Personal loan is one of most talked about option when you are need money quickly. Yes, it is true that personal loan is a good flow of cash and should possibly meet all your needs but right you also have to be very sincere about the money that you are lending.
- Check your need: Be very particular about your need. If you need RM1,000 don’t go for RM2,000 just because the bank personnel say so. Because you always have to keep in mind that you have to repay the money with interest.
- Check the interest rate: This is the most obvious thing that you have to check. How much is the interest rate and where you can avail loan at low cost EMI must be compared between all organisations that are offering loans to you.
- Property of Interest rate: Two kind of interest rate are provided
Flat Interest rate: For the whole period you have to pay same amount of interest no matter how much you have paid among the base amount
Reduced balance interest rate: The interest will get lowered day by day as the money given by you lower the base amount and you have to pay EMI on the changed balance. This kind of interest paying procedure is much preferable than the former one.
- Additional Cost: The authority who is providing the loan will surely charge some additional cost, such as:
Processing Fee: Usually the bank charge 1% to 2% on the total money borrowed.
Pre-payment fee: Personal loan is all about emergency requirement and as soon as you are in all good condition, you want to pay the whole amount and get rid of the loan. On the other hand organisation wants to bind you in the loan as they want you to pay the whole interest for the whole long period as written in the loan paper. So, most of the organisations have some pre-payment fees that you should to be aware of.
- Late payment fee: Organisation as want customer to pay the interest for whole long period, they also want not to exceed from the period given in paper as well. Consequently, there will also be some late fee that customer must be aware of. In case of failure of repay, the customer must be cautious about the penalty cost.
However, Pinjaman Peribadi Koperasi is a very good option for you to borrow personal loan. The interest rate is very low, 3.40% and the loans are easily processed.
I suggest you to read thoroughly all the term and condition written on the loan agreement. In case you have doubt ask someone, and after your whole understanding sign with all your own responsibility.