Business

How does a loan repayment work?

Personal loans are those intended to finance specific needs of the client at a given time. As a general rule, the principal or economic amount requested in this type of loan is small. Within personal loans are, for example, the so-called consumer loans or online credit, fast loans and student loans. Consumer loans are use to finance durable consumer goods such as a car, for example. Quick loans, also call “immediate loans”, are those that seek to be agile in responding to a loan request. While those for studies, as the name suggests, are designed to cover the cost of tuition for degrees, postgraduate degrees and even university trips such as Erasmus.

The BBVA loan simulator allows you to see the different types

of personal loans offered by the bank. Access and simulate your loan, whether or not you are a client, and check its conditions based on the amount of money you would like to request.

And if you have doubts regarding the amount you could request at BBVA, or if you need us to help you request a loan in the most personalized and responsible way, we present the new BBVA digital 대출 experience, Discover your Limit , the which will allow you to know what amount we can grant you in BBVA, according to the data you provide us. To do this, you only have to enter your data and we will respond to you within a maximum of 8 working hours, indicating the maximum amount of your loan. Then you decide if you want to hire him or not.

Mortgage loans, meanwhile, are those intended to finance

the purchase of a home  and, sometimes, the start-up of a business. In addition to involving amounts of money greater than those of personal loans, the different types of mortgage loans have a real guarantee for the bank. In other words, if the client does not repay the loan money, the bank can sell the mortgaged property to recover the debt, and they can also become the owner of the financed home.

Having a guarantee is always a sign of trust that greatly increases the chances that the bank will approve the requested loan of any type. It should also be remember that if the holder does not pay the loan, the guarantor must pay the debt with his present and future assets.

The loan amortization table is the table that represents how our debt

evolves over time. In the financial sector there are different ways of amortizing (repaying) the money that a bank lends to its customers, although in Spain the most common is the French method, which consists of the customer always paying the same monthly installment throughout life of the loan.

In any case, that monthly fee will always be make up of two elements: the capital that they have lent us, and that we are returning, and the interest that we pay for that money. Therefore, and thanks to the amortization table, we can see how that debt evolves month by month.

 

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