Here's the thing: Borrowing money isn't always a bad thing. But before getting a loan, make sure you run the numbers so you can check if you'll be able to meet the payments. Otherwise, you might end up defaulting on your payments, putting your good credit standing in jeopardy. It's also important to do your due diligence to ensure that your lender is legitimate. If you can commit to the payments and are sure that your lender is trustworthy, then borrowing money is a convenient way for you to pay for things you might otherwise not be able to afford.
Below are some instances when you might need to borrow money or take out a loan:
1. SCHOOL NEEDS. Borrowing money to pay for tuition and other school fees is an investment in your child's future. You can get a personal loan from your bank or you can avail yourself of the Educational Assistance Loan from the Social Security System (SSS). If you're going to borrow from a friend or relative, make sure that you put the agreement in writing—with terms of payment and deadlines specified and the assurance that you will pay them back. Having clear-cut terms will help keep your relationship intact.
2. HEALTH REQUIREMENTS. As the saying goes, "An ounce of prevention is better than a pound of cure." If you need to undergo medical tests or procedures as part of preventive health maintenance, then go ahead and borrow cash. Putting off these tests or procedures might lead to something more serious and might end up costing you more for treatment in the long run.
3. BUSINESS VENTURES. This is one instance where you have to borrow money in order to make more money as a means of creating a livelihood. Banks and various financing firms offer loans for entrepreneurs. You just have to figure out which one is right for you, with payment terms you can afford.
4. LIVING ARRANGEMENTS. Renting a home may seem cheaper at first, but when you already have a family, buying your own house will prove to be more practical in the long run, unless the property is rent-to-own.
When you find property within your price range, ask the developer if they offer in-house financing plans and check if you can manage the payment terms. Pag-IBIG also offers affordable housing loans.
5. HOUSEHOLD NEEDS. A comfortable home is more than just a roof over your head and walls to keep you secure. You also need furniture, appliances, and fixtures. A well-equipped house can boost your general well-being and allows you to be more productive. Credit card companies offer flexible terms so you can purchase household items that you need and want.
If you don't have a credit card, you can sign up for Home Credit, which offers non-cash consumer loans through in-store financing. If you're in the market for furniture, home appliances, or even mobile phones, tablets, or laptops, Home Credit can help you pay for your purchase through easy monthly installments.
Home Credit is available in more than 3,500 stores nationwide. To apply, prepare two valid IDs (at least one should be government-issued; click here to check which are acceptable). Visit any of Home Credit's partner stores that sell the item you want to purchase and look for the Home Credit sales agent.
The sales agent will process your application on site. The approval process is usually completed within 10 minutes after you complete the application form. As soon as you secure approval, you can buy what you need from the store and take home your purchase on the same day. Until October 22, 2018, you even get instant treats from partner restaurants when you shop with Home Credit! Just download the Home Credit mobile app to redeem your rewards.
Ready to shop? Visit their website to learn more.