Looking for a suitable cash loan for yourself, you have certainly met with a situation many times, that the multitude of different offers coming from the bank can effectively discourage further searches. In order not to get lost in the maze of offers it would be necessary to carefully check each offer and write down its terms and conditions on a piece of paper, together with the amount of the possible credit installment, because it still has a decisive influence on our choice. This is completely unnecessary, as various comparison engines for cash and mortgage loans have been operating on the Internet for a long time now. The cash loan comparator helps us to reduce the time needed to find an advantageous credit offer to an absolute minimum. Thanks to it we are able to save up to several thousand USD in case of larger credits. But even if we are looking for smaller loans, thanks to comparison engines our wallet will be left with several dozen or several hundred USD, which we can spend on other, more pleasant things than bank interest.
How does the cash loan comparator work?
The scheme of such a comparison engine is very simple. Banks make available all the conditions under which they grant cash loans to their customers. The comparison system collects this information every day and saves it in its database. Thanks to this, the information is always up to date. When you go to the Comparison Viewer’s website, usually at the very top of the page a special form will be displayed to enter the expected amount of credits and the period in which you intend to repay it. And that’s enough. On the basis of these data, the system will calculate within a few seconds the total cost of the loan and the amount of the possible installment in all the banks it has in the database.
What is more, if we want to shorten or extend the loan period and check how then the possible installment will change, we can do it within a few seconds. Thanks to this facility, within a few minutes we are able to compare the offers of all banks for different repayment periods. At the same time, we can observe how dynamically with the extension of the repayment time the total cost of the loan increases and the monthly instalment decreases. A proper analysis of this data will allow us to choose the most suitable credit offer for us, thanks to which more money will remain in our wallet.
However, the values provided by the calculators cannot be binding in the case of signing a loan agreement. They are estimates only and do not constitute an offer as defined by law. We will only receive accurate calculations after you submit your credit application online on the bank’s website. If there was no serious error in the Comparison System, the values will not differ too much. The maximum difference may amount to several US dollars in the amount of the instalment.
What is the total cost of the loan?
The total cost of the loan is expressed in the value of the APRC. The actual annual percentage rate of charge gives us an idea of how much our credit costs annually. The APR consists of the bank’s margin, which somehow has to earn from the fact that it provides us with a certain amount of money. Usually the margin is a few percent higher than the deposits offered in the same bank. The difference between these values is in the long run the earnings of the banks. Apart from that, the WIBOR value is added to the margin. This is the rate at which banks borrow money from each other. A commission for granting a loan is added to the whole. This is not a rule, because some banks within the framework of various promotions resign from this type of fees. All these values are combined into the total cost of the loan. Depending on the length of the repayment, it may amount to even more than 50% of the loan value. Therefore, before choosing an appropriate offer, it is worth taking a closer look at it.
Cancellation of a loan
If, however, we carelessly chose a not very favorable offer of cash loans for us, then the American law left us with a certain gateway. Within 14 days of signing or approving the credit agreement, we may withdraw from it without giving any reason or incurring any additional costs. The only condition is that you return the entire amount borrowed within 30 days of the delivery of the cancellation.
Is it worth the while?
An interesting solution on the credit market is the so-called momentary payment. If you intend to borrow a small amount of money but do not want to pay it back in monthly installments and pay off the whole at once, this offer is ideal. All the more so because for new customers such momentary events are completely free of charge. This means that if you borrow 1000USD for a period of, for example, two months, then if you transfer it to the account of a loan company before the repayment date 1000USDto you will not incur any additional fees associated with the loan.