Is it possible to buy a washing machine, TV or installment computer without paying anything above the price of the device? It turns out that the most. 0 percent installments, available in many electronics stores or furniture stores, also encourage customers to make shopping decisions, buy more and more often. What exactly are zero percent installments?
Installments 0 percent – is it possible?
Seeing the poster in bold letters “Promotion 0 percent installment” or “Real installments 0 percent”, the consumer begins to wonder if it is possible that he will buy a computer or a fridge in installments and will not pay any interest? It turns out that, in fact, 0 percent installments are not a marketing ploy, although you can’t deny them that they are effectively attracting the attention of consumers.
What are the 0 percent installments? On the fact that the bank or loan company does not charge interest. The nominal interest rate for such an installment loan should be 0 percent.
In fact, the real 0 percent installments are that the borrower repays his debt without interest, i.e. he should pay back to the lender or lender exactly the same amount he previously borrowed.
Installment loans 0 percent in loan companies and banks
Knowing that 0 percent installments allow you to buy home appliances and electronics without having to invest in your savings, you should think about who will grant a loan with real installments without interest. If we are interested in getting a 0 percent installment loan, where can we get it?
Both non-bank companies and banks have such an offer for Polish consumers. In the first case we deal with 0 percent installment loans, and in the second case – loans. Most often, you can apply for zero percent installments directly in home appliances, electronics, building materials, and furniture stores, as well as at some loan companies.
When buying household appliances, computers or furniture, we deal with interest-free installments, which are in fact offered by banks cooperating with sellers. Therefore, when purchasing in installments in such places, we really sign a loan agreement and we have to meet it in accordance with the arrangements made.
Not everyone has the opportunity to make such a commitment. The zero-percent installment promotion in the bank is not available to consumers who:
- they don’t have enough creditworthiness,
- they do not have a stable income from reliable sources,
- have a negative credit history at the Credit Information Bureau.
On the other hand, loans with 0 percent installments can be used for any customer loan purposes, and the procedure for obtaining them is much less demanding and complicated compared to a bank loan. Loan companies often encourage new customers to take advantage of their offer, offering them 0 percent installment loans.
This is a one-time offer, so using it means that the consumer will not be able to incur liabilities with zero percent installments again in the same loan company. Can I use the 0 percent installment loan offer online? By all means, lenders grant loans in installments to clients who meet the requirements, verify their identity and submit an appropriate loan application.
Generally, buying 0 percent installments online, you have to reckon with the fact that real purchases will reach us in a prolonged period because the goods must be sent from the online store to the address indicated in the order.
Do 0 percent installments mean a free loan?
Real 0 percent installments consist in the fact that the bank or loan company does not charge any interest when granting the client an obligation. Therefore, the borrower returns in monthly or weekly installments exactly the amount he borrowed. Therefore, if the 0 percent installment promotion leads to a USD 2,000 loan for 4 months, the customer should pay USD 500 to the bank account indicated on a monthly basis.
Installments 0 percent – how not to be fooled?
When signing a loan or credit agreement as part of a 0 percent installment contract, you must carefully check the terms of repayment. Some financial institutions can only seemingly grant 0 percent installments.
Sometimes installments are not supplemented with interest, but this does not mean that the loan is completely free. Banks and loan companies may add costs to the client:
- commission for joining the committee,
- for examining the application,
- use of additional products.
As a result, the 0 percent installment promotion ceases to mean that we take out a loan for free. We can find out whether it is paid and to what extent by controlling the APRC level.