The long-term installment loan is so popular.

If you are interested in a long-term installment loan, you can usually expect a loan term of 12 to 120 months at the banks. However, it always depends on the amount of the loan how long the loan term is. Those interested in credit are very happy to choose a long-term installment loan so that the burden is as low as possible each month. The demand for loans with a longer term is constantly increasing and so the loan is enjoying great popularity. German credit prospects prefer to choose a longer term, even though they know exactly that they will then have to pay significantly higher borrowing costs. It must therefore be mentioned at this point that the interest on the long-term installment loan is significantly higher.

Saving costs with a credit comparison

Saving costs with a credit comparison

In the meantime there is a large number of offers on the Internet and these are normally difficult to overview. However, there are credit comparison portals for consumers, which makes the comparison significantly easier. The individual lenders differ significantly in terms of loan costs, so a lot of money can be saved by comparing a long-term installment loan. So if you really want to save money, get several offers and then decide on the most interesting.

If you want to save even more money, you must ideally choose the term of the loan. It must be determined that a smaller loan amount does not necessarily have to be repaid with the longest possible term, for example 84 months. Many banks work with interest rates that are dependent on creditworthiness, so the interest rate is much more expensive over a long term, as if the loan was only repaid over a term of 24 or 36 months. The longer the term of a loan, the higher the risk of default. The banks have recognized the risk of default and are taking action to increase interest rates.

Does a long-term installment loan make sense?

Does a long-term installment loan make sense?

Anyone interested in a consumer loan should keep the term of the loan as short as possible. The whole thing looks different when it comes to real estate and construction finance. Since the loan amount is often very high here, the loan would not be affordable without a long term. With a mortgage, the term is 120 months and even longer. It depends on how long the term is and how high the interest is when the contract is concluded. A longer fixed interest rate can be chosen if the interest rates are low. This means that a prospect can secure the low interest rates for as long as possible.

Credit card with no annual fee and establishment costs

With great market competition and ever-improving terms offered to credit card customers, many people now have cards available with no annual fee or establishment costs. If, for example, you have to use the card as a security buffer in the event of unforeseen expenses or similar, then this is a very good solution for you.


Overview: Best credit card with no annual fee

Overview: Best credit card with no annual fee

In addition to those who want to use a credit card only as collateral in hand, it is also a good option for others. Today, most cards have several discount agreements or other benefits such as free travel insurance to the card, so if you are going out traveling it will often be worthwhile to use the card on the trip.

In the overview you see here you will find hand-picked card companies that offer cards without an annual fee. Use the overview to find the card companies that best suit your use and at the same time give you the lowest effective interest rate on the credit you use.

What is the best card will almost change from customer to customer. Everyone uses cards differently and has different needs.

Therefore, when you want to find the best card with no annual fee then sit down and set a budget and see which credit card gives you the most back in terms of discounts on goods, services and other goods and at the same time has the lowest effective interest rate.


Pitfalls you should know about

credit cards

Although it can actually save you big sums, there are also several pitfalls to be aware of. Credit is, in principle, often money you do not have and you should exercise caution when dealing with money you do not have. There can be unforeseen things that prevent you from paying used credit at maturity and when you do not get paid at maturity, credit card debt has a fairly high effective interest rate.

Especially if you have multiple credit cards it is easy to just use too much, and if you start paying one card with another then you quickly end up in a vicious circle which can be difficult to break out of. It often does not take that much money before you start and struggle and then it is important to keep your tongue straight in the mouth and rather communicate with the card company about a solution rather than end up in the aforementioned vicious circle.