Monthly Archive: June 2019

Pay off your overpriced loan

Almost everyone knows that borrowing money costs money. In return for lending money, the bank asks for interest. In addition to paying off the loan, you also pay interest every month. This means you always pay back to the bank more than you borrowed. So paying off your loan pays off. After all, you no longer have to pay interest to the bank.

Easy to say, but how do I do that?

Easy to say, but how do I do that?

Postal credit is happy to help you pay off your too expensive loan (s). We have listed a number of useful tips for this:

1. Use your savings. For years, inflation in the Netherlands has been higher than the standard savings interest that you get on your savings. If you have saved money in recent years, then this is probably worth less. On the other hand, you do pay interest to the bank for the money that you have borrowed. With (part of) your savings repaying (part of) your loan, you ensure that you pay less interest. Note: keep a safe buffer in savings for unforeseen expenses.

2. Interest rate reduction Borrowing money costs money. But borrowing money can often be cheaper. Therefore, look critically at your existing loan or credit. View how much interest you pay on an annual basis and then see if this can be taken out elsewhere at a lower interest rate. The less interest you pay, the more money you have left to further repay your loan.

Did you know that with: being red at the bank, using a credit card or shopping online for credit (the so-called shipping house credit), high interest rates are charged? Up to 15%!

3. Prevention is better than cure As we indicated above, when standing at the bank in red, using a credit card or shopping online for credit, interest rates of up to 15% are charged. If, in 2015, you can prevent yourself from turning red or pay for online orders directly, then you will also prevent money from being charged by these high interest rates. Prevention is always better than cure.

Tips for transferring your loan

Tips for transferring your loan

Tip1. Compare the interest rate. Of course you don’t want to pay higher interest.

Tip 2. With loans there are also differences in type of loan, term and monthly term. Make sure you do not compare apples with pears.

Tip 3. With a personal loan, a penalty for early transfer is often charged. Bear in mind that your interest saving must be greater than the amount that you have to pay as a fine.

Tip 4. Are advice and closing costs charged? You can choose to pay this but it is not necessary. There are also intermediaries who do not charge these costs.

Such as postal credit

Such as postal credit

We always offer you the lowest possible interest! No hidden costs. If you want to borrow money, you can request a quote from us free of charge and without obligation. We will then let you know as soon as possible, usually within 24 hours, at what interest you can borrow. Request a free quote today.

A residual debt and now?

It’s time. Your property has been sold! For many people that is a big deal. The average home is soon for sale for more than a year. But with the sale of your home, you are usually not completely rid of your mortgage. In many cases, a residual debt remains.

A residual debt is the debt that remains when a house yields less after the sale than the mortgage debt that exists. So if, for example, you sell a house with a mortgage of € 250,000 at a price of € 200,000. Then the remaining debt is € 50,000; the difference between the proceeds and the mortgage debt.

Because not everyone has the option to pay off the residual debt with their own resources, I will discuss the possibilities that you have to finance a residual debt in this blog.

Option 1: You make a (residual debt) arrangement with your mortgage bank

Option 1: You make a (residual debt) arrangement with your mortgage bank

In consultation with the bank where the residual debt remains, you will find an arrangement whereby you will repay the debt in installments. Often at a considerably higher interest rate than the interest you paid for your mortgage. Your mortgage bank is not obliged to cooperate with a residual debt scheme.

Option 2: You take the remaining debt with you in a new mortgage

Option 2: You take the remaining debt with you in a new mortgage

When you buy a new home and finance it with a new mortgage, many banks offer you the option of financing your residual debt within this new mortgage. Of course you must then meet the mortgage standards.

