Archive May 2019

Find in our article and our video everything you need to know about loans and personal loans. Discover the different types of consumer loans as well as our advice on how to choose your credit, our recommendations on the purchase of credits and our regularly updated comparison of credit offers.

The different consumer credits

Whether you do not have enough savings for an expense or you do not want to draw in your investments, many consumer loans exist. Consumer loans are loans of a minimum amount of 200 euros and a maximum amount of 75,000 euros, spread over a period of 3 months minimum.

Consumer credit: the appropriated appropriation

Affected loans are loans related to a given expense, the best known of which are work-related loans or car loans. Note the strong growth of the lease with an option to purchase at the expense of conventional car loans in connection with the acquisition of a new car. In the third quarter of 2018, the Banque de France highlights the vitality of the leasing sector, driven by automobile purchases and up by 28.7% compared to the second quarter of 2018. This growth in lending has been confirmed ever since. several years already.

Consumption credit: personal loan or personal credit without proof

A personal loan is a loan not tied to a specific expense. The borrower is, therefore, free to use the amount of his credit as he sees fit. This type of loan tends to be maintained, production is relatively stable in recent years.

Consumer credit: revolving credit or revolving credit

According to the latest analysis of the Bank of France on recent trends in consumer credit (3rd quarter 2018) “the growth of consumer loans to individuals continues primarily driven by revolving loans, whose growth annual becomes positive after several quarters of decline. It should also be noted that “the growth of leases, driven by car purchases, is still lively while the increase in the outstanding amount of depreciable loans slows somewhat over a year.

Our advice before subscribing to a consumer credit

Consumption credit: check your contract and the cost of your credit

Consumer credit is not necessarily easy to understand. Make sure you understand the operation and price of credit before signing anything. A credit has 3 distinct elements to identify:

• capital (sum borrowed);
• the interests ;
• fixed costs (fees, insurance, etc.).

Do not take the following mandatory statement lightly: “A credit commits you and must be repaid. Check your repayment capacity before you commit. In any case, if you do not do it, since the Lagarde law, the financial institutions are they in the obligation to do it since they are required, before the signature of the contract, to check the solvency of the borrower.

Choose a reliable credit organization that complies with regulations

Consumer credit is highly regulated in order to protect the individual who subscribes to this type of credit. Opt for an actor who respects the regulations in force. The lender must provide the future borrower with a standardized fact sheet that describes the characteristics of the credit to which the individual wishes to subscribe.

This card is very useful since it will allow you to easily compare two credits between them. Note: To compare the cost of two credits, especially if their duration differs, use the APR (annual percentage rate of charge) which takes into account all mandatory fees.

When signing the contract, make sure that it includes the box at the top of the sheet, which reminds you of the essential characteristics of the loan:

• type of credit;
• loan amount, maturity and repayment duration (for personal loans);
• credit rate, expressed in the form of APR (annual percentage rate of charge), which includes all the mandatory costs of the credit transaction (interest rate, application fees, etc.);
• the total cost of credit, with and without insurance.

The withdrawal period of a consumer credit

For any offer of consumer credit, the borrower has a right of withdrawal of 14 days that allows you during this period of time to return to your commitment, without reasons. To do this, complete the specific form provided with your contract and send it by registered post with acknowledgment of receipt to the lending institution. Attention, for the credits affected, this period is reduced to three days if the borrower requests the immediate delivery of the financed property.

Credit Redemption: Our Tips for Reducing Debt

Credit repurchases allow you to group all your credits into one to facilitate the management of your accounts, with a single monthly payment, with a single organization, and possibly to lighten your monthly payments. Several organizations, in addition to credit-granting organizations, can offer you this option.

You can, therefore, apply to your bank or another authorized financial institution. After studying your file, if this organization accepts you as a customer, you will be more indebted to him alone. During the negotiation of the repurchase agreement, the paying agency will propose:

• a single loan;
• a single rate (which can be fixed or variable);
• a new (single) schedule;
• a new refund (single) flexible according to your capacity and your needs.

