The installment loan can be found in almost every bank’s product range. The credit for all groups of people can be used in any form depending on the creditworthiness of the client. The loans usually oscillate between $ 1000.00 and $ 75000.00.
They have a term of 84 to 120 months. A security assignment is agreed between the client and the representative of the bank for security. The repayment is made in the standard with constant monthly installments. The installments consist of repayment, the interest and often the fees of the bank concerned. The processing fees are charged once and form a 2-3.5% share of the loan amount. Residual debt insurance can be taken out voluntarily for installment loans.
This banking product can even be used by lower-income clients, as there is a suitable credit model available for every target group. Students, trainees, small business owners and pensioners can take out a loan with low monthly installments. There is also a suitable model for civil servants, soldiers and the self-employed. It is a loan for all client groups with a positive credit rating. If the borrower terminates the contract prematurely during the term of the contract, the bank can request a prepayment penalty of 0.5-1 percent. The termination can come into effect 6 months after the loan amount has been paid, within a period of 3 months.
The value of the goods or the loan amount is $ 127.00, the term is 24 months at a rate of $ 7.00 each. The interest rate is 28.45%. The rate is divided in the form of the interest and the repayment. This reduces the remaining debt and interest over the entire term. Special repayments are excluded. The interest rate and rate remain constant. The high interest rate of 28.45% is particularly striking in this example. This results in a repayment amount of $ 168.00.
Agree Bank Credit installed the first online credit platform in Germany in 2007. The transactions are carried out through various banks. Agree Bank Credit offers personal loans with an interest rate of 2.85% to 21.74% and a target interest rate of 4.18 to 18.00%. The term is between 12 and 120 months. The amount of the loan can be between $ 1,000.00 and $ 50,000. Special repayments and debt restructuring are available. The advantages include the freely selectable interest rate for private individuals as well as for the self-employed. It is a loan for all groups of people.
The second example is Lite Lender Bank. Loans are mainly offered to civil servants, pensioners, employees and trainees. The interest rate is 2.99 to 12.99% and the target interest rate is 2.95 to 11.14%. The duration of the contract is between 12 and 84 months. The loan amount can be paid to the borrower from $ 1,000 to $ 70,000. Special repayment and debt restructuring are available. The installment loan is, through its adaptability and flexibility to the solvency of each group of people, a loan for everyone. For you too.