Month: July 2019

4 situations where credit card payment is worthwhile

by admin

Finns own more than 9.7 million debit cards, and increasingly, debit cards are a combination of debit and credit cards. Whenever you make a purchase, you don't have to think about which side of the card to make the payment for, or alternatively, many of us always automatically rely on the card's bank.

However, there are situations where you should pay for your credit card purchases, and there are also situations where you are more sensitive to pay by credit card. Today we present the situations where credit card payment is recommended!

Credit card should be used for:

Credit card should be used for:

1. Purchase flights

Buying flights with a credit card makes a lot of sense compared to buying flights using a debit card or bank transfer. First of all, if you were to be so unfortunate that the airline would go bankrupt, it is possible to recover the price of a credit card paid airline ticket from a credit card company.

Second, many credit cards include travel insurance. As a rule, credit card travel insurance is valid if the trip is fully or partially paid for by the credit card providing the insurance. In addition to being ill on the go and luggage, credit card travel insurance often also covers cancellation. Using credit card travel insurance saves money when you do not need to purchase insurance from an insurance company separately.

2. Online shopping

2. Online shopping

With online shopping, a credit card is a much safer option than a traditional bank transfer or debit card. A credit card provides security for your shopping in many ways. For example, if the purchased item does not arrive or does not meet the seller's description, you may be able to claim a refund from the credit card company.

3. Making expensive purchases

cash

Paying with a credit card is advisable when making expensive purchases, whether it's a new smartphone or a new sofa, many credit cards include purchase protection insurance. Purchase security insures the products you pay with your card for breakage and theft, and in some cases, for loss. Watch the video below on How Purchase Security works!

4. Everyday expenses

4. Everyday expenses

While it is always said that basic everyday needs should not be bought as a debt, paying with a credit card for casual shopping can still make sense if you pay your credit card bill wisely. After all, we all spend the most money on everyday life; grocery shopping and car expenses, for example. For this reason, it's a good idea to take pleasure in payment methods and reward points, for example, when making everyday purchases.

However, paying on a credit card for casual shopping is only appropriate for a responsible cardholder who is not prone to waste. When you pay by credit card for everyday expenses, you must pay the credit card bill within an interest-free payment period so that the benefits are not canceled when the credit begins to increase in interest.

Choose the cheapest car title loan now!

by admin

Quick loan

Quick loan

It was Credither that was the first to lower its rates for a green car loan to under three percent. As a result, you can now take out such a green car loan here at an interest rate of 2.8 percent. For a classic car loan you pay at Credithera 2.95 percent. This applies to a loan of 10,000 euros with a term of four years. OutBank, Melibank and SDE are just above that, some banks and lenders are even more expensive. You have to be careful, because some banks and lenders are completely aloof from this price war and maintain their rates from before the motor show! So if you look out for a loan of 10000 euros over four years, you will quickly gain 1500 euros between the cheapest and most expensive banks and lenders. Nobody should be surprised that interest rates on car loans have reached such a low point. Not only car loans but all other loans are remarkably cheap. As is the case every year around the motor show, it is also expected that interest rates for car loans will rise again after the show. 

Extra tips for the cheapest car loan

Extra tips for the cheapest car loan

The question is what to look out for in order to take out the cheapest loan for your new or used car?

  • Monthly payment: keep in mind during your search for the cheapest car loan that the lower your monthly payment, the greater the chance that you will be confronted with additional obligations afterwards. Before taking out your loan, check whether you are not required to put an important amount in cash on your 'cheap' car loan after a few years. Be sure to check whether you are not obliged to finance a new car with the same bank or lender after paying off your cheap car loan.
  • Installment loan: if you are looking for a cheap yet reliable car loan, you can choose between two formulas. Every lender (including the banks) will initially propose an installment loan.

The obligation to pay an advance of at least 15 percent for a loan for your new car was abolished not long ago. However, this does not prevent the lender from requesting an advance.

  • Advance payment: even though it is no longer mandatory to pay such an advance payment, it is advisable to pay an advance payment. As a result, you can usually claim a lower annual cost percentage (APR).
  • Balloon credit: the majority of car dealers now offer a variant of the installment loan, the so-called balloon credit that is being taken over by more and more banks and lenders. Such balloon credits seem particularly attractive due to their lower monthly repayments. At the end of such a balloon loan, in most cases after 48 months, you still have to cough up an important amount, the famous 'balloon'. Which formula does your lender use? If no alternative is proposed in the loan agreement, then such repayment applies. In most cases you will be given the choice between paying this 'balloon amount' in cash or returning your car and a new fiancier from the same brand. Your 'old' car must then be well maintained and certainly not damaged, or the car dealer will refuse to take it over.
  • Leasing and renting: less suitable for private individuals due to too expensive. With renting and leasing, you do not pay off the borrowed amount according to a predetermined and strict schedule. With renting and leasing you can pay back 'at your own pace'. You soon end up in a debt spiral that is extremely difficult to break.
  • Competition: there is fierce competition between banks and lenders in the area of ​​car loans. Make good use of it and play this competition to the maximum before you make a decision.
  • Free credit: free credit does not exist. When the dealer comes up with a free credit, he may not be paying you a takeover for your old car. Free credit often turns out to be the most expensive.
  • MegaLoan: Meanwhile, the interest at MegaLoan has dropped to just 2.95 percent!