Option 3: You finance your residual debt with a revolving credit

Option 3: You finance your residual debt with a revolving credit

You can also choose to finance your residual debt with a revolving credit. In this way you opt for flexibility. With a revolving credit, you can always pay extra (fully or partially) without penalty. You may also withdraw the amounts that you have repaid (extra). Only the interest that you pay on the amounts withdrawn is not tax deductible. Other features of a revolving credit are:

* You have a variable interest rate and term
* You only pay interest on the amount withdrawn
* You pay a fixed monthly installment (2%, 1.5% or 1% of the credit limit)
* Your monthly installment consists of interest and repayment

Option 4: You finance your remaining debt with a personal loan

Option 4: You finance your remaining debt with a personal loan

In addition, you can choose to finance your residual debt with a personal loan . With this you opt for certainty; the certainty of a fixed monthly period, a fixed interest rate and a fixed term. You can therefore perfectly match the duration of your personal loan to the maximum term that you may deduct your interest for tax purposes. Other features of a personal loan are:

* You borrow a fixed amount once
* You know in advance where you stand
* At a number of banks, you may recently repay without penalty

The interest is tax deductible

The interest is tax deductible

It has just been mentioned, the interest you pay on your residual debt is tax deductible. This applies to both a revolving credit and a personal loan. The condition here is that the residual debt arises after October 29, 2012. Since 1 January 2015, the period that you may deduct this interest has even been extended from 10 to a maximum of 15 years! So make sure that the maximum duration of your loan is 15 years.

Obtain information in advance

Obtain information in advance

In any case, it is important that you are properly and timely informed about the options for financing your residual debt. Even if your home has not yet been sold, that is wise. After all, you want to know what awaits you. The CreditPostol partner banks can also issue an agreement for a residual debt loan, subject to the definitive sale of your home. This way you know before you start selling the property that you have arranged your residual debt financing properly.

Of course at the lowest possible interest and without closing or consultancy costs. As you are used to from CreditPostol. Do you have questions about your residual debt? Or do you need help with taking out a residual debt loan?

 

Pay off debts with personal loan

If you want to pay off your debts in one go so that you only have to deal with one party, the personal loan may be suitable. Simply put, you get a personal loan by requesting one or more quotes. Yet it is good to know why you exactly want a personal loan. The personal loan is one of the most common loans in the Netherlands. This loan is popular because your personal needs and wishes are taken into account. The usually lower interest rate on this loan is another reason why this loan is so popular. The interest on the personal loan is often not only low, but is also often fixed for the duration of your loan.

The personal loan therefore offers more certainty in the area of ​​interest rate risk than, for example, a revolving credit. The amount that you pay in installments and interest per month is therefore fixed. This is an advantage because you will not be faced with unpleasant surprises, but this can also be a disadvantage because early repayment is prohibited and entails a fine. If you need money for a renovation or the purchase of an expensive product such as a car or motorcycle, the personal loan can be a good solution. The low interest rate and the security make the personal loan a form of borrowing that is very popular.

Exactly how much money do you want to borrow?

Exactly how much money do you want to borrow?

If you want more money without having a specific goal, then a revolving credit is suitable for you. With a revolving credit, you can have an amount of money that you indicate yourself, provided you receive the loan. You can withdraw money from your account when and how much you want. You can also repay the borrowed money without penalty whenever you want, but you can also withdraw the money if you wish. Because you can pay off without penalty, different lenders also charge different interest rates that can often be higher than with a personal loan.

On the other hand, the advantage of a revolving credit is that you determine how long the term of the loan is because you pay off when you want. That is why it is called a revolving credit. If you compare revolving loans, it is most important that you ensure that the loans you compare have the same term. You can easily consult various providers online and you will know within 10 minutes how high the interest is and luckily this is also completely free of obligation.

Why should you not opt ​​for the personal loan?

Why should you not opt ​​for the personal loan?

One reason why you should not opt ​​for a personal loan is that it is not usually possible to borrow money. This means that with a loan of 10,000 euros you can later borrow another 2,000 euros with the same personal loan. This is restrictive on the one hand, but also safe on the other so that you do not keep borrowing money. Another side effect of the personal loan is that you have to pay a fine if you want to repay early.

This ensures less flexibility. This fine exists because the lender wants to be compensated for the fixed term of your personal Loan. The bank misses out on interest income because the loan has a shorter term due to the early repayment. Reasons why people do borrow money through a personal loan are: the low fixed interest rate, the security and the fixed monthly charges. The interest rates of different credit providers differ and that is why it is easiest to inquire online with the provider to know exactly what the requested interest rate is.