The repurchase of credit sometimes offers the last alternative to highly indebted households before passing over the debt distress commission of the Bank of France. Indeed, when you subscribe to a repurchase of credit you have not stuck anywhere. However, the redemption of credit is not a loophole. It does not release you in any case from your debts.

Never be persuaded by a direct seller by phone or email without comparing the institutions and rates: before consolidating your credits, you must be sure that you opt for the most suitable solution.

A green loan is interesting for many people. It means that you want to make an investment that is environmentally friendly and therefore benefits society. Ultimately, the benefits are for you, because you get a lot in return. An investment in a new heating system, you immediately reap the benefits. But of course also towards the future. And that’s what it’s about when we buy a new home or renovate an existing home.

Investment cost of money

Anyone renovating today should think about tomorrow. So do not stay with the old systems that may be handy to use, but are not profitable in the future. The energy bill must be reduced and you can do that by investing in innovative materials. There are many old houses that do not have any type of insulation, heating or double glazing. Three forms for which you can borrow with a green loan. A special cost rate has been drawn up which makes it interesting to borrow. These investments also cost a lot of money, of course, but what you get out of it is worth so much more.

So do not hesitate to make an appointment with your regular bank or to inform via the internet. Then you can quickly view all the information and you have a first idea of ​​what is possible. During a conversation someone can explain it to you and you can also explain the situation of the house yourself. That way you know exactly what is possible and whether it is feasible for your plans.

You can obtain a green loan for works that are at least 50% energy-saving. That way you use less energy in your home and that is what banks want to reward with this type of loan. It is therefore a double profit, since you can apply for the green loan and see the energy costs fall over time. It is really a huge difference if you have an efficient heating system, insulate everything well and have high-efficiency glazing installed. These investments are good for the rest of your life because they get very good scores on energy values.

Solar panels – green loan

Solar panels are also future-oriented and can be financed with a green loan. More and more people are having this installed because they ensure that your home generates its own energy. You no longer depend on the electricity grid or natural gas network to provide your home with electricity and heating. Make sure you have a few quotes from installation companies before you make an appointment with the bank. This way you know exactly how much you need to borrow and you can indicate this directly in the interview. You will see a complete plan from start to finish, how much the cost of the loan will be and what the monthly charge will be. That way you have a clear picture and you know what you are starting to do.

 

Lending sites and Peer-to-Peer (Lending P2P) platforms can give people the most affordable personal and business loans, as well as provide lenders with more rewarding means of investment with more decent returns. But let’s not forget that this comes with a small risk that you need to be willing to submit to.

 

How to Invest in Peer-to-Peer Loan?

 

 

I like the idea of ​​having access to Peer-to-Peer (P2P) loan sites, such as online Biva, Nexoos P2P Lending, Kavod Lending, TuTu Digital among others that allow ordinary people to lend to others and micro, small and medium-sized enterprises.

Borrowers generally get a better rate than the bad interest rates offered by banks and street financiers. While borrowers can access personal loans that are not available by being (denied or dirty-named) or are prohibitive in other places.

Many people, when they hear the word “risk,” automatically think about the chance of being defrauded, losing all their money, or getting a return. This “capital risk” is important, but it is not the only thing to think about.

Other types of risk involve uncertainty and unpredictability. When you make an investment, it can be hard to say for sure what you will receive when you finally redeem it. Stock prices fluctuate, interest rates vary and inflation is also a risk.

Just focus on capital risk and ignore all other risk factors as well, it may mean you take a less cautious approach. The Risks Of Investing In Loan Between People Peer-to-Peer.

Understanding risk means identifying your own attitude and identifying different types of risk. So you can get tips to minimize the chances of things going wrong.

However, it is not as straightforward as it relates to “Peer-to-Peer peer lending”, this lack of public discussion about the risks involved in this modality is not of concern. But, everyone should know that in any type of investment there are a lot of risks, some bigger ones smaller.

