Cash loans are a very useful financial product, which in many cases can improve our financial situation or enable the purchase of a more expensive product.
Unfortunately, often made mistakes mean that the loan can also become a source of debts and problems. We present the main sins committed by borrowers.
One of the basic sins is the borrowers’ lack of basic financial knowledge
This can lead to many mistakes and problems with paying off the loan.
Most customers misinterpret the nominal interest rate as a cost indicator for the loan. When choosing an offer, you should pay attention to the APRC, because it is this indicator that informs about additional costs such as commission or insurance.
Borrowers often do not read the details of the offer based only on the information available in the advertisement. This is a big mistake that can lead to many disappointments.
Rushing and making decisions based on emotions is a serious sin. Choosing the best loan requires a cool head and checking at least several offers.
A very serious mistake is taking another loan to pay back your liabilities
This is the beginning of a spiral of debt that can destroy any financial stability.
Half of Poles do not have savings for a rainy day. Experts have been alerting for many years about the need for a financial cushion that can replace a loan in an emergency.
Debtors do not cooperate with a loan company or a bank. This makes it impossible to find a common compromise and leads to bailiff execution in a straight line.
Many borrowers do not have adequate financial knowledge. Lack of grounds is very dangerous and may be conducive to numerous errors in taking loans.
Loans are often taken out for whims
The interest rate and additional costs are a loss for our portfolio. It is better to save money and buy a product for some time.
Borrowers do not critically assess their financial standing and do not wonder if they will be able to pay back the debt. This, however, gradually leads to debt.