There are almost unrealistic differences between payday loans: for a 5-year term loan of 1 million forints, in the first half of June the monthly repayment of the most affordable construction will be just over 20 thousand forints, but the most expensive may cost 28 thousand forints. As a result, there is a difference of nearly half a million forints in the actual amount to be repaid, according to our recent compilation, which shows that demand for payday loans may increase in the next period.
Demand for payday loans is growing, and interest is mainly due to the emergence of single-digit interest rates and full APRs in this segment. Applicants are most in demand for payday loans with a maturity of HUF 1 million for 60 months.
According to Bankerf, in the first half of June the interest rate of the cheapest HUF 1 million 60-month payday loan was 8.9 percent and its total loan rate was 9.41 percent, so the monthly installment is initially HUF 20,770. In the case of the most expensive construction, the interest rate was 22.4% and the total loan rate was 25.19%, so the monthly repayment amounts to HUF 28,448.
The $ 8,000 difference in monthly repayments is also significant, but the difference is even more significant when looking at the total amount to be repaid. Because you have to repay almost 500 thousand HUF less than the cheapest payday loan. Therefore, it is worthwhile to carefully review the offerings of several banks before borrowing. Banks also offer different discounts to borrowers, for example, if someone transfers his / her reported monthly income of more than HUF 250,000 to that bank and has no significant other debt obligation, he / she can obtain a lower interest rate on the loan.
Here are the best deals on a loan of $ 1 million and a maturity of 60 months:
An interesting feature of the CIB Advance payday loan is that the bank offers a discount of more than 10 percent from the standard annual interest rate until the end of the term, if at least 250,000 HUF is credited to the bank account with the bank. If the condition is met, we will have to repay a total of HUF 1,246,189 with a fixed installment of HUF 20,770 and a APR of 9.41%.
To apply for the Raisin Peak payday loan, the minimum wage must be paid into an account with your bank, but you also need to have at least 4 transactions per month. This can be by bank transfer, direct debit, card purchase or cash withdrawal, so you must have a good payday loan to use your bank account actively.
The specialty of bankate Renewable Loan is that the outstanding amount of capital that has not been called up or repaid can be used again during the term of the loan. We can’t choose a 60-month maturity for this loan, so we counted on the longest, 46-month maturity. bankate is now offering a $ 20,000 Praktiker voucher for the first 100 requests.
Looking at the offers, we can see that you can get a payday loan on favorable terms without having to transfer the payment to a particular bank or start keeping an account. There are over 100 offers to choose from with the help of online loan calculators, so the choice is very large. Banks are increasingly focusing on online administration, with most banks offering discounts on applying for credit online.
For borrowing costs, there is an example where the bank does not charge any initial cost, but there is also a 2.5 percent fee, which is $ 25,000 for a 1 million forint loan. So you can save that amount by choosing the right bank. For payday loans, interest can be fixed for a minimum of 3 months, but there are schemes that provide a fixed rate for the entire term. It is worth choosing the structures fixed for the entire term so that the installment will be the same throughout.
Bankerf is of the opinion that the payday loans market has undergone significant changes in recent years: the interest rate and the overall loan rate of these facilities have fallen significantly as the central bank base rate has fallen. Previously, banks typically offered payday loans with a full APR above 20 percent two to four years ago, and on June 10, 2013, the most favorable APR for a $ 1 million 60-month payday loan was 19.49 percent. half of this loan can be taken out.