How much credit can I take
How much credit can I borrow?
Exact examination of your financial situation is the A & O in all credit checks and therefore essential for the credit decisions of your house bank. As every individual company or the federal government must carefully record its income and expenses, it is also advisable for private use to obtain a complete overview of all income and expenses.
With the help of a so-called budget book you not only get a sincere insight into your own financial resources, but also a realistic assessment of your financial scope for the repayment of a possible loan. The loan terms (amount of the loan, terms, interest rates, monthly installments) depend largely on your financial strength. There are no simple rules of thumb for maximum loan amount or monthly payment due to the variety of loan types, financing goals and revenue situations.
Inquire with your bank about your borrowing needs and related conditions. With the household calculator, you can get a first impression of your financial scope:
How much credit can I spend?
An expensive purchase is imminent, but I need a loan for the living room furniture or e-bike. How high my monthly rate is, the answer to these questions decides – four calculation examples. We need a loan. Sofa, TV, sound system, flooring, coffee table and TV cabinet cost around 12,000 USD.
A lot of coal, the teacher dr. Ulrich and dr. Stephan, who work part time with parents, do not spend immediately. The same applies to Constantin Meier. But the pretty copy cost just under 5,000 USD. In order to earn the noble part of the money, he also needs a loan. The two, Peter and Robert LP Ridder, raise the question: how long should the deadline be and how much can I pay out, including interest, per month?
What is still there at the end of the month? To answer these questions, Peters’ and Mr. Lutz PL Ridder need to know how much they will have at the end of the month. This results in the amount of the monthly partial payment. For Mr. and Mrs. Peter, who live in their own house with two children, this is like this:
Miss Dr. Ulrich earns 3,100 USD gross, her husband dr. Stephan works part time and receives 1,100 USD after tax deduction. For the two orphans, the federal government still transfers 384 USD. You do not have to pay any rents in your home, but the mortgage loan for condominiums consumes USD 1,400 per day started, plus USD 300 per day.
In addition, the host family has a variety of insurance policies, the annual premiums are calculated on a monthly basis – including insurance for two vehicles, liability insurance, legal expenses, dental services, disability and moving goods. As a civil servant, Mrs. Peter has to take out private health insurance. This results in a monthly total of 800 USD. For subsistence costs such as electricity, food, internet access, television and television, Peter’s pay 1500 USD per year.
At the end of the month, the whole family will have 584 USD to bring to the new living room furniture. The spouses take the loan together, as a second borrower additionally protects the house bank. In addition to the annuity loan, he does not want to take out another long-term loan and therefore repay the loan within a maximum of two years.
It is a credit with interest-based interest, ie the house bank determines on the basis of the information on the financial position, at which interest rate the loan to both. The monthly fee would therefore be 518,10 USD and thus in the range of 584 USD. However, the family’s available money would be reduced to $ 65.90 per calendar month.
In addition, she and her daughter do not want to give up their annual leave. In the longer term, the host family would have to pay USD 216.70 per month for the loan for five years, leaving USD 367.30 of USD 584. 4,407.60 are booked as vacation or other expenses at the end of the financial year.
Depending on the loan agreement and the financial institution, Peters’ may make a special repayment and reduce the remaining debt. Mr. L. Ridder does not need much time for his long-awaited acquisition.
However, he has no second debtor at his side. No. His earnings amount to 1,900 USD per month and year. His 2.5-room apartment is worth 850 USD and as a passionate cyclist he has no own vehicle. Every day he pays 170 USD for insurance and membership, for example in his gym. He also spends on average 660 USD per month for food, drinks, hygiene products and leisure activities such as admissions or club trips.
At the end of the month he has 220 USD at his disposal. Due to the time limit, she prefers to repay her loan within two years. It would remain a budget test of 2.40 USD per calendar month. Pay off deposits without secured income? Therefore, he checks whether he wants to repay the loan within 48 months.
However, he can not report regular income for the past year of the loan period. This reduces the amount of the monthly fee to 113.20 USD. After deducting the monthly loan installment, he has 106,80 USD on this bill of free choice – a better buffer than in the above scenario.
Assuming that the bike is only offered for three days as part of a special offer, Mr. L. Ridder would certainly need the necessary capital, but has to move to another house bank. It must be calculated at a monthly rate of $ 117 million at an effective rate of 5.59 percentage points per year. Four times a year, he pays four USD more per day, but he can take advantage of the special offer.
Because the bike will cost USD 6,000 at the end of the campaign, the full digital credit pays off. In both cases, it would now be slightly more than 100 USD per calendar month as a cache. If he saves it for a year, he has 1,200 USD on hand to reduce the remaining time to maturity early.
He should therefore consider signing a loan agreement that allows for unscheduled repayments. Regardless of the period in which the entreprenUSDial family Peter or Mr. L. Ridder decides, their monthly disposable income includes the monthly loan interest in each of the mentioned areas. You can easily recharge your new living room furniture or bike with credit.
The faster the quota, the harder it would be for the actors to respond to the short-term costs. If the parties subsequently have to take out another loan while still paying off the current one, debt debt repayment may be an option. This would be useful, for example, if they were offered the new loan on more favorable terms.
So that the own available money at the end of the month is visible at a glance, the Fam. Peter could be led a household book. As a result, they have the opportunity to tap further savings potential and thus increase their available gross income despite the credit burden. The same applies to colleague.