Long Term Loan.

A loan with a long term is common in the context of mortgage lending. But private installment loans can also be taken out with long terms. Consumer loans are usually considered long-term if their term is more than five years.

This classification is not required by law; there are legal peculiarities for terms of ten years or more. After a period of ten years, the borrower can terminate a long-term loan without the lender being entitled to demand prepayment penalty. Not every bank grants loans of any length apart from real estate financing, most financial institutions limit the term of installment loans to five to seven years. Accordingly, fewer lenders are available for long-term loans than for loans with shorter terms.

Advantages and disadvantages of a long-term loan

Advantages and disadvantages of a long-term loan

The longer the term of a loan, the lower the monthly repayment installments. For this reason, credit customers with a rather low income often receive a long-term loan, even if the bank has to reject a loan with a shorter term due to the excessive financial burden on the borrower. Long-term loans, with the exception of the traditionally long-term real estate financing, usually have the disadvantage of high loan interest rates.

These can be reduced by a careful loan comparison, and many lenders also take into account the improved creditworthiness of their customers when setting interest rates in view of the long loan term and the associated low rate payments. On the other hand, long-term loans are subject to a higher risk of default, which means that some lenders make it mandatory to take out credit default insurance if the financed good cannot be used directly as collateral.

What to look out for with long-term loans

What to look out for with long-term loans

Anyone who takes out a loan with a long term naturally pays particular attention to the effective annual interest rate, which provides information about all the costs associated with taking out a loan. The nominal interest rate, which is also given, must also not be disregarded for a loan with a long term, because this is decisive for the recalculation of the interest when the borrower uses flexible loan terms.

Agreeing on the greatest possible flexibility is essential, especially for long-term loans, since the life situation of the credit customer can change at any time. It is therefore useful to be able to make flexibly increased payments and, if necessary, to reduce the repayments or to suspend them at a rate. Almost every bank accepts such changes in long-term loans as a case-by-case decision, but some banks charge high fees. In any case, it is cheaper for the borrower if the options for free flexible repayment arrangements are agreed in the loan agreement.

Variable interest rates on long-term loans are generally not advisable, since the development of interest rates over a long period of time cannot be predicted. Ideally, the useful life of the item financed with the long-term loan does not exceed its term, since in other cases it is likely that a replacement will be obtained and the need to borrow again before the existing loan is repaid.

Medical intervention credit.

The compulsory benefits of the statutory health insurance companies increasingly include fewer benefits, especially when it comes to difficult to prove medical necessities or purely aesthetic interventions, many operations are not covered by the health insurance company. Depending on the type of surgery, whether it is a “classic” operation, such as breast enlargement or reduction, scars should be removed, a nose needs to be straightened or whether a vision correction or a dental procedure is advised: are not uncommon linked by a subjectively unsightly designed body also psychological consequences, which put patients under pressure.

However, not all patients can overcome the hurdle of the health insurance company and demonstrate this suffering. Others are aware that the desired operation is primarily for cosmetic purposes. And yet you may want to have it done. Depending on the concerns, patients then start looking for a loan for medical interventions, especially since, in addition to the pure costs of surgery, other costs such as hospitalization or transport are also incurred, which are borne even if part of it is covered by the health insurance have to.

Medical intervention loan: an installment loan from the bank of trust?

Medical intervention loan: an installment loan from the bank of trust?

Once a patient has entered into negotiations with the health insurance company and explored whether and which proportion of the operating costs incurred may be borne there, the search for a loan for medical interventions remains a necessity. The first point of contact in search of a loan for medical interventions is usually the house bank, which in such a case, with the appropriate creditworthiness and positive Credit Bureau characteristics, will offer a so-called private installment loan. However, the patient does not always go well with this, as the interest rates for this are usually between 5 and 10%.

Everything in one hand: credit for medical interventions directly from the surgeon?

Everything in one hand: credit for medical interventions directly from the surgeon?

Another alternative that is uncoupled from the banks is direct negotiation with the doctor or hospital treating you. Depending on the term, patients are offered loans at minimal interest rates or from the start (with very short terms) also interest-free installment payments. However, this is about negotiation skills and the goodwill of the clinics. Another possibility of obtaining a loan for medical interventions is the cooperation of the clinics with separate lenders, who, however, only make their loans available for a specific purpose, but with whom special conditions can also be negotiated if necessary.

The customer also receives a – dedicated or non-dedicated – credit for medical interventions from the direct banks on the Internet, such as Cream Bank or Finebank, or from private financial service providers who serve both as a broker between customers and major banks or themselves provide. The important thing here is to find out who has the best conditions and the most reliable reputation. Ideal for this is contacting consumer protection or information about other independent testers, such as the German State Company.

Who gets the loan for medical interventions – and under what conditions?

Who gets the loan for medical interventions - and under what conditions?

As a rule, it is customary, especially when it comes to purely aesthetic operations, to only grant loans for medical interventions on the basis of a credit check. This provides both the lender and the borrower with the security that neither party will ultimately be left at the expense or debt.

Car Loan Calculation

It is recommended that you learn the loan details from the loan calculation tools and on the official websites of the banks before applying for a zero and second hand vehicle loan. Many bank customers to meet the needs of the car carrying the appropriate services in the country offers new and used vehicle loans support. Since most of these loans are offered with flexible payment options, citizens should also determine their loan amounts according to this criterion. During the second hand car loan calculation;

  • Vehicle age
  • Loan amount and
  • Interest rates

It should be included in the calculation. Especially the upper limit of vehicle age determined by banks for second-hand vehicles is very important in order to withdraw suitable loans.

Used Car Loan Terms

Used Car Loan Terms

Banks offer different conditions for those who want to get a second hand car loan. Although these conditions generally have the same features in all banks, they exist in some special conditions. For example; While Akbank offers different special conditions for car loan calculations, the special conditions of another bank may vary. Among the people who will request second hand car loan;

  • Over 18 years old
  • Has income statement
  • With credit special conditions

The conditions of being are the general conditions sought for second hand car loans. The most important issue in which second-hand loans vary among banks; The amount of credit used is the age of the second hand vehicle and a certain percentage of the vehicle value.

How to Get Used Car Loans?

How to Get Used Car Loans?

In order to obtain second hand and zero km vehicle loans, you have to apply the vehicle loan application methods of the banks. Documents required for car loan calculation and application procedures;

  • Application form
  • Identity card (identity card, driver’s license, passport, etc.)
  • Income status document
  • Other documents requested by the branch

for used cars and new vehicles are among the documents that may be requested. The majority of banks in the country serving similar documents are required for new and second-hand vehicles.

Used Car Loan Calculator

Used Car Loan Calculator

The first transaction applied for the calculation of the second hand car loan is the vehicle age criterion determined by the bank. The age criterion and other conditions may differ in used cars. While car loan calculation is done;

  • In all passenger and light commercial vehicles,
  • Up to 8 years old
  • 48 months maturity
  • 1.85% interest rate

Second-hand car loan support is offered with options. Up to 120 thousand USD, 30% down payment is applied for zero and second hand vehicles.