Among consumer loans, one of the most popular is free investment. But what makes it so special and why should we consider it above another credit or card when seeking financing? There are three reasons that explain it.
They don’t have many requirements
You will not need to submit many documents when applying for these types of credits. Basically, it is necessary to have a certain credit history and demonstrate that you can pay the fees, that is, that you have a source of income. Something interesting and that makes them even easier is that depending on the amount you request, a co-debtor is not necessary.
Offer fixed fees and large terms
You can finance it in up to 60 installments, depending on the amount you are requesting. The financial institution will check its borrowing capacity, that is, how much money it could pay, and that will determine the amount of installments and the term. By having a fixed rate, from the first moment of the credit you will know how much you will pay in total.
The purpose is determined by the client
It is not necessary to present documents or justify what the money will invest in. The client is free to use it to finance a vacation, pay for a course or simply face an unexpected expense that came out of the budget. The important thing is to understand that it must be requested if it is really needed, and not just “to have more cash.”
But is it more convenient than using the credit card? Interest rates are usually lower, so you will pay less interest for the credit than for using your plastic. In addition, some banks even offer you a preferential rate if you have a payroll account or if you purchase life or unemployment insurance. In this case it will be necessary to check the cost of the insurance, to see if there really is a saving.