Getting a Personal Loan: What To Do And What Not To Do

[Mika]

You can get a personal loan to manage your personal finance. A personal loan comes as a lifesaver when you desperately need money but do not have any money to spare. However, getting a personal loan can put you into debt if you do not use it wisely. Here are the things you should do and you shouldn’t do when getting a personal loan.

Don’t buy liabilities: Never use your loan money to buy liabilities.

Buy assets: Use your loan money to buy assets.

Don’t get too much of it: Get a loan as much as you require, don’t get too much of it. You are eligible for a $100K personal loan does not mean you should get $100k when you only need $50k.

Never miss repayment: Regularly pay the loan. If you cannot manage to pay it back, you should even cut your necessities to pay the loan.

Get a loan only if you have the resources to pay.

 

[Jasmine]

For most middle class people getting a personal loan means getting funds for their wants, they buy home appliances, electronic appliances, furniture through a personal. Their don't earn much to save enough to buy things, therefore, they get a personal loan to buy items they need and gradually pay. If you take a loan as much as you require and as much as you can pay back based on your debt to income ratio, and utilize the money properly, you should not worry about your personal loan. I bought my Macbook through a loan as I could not save enough money to pay for the macbook. Every month I saved money in order to pay my loan. I was able to pay back in one year, I did pay extra money as an interest but I also used the macbook for one year without paying in full. There is nothing to worry about personal loan.