Call-off Loan – Alternative to the Dispo?
Most people experience in their lives that they spend more than they own. In such cases, loans are available . So far, especially the disposition loan was suitable for smaller sums. Cheaper than this, however, is a so-called call-off loan. This will be presented below and its terms explained.
The advantages of the release loan over a disposition loan
If bank customers need money at short notice, then they have often accessed their discretionary loan. This is characterized by the possibility of overdrawing a current account, which is previously determined by contract. It depends on the income and the balance on the account. This tolerated overdraft on the one hand practical, on the other hand, it is also associated with high costs. Because the account holder usually pays for the overdraft interest rates, which are in the double-digit range. Especially with small amounts, an overdraft for the owner is therefore annoying. For the account holder, therefore, a call-off loan is worthwhile instead of the disposition loan. The call loan is offered by more and more banks. Above all, the call-off loan is characterized by the fact that it requires no bureaucracy. The repayment is flexible. This gives the account holder maximum freedom in the repayment of the amount. The interest rates for the call loan are often only half as high as those for the discretionary loan. This makes it worthwhile for the account holder to use it for smaller contributions.
Maximum flexibility in call-off loan
To be able to use a call-off loan, the customer initially turns to the bank of his trust. This then grants him a loan line within which he can access the desired amount. He can sometimes be smaller or larger, but should move within the line of loan. The call loan alone earns the required amount. Thus, there is no risk that the account holder will borrow too much, whose eradication could cause him difficulties. In addition, the closing fee of the call-off loan only relates to the amount actually required.
What makes the call-off loan attractive to account holders in addition to the low interest rate is the flexibility of the repayment. In contrast to traditional loans, where installment payments are usually made at precisely defined intervals, which are urgently required, the account holder can determine the amount of the repayment himself. Only a very small percentage of 1-2% of the loan amount must be paid off at least once a month. However, it is not a problem to initiate immediate repayment if the account holder is currently liquid. In this way, the call loan offers a flexibility that is otherwise not found with loans. This is also confirmed by numerous tests, the results of which can be found on the internet.