When applying for a loan, it is important to set a deadline and a monthly fee that does not put our budget at risk. This is necessary to avoid falling behind and thus comply with payments in a timely manner, bringing good results for our finances and our credit history.
Obtain a lower installment with a longer term
However, there are situations that appear out of nowhere and complicate finances, making it difficult for us to continue paying the credit. Given this, there is always the alternative of talking with the financial institution and reassessing the terms of the loan, so that it is possible to obtain a lower installment with a longer term, or some other option that the advisors can give you. But is this advisable in all situations? How to evaluate if it is worth doing? Take into account the following points:
When to do it:
If you have an emergency
If there is an emergency, such as an accident or illness, an urgent repair at home, etc., you may have to spend more money on the account and then find yourself in trouble to continue payments. These are situations that yes or yes must be faced, so negotiating with your bank would be a good step.
If you can’t afford it
If your economic situation changes dramatically, for example, because one of the family members loses their job, it is highly recommended to ask for advice at your bank and evaluate how you can continue paying the credit under new conditions while looking for a new job.
When not to do it:
To borrow more
If you want to request another loan and that is why you are looking to postpone the payment of the current one, you must evaluate your priorities, since, requesting credit after credit is not recommended under any circumstances.
If you plan to use the monthly fee to make another purchase
While you are paying a loan, you should organize your finances so as not to fall into unnecessary expenses until you are freer. This means, stop buying clothes for a few months, reduce departures and other expenses that are not necessary. It may sound complicated, but in reality, you are protecting your finances. Credit payment must be a priority for purchases not as necessary as those.