Borrow or break

The good news is that if a commercial loan or personal Peer-to-Peer Lending site is interrupted or broken, it is likely that another company will step in to manage the receipt of existing loans. A loan granted to a person or small company has in the P2P site only an intermediary acting between the parties.

However, it may be a totally different story if you are an investor. As times become more difficult for many, unemployment increases and wages are reduced and frozen, it is likely that the number of defaulting borrowers in their loan repayments will increase, this reduces the return from which they invested their savings.

In fact, if you lend to riskier people, you may be putting not only your returns, but also part of your capital at risk.

Investing in Peer-to-Peer is not like saving

And that’s the problem with sites with loan alternatives like Peer-to-Peer. I used the words “savings” above, but this is inappropriate – lending your money to other people certainly you are not saving – you are investing.

And just as you can get higher returns by putting your money in corporate bonds and private bonds (ie, corporate loans), you too must accept that you are or are going to take a much greater risk.

Many more cautious citizens have had regrettable returns leaving their money stuck in savings rather than investing in Peer-to-Peer social loans. However, you need to understand the risk they will take.

If you do not mind the higher risk, Peer-to-Peer collective loans can offer you an investment route with higher returns than savings, but only as part of a balanced portfolio. And only if you know what and how much you want to invest.

Taking out a loan does not have to be difficult. And it is not, thanks to the efforts made by banks. Their websites are equipped with all necessary information and you can also make calculations. With this you know exactly what the loan will cost you per month. You will see a distribution of repayable capital and costs. You can do all that yourself from your own home, so without a visit to the bank in question. Many people use the internet to find services and products. If you want to take out a loan, you can also use this.

Take out a loan via internet

The applications have become infinite via the internet. More and more people are also using the smartphone to look something up, apps are being made to serve people even faster. Banks also make full use of this to allow existing customers to manage their services. But new customers can also simulate a loan with this. This way you can immediately see what a loan will cost you every month. In some cases you can also request the loan via the website or app. But that does not mean that it is immediately correct. The bank will first check who you are and whether you can handle the loan.

That’s why they need to know what your financial situation is. What are the income and expenses at the time of application. Income is of course from your regular job or an independent profession. And on the expenditure side, other loans and alimony count as fixed costs. Banks allow to spend up to 1/3 of the income on all loans together. For most families this concerns a home loan, car loan and possibly a personal loan. That means you already have enough loans. You also do not want to borrow everything, because you are always confronted with the high costs that you have to pay and that is always added. Also keep in mind that you want to keep your budget in order, there are many other invoices that you have to pay monthly.

Money goes directly to your account

Therefore, compare as many banks as possible and you will soon know where the best conditions can be found. That is of course at the bank with the lowest costs. That way you pay less per month and there are no more surprises. You can pay even lower costs by keeping the duration of the loan as short as possible. The disadvantage is that the monthly amount will be higher. Many people choose to take the duration longer, so the monthly amount decreases, but you pay more costs. It’s your choice of course. Banks allow you to choose this yourself with a minimum and maximum number of months. As soon as they see that you can still handle the loan and the application is in order, the repayment starts. The money comes into the account or goes directly to the seller, depending on the nature of the loan.

 

A loan of money is something that can be very useful in our lives, either because we want to start a new business, make a desired trip or settle any important debt we have. However, loans are not granted as easily because you have to meet a number of essential requirements to receive one. So if you want to request a monetary loan from a financial institution in Peru, we will show you how to obtain it.

steps

Part 1
Prepare to ask for the loan

 

 1 Determine if you need a loan. The best way to know how much you need is to balance your income and expenses. If your debt is greater than your monetary income, you probably need a loan. In this case, making a budget will be your best alternative.

