Requesting a loan is not a problem, for many of us the real problem arises when we have to pay the debts and we do not know how to manage our money to cover all our needs plus payment of the scheduled fees. Success will be determined by our way of managing our finances, strategies are an important tool to be victorious, let’s get started.
Why is it important to have a strategy to Pay for Installments Loan?
When we accept the terms of the loan we do it based on few real mathematics, a quick analysis of whether it fits or not and we sign the terms. Then the action plan must be more real. The importance of a strategy prevents you drowning every month and alleviate the anguish, avoid losing what you bought.
Strategies that you can implement
Before anything, as part of your financial education you must have a savings fund, at the time you decide to make a loan and you can have part of the fees in your account. So you can avoid paying interest rates as a result of delinquency.
There is a fortnight that is always less committed than the other, based the schedules of payments of your monthly payments in that fortnight, since it is the most flexible. Create a calendar where you appreciate your monthly commitments and where you can see the salary discounts.
If you can make extraordinary payments, do it. You can reduce the time of payment of the loan and thus you manage to lower the interest. You can do this if the contract allows, you should review it very well, because there are clauses where you penalize if you cancel all the fees before the set date.
The smallest amount
You can organize the debts according to the smallest outstanding amount, cancel the first with the least important, so you can advance the months of payment.
Investigate before where to make the loan: You can choose one of less commissions, the smaller commissions are paid faster, in addition, there are financial entities that the first loan runs without interest rates. Do not choose the entity with the greatest interest, because in the end you have to pay more for the interest than for the same loan.
This strategy may be a bit complicated for you, but a freelancer style job or extra hours just to pay the fees is not a bad idea. Possibly you will be more tired but the debt will pay off faster and if you are solvent you can leave the option of a new loan for when you need it, because there are places where the fame of delinquency determines whether they give you the loan or not. So the more you can pay or if you manage to make a fund so that you can pay off that debt better. Another option is to sell what you do not need, and that money to pay the debt.
Negotiate interest rates
If from the beginning these rates consider it unattainable, better do not accept and negotiate a better way to reduce that rate.
Reduce the stress generated by monthly payments with the best strategy that can free you from an infinite debt. If you cover your debt fully you can choose other loans.