With these tricks, getting the right loan will be a piece of cake.
The right loan can make life a lot easier. It can let you buy the house where your family will make a home, or it can fund the education that leads to that career you’ve dreamed of your whole life. When it’s managed right, a good loan’s a huge opportunity and a great investment. Bad loans, on the other hand, can cost more than they should and, at their worst, they can feel like a prison.
These 5 tips will help you get the loan that’s right for you.
Take your time
Rushing into a loan is a recipe for a bad experience. There’s nothing glamourous about reading the fine print or researching loan options, but doing your homework will pay off in the long run. A loan’s a long-term commitment so it’s wise to consider all the angles before you take the plunge.
- Know your budget
If you don’t already have a budget now’s a great time to start one. A clear picture of your expenses today will show you how much you can take on in monthly loan payments. If your loan breaks your budget, it could mean years spent struggling to make your payments and get out from under that debt.
- Know your credit score
Your credit score has a big impact on the loan you can get. If you know your score before you go loan shopping, you’ll be able to save time by weeding out offers you won’t qualify for. So taking some time to find out your credit score can save you time in the long run. Both Equifax and TransUnion are reputable resources for finding out your credit score.
- Know your stuff
Secured or unsecured, fixed or variable rate – there’s a lot to know about loans so take the time to learn as much as possible. It’ll give you a better idea of the kind of loan that makes the best sense for you. Consider fees, payment schedules, eligibility requirements, and the application and approval process as well as annual percentage rates (APR) when you’re shopping for a loan. And if rates look a little too good to be true, there may be some strings attached. Know all the facts before you commit.
Shopping for a loan can be intimidating, but try not to let it get to you. If there’s something about a loan product you don’t understand, ask us about it. You can call our Contact Centre at 1.866.863.6237 with any borrowing question. The last thing you want from your loan is a surprise, so it’s good to cover your bases before you sign anything.