• If the loan is for a special event (for example, marriage, travel, device purchase), it is best to know how much you plan to spend so you don’t ask more than needed.
• Talk to other people. Talking about it with other people can give you a better perspective on whether a loan may actually be needed. People who have previously requested a loan can give you better advice on this aspect.
•  2 Access your credit history. Being clear about your debt and your credit history is an important step in the approval of a loan. To know this report, visit the Sentinel Peru website and follow the instructions to access the free consultation and find all the details.
• Another method you can use is the “SBS Debt Report”. Complete the Superintendence of Banking, Insurance and AFP (SMT) website to obtain more information.
• Be careful if you hire a person to carry out this process as you can be a victim of fraud.
•  3 Have a savings account. Regardless of whether you are an independent or dependent worker, a responsible savings account can make the financial institution for which you have requested the loan more easily, as you would have good savings. In Peru, all banking institutions offer you the opportunity to create a savings account called “Cuenta Cero”, which does not charge a monthly card maintenance fee.
• Every time you receive an amount of money for your work, an amount is saved in a savings account to have good savings.
• With a savings account you can have responsibility for the various financial institutions that you can offer a loan.
•  4 Evaluate your payment options. Before asking for a loan, make sure you need the solvency and job security to pay it off in due time. If the loan will be one more debt in the long run and it will not solve your financial problems, you can have serious legal problems.
• The best thing would be for you to make a chart where you have to pay your gross income and debt to know exactly whether you can pay the amount borrowed within the set limit.
• Keep in mind that loans are always long-term loans, which means you are willing to accept a debt of many months or years.
•  5 Make sure you have all your accounts up to date. You may have an outstanding debt – but if you want the borrower to ensure that you have sufficient funds to pay off the loan, you need to be aware of your basic needs such as water, electricity, etc.
• Depending on the province where you live, financial institutions will request proof of payment for basic services as well as for annual properties.
• Remember that paying these services is the first step in approving the credit, as it is essential.

Part 2
Start the loan process

 

 1 Find out about the different loan institutions. In Peru, there are numerous entities to which you can request a loan, ranging from savings banks, municipal savings banks, cooperatives, banks and pawn shops. In Peru, the main entities to which people go are banks because of their reliability and solvency, although most interest rates are too high.

• Some of the banking entities characterized by low interest rates are Interbank and Scotiabank. In addition, they provide fairly convenient payment methods compared to other banks.
• Before applying for the loan, look for more information on the entity on your website.
• Find out the TCEA (Annual Cost Effective Rate) to get an idea of ​​how much you will pay over the long term. With this rate you will know what the total cost you will have to pay for the loan and you will know which credit is best for you.
•  2 Analyze the different benefits they offer you. Each financial institution offers different benefits so you can request a loan. It is advisable to analyze each one and see which one is best for you.
• Among the benefits offered are the time it will take to pay the amount, the terms of payment, the ease of payment, among other benefits.
•  3 Deliver all the requirements they ask you. Once you have chosen the best borrower, go to your nearest branch and submit all the documents you request. Generally, you need to raise a specific gross income that falls between 1,000 and 1,200 soles, in addition to presenting your age IDs, receipts and endorsements.
• Remember to accumulate all the documents before approaching the borrower.
• Make sure you ask for the amount you need. After submitting all the papers, you must sign the papers and complete the details so that you receive the quantity you requested.
•  4 Caring for your money After receiving a large amount of money, it is best to be careful when leaving because there are always criminals who pay attention to all the movements of money.
• It is better to open a savings account or deposit the money into an existing account. This step is easier if you have asked a bank loan, as they offer you this possibility.

Part 3
Determine the payment method

 

 

 

 1 Check your loan agreement. The best way to know how much you will have to pay and how long the loan agreement will be reviewed, where exactly the fees you are committed to, is detailed. Of course, before you request the loan, the financial institution will inform you of the monthly amounts and the time when you have to pay the debt.

