Collect your loans with just one credit report

When you collect and compare loans at The Alvins, a credit report with UC is sufficient. This is important to maintain your credit rating, which can otherwise be damaged by many credit reports for a short period of time.

 

To compare and collect loans without damaging their creditworthiness

To compare and collect loans without damaging their creditworthiness

If you apply for loans from several different banks and credit institutions, this means that each of them will take your own credit report on you. This can be a problem, since many credit reports are often seen as a sign of poor finances for a short period of time. Which of course need not be the case at all. As a private individual, comparing different alternatives can therefore make it more difficult to borrow or push up the interest rate and worsen the terms. So it shouldn’t be. The Alvins solution is that we take a single credit report which is then used by all the possible lenders that you can compare with us. This way, we help you find the best among several different options, without damaging your credit rating. Which is something everyone benefits from.

 

The problem with many credit reports

The problem with many credit reports

Anyone who lends money or gives credit wants to be sure to get their money back plus interest. Therefore, all borrowers check with a credit report, a UC. In Sweden, where everyone has a social security number, such information becomes quite comprehensive. One of the information that is visible is how many credit information has been taken recently. If they are many, it can mean that it is a person that others do not like to lend money to, that there is someone who does not have control over their finances, someone who tries to take several loans at the same time or that something else is strange. Many credit reports are simply considered to be at greater risk. This will cause some lenders to say no. Others may choose to charge a higher interest rate or to set other terms to minimize their risk. Which in itself is nothing strange. But it also means that a person with good and orderly finances who is trying to compare terms between several different lenders may have unnecessary worries. Such a false bad credit rating can then affect everything from the possibility of getting a telephone subscription to appearing in bad days before the tenant association you intend to move into. This problem can be solved by The Alvins.

 

Many loans to compare

Many loans to compare

At The Alvins, our customers are at the center. Therefore, it is obvious to us that their creditworthiness should not change unnecessarily for the worse. You should not be penalized for being a conscious consumer who wants to keep your loan costs down. This is what we can help with by taking only one credit report, which can then be used by all conceivable lenders. The whole idea is that you should have a better overall financial situation.

Private loans – what you need to think about

It is easy to take a private loan, but it must be repaid as well. Find out what the loan actually costs so you know if you can afford it!

To determine if you can afford a loan, you need to figure out two different things:

  • monthly Payment
  • The total cost

 

Monthly Payment

Monthly Payment

The monthly payment is the amount that you are going to spend each month. The amount is part of your budget, so you can find out if the money is enough each month.

Three types of expenses are included in the monthly payment. We will go through all three further down.

  • Interest
  • fees
  • installments

 

Total cost

Total cost

How much does the loan cost you in real money The total cost consists of all fees and interest that you pay during the entire term of the loan:

Total cost = Fees + Interest

We’ll take a closer look at the cost down, but first we’ll talk about the installments. They are included in the monthly payment but not in the total cost.

 

Installments – expense but no charge

Installments - expense but no charge

How is this related? Well, when you pay off a loan, you reduce a debt. As a result, your total capital increases, and the installment is thus a saving, and no expense. But the amount must be paid monthly, and is therefore an expense in the budget in the same way as the rent or gym card.

 

Summary

private loans

The longer loan has a lower monthly payment but a higher total cost. The short loan has a higher interest rate but still costs less, overall.

Which arrangement you prefer depends on your budget. How much can you afford to pay each month without getting into financial need? How much does the loan cost, in total?

We have used this calculator for the calculations.