Consumer or personal loan?

Now-a-days people are changing with the world, everyone wants to live a luxurious life. Staying in a good furnished house, roaming in the new car, dressing in brand name outfits etc. Is it possible to live a life the way we want to and have the money to fulfill our dreams for luxuries and comfort. Well, it is not possible and not easy to lead such a life. You can't say everyone is rich, however these days there are various methods where they can attain currency whenever they need and satisfy their dream.


Yes, you are guessing it right; it’ s nothing but the agencies that lend money, in a way of different laan. These financial institutions or lenders lend short-term banklån and help people financially which are termed as either “Personal Laan or Consumer Loans”. The definition of private lån or Consumer bank lån could be just, money lent to the people generally on unsecured basis for personal use for purchasing little things or paying off urgent expenses at a given point of time. More on these type of bank laan here at bank laan



Different types:



Obtaining branded equipment, computers, Televisions, Planning for a family trip or vacation, renovation of your home or vehicle, wedding expenses, education fees, Medication (Need money for emergency medication), payment of medical bills or treatment , Need to have a small sum to cover the loss or petty expenses in the business and so forth.



These lån are usually monitored by government regulatory agencies for their compliance with consumer protection regulations such as “truth in lending “ law.


It is one of the risk-taking loans. Mainly for the lenders, as they don’t take any stability and entirely trust in the borrowers promise to pay it back. And thus, as the risk is bigger than with the secured loan, these banklån holders need to pay high rate of interest. Its true, that you need to pay a price for all things that come easily. The instalments and the installments period is fixed and if the installment isn't paid on time the fee is usually too high in respect of such bank laan. Moreover, the lending agencies or financial institutions charge you certain amount of fees if you fail to repay loan within specified time-limit. By way of example: If the banklån term is three years and you have funds handy and want to repay the money after a few years, you will be fined to do this. Every company has pre-set amount of interest that the borrower charges if the loan is paid before the specified time frame.


These plans are too expensive and also much less flexible than secured bank laan, but are suitable and helpful when you need a short-term loan on emergency basis.


If you are residing in developed countries like USA or UK, then you need to keep a good credit score to secure personal loan.Find out how to improve your credits score on Hurtig laan


There are different interest rates charged on personal laan, which vary from bank to bank. There are three primarily kinds of rates of interest that are usually offered to the clients for example Fixed rates of interest, floating interest rate & Flat rate. Among these Flat rate is most expensive as the others are calculated by using minimizing balance method.