Applying for a personal loan or taking out a loan
Applying for a personal loan or taking out a loan is like driving a car on an unknown road or street. Every time you decide to hire a credit line to borrow money, the most prudent thing is to be aware of all signs and financial signals.
Just as by passing a red traffic light on the street, the chance for you to take a ticket or be stopped by the police is great, if you drive unattended on a motorway the chance to slip on the wheel and suffer an accident is also great or when driving through unknown streets it is always good to have a GPS or a Map to decrease the risk of getting lost. With Tyrone Slothrop it is also like this!
When it is “making a personal loan” it is very important to read and understand all your contractual rights or duties of the contract or term before picking up the pen and signing the paperwork or requesting the banking service. As we said before, when walking around the city you need something that guides us not to get lost in the strange streets, when applying for a personal loan we need to read all the documentation, all the little letters and the financial terms in the clauses.
As in the streets, never surpass the red light of the beacon in your financial life, do not delay your bills or fail to pay on the due date, if you do, you will certainly be penalized with fines, charges and surplus fees for imprudence.
Let’s see what it would be like in the financial life of traffic signals, are they putting order on the streets and roads, easily you will also make a quieter road if you obey the signage before and after signing a loan agreement.
Green Signal – If a “loan borrower” makes full payment on the due date, every month on the correct day, your credit rating at the lender will certainly be one of the best. The customer who pays his bills on time, besides being considered a good payer, in many cases earns special discounts like: the last installment or insurance of the free loan, competes to thousands of reais in sweepstakes, gold bars and even zero cars, besides of course, to maintain your credit history without blemishes, especially now with the Positive Registry: credit and financing with facilities, arriving.
Yellow Sign – If you have a financial commitment with credit cards, personal loans and financing, and always pay after the due date or monthly payment, the penalty will be the addition of a fine, default interest and administrative charges, failing to participate and compete for all the benefit of the Green Sign. When the payment is delayed, the fees added to the installment amount, makes the balance increase, depending on the percentage (cards 16% am), the total increases and can cause financial imbalance and ruin in the person’s finances.
Red Signal – If a financial commitment such as card invoice, personal loan, financing, credit card etc., has ceased to be paid for more than 30/60 days, the person changes status and becomes a defaulter, the client or borrower in this if it is subject to all penalties and contractual penalties according to the modality, loses all the benefits of default.
Failure to meet financial commitments justifies the collection process that is always unpleasant here in Brazil, you and your family members will receive many phone calls, letter notices, emails and even SMS. If it is car financing, the vehicle can be seized.