WHAT ARE THE BEST PERSONAL LOANS?
TAE types lower, but must pay careful attention to the commissions and bonding.
The wave of reductions of interest rates that apply the financial entities to mortgages both the variable type as type fixed adds now a new battle in the field of personalloans. ING has been the last great player who has moved tab. He has reduced his loan Orange nominal interest rate from 6.95% even in the best of cases a 5.95%.
With a maximum amount of 40,000 euros and time of return lie between one and seven years, it’s one of the best deals in an increasingly competitive market where entities struggle in order to take advantage of the improvement of the situation of families and the progressive decline of late.
The range of possibilities is very wide and characteristics also varied. Half a dozen entities has offerings that are located from 5.61% to 9.76% APR. There is much to choose from in a segment, the personal loans, where the fine print matters a lot. What should we pay more attention to choose the best offer? What’s behind the advertising messages of entities? Extent to which the commissions are remaining profitabilityto these products?
–The offer. The big numbers of offers of financial institutions say that the rate annual equivalent (TAE) lower is situated in a wide fork between the 5.61% of the ‘loan now’ BMN and 9.76% of Openbank. But we must bear in mind that these types are thebest of each of the entities. In the higher ranges, types jump even at double digit in the case of BBVA.
–The TAE is the key. You must be careful with the form submit bids by financial institutions. Most only advertise their best offer and does so using the type of Nominal interest (TIN), which is always lower and less representative than the TAE.
Up to three among the best offerings below 6% TIN. However, it is not the best standard, since the TAE also collects commissions and expenses. Therefore, before you choose should take the calculator and rating the real costs of the loan.
–Commissions and bonding. There are three major types among the best deals. On the one hand, entities that do not have fees or impose conditions beyond level of solvency of the potential subscriber of a loan. It is the case of ING Direct and Cetelem credits. They are in a second group which charge commissions (2.90% of opening in the case of the ‘loan now’ BMN; 2,30% BBVA more a minimum of 0.5% per full or partial cancellation; and 2% opening in the Openbank).
And, finally, there are banks which do not stipulate commissions but yes require bonding to your customers, as Obama. In the case of BBVA and Openbank, they require both. At this point, we must remember that demands such as payroll or pension and receipts direct does not imply additional costs. But the recruitment of insuranceor credit cards Yes means an extra outlay which in practice can be expensive operations. Calculate to the millimeter to what extent compensates for choosing one or theother.
–How much and when. Another big key when choosing is the minimum and maximum amount that can be requested and the time of return. Openbank personal loan establishes an amount from just 600 euros. However, the majority of bids set a minimum amount of € 3,000.
On the other side of the scale, the maximum amounts are much wider hairpins, among the 6,000 euros of BMN or demos and the 40,000 euros of ING or the 75,000 ofBBVA. Return deadlines are also adapted to all kinds of needs. The Bank that Francisco González is also the most competitive in this section with a term of up to 10 years.
–You can download more? The improvement of the conditions of the loan orange isonly the last movement. Financial institutions will compete to arm split by a business that is much more profitable than the mortgage. Therefore, all indications are thatinterest rates will be more attractive.
According to the latest data from the Bank of Spain, the average price applied to a personal loans dropped to 8.43% Apr, in December of last year. It is low the level from the last month of the year 2012.