Credit for furniture – How much does it cost to avail new furniture?

You should feel most comfortable in your own home. Furniture and other furnishings are also crucial for this. If you no longer like the old furniture or if you need new furniture due to a move, you are facing a major financial challenge. Fortunately, furniture is easy to finance these days. We’ll tell you what options there are and what you should pay attention to.

How much is new furniture?

How much is new furniture?

This question cannot be answered universally. After all, it all depends on whether you need a completely new facility or just want to replace an old cabinet. The choice of furniture is also decisive for the costs involved. For example, there are sofas in the furniture discounter for around 250 USD, while designer pieces of high quality can cost several thousand USD. Furniture for the kitchen is also usually relatively expensive. Only you can determine the total amount required for your new furniture. Compare the offers of different furniture stores and find the pieces of furniture that will give you lasting pleasure in your own four walls.

What financing options are there?

What financing options are there?

If you are looking for new furniture, you also have to ask yourself how it should be paid for. If your own budget is not sufficient for an immediate purchase, there are two more options:

  • A purchase in installments directly from the furniture store.
  • Borrowing to finance new furniture.

Both variants have their own advantages and disadvantages, which we will look at below.

Installment purchase in the furniture store

You can find them in almost every furniture store: Offers for payment in installments for the desired furniture. As a buyer, you do not pay the furniture directly from the seller, but actually only take out a loan. The furniture store acts as an intermediary between you and the loan provider. This is also the case with the often offered zero percent financing. In addition, when choosing a financing partner, you are bound to the retailer’s cooperation partner and its offers.

Every loan has costs, including zero percent financing. You actually do not pay any interest on the financing, but the costs are usually already included in the price. So you hardly have any opportunities to negotiate any discounts.

Benefits: Disadvantage:
Funding can be requested directly from the furniture store. The seller takes care of all the necessary formalities. Discounts can rarely be negotiated with financing.
Zero percent financing can often be used. Even with zero percent financing, the associated costs are already factored into the prices.
  Additional processing fees are not infrequent for financing.
  With zero percent financing, the statutory 14-day right of withdrawal for consumer loans does not apply.

Borrowing for the new furniture

Once you have found your new furniture, you can also finance it with a loan. Although you have to apply for the loan yourself in advance of the purchase, this also makes you much more flexible in the choice of the loan provider. With the loan comparison from Capital Lender you will find the best offer for financing your new furniture. With the money raised, you can pay for the goods in cash directly in the furniture store and thus have a better chance of any discounts. At this point: negotiation is worthwhile!

Benefits: Disadvantage:
Flexibility in the selection of furniture dealers, since you can also buy in furniture stores that do not offer financing themselves. The application for the loan and the submission of all documents must be done in advance.
Thanks to a comparison of different providers, you will find the best offer. The payment of the loan amount can take a few days.
You may be able to get better discounts by buying cash in the furniture store.  

You should take this into account when financing new furniture

You should take this into account when financing new furniture

Taking out a loan for new furniture is a great way to set up a new home despite a small budget. In order to enjoy the furniture and the associated financing for a long time, you should consider three important things in advance:

  1. The monthly rate must fit into your budget.
    Taking out an installment loan is very easy these days. However, you also have to be able to afford the current monthly installment in order to repay the money borrowed from the bank. In order to avoid financial difficulties, you should calculate in advance how much money is left of your income after deducting all running costs. The entire amount available for the repayment of the loan should never be spent. A certain financial buffer for unforeseen expenses should therefore always be taken into account.
  2. The amount of the loan must meet your requirements.
    When you have found your new dream furniture, research where it is available at the cheapest price. The same applies to a new kitchen. You can also buy these with cheap online kitchen finance, after which you know how much money you need to buy. Any savings can be counted against it and you know how much the loan amount has to be. Only take up as much money as you really need. The temptation to take up a higher amount is certainly great, but it can also quickly lead to a debt trap.
  3. The term should be reasonable.
    With a long term, you can reduce the monthly charge with the same loan amount. However, you should keep in mind that the term of a loan should only be as long as you use the object you have acquired with it. So if you are planning to purchase furniture that you know you will use for a maximum of four to five years, the term of the loan should also be a maximum of this period. Otherwise, at some point you will pay a monthly installment for furniture that is no longer in use. With the option of a special repayment, you can also shorten the loan term.