• It will be good to install a borrower application that you have made the process so you can control everything about money.
• Depending on your income, you can determine the amount you have to pay monthly to the financial institution and the amount of time you will have to do.
• Remember that you can make full or partial prepayments at any time, with total freedom and without any penalty or cost.
•  2 Determine the payment method. If you asked for the bank loan, you will not have major complications, you will be able to make payments via bank agents, cashiers, windows or internet banking. The savings banks and municipal savings banks also have an online bank, which allows you to make virtual transfers.
• Search for an agent near your location as it is usually found in warehouses or minimarkets, which greatly facilitates your access to the bank.
• You can also pay by making transfers, thanks to an application on your phone, you only need your account number, ID and password to enter.
•  3 Always check the payment notifications. Each month you will receive notifications by email or e-mail about the amount of the debt and the expiry date of your next installment. Stay quiet, because if the payment is beyond the deadline, your interest may be charged.
•  4 Enjoy your loan. These are all the steps needed to pay a loan. Remember, if you want to ask someone else in the future, pay attention to your credit history, because that’s what financial institutions use to approve that credit.

 

28 Mar 6 things that maybe you miss in the calculation of your finances

 

 

 

The issue of finance is often challenging for many entrepreneurs and owners of small or medium businesses, due to the different movements of income and expenses that usually occur on a day to day basis. Therefore, we will tell you the 6 things that are commonly omitted during the calculation process, so that you can have a more accurate figure of the economic resources you manage within your business and make better financial decisions.

 

Current assets

 

Current assets are those that represent the amount that is available to be used or invested. It also includes all the different types of income and assets that can be converted into cash in the short term.

# 1 Accounts receivable

One of the concepts that you must take into account to be able to have a more real calculation of your finances, are accounts receivable. These are identified as part of the payments from customers to whom you already offered your services or products, are current assets. Since it is money that is about to be received in a short term and can be used within the cash flow.

# 2 Money in bank accounts

In the same way, it is necessary that you add the amount you have in your bank accounts, even if you do not use it and you have it saved for some unforeseen event. This also can throw a positive result in the calculation, it will help you to know how much you have saved and set goals to increase it. An example of this can be, to set aside an exact figure for the month and every three months to increase it.

# 3 Inventory

Another aspect that many omit not to perceive as physical money, are the objects that are in inventory. You must consider the total value that these assets represent, since as you sell them, you will be obtaining the money to be able to circulate it. It is good to mention that an excess of inventory can be negative if it represents much higher costs of its value in itself and the value it has in the market.

Short-term liabilities

 

Short-term liabilities are all those expenses that are held in a fixed manner and must be settled in the shortest time. These include payments for services, the purchase of material, and those outstanding payments that are held.

# 4 Taxes to pay

One of the short-term liabilities that many often forget, are the taxes that must be settled in tax matters. Since a business that is formalized, it must comply with the corresponding tax payments according to the transactions it carries out. Within these expenditures are the VAT (Value Added Tax) and ISR (Income Tax) payments.

# 5 Loan interest

Also in the financial calculation, the interests of the different loans that are possessed must be estimated, either credit cards or credits requested to invest in working capital. The amount that represents the payment of said interest must always be taken into account in order to pay in time and form and thus avoid that this concept increases due to delays.

# 6 Remunerations pending

 

 

Finally, remember to identify the exact amount of all the compensation you have pending to your employees. These are an important liability and in addition to the normal payment of the payroll, it must be calculated in order to have a good administration of economic resources and avoid future liquidity problems.

 

How to improve the state of your finances?

 

 

If at the end of your calculation you get a negative number or you want to increase, there are strategies that can help you. For example, in the case of expenditures or expenses, you can begin to implement strategies that help you reduce them. Look for suppliers that offer more competitive prices, use your raw material efficiently or try to reduce the fixed costs of basic services.

To increase your assets, you can devise a new collection plan that is more agile, invest in offering a greater variety of products or even prepare a plan to take the next step and grow your business.

Now that you know how to calculate your finances in a better way, try to take advantage of your resources to increase the value of your business and generate more income.

Tip:

You can use digital tools, such as Kompás, so that you know in real time the income and expenses that are being invoiced in your business.