Credit to compensate for overdraft facility
The overdraft facility, which is actually called the overdraft facility and is offered by all banks in connection with a checking account, is an overdraft facility that is granted with a good credit rating of a maximum of two net incomes. The availability limit is connected directly to the checking account and can be used individually. If you do not exhaust the overdraft facility, there will be no interest on the provision. However, if you use the overdraft facility partially or even completely, the bank will charge you an interest rate that is on average around 11 percent. Depending on the bank and offer.
Since 11 percent is quite a lot, many consumers are considering whether they would be better advised to take longer borrowed money if they take out a loan to compensate for overdraft facilities. So a simple installment loan that is already available with an effective interest rate of 3 percent and that makes it possible to compensate for the expensive overdraft facility. There are various options for this.
Can everyone concerned use a simple installment loan?
The offer of an installment loan is generally available to anyone interested. In the end, whether you can use one to implement your credit to compensate for overdraft facilities depends on your credit rating. If this is so good that a loan can be approved and you can also show a fixed income, there will be no bank that will deny you an installment loan. You can then record it in any amount and on very good terms.
However, if there are problems, then it is worth considering adding a guarantor. This can be particularly useful if you need a larger loan amount for your loan to compensate for overdraft facilities. Even if you have a good credit rating. The additional person ensures that your requirements for borrowing are assessed even more positively and that the effective interest rate is particularly low at best.
Do not enter into a loan agreement without comparison
Even if the overdraft is already under pressure, you should take enough time to find a suitable loan offer. Do not get involved in the first offer. Also, do not necessarily take out the installment loan from the bank where you use the overdraft facility. It knows your plight and could take advantage of it by submitting a less attractive offer for the installment loan. After all, the bank earns less from you if you replace the expensive overdraft facility with a cheap installment loan.
For a good comparison around a credit to compensate for overdraft facilities, we recommend using a comparison calculator, which you can find here on the Internet. Simply enter a few key data about the loan you are looking for and you will be presented with the latest offers within a few seconds. You will notice that the cheapest offers often come from banks that only act as direct banks. You can only be reached via the Internet.
However, this is not a problem since the loan offers are as safe and reliable as those from your house bank around the corner. You will also receive all documents for applying for the credit to compensate for overdraft facilities online, so that you do not have to go to a bank and ask for advice. You will receive offers with a very low effective interest rate and excellent repayment options.