Conclusion on the furniture loan

Attractive and comfortable furniture is one of the basic requirements for well-being in your own four walls. Buying new furniture is often an expensive affair. With a loan you will find the perfect opportunity to fulfill your personal living dreams anyway. If you follow our instructions from this article, you will not only enjoy the furniture for a long time, but also its financing.

Tips When You Need To Borrow Money Quickly

Sometimes situations arise where we are in need of extra money, and fast. Of course, the best thing is if we all had money saved and a hefty buffer in case such a situation occurs, but that’s easier said than done. We can’t always predict what life will send our way and sometimes we all need a helping hand.

The advantage today is that there are many options for borrowing money quickly. There are instant loans and small loans that take minutes to spend and where you can have the money on your account the same day. However, if you are in need of more money in your account on the same day, there are some things to keep in mind. We will share the ones we know below. So if you are looking to borrow money quickly, then we recommend you read on.

If you need money already on the same day

bank

The most important thing is that you turn to a lender who has a customer service with hours that suit and that they use the same bank you want to spend the money on. This is important because it does not matter if the lender can pay off your loan at a time if it will take days to transfer money between different banks. As many of us know, if we have transferred money to family and friends, then this happens immediately when you transfer money within the same bank.

However, it usually takes a business day or more if it is transferred to another bank, especially if it happens after a certain time of day. Remember, if you need money the same day, to ensure that the lender uses the bank account you want the money in is associated with. Many lenders, especially those who specialize in fast loans, allow for more variety of the most common banks just because of this, but it is always better to check this once too much than too little.

Many lenders list their payout times on their website

Many lenders list their payout times on their website

When you want to borrow money quickly, it is important that you find out about this. For lenders offering the option of getting the loan paid off immediately after approval so you should make sure their customer service is open so that there is no one there to make the payment.

It may also be a good idea not to use the services of a lender who terminates their customer service immediately after your application. Give yourself a small gap if possible, in case something should be delayed, if you have any questions or if something should go wrong.

These are the tips

cash

That we think will help ease your ability to borrow money quickly. Situations where the money is already needed for the same day can be demanding and stressful, but it is often worth checking these points so that they also get money into your account as soon as possible. In addition, never forget to make yourself aware of what kind of loan you are signing up for and what it means.

Are you looking for financing? P2P Loans Do you know what they are?

When you are looking for personal loans to finance your different projects, the most common thing is to go to your bank where you have your payroll and your checking accounts to request the financing you need. However, in recent years other forms of financing have appeared in the hands of private equity entities that are presented as attractive alternatives to get the credit you need.

Thanks to the evolution of fintech (the technology applied to the financial sector) and the collaborative economy, the P2P loan platforms, or loans among people, are born, where several investors decide to finance the projects of an individual or a company. This new form of financing has gained strength in recent years.According to a study by the University of Cambridge, in Spain this type of financing has been growing since 2012 by 152%.

 

How P2P platforms work

peer to peer loan

These online platforms connect people seeking financing with investors willing to give it in exchange for a return (interest on the loan). Crowdlending platforms perform credit analyzes to borrowers to determine their solvency level and, according to these analyzes, assign them to a level of risk.This level of risk will determine the interest: the higher the interest, the more interest will be paid since investors will want to obtain more profitability by assuming a higher risk.

Once the project to be funded is approved and assigned a level of risk, it is published in a “marketplace” where different investors can finance a part of the project (from $ 20 to $ 3,000) according to the level of risk, profitability, the project that the borrower wants to finance and several other factors. When the project has been fully funded, the P2P loan platform transfers the funds to the borrower who will be returning the loan in monthly installments.

 

New form of financing

money loan

There are many insecurities that arise among potential borrowers. Therefore, if you are thinking of obtaining financing through these platforms, you must take into account these factors:

  • That they are in the process of approval by the OneSpecial Bank and the CNMV. They are not yet approved since the new Crowdlending Law in Spain was approved in April last year.
  • Its transparency, that is to say, that all commissions and interests that will apply to the requested credit appear, in addition to all the contracting conditions.
  • The amount of loans they have granted. This will give us an idea of ​​how many people have already relied on this type of financing and the economic strength it has.

Taking these factors into account, you will be able to go to crowdlending platforms knowing that you are facing a legitimate company that you can trust both to get funding and even to encourage you to invest in the projects of other borrowers.