Published: February 1, 2019
100,000 PLN certainly will allow the implementation of many plans. It is enough to buy an apartment or building plot. The installment amount at 100,000 PLN may range from several hundred to several thousand PLN. It depends primarily on the type of loan you choose, so – before you decide which loan to choose – it’s worth knowing how they differ.
A cash loan
This is the most frequently chosen form of credit. It is offered in principle by all banks and loan companies. We will only focus on discussing cash loans offered by banks.
Cash loan benefits
To get a cash loan, all you need is a minimum of formalities. With a fairly large amount, which is 100 thousand PLN, usually: an ID document and documents confirming income. Money can be withdrawn even on the same day that your credit application is approved. The big advantage of a cash loan is also that you don’t have to talk to the bank, what you will use the money for – you can spend it for any purpose . In addition, cash loan offers are easy to compare.
Disadvantages of a cash loan
One of the disadvantages of such a loan is its high prices, which means that the interest in this case will be the highest. The loan period is quite short. Is a maximum of several years – usually up to 8, rarely up to 10 years. A short loan repayment period combined with a high interest rate means that the monthly installment of a cash loan for 100,000 PLN will range from 1000 PLN to several thousand PLN .
When you are looking for a loan for 100,000 PLN for any purpose, it is worth considering the option, a mortgage, because it may be the most advantageous. The basic feature of a mortgage loan is that it can be used for any purpose , and the collateral for the bank will be real estate: house, flat, construction plot, and less often also service properties, e.g. a store.
The mortgage interest rate is lower than for a cash loan and is usually between 6% and 8%. Money can be borrowed for longer – even for a dozen or so or several dozen years – thanks to which the monthly installment of a mortgage loan for 100 thousand. PLN will be less than 1 thous. zlotys .
Disadvantages of a mortgage
Real estate collateral is required to obtain a mortgage. Such a property cannot at the same time be a collateral for another loan. It will be necessary to collect additional documents regarding the property (ownership deed, excerpt from the land and mortgage register, current valuation, certificate of no debt).
If you are thinking about buying a flat, house, building plot or building a house, you should first be interested in a mortgage. It’s the cheapest solution to realize your housing plans. If you have part of the money in cash and you lack 100,000 PLN, you can take a loan only for the missing part.
It offers the lowest loan interest rate. Depending on the individual offer prepared by the bank, the mortgage interest rate will be from 4% to 6% . A loan with such interest spread over 20 or 30 years means that the monthly mortgage installment per 100,000 PLN may be lower than PLN 500 .
Disadvantages of a mortgage
As with a mortgage, it is necessary to gather more documents, especially those regarding real estate. When completing the documents, however, we can count on the help of a bank employee or a financial specialist. Mortgage offers are also more difficult to compare with each other because the loan agreement contains many parameters that you need to pay attention to.
What loan for 100 thousand PLN choose?
Looking for a loan for 100,000 PLN, you have several options. We discussed three basic, but not the only solutions. With such a high loan amount, it’s worth thinking about choosing the type of loan and checking the loan agreement well. Earlier repayment may involve additional fees, so if we want to withdraw from the loan decision, it can be costly for us.
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