7% and others for 5% for the same amount, and for 12 months the difference can be significant.