Do You Need Personal Loan? Consider Where From!

Summer is coming, you would like to travel abroad, but you also need to buy a completely new wardrobe, and repaint your flat, and on top of all, the fridge has broken down just a few days ago? They all have the same end: you need more money than you have as soon as possible. Of course there are no acquaintance whom you can ask for money – so you are thinking about requesting for a personal loan. Divany.hu saw about how much is the repayment in case of the same loan and duration by Hungarian banks. However, one of the main rules is not to go to holiday, update wardrobe, or buy Christmas presents from personal loans, even flat renovations or expensive durables is better to be paid without it. If it is absolutely necessary despite all these, here come the main things to know.

Those who need money in a short time tend to take personal loans, since this is the fastest and the easiest banking solution in most cases. At the same time it might be enough to demand overdraft facilities, or in case of flat renovation – if you have a chance to plan ahead -, concluding housing savings is a good idea. Although it doesn’t help if the boiler or the furnace suddenly breaks down, it’s a good way to save money for the next renovation of the newly purchased home.

Divany.hu made a simple comparison with the help of the loan calculators on the banks’ websites, and investigated how much money you have to pay back with the same sum lent and the same duration by each bank. Nevertheless they are not considered as official biddings, they are only indicative, but ideal to serve as starting points, guidelines and deterrence.

Loan calculators

In case you need a different amount of money, or want to see the constructions with different duration, you can set the data in the loan calculators on the banks’ websites, and find out which one is the most suitable for you.

Divany.hu examined the following banks: Citi Bank, Cetelem (general purpose loan), CIB (general purpose loan where you can get A and B classification, divany.hu calculated with the more favorable conditions), Cofidis (revolving loan), Erste (personal loan), K&H (personal loan with standard terms and conditions), OTP (personal loan), Provident, Raiffeisen (personal loan, currently on discount), Sberbank, Unicredit

This is why Provident is the most expensive

Consider a HUF 400 thousand loan in case of 36 months, that is 3 years duration (many loan calculators don’t interpret a loan lower than this amount). In this case, Sberbank is the cheapest, and Cofidis is the more expensive. One mid range competitor of the list is Provident, but it is far more expensive than the most expensive one if you choose their home service which they recommend so much in their advertisements. Namely, if you demand them to deliver the requested loan amount to your home, and then take the repayment installments there week by week, you have to pay back HUF 900 thousand in all at the end of the 100 weeks.

HUF 400 thousand for 36 months duration

Cofidis doesn’t lend one million any more

If you wish to take a higher amount, around HUF 1 million, because you are preparing for a small wedding or you bear the family holiday, then in case of the 60 months (5 years) duration Citi Bank’s proposition is the most favorable, while OTP and Unicredit are the most expensive. Cofidis doesn’t lend this much money according to their loan calculator (in reality they do), HUF 800 thousand is the maximum on their website, for which you have to pay back HUF 1.175.946 with 47 months duration. It’s almost one and a half times the original amount taken.

HUF 1 million for 60 months duration

Do not take 3 million or more than that

In the following we are representing those options which are not recommended for anyone, and divany.hu suggest to see about more favorable possibilities before taking such a high loan. If you wish to take HUF 3 million for 72 months (6 years) you can choose only from the selection of big banks, however it’s very important to choose carefully, since million Forints differences can come up between the different constructions. In this case, Unicredit is the most expensive, and Sberbank is the cheapest, but the latter permits only 60 months duration.

HUF 3 million for 72 months duration

The second worst option is to take maximal loan amount for maximal duration, since its monthly fee is as high as you were paying for an apartment or the monthly installment of your flat on your own. In most banks this amount is HUF 5 million, and the longest duration is 84 months, that is 7 years. If you choose OTP you have to pay back more than double of the lent money by the very end, and by K&H you also have to repay HUF 2 million more than by Sberbank, which provides the best offer in the list in terms of repayments.

HUF 5 million for 84 months duration

based on article of divany.hu
translated by Zsófia Luca Szemes

Photo: penzugyikisokos.blog.hu

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