Archive 2019

Debt consolidation for payday loans -Find out about debt consolidation

Debt consolidation consists of combining several financial liabilities into one loan with simultaneous unification of the interest rate. Its main task is to reduce the cost of loan servicing, which is repaid in the form of one monthly installment instead of several. In this way, consumers get a chance to reduce the monthly payment, because the installment is lower than the sum of the installments of the consolidated loans. This method secures the borrowers against loss of financial liquidity as a result of failure to repay their liabilities on time.

Find out about debt consolidation

The main advantages of a consolidation loan are:

  • installment paid once a month instead of several installments for debt
  • a lower installment in relation to the sum of installments paid monthly
  • longer loan period, the longer the lower loan installment

A debt consolidation loan at is designed to help consumers in a situation where they have to deal with the problem of having many loans or credits. It also protects against the accidental omission of repayment of one of the installments. Because if the installments are regulated on different dates, there is a risk that we will forget about the next payment or simply will not be able to afford it. It does not reset our credit history and does not make the payment that we owe you pay back will be somehow magically reduced.

To whom a consolidation loan is addressed

We will present a hypothetical situation. We have a loan for a kitchen renovation, a cash loan from a bank for its equipment with household appliances and an installment loan for a car. Total three financial liabilities to be repaid in the form of three separate installments. If, as a result of a flood of work and duties, we accidentally omit the payment of one of the receivables and we do not settle it on time, there will remain a lasting trace in our credit history. We will avoid such a situation by deciding on a consolidation loan. Because by paying only one installment per month and lowering the cost of servicing the loan itself, we do not have to worry that we will miss the repayment date and that we will run out of cash for the next installment.

Before you sign a consolidation loan agreement, remember …

A consolidation loan is nothing more than another financial commitment, so it will not take us out of the spiral of debts we have. If we are unable to grasp the home budget and spend too much on our financial capabilities, debt consolidation will be just another burden. In addition, the interest on the consolidation loan is higher than in the case of standard loans and credits, so do not be hastily opting for the bank with whom you sign the contract. First of all, let’s check carefully what is the actual interest rate on the consolidation loan. Only a full analysis of bank offers and reasonable management of your budget will make us feel a real relief after consolidating our financial obligations.

Car Loan Leasing Money for the Car

Money for the car

The new car, regardless of whether a comfortable family estate car or a small sports car, is a dream that at the moment is extremely easy to meet. When we do not have enough cash, the solution to this problem will be a car loan that we can get in any bank.

Car loan – definition

Car loan - definition

So far, the purchase of a car was most often financed from a typical cash loan. Currently, you can take advantage of a wide range of other banking products, specific loans, more advantageous than traditional forms of lending. When defining a car loan, one can say that it is a loan contracted solely for the purchase of a motor vehicle specified in the contract. This name does not apply only to passenger cars or delivery vans. This term also includes motorcycles, tractors and even motorboats. However, usually the funds obtained from the bank are used to purchase a car and you can buy both a new car and a used car from the so-called. second hand.

Car loan – advantages and disadvantages

Car loan - advantages and disadvantages

The biggest advantage of a car loan is that the bank always lends us exactly the sum we need. However, these funds can not be used for any other purpose. A loan of this type is also much lower interest than a cash loan, but it is necessary to provide it with additional collateral required by the banks. Most often it is a transfer of ownership, vehicle card deposit, assignment of an AC policy or less frequently a blank promissory note. Another advantage of this method of financing is the long loan period, reaching even 10 years. This allows you to significantly reduce the monthly installment. The amount of the car loan is of course dependent on the client’s earnings, but often reaches several hundred thousand, which allows you to buy a truly luxurious vehicle.

Car leasing

Car leasing

Many drivers, however, are not advocating taking a high loan for a dream car or wanting to use a different, attractive way to finance it. Undoubtedly, this is a car leasing. The principle of its operation is extremely simple. A financial institution, a leasing company, buys a car indicated by the customer, becomes its owner, and the vehicle lends the customer a fixed monthly fee. For each month of use, invoice is of course issued. Car leasing is relatively easy to maintain. The company offering it does not put such requirements on the customer as most banks. Equally less complicated are the necessary procedures that must be completed by entering into a contract. In addition, leasing offers entrepreneurs numerous tax benefits, such as VAT settlements. At the end of the leasing period, you can buy a car at a pre-determined price or leave it at the leasing company.

Car loan calculator

Car loan calculator

However, before we decide to choose one of the two forms of financing the purchase of a car, it is worth checking out the costs that we will have to pay. To do this, you should use the car loan calculator. We find it, inter alia, on the websites of banks. Thanks to it, we quickly calculate how much it will pay to pay for the car. All you need to do is enter information such as price and type of vehicle, year of production, own contribution, currency, as well as loan period and additional options, eg loan insurance.

Money in a marriage – a title loan without the knowledge of the other spouse

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In our cycle “Money in marriage”, we will devote today to title loans, and more precisely to situations when one of the spouses takes out a title loan without the consent of the other. What are the consequences of such a decision?

Borrowing title loans and credits without the knowledge of the other spouse is not as rare as it may seem. Often spouses secretly lend money, not necessarily to spend on drugs or other purposes that might not please the other party, but also on their own expenses, for example related to hobbies, trips or surprises. However, we must remember that in such a situation, an installment title loan contracted by one of the spouses may also affect the other.

The easiest way with property separation

The situation is the simplest when we deal with so-called asset separation. In order for the separation to occur, it is necessary to conclude an appropriate contract in the form of a notarial deed. The conclusion of a marriage gives rise to a joint property, i.e. the property belongs half to each spouse – when you want to have separation, you have to go to the notary office.

With property separation, the property of the spouses is separate and they are not responsible for their debts. This is the best solution, although it does not suit every spouse and may argue for some people with the idea of ​​marriage.

When a cash title loan or a larger title loan wants to take a spouse with property separation, then the bank or title loan institution only takes into account its income. When the borrower does not repay the debt, the creditor can not claim payment of the debt from the other spouse.

A title loan in the property community without the consent of the spouse

The second situation, which happens much more often, is to take out a title loan or a title loan without the consent of the spouse, when the marriage is in force. Pursuant to article 41 of the Family and Guardianship Code, incurring the obligation without the required consent of the other spouse causes that the creditor, for example a bank, can claim satisfaction only from the property of the person who took the title loan. Therefore, the creditor can withdraw it from the borrower’s salary, but can not take the money belonging to the other spouse.

Therefore, the situation is unlawful when it comes to collecting debt from property belonging to the other spouse. Then you should submit an appropriate letter to the creditor and explain the situation, and if it does not help, you should inform the prosecution.

However, let us remember that there are several situations when borrowing without the spouse’s consent may result in a repayment obligation by each of the spouses.

This applies to the three following situations:

• Money from a title loan or credit has been spent on everyday expenses, for example on food, bills.

• Money is spent to satisfy current everyday affairs, for example as a title loan to buy household appliances.

• The money is spent on activities undertaken by the spouse as a part of a gainful activity, for example they are intended for retrofitting the company.