Saving is not the trend at the moment. Savings books or similar investments, minus an inflation rate of approx. 2 percent, hardly promise a profit. Because of the low interest rates, it is therefore advisable to renovate your home or to finance other new acquisitions with a loan. The best time to get a low interest rate loan.
Interest with dream conditions
The Cream Bank’s key rate cuts are expected to boost the EU economy. The key rate is mainly the reason why banks can offer unbeatable terms. So there is a moment for borrowers to build a house or buy a car on credit with a promising interest rate. Lucrative offers, the conditions of which will definitely deteriorate again in the future.
Cream Bank President Mark Acxen suspects that an increase in the key interest rate is likely and that a deterioration in the good conditions is guaranteed. Fundamentally, debt rescheduling leads to a loss-making transaction due to the fees incurred. Since borrowers can now speculate with dream conditions, the path to a new bank can be worthwhile and can improve the financial situation.
The enormous differences in the offers
The differences between the different banks are sometimes enormous. Even if all institutions offer a loan with a low interest rate compared to previous years, the offer should be examined in more detail before the forthcoming conclusion. Even laypersons who have no specialist knowledge in this area can easily and independently determine the best offers using a comparison calculator. You only need to note that the same loan amount and term are compared.
With good comparison calculators, the effective interest rate is always given in the end result, which includes all additional costs. Anyone who takes a closer look at several offers will quickly find that a difference of more than one percent is not uncommon. In contrast to various bank branches, consumers receive the true facts and figures of a loan with a reputable comparison calculator.
Long-term fixed interest rates
The result of the offers should never be underestimated. Even if the difference is only 0.3 or 0.4 percent, a loan with a low interest rate and a longer term can bring in several thousand euros. Anyone who is considering using a cheap loan for a modernization, mortgage or building a home should pay attention to a corresponding fixed interest rate in their contract.
Banks guarantee fixed interest rates over 10, 20 and 30 years, depending on the provider, and guarantee the borrower a security with which an investment can be planned in the long term and under good conditions. With a fixed interest rate, the customer usually receives a worse interest rate, but there is hardly a more suitable time to include this point in a loan agreement.