3 Tips To get Interest-Free loans
Sometimes you face a financial crisis or any emergency that requires a fast inflow of cash. If you’ve been unable to save enough, it means you’re likely to need a loan. Loans have a significant interest in them, and as someone who might not be able to pay this, you will have to find alternatives.
Interest-free loans sound like an impossible dream but surprisingly you can find loopholes to a loan that might just cost you 0%interest. The key here is to keep an eye out for places or plans that require minimum or no interest. We have listed down three ways that you can get interest-free loans when you’re in a bind.
Choose The Right Credit Card
There are some credit cards that allow you to purchases without incurring interest. Most credit cards have an APR but give an introductory period between 12 months to 31 months, where you can make direct purchases interest free.
These credit cards allow you to pay most hospital bills or any product you buy interest-free. Thus, try to look for a card with long interest-free periods.
Enjoy this perk until the introductory period ends. But be mindful that if you go over the card limit or don’t pay your credit card dues consistently you might lose your 0% introductory APR.
However, if you’re looking for cash, this option might not be as helpful for you. An extra tip is to choose a bank that has low-interest rates, to begin with so your interest is not exorbitant and helps in your personal savings.
There are some current accounts that offer a 0%interest overdraft feature. Depending on the account you choose and your own situation, you can borrow a certain amount. Your interest-free overdraft will also depend on your credit history and rating.
Much like credit cards, these accounts have a certain period during which you can borrow cash with 0% interest for a period between 6 months to a year. After this, you will have to pay interest on the remaining negative balance. However, if you are a student this period can be longer for you.
Consider Your Friends And Family
Asking your friends or family might not be the easiest task. However, before you make the effort, you need to assess how much you will need. This will ensure that you only ask for what you will be able to pay back.
There is a great chance that your family or friends will be able to lend you a loan with fewer technicalities, however, give them the assurance that you will be able to return the loan back in a certain period.
In this blog, we listed 3 tips that will help you get interest-free loans. When times get tough and challenging, you might be tempted to quickly get an interest-free loan. However, take necessary precautions, so that you are not exploited and do not end up paying unnecessary fees and interest charges.