Today, stores that sell mobile phones, household appliances, furniture and other consumer goods, which are not always possible to buy immediately at their own expense, from time to time offer to issue an interest-free loan for the thing they like. Most often, interest-free loans are offered during the holidays, when people buy gifts for their loved ones. Many citizens, under the influence of the pre-holiday euphoria, “bite” at such tempting offers, not noticing the catch.
Bank disguises
Despite the fact that the truth about free cheese is well known to everyone, some citizens still hope for such gifts of fate. But, unfortunately, interest-free bank loans are impossible, because it is the interest charged from the borrower for using the loan that is the main source of income for any bank. Advertising loans without overpayment is just a marketing ploy. In fact, interest on such a loan is paid, they are simply called differently. This can be a commission for maintaining an account, for reviewing a loan application, for cashing funds, etc. Quite often, interest "hides" behind the concept of a down payment. If you add up all the costs of applying for an interest-free loan, then the total amount of overpayment may turn out to be even more than with a standard consumer loan.
Interest-free credit in the store
Some merchants also resort to similar promotions, offering buyers to issue an interest-free loan for the goods. The buyer, having come to the store, does not know that this product was 20% cheaper before the promotion. Before ordering goods on credit, carefully study the debt repayment schedule, paying special attention to additional payments and commissions. If any point in the loan agreement raises doubts, then ask questions to the loan manager until it becomes clear to you. Having found out the overpayment on such an interest-free loan, compare it with the amount of interest that you would pay the bank on a classic consumer loan. If an interest-free loan turns out to be too expensive, then it makes sense to look for other, more advantageous loan offers.
