How to choose a loan? Before the equipment loan, you should answer these questions:

1. How can you afford to pay per month?
Do not ask for a loan before, until you have a clear idea of ​​how much of your income you can afford to use the monthly installments. Calculate it simply: From your net monthly income Subtract all monthly expenses (rent, food, electricity, gas, water, school, etc.). What remains after deducting you can use as a monthly installment loans. However, we recommend you leave something even more as a reserve - for unforeseen events. Once you know how much you can afford to repay, choose the loan amount.

2. What you need to borrow?
Do not borrow more than you really need. At each loan, you can choose several different lengths of repayment. The longer the maturity of the loan you choose, you will lower your monthly payment. For example, if you can pay € 50 a month and you need to borrow € 1,000, choose a better loan with a maturity of 36 months and repayment in the amount of € 44, as a loan with a maturity of 24 months and higher repayment of € 55. If you need to borrow € 1,000, rent a € 1,000 and no more. Installment of € 50 can repay the loan even higher, but you will pay much more.

3. It is better secured or unsecured loan?
Loans are granted in higher amounts as unsecured loans and usually have somewhat better conditions (interest rates). If you plan to take out a loan in 2000 and 3 000 €, you do not need collateral. At higher loan if you are not asking for a loan as a married couple, the security condition. It requires either security guarantor or collateral real estate. Whether the loan is secured or not, you must always be able to repay. Whether or not you get a loan, it decides on the basis of documents submitted by the creditor (the person who lends you money).

4. Insure your monthly payments or not?
Insurance monthly installments is definitely beneficial if you take out a loan for a longer period of time. If you are sure that during the loan repayment will not lose your job, you need a basic insurance or do not have insurance at all. If you take out a loan for more than a year or two and you're not sure whether your employer does not pass, we recommend insurance.