Consumer lending is a fairly common service today. Taking money from the bank, you can buy what you want and not save for it for years. But at the same time, you need to know how much you will need to overpay for such a pleasure.
Instructions
Step 1
Take a piece of paper and write down the following information on it: the amount of money you borrowed, the amount along with interest that you will need to pay to the bank and the period for which you took out the loan. All these data you can see in the loan agreement.
Step 2
Now, to calculate the annual interest on your loan, from the total amount along with the interest that you will need to pay, subtract the amount that you took from the bank. Then divide the resulting value by the loan term (in years) and multiply by 100%. The resulting number will be the annual interest rate.
Step 3
You can calculate the annual interest rate on a loan in another way. To do this, add up all the monthly payments according to the schedule. Then add the amount of the commission to the result, if you paid for it. In addition, if the loan was issued to you in the form of a credit card, add an additional amount of annual maintenance for this card. Further, the total value is multiplied by the interest on the loan specified in the agreement, divided by the loan term (in years) and multiplied by 100%. You will get the value of the "effective" interest rate, that is, the one that you pay the credit institution for the use of funds.
Step 4
If, when applying for a loan, you took out an insurance service, you will also need to pay a certain percentage for it. Therefore, carefully study the loan agreement, especially the information written in small print.
Step 5
In addition, if you paid a commission to the bank when applying for a loan, you can return it both after paying the full amount of the debt, and immediately after receiving the money. To do this, in a free form, write a claim for a refund. If the bank refuses to satisfy your claim, you have the right to go to court, but, as a rule, banks do not bring the case to court and return the money.
