When a person takes out a loan, in most cases he is offered two payment options - annuity and differentiated. They differ from each other in the principle of principal repayment and interest payments. It is important to understand that each of these options can be beneficial under certain conditions.
Instructions
Step 1
Pay attention to the difference in the payout structure. A differentiated loan involves dividing the entire principal debt into the same number of parts and accruing interest on the remaining amount. In this case, the amount of payments is recalculated every month and gradually decreases, as the interest payment becomes less and less. When choosing an annuity loan, on the contrary, a person pays the same amount every time, i.e. the bank calculates the main monthly payment and does not reduce it until the debt is repaid.
Step 2
Take into account the difference in the calculation of interest on the loan. In case of differentiated payment, a percentage of the principal is accrued, and as the amount of the remaining payments decreases, the amount of interest payment decreases. An annuity payment involves a completely different payment scheme. At first, a person pays almost only interest, paying off the minimum part of the debt. Over time, interest payments decrease, and payments on the principal debt - grow, moreover, this happens evenly. At the same time, the amount of the payment remains the same. For example, in the first month a person can pay 5000 rubles. by interest and 1000 p. from the main debt, and in the second - 4000 rubles. by interest and 2000 rubles. out of the principal.
Step 3
Estimate the monthly payment. With a differentiated loan, at the time of repayment, the debtor pays a relatively small amount, but at the very beginning, the monthly payment is higher than with an annuity loan. This feature is important to take into account for two reasons. Firstly, if you cannot allocate a large enough amount to pay off the loan, the annuity payment will be more profitable for you. Secondly, when choosing a differentiated loan, the total amount that the bank will be willing to give will be lower than if preference is given to an annuity loan. This is due to the fact that bank representatives take into account the maximum monthly payment when determining the amount that can be issued to a client.
