In the midst of this crisis we are having to experience, it is quite normal to see people increasingly resorting to loans in Brazil. Be it to pay off your debts or deal with some last minute urgency. But what are the types of loans you can apply for? Further illustration at http://2coolwallpapers.com/2018/11/19/what-can-a-payday-loan-consolidation-company-do-for-you/
Our goal is to present the most diverse types of loans that are possible. As well as what the advantages each of them presents, explaining how they work. Want to know what types of loans are available, its various advantages and which one most suits your needs? Just keep us going!
Types of loans and their various characteristics
Well let’s start with the loan that is most commonly used out there. The personal loan. This modality can usually be requested directly from banks or financial agencies. Of course, all through signatures made on a contract.
Before this contract is finally signed, however, a thorough and thorough evaluation of all documentation provided by the applicant is required. The hiring usually is usually done in an agile and very accessible way. However, one must always be aware of all the interest rates that will be charged, as they may prove to be very high.
The next loan to be analyzed will be the payday loan. In this type of loan, the maximum limit for the monthly payment made will always be 30%. This amount is calculated on the total value of the salary of the person making the request. In addition, in general, the interest rates that are charged under this modality are much lower than those charged in other types of loans, such as personal loans.
The disadvantage, however, of this modality of loan, is that the payment of all the installments is done directly by discount in sheet. This is the reason why their rates are lower, since the bank is guaranteed that they will always receive the installments.
The consignment loan restrictions
But it is worth remembering that this type of loan among the types of loans presented is one of the most restricted. That’s because it has a select group of people can make use of it. These are the retirees, INSS pensioners, public servants and affiliated companies.
The revolving loan is usually the terror of people. It is directly connected to the use of credit card. If the amount paid on the invoice is less than the total value of the invoice, the user will automatically enter the “rotary”, that is, it borrows a value to be able to pay the rest of the invoice.
It turns out that the bank makes the payment of this amount, but it will be charged in the next invoices, and usually the interest of this modality is usually extremely abusive. The main advantage of this type of “loan” is the flexibility in the payment. Oh, and anyone who ends up falling on the rotary can not get into credit protection services at all!
However, although these advantages seem very attractive at first, this type of loan should always be avoided, mainly because of its interest rates that are literally stratospheric.
Not far is the loan by overdraft. This is one of the loan modalities that most resembles personal loan, be it in terms of disadvantages or advantages. However, the main difference is that the overdraft does not require hiring.
Broadly, banks already release this limit directly along with the current account, and it can be used when it is needed. However, you should be aware of interest charges, which are usually heavy and can end up generating huge debt.
Types of loans: how to deal with interest
In every kind of different mode of loan that you go to do, there will always be high interest charges, even the lowest ones are still high. Because of this, the ideal is to use the loans only when you really need them. And yet, of the options that exist today the consigned loan is, undoubtedly, the one that offers better conditions. However, only a few people can make use of this modality.
The key here is that you organize your finances very well, planning them in the best possible way, always avoiding to the maximum burst your budget and having to resort to these more expensive loan options.
Now you know all the types of loans that are most widely used in Brazil. Of course, there are still a few others, but generally the population makes use of these that have been cited. If you really need extra cash, however, we advise you to order elsewhere. First of all, ask your family for help, as they will not charge you any interest. Leave the loans always as a last option to try to get out of a bigger problem!