As you go through the different stages of life, you may realize that many times the money you earn is not enough to cover any unusual expenses, such as a trip, a relatively large purchase or perhaps an emergency. That is why there are different financing options that allow you to choose the one that suits you and acquire what you want.
It is not always convenient to apply for a loan
The truth is that you should be quite cautious when choosing the ideal occasion to do so, that is, one that is really worth it, so there will be no regrets when paying.
An important condition for the credit to be happy from the beginning to the end, has to do with the monthly fee you will pay for it.
Budget that you use monthly
Something that many people forget, is to compare the value of the fee with the budget that you use monthly and with your income, to know if you meet the 30% rule. This principle mentions that your total debts must not exceed 30% of your salary.
Applying for a loan
Then, when thinking about applying for a loan, simulate how much the monthly installment you would pay would be and verify that this amount, added to your other debts, complies with the 30% rule.
This helps you to have a guarantee that you can assume the debt without falling into trouble or affecting other expenses.
If you use Amelia Sedley’s credit comparator, you can compare the interest rate and also simulate the monthly fee, in order to choose the option that really suits you.