Online Loans for Installment Interest Rates

 

Before you go to a store and buy something, the possibility of “comparing prices” is usually noticed. Be it with the help of the internet or the classical way to study brochures. Especially in the food sector a behavior pattern that still exists today. Now you can, if that behavior, here and there by comparing a few euros or even maybe just a few cents to save, make fun. And yet, a price and terms comparison is not always accompanied by the savings of a few euros, but equal to a few hundred euros. And at the latest at this point, then probably nobody will make fun of the subject anymore. Especially in the financial sector shows that, for example, a comparison of terms on loans often bring just those several hundred euros savings on the repayment period. This was confirmed in a corresponding analysis of credit conditions in 2016 by a major German comparison portal.

The interest rate for installment loans on comparison portals cheaper than the national average

 Interest rate for loans on comparison portals cheaper than the national average

For example, the credit analysis of the portal for the past year 2016 showed that loans raised via comparison portals were only effective at an average annual interest rate of 3.61%. However, from the figures published annually by the Bundokbank, the national average for online credits for interest rates was at 6.10% interest rates per annum effective.

A difference of just under 2.5% in the interest rate, which made itself financially noticeable to consumers in terms of installment rates or installment rates. Even if the lending rates can not be fully balanced because of possibly different loan amounts and maturities, the result of this analysis shows that the interest rate differential is not insignificant.

 

For a € 10,000 loan over € 400 savings

 

For a € 10,000 loan over € 400 savings

 

Here is a simple calculation example of how much can be saved with the use of a credit comparison portal in the monthly installment load:

For a loan of € 10,000 and a term of 36 months, a monthly rate of € 293.51 was charged on a credit comparison portal based on the average interest rate of 3.61%. Which results in a total loan amount of € 10,566.29.

If you had not completed the same loan through a credit comparison portal, this bill would look like this:

With a national average interest rate of 6.10%, the monthly rate would have been € 304.67 with the same loan amount of € 10,000 and 36 months. Taken over to the running time here so a total credit amount of 10,968.22 € was created. A difference of € 401.93, which could have been realized as a savings on a loan via a comparison portal.

About the Author

Leave a Reply

Your email address will not be published. Required fields are marked *