Before applying for personal credit, whatever the reason, you need to ask yourself some questions to make sure you choose. But how do you remember them when choosing the best option for you and your pocket? Fundico has put together the top 5 questions and shares with you:
1. Is this personal credit really necessary?
Yes, this is the main one. Is personal credit required at this time? Why do you need it? Is the reason essential, immediate, or is it something you could buy in three months, saving a little more? The credit application must be thoroughly analyzed and not thought of overnight.
2. Is my financial planning up to date?
Therefore, the second question is precisely about your financial planning. You have decided on personal credit, but how are your fixed expenses? Will they be impacted by taking credit? Ideally, installment payments should not exceed 30% of your monthly income.
3. What personal credit is right for me?
Folks? Payroll? With warranty or without? Person or entity? Credit for negative? There are several lines and each has a distinct advantage. For example, payroll-deductible loans are already deducted from payroll. Guaranteed credit is usually requested when the value is high. To clear your doubts, read the post we created, telling you about the advantages of each personal credit line and our suggestions. Click here to read it.
4. What is the payment term?
12, 18 or 24 times? What is the ideal installment for your pocket that will not compromise your financial planning? It is also worth remembering that long installments (those 72 times) almost always mask high interest rates. So see if it’s really worth it in installments for a long time. Keep an eye on not paying back triple the amount you took.
5. What is the Total Effective Cost (CET)?
Be aware that the important thing is always the Total Effective Cost (CET) and not just the interest rate. The CET includes, in addition to the interest rate, the additional charges of the transaction, such as IOF and rates of the bank or financial institution with which it is requesting personal credit.