In 2014, the domestic credit market showed an unbridled momentum, with the borrowing mood rising again to the level five years ago. The amount of personal payday loans taken out has exceeded the monthly 10 billion forints three times over the last four months.
The high level of borrowing
That has been taking place since the beginning of the year is likely to be exacerbated by the recent significant decline in lending rates. Over the past two and a half years, the APR on personal payday loans has fallen by an average of 9 percent, from 30.9 percent in February 2012 to 21.9 percent in July 2014.
You have stable savings and income and you get a home that fits your budget, it might be best to take advantage of the moment. If you want to buy I suggest you evaluate the price of the house and calculate the maximum value you can assume. It will be only on our part to assess whether to buy or rent a home and if we are able to meet all the expenses involved in each of these options.
As a result of the decrease in APR
The same amount of credit can be applied for by applying for a lower monthly installment, thus reducing the monthly expenses of the families. While those who made one million forints over a 60-month term at the beginning of 2012 had to repay $ 29,000 per month, those who paid the same amount for the same term in the summer of 2014 would only have to pay back $ 25,000.
“However, our statistics show that the majority of clients take advantage of the interest rate cut, not to reduce the installment, but to shorten the maturity. This gives Shashalem customers an average of 4 months shorter maturity, “said Zanny Luksi, Shashalem’s marketing director.