2006-08-11 06:24:36 · 5 answers · asked by dr phil 2 in Business & Finance ➔ Personal Finance
You will want to consider some of the same questions that the bank will consider in granting you a loan.
Why do I want the money? When you take out a loan, you are paying to use someone else's money. Is it worth it to you to pay the costs associated with using the money in order to obtain your objective, or is there a better way?
Can I afford it? You can find online calculators to assist you in determining how much you will be paying monthly on a loan amount paid over a set number of months at an interest rate. I personally use calculators available at bankrate.com for examining loans.
Even if I think I can afford it, what is my risk that I might default, that is not be able to pay my loan? This is your contingency plan, what to do if everything goes wrong. The bank of course is very concerned if you are a high risk to get their money back. If you have a poor credit history and poor credit score, you could be required to pay a higher interest rate, or your loan may not be granted. If the bank feels you carry too much debt already for your income, then they will not permit you to take on more.
In my personal experience, the first question is the biggest to ask yourself. If I cannot justify the cost of the loan versus the benefit of having the funds I will not take out the loan. Once you decide that the loan is beneficial to you, a banker should be very happy to walk you through the specifics of the application process. Loans are one of the products that the bank sells; if they don't sell their products, then they make no money just like any other business.
2006-08-11 10:23:28 · answer #1 · answered by Freddie 3 · 0⤊ 0⤋
1
2016-09-28 05:50:21 · answer #2 · answered by Sallie 3 · 0⤊ 0⤋
you should think do I really need it ? DO I need to pay that high of an interest rate on a personal loan versus a collateralized loan . Do I need to add another payment to my budget ?
2006-08-11 10:46:56 · answer #3 · answered by Anonymous · 0⤊ 0⤋
nothing just register at cash advance they will check your required doucments and you can get loan upto $1000 in just 5 mins
2006-08-11 22:20:22 · answer #4 · answered by Anonymous · 0⤊ 0⤋
There is some useful advice here.
2006-08-11 19:08:42 · answer #5 · answered by Anonymous · 0⤊ 0⤋