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Is it better to get a high interest short term loan or a low interest long term loan?
Wiki User
∙ 12y ago
It depends on how long you need the loan for and how long it would take for you to complete the payment. But in general a low interest long term loan means a higher interest payment over the life of the loan where as a high interest short term loan means less amount of interest payment over the life of the loan.
Wiki User
∙ 12y ago
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What is the accurate definition of payday loan?
A payday loan is a high interest short term loan. A borrower will borrow a sum of money for a short time and pay it back with a very high interest rate attached.
Are low interest loans better than high interest loans?
In general, a low interest loan is better than a high interest loan. The only time this may differ is if you are getting a variable rate loan, which may become lower than a higher fixed rate loan over time. However, this can be hard to predict, so it is always better to go with the low interest rate.
How can you reduce interest on high interest loan?
Repay the loan with the funds raised from a lower interest loan.
What type of interest is better to have when applying for a loan?
A+ Simple Interest
What is the interest on a payday loan?
Ouch they are very high. 911% for a one-week loan; 456% for a two-week loan, 212% for a one-month loan. If you can avoid them do so. Better budgeting will help out immensely
What is the accurate definition of payday loan?
A payday loan is a high interest short term loan. A borrower will borrow a sum of money for a short time and pay it back with a very high interest rate attached.
Are low interest loans better than high interest loans?
In general, a low interest loan is better than a high interest loan. The only time this may differ is if you are getting a variable rate loan, which may become lower than a higher fixed rate loan over time. However, this can be hard to predict, so it is always better to go with the low interest rate.
How can you reduce interest on high interest loan?
Repay the loan with the funds raised from a lower interest loan.
What type of interest is better to have when applying for a loan?
A+ Simple Interest
What is the interest on a payday loan?
Ouch they are very high. 911% for a one-week loan; 456% for a two-week loan, 212% for a one-month loan. If you can avoid them do so. Better budgeting will help out immensely
Are there fees associated with payday loans?
Yes there are fees associated with a payday loan. Many times these fees are astronomically high. Essentially what you are doing is taking out a short term loan with very high interest rates.
What is the interest rate on an unsecured personal loan?
The interest rates on an unsecured personal loan vary greatly from loan to loan. If your loan is through a Credit Union, it can be as low as 1.9%, whereas if it is a high-risk loan secured through a private business, the interest rate could be as high as 30% or more.
What is the interest called when you borrow money from loan sharks?
Interest from a loan shark is the "Vig" or "juice" as it was called. Vig is short for Vigorish.
How much does Payday Advance Cash charge for interest?
A payday loan, also known as cash advances, is a short term loan. The interests are very high and can reach 15 percent a week. The loan consumer normally turn on this type of loan when he is nor capable of getting a low interest load.
Where can one find a loan with no credit check?
More often than not, a loan with no credit check will be what is referred to as a payday loan. A payday loan is an advance of money, or loan, on a future paycheck. It is considered to be a short term loan, because when the borrower receives the paycheck that the money was borrowed upon, the loan is to be paid back, with interest. Payday loans are unsecured, and carry a high interest rate.
In general would interest rates for a personal loan be lower or high than those for a business loan?
In general the interest rates for a personal loan would be higher than for a business loan. The risk of losing money with business loan is not as high as with personal loan.
Which type of interest is better to have applying for a loan?
compound
