borrowing money from bank (1 Viewer)

[Jaxxnuts]

say I am unemployed however I would like to borrow money from the bank (e.g. $2000) for certain reasons how much money will I be required to repay every week? How does repaying the bank money work?

 

[cosmo 2]

all of these questions vary depending on the loan's conditions

see: https://www.commbank.com.au/digital/calculators/personal-loan-repayment-calculator

 

[Jaxxnuts]

all of these questions vary depending on the loan's conditions

see: https://www.commbank.com.au/digital/calculators/personal-loan-repayment-calculator

ah

i get it now, ty

 

[Jaxxnuts]

ok im kinda confused about this scenario and need help

Say I wanted money desperately (late 2017) and couldn't repay immediately due to insufficient funds, would I be allowed to start repaying the bank at a later date (e.g. February 2018)

 

[cosmo 2]

ask them but the repayment periods usually can only be extended to one month allotments

are you sure you're even in a position where a bank will loan you anything

don't resort to a payday loan, those are predatory

 

[Jaxxnuts]

ask them but the repayment periods usually can only be extended to one month allotments

are you sure you're even in a position where a bank will loan you anything

don't resort to a payday loan, those are predatory

thank u again

 

[BlueGas]

all of these questions vary depending on the loan's conditions

see: https://www.commbank.com.au/digital/calculators/personal-loan-repayment-calculator

I was just checking out that calculator and it gives you an option to choose between 1% - 25% interest rate, obviously the lower interest rate the less you have to repay each time period, so wouldn't it be the better option to go as low as possible? Why are we given the option to go at a higher rate when that would also increase how much we have to repay? I'm just curious as I don't really know much about banking, etc.

 

[Jaxxnuts]

Do you have any assets so u can get a secured loan? There are better ways than asking for a loan via a bank.

pree sure I dont. do u have any ideas of better ways?

 

[cosmo 2]

rob the kwik e mart

 

[Jaxxnuts]

Borrow money from Centrelink. They'll sure help a youth out.

yeah but dont I have to pay them back? I mean borrowing from centrelink would be similar to borrowing from a bank wouldn't it?

 

[enoilgam]

What are you borrowing it for exactly?

 

[Jaxxnuts]

What are you borrowing it for exactly?

dont want to disclose what it is but say in this case i wanted to borrow that much money to eat expensive restaurant food everyday for 3 months (ridiculous case i know)

 

[Trebla]

I was just checking out that calculator and it gives you an option to choose between 1% - 25% interest rate, obviously the lower interest rate the less you have to repay each time period, so wouldn't it be the better option to go as low as possible? Why are we given the option to go at a higher rate when that would also increase how much we have to repay? I'm just curious as I don't really know much about banking, etc.

Generally speaking, the longer you take to pay it back, the higher the interest rate the bank charges to compensate for waiting that long for their money back. Similar principle applies if the bank believes you have a low probability of paying it back.

Also, these are just general interest rates for any loan you find yourself in. They are not necessarily related to the actual loan products the offered by the bank.

 

[Trebla]

Also, most loans require you to prove to the bank you have the capacity to pay them back. Usually that is proof of employment income.

 

[enoilgam]

Also, most loans require you to prove to the bank you have the capacity to pay them back. Usually that is proof of employment income.

This to be honest - just an FYI, banks generally avoid loaning money to the unemployed (as do most reputable institutions). Unless this is an urgent expense that cannot be avoided, I wouldnt get a loan. Getting a loan for non-essentials when you dont have a job is awful money management. Also, keep in mind, defaulting will hurt your credit rating which can seriously hurt your chances of getting a future loan.

 

[Jaxxnuts]

This to be honest - just an FYI, banks generally avoid loaning money to the unemployed (as do most reputable institutions). Unless this is an urgent expense that cannot be avoided, I wouldnt get a loan. Getting a loan for non-essentials when you dont have a job is awful money management. Also, keep in mind, defaulting will hurt your credit rating which can seriously hurt your chances of getting a future loan.

Say it was either in the following cases:

1. Someone has a illness of some sort (mental/physical) and needs to spend money to recover faster(e.g. say they had a mental illness and had to take daily expensive massages to reduce stress levels which can cost a lot of money)
2. Say you couldn't go to work and needed money but didn't have money

Would you actually be allowed in this case?

Also Im sure that you can borrow money from the bank but if you don't repay it on time, they will prevent you from borrowing money until you pay it all back

 

[Kolmias]

Say it was either in the following cases:

1. Someone has a illness of some sort (mental/physical) and needs to spend money to recover faster(e.g. say they had a mental illness and had to take daily expensive massages to reduce stress levels which can cost a lot of money)
2. Say you couldn't go to work and needed money but didn't have money

Would you actually be allowed in this case?

Also Im sure that you can borrow money from the bank but if you don't repay it on time, they will prevent you from borrowing money until you pay it all back

Banks aren't social institutions. I'm pretty sure someone can survive without expensive masages lol

 

[enoilgam]

You're not giving us specific information so it's hard to generate advice for you. Have you tried consulting financial institutions for guidance?

This - the whole thread is just bizarre.

 

[cosmo 2]

ill make you an offer you cant refuse jaxx

 

[Trebla]

Banks aren't social institutions. I'm pretty sure someone can survive without expensive masages lol

This. At the end of the day, the bank is trying to make money from you by providing a service. If the bank has little confidence in making a profit from providing a service to you then they won't lend you the money.