When the power of a laptop begins to deteriorate after a few years, the battery becomes weaker and the computer slows down and stumbles, it means for many computer users that it’s time to buy a new one. More exposition at 123web-directory.com
The installment has its challenges and temptations
A good computer costs hundreds, even thousands of euros, and many suddenly have no such amount. Many stores today offer installment as a convenient option, sometimes even interest-free. However, there is always a risk in buying loan money, whether it is interest-free or not.
Benefits of installment
A consumer loan or installment loan is a convenient way to finance even your big purchases, as the monthly installment is easily tailored to your situation. Frequently, for example, consumer electronics or home appliances are purchased in installments, as the cost of a single device can be high. You can get a more expensive device instantly, often for as little as a few tens of euros a month.
Consumer credit risks; the final price of your purchase may increase significantly
Installment shops and electronics stores may charge a very high interest rate on the installment option. An attractive deal for a small monthly installment can be surprisingly expensive when the payment terms are on a small print and are ignored at the time of purchase.
Remember, however, that when you sign a installment agreement, you agree to the terms of the lender.
Is it worth taking an interest-free loan?
Some companies also offer an interest-free installment contract as a financing option. Even though the loan is interest-free, you often have to pay off your debt on a regular basis, so be cautious about it. Is your financial situation such that you are able to repay the loan on time every month?
Is your financial situation such that you can repay the loan on time?
If you are late with your payments, you will most likely have to pay a high interest rate on the loan, which was initially interest-free. Many lenders also charge a variety of late fees, which can be very high.
Non-interest bearing loan money also has a lower threshold to make expensive purchases when you don’t have to pay for the purchase right away.
NOTE! Also, a non-interest bearing loan does not always mean a free loan. The loan may also have other costs in addition to interest, such as handling costs or opening fees
What is the Plarna invoice?
There are also service providers on the market that offer the option of paying for the product purchased by invoice. For example, Plarna Invoice, Kliro, or Collector work with many online stores, and often you can only buy a product by entering your personal ID number and address.
Plarna often offers a payment period of 14 days, and if you pay the bill on time, the costs are usually moderate. This option is recommended, but only if you pay the invoice on time. Plarna usually charges a reminder of five euros plus a penalty interest (usually a reference rate of + 7%) and, if not paid within a reasonable time, passes to the debt collection agency. It is worth paying attention to the type of contract you agree to when making online purchases.
Loan comparison worthwhile!
The best way is to always save first and then buy a new computer or other major purchase. So keep this in mind: When you find that your current computer, two or three years old, is going slow and old, it is wise to start saving by, for example, spending a little money on a monthly basis for future purchases. This way, your finances will stay in the long run.
For example, you can use our Excel budget to save money.
Of course, there are sometimes unexpected needs, and not all major purchases can always be anticipated. For example, if your computer suddenly breaks down and you need it every day, nothing more than buying a new machine will help, even with a loan if you don’t have the money to save.
However, remember to compare the loans first so you know where to get the loan amount you need at the lowest possible rate (at the lowest actual annual rate) and at the terms that are right for you. You can quickly compare our free loan comparison.