Large section of the society avails loans from different institutions. It could be the short term loans for marriages or repairs to houses etc. Long term advances including the housing or business loans have to be repaid in many years as compared to the short terms advances. Repayment is a must and we have to give away a considerable amount from our income. Many a times we find it much difficult to spare the same.
Following significant tips can be of great help to repay the loans in comfortable manners:
- Plan a budget – Spend your hard earned money in responsible manners so that you are able to save the requisite amount of installment towards the loan repayment. Do stick to the budget and never cross your limits. Suppose you are unable to deposit the installment amount in time, you will have to bear the hefty late fees for the delay apart from some incidental charges. Buying groceries for cooking at home is better than eating outside. Avoid going to the cinema and prefer playing games at home or renting a DVD to see the movies. You can save plenty of money with this easy method. Why not drop your little kids at the school by taking them on your bike rather than hiring the school bus or auto rickshaw that involves heavy charges.
- Proper planning – Just postpone the unessential purchases before paying off the loan installments. Set aside enough money towards your next installment. Do check your bank account that should have sufficient balance for making the repayment towards short term loans or the bigger ones. Have a savings bank account opened in the bank and ask the lender to deduct the installment from the same. This would save you visiting the lender time and again and avoid wasting your valuable time and energy.
- Prefer EPP, i.e. Extended Payment Plan – This is a unique facility that allows you to extend the repayment period for few weeks without any penalty. Your burden of paying back the loan is eased as you will be able to set the finances in order.
- Ask for rolling over – Few lending institutions and banks allow the rolling over facility that allows the borrowers additional time for making arrangements for repayment of the loan. It may involve some additional fees in many cases. The rolling over may be limited as their regards their maximum number.
- Prefer an extended payment plan – Many banking and other lending institutions allow such plans that enable the borrowers to buy extra time. Thus they can repay the loan without paying any additional costs.
- Consult the credit counseling agency – Such agencies can be helpful in figuring out different ways for repaying the loans. They would help exploring all possible options for negotiating settlements with the lenders or the banking institutions from which you have availed the short term loans or larger amount.
Borrowers! Enjoy peace of mind to repay the loans by following the above simple tips.