Unbelievable, but true: According to experts, incredibly favorable interest rates may remain for a while, and there are loans where the APR, or even the APR, may continue to fall slightly.
As we know, for loans, interest represents the cost at which the bank lends money. The transaction may be fixed or floating-rate, that is, in the latter case, the monthly installment may increase, depending on economic changes.
The bank does not take risks for too long
Very long-term mortgages have virtually no floating interest rates. In these cases, there is an interest period during which we can expect a stable monthly cost, otherwise the bank changes the interest rate – this is needed because of the change in credit risk.
Shorter loans of up to 10 years are also usually found in a fixed version.
Experts say that while interest rates are at a record low, there is room for interest rates on loans with a 5 to 10 year interest rate term. Internationally, loans are now very favorable, which means that there are structures where growth is more likely.
For the cheapest loans, approx. A 0.7 percent interest rate increase is expected – these are short-term floating rate loans with the lowest APR available. Higher interest rates, on the other hand, may still have interest rates falling by 0.5 per cent . In the case of a long-term loan, if the monthly installment amount decreases by a couple of tens of thousands of forints, it is already a very big gain on the final amount.
Everyone is good when it comes to good credit offers
As we have seen, the repayment can be even better, even though the conditions are much friendlier than they have been for 3-4 years. All these conclusions were drawn by studying regional processes.
This does not mean that you can get annoyed by someone who has already taken out a loan because they are falling for the best deals. Remember that there is always a chance to replace your existing contract with a more favorable one.