Take a fine-toothed comb to your loan offer before accepting. You want to make sure you understand everything in the contract; otherwise, you may have to be forced to pay surprise fees in the future. These are the most important aspects of the personal loan to evaluate:
- APR: What is the interest rate? Is it fixed or variable? Is the rate lower than the one on your credit card? If not, then taking out a loan may not online payday RI be worth it.
- Repayment period: How long will you be making monthly payments, and at what point will the loan need to be paid off?
- Monthly payments: Can you afford the payments? Do they fit into your budget?
- Secured or unsecured: Will you need to put up your bank account, for example, as collateral for the loan? Or does it not require collateral?
- Origination fee: Do you have to pay a fee up front for the loan, and if so, what does it cost? Is the lender being transparent? Keep in mind that many lenders that don’t require this fee still charge it anyway. Continue reading “Don’t: Accept the first loan offered to you”