Think about this if you are going to borrow for the holiday – Fast Loan
The holidays are soon here and it is too much time to start planning. Will it be a week or two abroad or will the holiday be spent at home in Sweden with visits to friends and relatives? Is it a camping holiday that attracts the most or does a city weekend feel more attractive?
No matter how you intend to spend your vacation
The financial issue comes up quickly when you plan. If you do not have the money to pay for the holiday, it is an option to take out a loan.
It is never recommended that you apply for a quick loan or sms loan to finance consumption that is not absolutely necessary, but if you still choose that solution you can take some help from our tips below to minimize the risk of negative financial consequences.
Which loan is best for the holiday?
If you need a loan of a few thousand USD up to around USD 10,000, you have two options to choose from, namely classic fast loans with a very short repayment period and “hybrids” between fast loans and private loans that you repay in three months or even longer. If you need to borrow more than that, the alternatives are instead usually a “hybrid loan” or a regular private loan (“blanc loan”) with a bank or a credit company. As a rule, however, you must borrow at least USD 20,000 when you turn to one of the major banks or the major credit companies.
If you do not need to borrow more than USD 20,000, we would recommend that you choose a fast loan that you repay over 12 months or more. The cost of such a loan is in most cases lower than for a quick loan with 1-3 months repayment period. In most cases, the entire cost of the loan is also in the form of interest that you can deduct from the tax return.
Make a budget and follow it
All loans must be repaid in a timely manner and with the right amount – unless you can quickly suffer financial consequences that will cause serious damage to your personal finances. Our tip is that before you apply for the loan, you make a budget for the months before and after the holiday to see if you will have enough cash to pay the repayments and interest.
For example, if you take a quick loan of USD 10,000 with a maturity of 12 months, you will, on average, be paid USD 900-1000 per month during the term. Be sure to make sure you have the money available in your account before submitting your application.