With low interest ratesNow is a great time to finance your dreams. Whether for personal or business projects, you'll spend less on interest. In December 2024, the average rate for personal loan has fallen to 7.90% per month. That means cheap credit to buy things or invest.
When the Selic rate falls, as it is now at 12.25% per year, loans become more attractive. This is the best time to take out a loan. You can buy a house, a car or make different types of investments.
What is a Personal Loan?
One personal loan is a type of credit that gives you money without you having to explain how you're going to spend it. It's quick and easy to get approved.
Definition of Personal Loan
With the personal loanYou receive a fixed amount of money to use as you wish. This means freedom to meet different needs. For example, Nubank allows you to start paying after 90 days, with the option of paying in installments for up to 48 months. Banco Bmg, on the other hand, deposits money into the customer's account within 24 hours, providing convenience.
Main Features of Personal Loans
The main features of the personal loan include:
- Flexibility of use: You can use the money however you like, whether it's to pay off debts, travel or pay for medical expenses.
- Variety of installments: Financial institutions such as Nubank offer installments of up to 48 months. Banco Bmg allows installments of up to 24 months.
- Customized interest rates: Rates change according to the customer's profile and the number of installments. At Nubank, they start at 1.29% per month.
- Quick release of credit: Banco Bmg releases it within 24 working hours. BV releases in a few minutes.
- Simplified documentation: Generally, all you need is your ID and CPF.
Advantages of Personal Loans
A personal loan has a great advantage: freedom to use the money as you wish. This means you can use it to renovate your home, pay for studies or any other need.
Flexibility in the Use of Money
This type of loan stands out for its flexibility. You can use it to pay off debts, make home improvements or invest in your education. And with so much choice on the market, you think low interest ratesmaking it an economical choice.
Ease of hiring
Getting a personal loan is quick and easy. Many banks have digital processes so you can do everything online. This allows you to get the money quickly. And if you already have a bank account, you can get pre-approved credit based on your history.
Possibility of Early Discharge
You can also pay off the loan early. This can save you a lot on interest. Many find this option good for reducing total costs.
Personal loans are practical and affordable, with advantages such as flexibility and ease of contract. Evaluate the conditions carefully to choose the best option. A early discharge can be a way of saving money, if your financial situation allows it.
How to Choose the Best Interest Rate
To choose the best interest rate for a personal loan, it is essential to analyze it carefully. It's crucial to think about several aspects. This includes what the banks offer and the Total Effective Cost (CET).
Search Different Financial Institutions
Start looking for the best interest rate at different institutions. Banks and cooperatives have different offers, so it's important to be aware of these variations. Some places can charge interest of more than 20% per year.
On the other hand, consigned loans have lower interest rates, between 5% and 10%. Generally, the interest on payroll loans is lower than that on personal loans.
Compare offers and conditions
It's essential to compare loan rates, terms and extra costs. Good research will help you find the best option for you. Look for good interest rates and fair terms.
Also consider the consignable margin, which can be up to 45% for those who receive INSS and 40% for those who are CLT. This will help you make an informed decision.
Analyze the Total Effective Cost (TEC)
Check the Total Effective Cost (CET) avoids budget scares. O CET shows all the costs of the loan, including interest. Comparing the CET of various options clarifies what you will pay in the end.
The following table shows what to consider when compare loan rates:
| Financial Institution | Annual Interest Rate (%) | Type of loan | CET (%) |
|---|---|---|---|
| Bank A | 25% | Personal loans | 27.5% |
| Cooperative B | 18% | Consigned | 20.2% |
| Financial C | 22% | Personal loans | 24% |
The Impact of Interest Rates on Your Decision
Interest rates are essential when choosing a loan. It's vital to know how they affect the total amount to be paid. It's also important to check out different offers before deciding.
How Fees Affect the Final Payment
Interest rates greatly alter the final value of a loan. For example, a loan of R$100,000 at 5% a year will cost R$105,000 in the end. The higher Selic rate makes loans more expensive, discouraging spending.
It's crucial to plan with these fees in mind. That way, you avoid budget surprises, especially when buying big-ticket items like cars and real estate.
The Importance of Buying Offers at Different Times
Comparing offers over time can save you a lot of money. When interest rates are low, credit becomes cheaper, boosting purchases. But if rates rise, everything becomes more expensive, from food to fuel.
Serasa Crédito helps you find loans with lower rates, according to your financial profile. This allows you to take advantage of the best conditions on the market to make a good choice.
Documentation needed to apply for a loan
To apply for a personal loan, you need to show certain documents. These will help in the analysis and approval of your loan.
Personal Documents and Proof of Income
You will need your ID and CPF, proof of income and where you live. For those in permanent employment, pensioners and civil servants, they need to show their payslips. Self-employed people, entrepreneurs and freelancers need bank statements for the last three months. Property and IPTU documents are also required. All this makes the loan go through faster and more efficiently.
If you have to file your income tax return, don't forget to keep it up to date. It's essential to avoid problems.
Credit Analysis and Financial Histories
A credit analysis checks that you can pay back the loan. It looks at your past debts and how you pay your bills. The credit score comes into play here. The better it is, the better your loan conditions will be. Proof of how much you earn is also essential.
Banks need proof to see if the loan fits in your pocket. With a property or car guarantee, interest rates can be lower.
Tips for Using Loans Efficiently
To make good use of a personal loan, start by creating a PAYMENT PLAN feasible. Think about what you spend every month, what you earn and what other debts you have. Using a simulator to see how much the installments will be is smart. It helps you avoid financial problems.
Establish a Payment Plan
Having a PAYMENT PLAN organized is very important. You need to be clear about how much you can afford to pay each month without breaking your budget. Doing simulations before taking out the loan can prevent money scares.
Don't Commit Your Entire Budget
The loan shouldn't take up too much of your monthly budget. Using credit wisely can get you into less debt. This happens when people follow conscious use tips. Avoid spending all the credit you have and control your debts so you don't have any bad surprises.
Periodically review your financial situation
Looking at your finances from time to time helps you adjust your budget if you need to. This way, you can avoid problems when paying back the loan. Keeping a tight and current budget makes you ready to deal with unexpected expenses and pay your bills without stress.
A personal loan can help you realize your plans or deal with unforeseen events quickly and easily. Evaluate the conditions and choose the one that best suits your needs. For more information and simulations, visit the Itaú!