In order to benefit from one or another financial product, you need to know its features. What are credit cards, how best to dispose of them, what do their names mean? The same is true for loans. Where to find the balance of your debt, what types of financial transactions occur? We divide these and other questions into two thematic blocks and give brief answers to them.
Useful Loan Answers
1. What types of bank loans exist
They can be divided into several types according to the main features:
- by appointment, target and non-target;
- by urgency – short-term, medium-term and long-term (up to a year, from year to three years and over three years, respectively);
- on accrual of remuneration – with interest and interest-free;
- by way of provision – in one amount, overdraft or credit line;
- in the form of issue – cash and non-cash.
2. How are credit transactions different from installment plans?
The first are with the bank for a specified period and at interest with a monthly payment. Money can be issued without specifying the purpose of their spending. Installment is provided for the purchase of a particular product. The deadline and procedure for transferring the amount set by the seller. Interest on such contracts are not provided.
3. Is it possible to issue a loan on a copy of a passport
Not. Not even a notarized copy will work. All banking institutions require from the client the original passport. This restriction protects against situations where a fraudster is trying to take money under an assumed name.
4. How many loans can one person take at a time?
Theoretically, the number of open transactions is not limited, if it is possible to close the debt without delay on each of them. But in reality, the bank may refuse to re-issue funds. Especially when it comes to a large amount – a mortgage or car loan. Also in the same institution it will not be possible to arrange two contracts of the same type, it is better to apply to different banks. Make sure that the debt load does not exceed 50% of monthly income. If difficulties arise, you can arrange refinancing.
5. Is refinancing possible if there is a delay
Most often, customers who violate payment discipline are denied refinancing. First of all, you need to contact the bank where the contract was concluded, and ask them to review the conditions. Well, if the cause of violation of the terms is respectful. A citizen will be able to offer restructuring or other ways to ease the financial burden.
6. Where to see the size of your debt
You can find out the current debt in a bank branch, an ATM, special terminals of an institution, through your personal account of the Internet bank, a mobile application and using an SMS request. If none of the methods came up, call the support service of the credit organization. To find information you need a passport and a contract.
7. How to deal with payments if you lost your job
Immediately notify the lender and provide a copy of the employment record with the record of dismissal or reduction. Do not tighten with the notification of the bank and do not save overdue. Restructuring or credit holidays may be offered as a solution. Sometimes the case of job loss is included in the insurance. Check with your manager if you designed it.
8. Can a citizen of the Russian Federation take a loan from a foreign bank?
Legislation is not prohibited. But you may encounter difficulties when transferring funds and communicating in a foreign language. Foreign organizations impose more stringent requirements on such clients and do not consider their applications in the first place. In some cases, it will be necessary to involve a guarantor – a citizen or resident of the state chosen for cooperation. If we are talking about a mortgage, the property must also be foreign.
9. Is it possible to take money without the consent of the spouse
Yes. It is required when you make a contract, the pledge of which is joint property. It can also be requested if the money goes to family spending or the expenses of minor children. In other cases, permission is not necessary to take. If you find out that your spouse has applied to a credit institution, and you are against it, send a written statement of your position to the bank. The manager will keep this fact in mind during the application process.
10. What is the limitation period for a loan
This is the period of time during which the financial institution has the right to collect money under the contract if the borrower does not return them. It lasts exactly 3 years since the last receipt of funds in the account. When the limitation period is over, the organization will not be able to demand the return of the debt. Legislative regulation of this issue is carried out in accordance with Chapter 12 of the Civil Code. An important clarification: the term is calculated only in the case when there is no interaction between the bank and the client. If the institution attempts to contact the debtor, transfers the file to the collectors or to the court, then it will not be possible to avoid responsibility.
Important facts about bank cards
1. Debit or debit – how to correctly
The correct spelling and pronunciation of the rules of the Russian language “debit card”. The emphasis falls on the third syllable. The adjective is derived from the noun “debit”. In accounting, this term is used to denote an increase in funds in active accounts. In informal communication, customers can use the debit card and debit card options (similar to a credit card).
2. Is it possible to divert a debit card to a minus
Yes, if overdraft is connected to it. With this service you can pay for purchases when the money in the account has run out. In order not to go into a big minus, a limit is set. The amount spent will have to be returned with interest and on time. Activate this service at the time of registration or during the period of using the card. To find out about its availability, you can contact support or check it yourself in the Internet bank. There is also a technical overdraft not permitted by the client. It may occur:
- during foreign exchange transactions (bought something abroad, and the amount was written off after 3 days at a different rate);
- when withdrawing all cash in another ATM (withheld a fee in excess of the amount);
- when charging for plastic services (if there were not enough funds on it).
High interest and penalties are charged on unauthorized overdraft. In order not to run into problems, carefully monitor your financial operations and keep at least the minimum reserve amount on the card.
3. How to understand which card I have – debit or credit
The easiest visual way is by design. Most often, just go to the website of the issuing organization and compare the pictures. In some cases, “Debit” or “Credit” may be indicated on the front side. You can also contact the bank’s call center for help by providing your full name, plastic number and code word, or you can check the information yourself in the agreement or in an extract from the online bank.
4. What to choose – credit card or debit card with overdraft
If there is a need for regular purchases on borrowed funds, it is more profitable to use a credit card. According to it, banks offer more loyal conditions. In comparison with overdraft, the amount of credit cards is higher, the percentage is lower and the period of use of money is higher. You can return the debt on them in parts, and not in one payment. And the main difference is that many credit cards have a grace period in which you can get a refund without interest. In addition, they are often offered interesting bonuses, privileges and gifts for shares.
5. How to use a credit card
Use it mainly for cashless payment of goods and services. Carefully follow the interest-free period and repay the entire debt before it expires. If you translate only a part, the benefit is canceled, and the interest will be charged on the balance. Avoid cash withdrawals and transfers to other people from the card account, since such operations are often charged a large commission.