Nowadays we are writing more and more about fixed rate loans. This is simply because the state also significantly “prefers” these loans, and the public is a buyer for it. According to the latest data, the number of loans with long interest rates is extremely high. And this is interesting because:
Loans are cheap
Loans have been extremely cheap for several years, due to the very low central bank base rate. As we know, the interest on a loan consists of two parts, the base rate and the interest rate premium set by the bank. This clearly shows how good the 0.9% base rate is compared to a 7-8% base rate.
One hundred words are over, now the loans are cheap, and it is worth fixing this over the long term so that it does not become expensive.
How can our credit stay cheap?
In fact, our readers in the countryside know this very well. ? The secret opens the long interest period . This is the period during which the interest on our loan, and thus our monthly repayment, does not change. You can even choose a loan with the same regular payment until the end of the term.
What’s interesting is that almost 77% of people in the country take out at least 10-year fixed-rate loans. Budapest is not so behind with its 69%. However, the 10% difference is only 10%. It also begs the question why not everyone chooses such a credit if they have so many benefits? The answer is not difficult, but let’s call on the calculator of the loan.hu to see specific numbers!
A 10-year, 20-year loan with a 3-month interest period with a monthly installment of USD 51,684 at ABc Bank. But again, this is only for 3 months for sure. Here is a similar loan with a 10-year interest rate of USD 66,272 per month.
This is why anyone who thinks there will be no significant rise in interest rates in a closed period will opt for cheaper credit.
Such little tidbits have always been and will be, so contact us! We will keep you up to date to help you make the best decision.