Installment loan with a term of 120 months

An installment loan with a term of 120 months is attractive and extremely interesting for some borrowers with a not so high salary. However, this loan also harbors dangers. Therefore, it should be carefully considered for what purpose such a loan should be applied for.

Not only suitable for buying a property

Not only suitable for buying a property

Until a few years ago, an installment loan with a term of 120 months was only intended for the purchase of a property. However, some banks offer this loan for other purposes. He is no longer earmarked for this. This long term may be ideal for people with a low monthly income. Nevertheless, unpredictable events can ruin even the best financial planning.

For this reason, you should consider carefully whether a loan with such a long term is necessary at all. It is perfect for real estate financing. This is particularly the case with low interest rates. At the moment, interest rates are at a very low level, provided that an installment loan with a term of 120 months is worthwhile for the purchase of a property.

Make the term depend on the amount of the loan

Make the term depend on the amount of the loan

With most loans, borrowers can choose the term themselves. The only exception is the foreign loan. The rates are already fixed in advance. All other loans are flexible. With a loan amount of 30,000 dollars, a term of ten years is a good idea, but whether that makes sense is another matter.

In addition, the interest on this loan is also significantly higher than if a shorter term were chosen. The banks justify this step with the higher default risk. A lot can happen during the term, which can shake the financial framework. It is also possible that the bank requests that you take out residual debt insurance.

Observe the conditions

Observe the conditions

If you choose an installment loan with a term of 120 months, you should pay attention to the right bank. A lot can happen in ten years and the borrower could suddenly make money. It is therefore important to find a bank that does not require prepayment penalty for special repayments. Loan seekers may not have much success with branch banks, but online banks are known for their better conditions.

Anyone looking for financing with such a long term should use the comparison calculator on the Internet. You can quickly find the right bank with the right offers in the program. The use of this comparison calculator is free of charge. They are independent and quickly deliver the latest results.

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Swiss loan for self-employed without Credit Bureau

The Swiss loan for self-employed without Credit Bureau is the uncomplicated form of financing when it comes to taking out a loan as a self-employed person, from which the lender should not ask Credit Bureau in advance. In this, a large number of economic and contractual data are recorded with regard to the financial situation and the borrower’s liabilities, consequently the Credit Bureau results in either a positive ranking, then the borrower is considered a safe candidate, or a negative ranking, which in reverse partly denies the creditworthiness.

Apply for a loan

Apply for a loan

If people are well aware of a negative ranking in Credit Bureau, it can be advantageous if a loan is also selected directly without asking Credit Bureau. Swiss banks have a strong tendency to largely ignore Credit Bureau and, as a result, do not seek any evidence from the borrower about the Credit Bureau entry. Then the income decides whether the loan is accepted or canceled, since this size ultimately accounts for the lion’s share in the evaluation of potential borrowers.

In the case of employees, the income can simply be proven by means of proof of the pay slip, possibly via the employment contract, whereby employees with a permanent job, of course, have a much better chance of applying for a loan, since the bank receives greater planning certainty for the loan term.

The Swiss loan as a way out of a financial imbalance

The Swiss loan as a way out of a financial imbalance

A Swiss loan for the self-employed without a Credit Bureau, on the other hand, is somewhat more difficult to assess for banks because the borrower has a strongly fluctuating income, which is also linked to freelance work and the success of the company. As a result, the bank has much less planning certainty here than with an employee, because theoretically and practically, income can disappear completely at any time, which means that the borrower could no longer pay his installments.

With Swiss credit for the self-employed without Credit Bureau, it is advantageous if the borrower and the self-employed have been working for a longer period of time, usually at least two to three years, and can record constant profits. This also results in a positive situation for the bank, in which it can better assess the borrower and his financial situation. Proof of your own financial situation and income must always be provided, regardless of whether Credit Bureau is queried in the course of the review by the credit institution or not.

Swiss banks are no exception, which is why this evidence should be available when applying for a loan. The exact conditions can then be recorded at the bank itself or when the application is made, as can the total costs and the percentage interest charge.