Applying for a loan requires a lot of planning. And in some cases, some people think about anticipating payments or even repaying a loan made.
However, there are many questions about how to pay off the loan , or how to make financial planning to pay off a loan correctly, and even what are the advantages of paying off the requested loan. How much, right?
In this way, we have separated some tips for repaying a loan, which will certainly help answer questions and make decisions more safely.
How to make financial planning to pay off a loan?
The ideal scenario is that you provide advance planning for loan repayment. That is, drawing a mapping of the situation helps to assess the real need for the request.
However, if you’ve already entered into a loan-to-value ratio and the idea of ”I want to pay off my loan” comes up, no problem. You just need to plan the discharge and keep in mind that this is now your main payment objective. That is, no more debts and curl up again, okay?
Credit card no way
For this, avoiding the use of credit cards is a fundamental step. Although it doesn’t seem like it, it is another type of loan that charges almost 300% interest per year. That is, when entering this, it becomes much more challenging to leave.
Cut the non-essential
How many times have you bought things you don’t really need? Therefore, try to cut superfluous expenses, even if that feeling comes that you “deserve a lot”, you know?
Giving up some treats and pleasures can help reduce interest rates and achieve much more in the medium and long term.
current financial planning
Make a financial planning of inputs and outputs to be clear about the possibilities. It should contain the current loan as a fixed expense, right?
save what you get
When putting everything at the tip of the pencil, determine a minimum amount to save , with the objective of repaying the loan.
Do this consistently, and even if it seems little, it can help a lot to anticipate installments and reduce the total amount of the loan .
What are the benefits of paying off the loan?
If you really intend to pay off the loan, you should be clear that the decision only has advantages if you have the necessary amount to settle the installments or have extra money.
Reduction of monthly expenses
That is, the reduction of monthly expenses is the main advantage of repaying the loan. However, the payment cannot harm the personal and family budget if you use the amount for the payment.
Reduce payment time
If you do not have the full amount to settle, you can lower interest rates and anticipate the installments. This is also a good option to help shorten the payment period.
Credit margin release
Another advantage of anticipating installments is the release of credit margin. In this way, it is possible to take out a new loan in the future.
Use of other sources
If you really want to put all your focus on repaying a loan, know that there are several alternatives for this. It is possible to use the balance of the 13th salary and vacation, in addition to choosing to pay with the amount of the Income Tax refund, and even make use of temporary funds, if you have one.
When is it not worth paying off the loan?
If the payment of the loan installments is already coming to an end, the early discharge is not worth it, since the interest deducted will be minimal . Of course, you can carry out the discharge in the same way, but the information is worth it, right?
Remember: if you intend to take out a new loan to pay off the outstanding debt, it is one more decision that is not worth it. Therefore, look for a renegotiation of the existing debt and be very careful with abusive interest rates.
Can I anticipate the installments on the payroll loan?
Not only can you, but it is a right guaranteed by the Consumer Protection Code. That is, any type of payroll loan agreement can be paid off at any time. This applies to INSS retirees or pensioners, civil servants and employees of private companies.
Early installments help reduce interest on the total loan amount. For this, the renegotiation must be done with the institution.
As an additional tip: evaluate the settlement proposal and observe what the real reduction in value will be in order not to generate a business.
How to pay off or anticipate the personal loan?
After deciding whether the loan will be paid in part – paying some installments – or in full – paying off the entire contract -, you must contact the financial institution to request the bank slip or debit.
There isn’t much of a secret, the only tip is to pay attention to the total amount paid, which should have zero interest on the installments, making the deal worthwhile.
This information will be useful when paying off the personal loan. Keep following our blog for more financial tips!