On many occasions, a person takes a personal loan from the various financial
institutions like banks etc in order to meet out his various
financial needs. One of the reasons why a person likes to go
for the personal loan is that this type of loan can be availed
for any type of reason apart from other loans that are taken
for a specific purposes like the car loan, home loan etc.
The lender is least bothered about the end use of the funds
that he lends under the personal loan. Thus, whether it is any
personal requirement or it is the payment of any medical bill
or it is organizing any function at home, office etc, the personal
loan can be easily taken. The loan taken has to be repaid also
and if a person does not repays it in the manner he is required
to; he has to pay penalty in the form of additional rate of
interest etc. It has been observed also that a person is not
able to repay the loan and thus gets clutched deeper into the
financial obligations because he was not apprised of the fact
that he would not be able to repay because of his source of
income. Many a times, a person takes a personal loan for hefty
amounts without giving a single thought towards the repayment
of the loan and this is the moment when he writes himself for
the bad credit. This is why it is always advised that a person
should satisfy himself about the repayment of the personal loan
the moment he decides to go for the loan. But how it is possible
for a person to know as calculating the installment etc involves
complex calculations? The answer is ?personal loan calculator?.
Let us know more about this in our next part of discussion.
The Personal Loan Calculator
The personal loan calculator is a device that helps a person to know in advance
how much he has to pay towards the repayment of the personal
loan taken by him. Thus, by use of the personal loan calculator,
a person can easily see whether it would be possible for him
to make the repayment for the sum obtained or not. It is to
be advised here that a person should take such a decision very
prudently because it has been noticed that a person goes for
the bigger personal loan despite the fact that the installment
as being shown by the personal loan calculator is not in his
reach, but he takes the loan assuming that he would add some
sources of income.
But it does not happen in each case and this is the reason
why there are so many personal loans that goes bad each year
and once the loan becomes bad, a person is not able to relax
for a single moment until he repays the loan, which is of course
not possible. In the present times, almost all financial institutions
like banks etc that provides the personal loans, have the personal
loan calculator loaded on their websites and a person can easily
know the installment he would be required to pay. There also
many other web sites that have calculators loaded and a person
can easily resort to such sites. Now the question that arises
here is that what precisely are the personal loan calculators
and how are these used. Let us discuss this next.
Using the Personal Loan Calculators
The personal loan calculator is in the form of a table that is loaded on the
web sites of financial institutions etc. Though the results
shown by the personal loan calculators are almost accurate,
still the web sites do not claim for that and it is always advised
that a person should approach any expert for satisfying himself
completely. There are different columns that have to filled
by a person before he can know about the installment the has
to pay towards the repayment of the loan.
The columns that a person has to fill generally are about the
amount he would like to borrow under the personal loan, the
number of months he requires to repay the same and rate of interest
that would be applied in his loan account which can be easily
known from any concerned official of the financial institution.
Once all these fields are filled, a person is required to click
calculate and with seconds, the installment amount he would
be required to pay for the given set of instructions would be
flashed in front of him. Thus, it can be rightly said that the
personal loan calculator is very easy and convenient method
of knowing about the installment that a person is required to
pay towards the repayment of the personal loan taken by him.
A person can also proceed vice versa. That is, if a person wishes
to know about the approximate loan amount he can get, he can
easily find it by filling the rest of the fields except the
loan amount. So, personal loan calculator is a versatile ?instrument?
that can be used for getting the different types of information.
There are also personal loan calculators that allow a person
to compare up to three loan installments at any one point of
time. A person has to put different variables in the fields
given in the personal loan calculator and when he clicks the
calculate button, the three installments are flashed in front
of him. The only thing that a person should note is that though
it takes only seconds to know the results by means of a personal
loan calculator, it takes time for the calculator to get loaded
and thus, a person should be patient for that. Once the personal
loan calculator is fully loaded, it?s a game of seconds only.
There are always a set of instructions that are provided along
with the personal loan calculator at the web site and a person
must read it in full in order to use it correctly and get the
right amount of installment. Any wrong calculation would lead
to the same result as discussed previously in our discussion.
So the personal loan calculator should be used with due care.
Thus, personal loan calculator is quite helpful
After reading the above article, it can be easily said without any doubt that a person should calculate the amount of installment he would have to pay towards the repayment of the loan by means of the personal loan calculator and only then he should proceed further. It is very necessary otherwise a person would put himself in a financial trap which would get worsen with time.