Loans and financing – understand the difference and which one is best for you!
Loan and financing services requested by customers from public or private banks are much more common than one might imagine. This is because when wanting to make a dream come true, the person does not always have an amount to cover the expenses.
Therefore, before starting a new project, planning is necessary, which means researching and identifying which type of credit is best for you at the moment. But, despite being the most common forms of credit release, every applicant undergoes a careful credit analysis.
Before requesting such an analysis, you need to keep in mind that all financial institutions ask for a down payment when the loan is granted. In this way, do not be fooled into thinking that this is not a bureaucratic process, it is necessary to have a lot of financial responsibility.
What is loan?
In the accounting dictionary , a loan is a way of granting a certain amount to an applicant who submits to market payment rates and timing. In general, in loan actions, the applicant does not need to inform what destination he intends to give the money in question.
So, when money is short, people prefer to use the different types of loan options instead of resorting to financing. However, care must be taken when applying for a loan so as not to submit to abusive rates and interest.
types of loan
A very frequent question among people who want to apply for a loan is to know which option is best for them. So, here is a list of some options to make your choice easier:
- Payroll Loan – It is an exclusive loan modality for INSS retirees and pensioners, military personnel, CLT salaried workers from private companies and public servants. This is because when opting for the payroll loan, the customer allows the discount to be made directly on their payroll.
- Bank loan – It is a type of credit that consists of a contract where the bank provides an amount to applicants that will be paid within a certain period with interest and fees. The more often you pay in installments, the more fees and interest the applicant will pay.
- Personal loan – It is a type of credit for individuals, in a contract signed between a bank and a person with their identification documents. Thus negotiations take place between the two parties.
What is the difference between a personal loan and a payroll loan?
Personal loans and payroll-deductible loans are usually the most used types of credit by Brazilians, according to some researchers. But what we can say is that they are totally different modalities from each other.
That's because the payroll is your source of income that defines whether you are able to make a request for credit analysis in this modality or not. They need to be INSS retirees and pensioners, military personnel from the armed forces, CLT salaried workers from private companies and public servants, which greatly limits the target audience.
The personal loan option, on the other hand, is a very broad modality, as any individual can apply and negotiate the credit release agreement. But for this you must be aware of the rates and interest allowed by law so as not to be subject to undue charges.
What is financing?
Financing is a type of credit intended for people who wish to make a proven acquisition, because in this option, in addition to informing the desired amount, you also need to prove the purpose of that amount.
In this format, applicants undergo a thorough analysis in which the institutions look at the history and characteristics of the client's financial life, such as:
- Score;
- Customer payment history;
- Income;
- Financial stability.
Thus, the financing to be released needs guarantees, such as a down payment, and even a guarantor for the credit approval to be carried out.
In this format, applicants undergo a thorough analysis in which the institutions look at the history and characteristics of the client's financial life, such as:
- Score;
- Customer payment history;
- Income;
- Financial stability.
Thus, the financing to be released needs guarantees, such as a down payment, and even a guarantor for the credit approval to be carried out.
Types of financing
Unlike the loan, the types of financing depend exclusively on what the applicant intends to do with the desired amount. Thus, there is a type of financing for each credit purpose. Here are some funding possibilities:
- Property Financing – this modality is for people who want to acquire a new house, or apartment or even land. The institution makes the property payment to the owner and the customer pays the installments for the financing.
- Vehicle financing – in this option, the financial institution pays off the applicant's car and the applicant cannot transfer ownership of the vehicle until the financing debt is paid off.
- Financing of goods – a good option for companies that have no capital, but need to invest in high-value materials in the market, an operation that requires a CNPJ to be carried out.
Unlike the loan, the types of financing depend exclusively on what the applicant intends to do with the desired amount. Thus, there is a type of financing for each credit purpose. Here are some funding possibilities:
- Property Financing – this modality is for people who want to acquire a new house, or apartment or even land. The institution makes the property payment to the owner and the customer pays the installments for the financing.
- Vehicle financing – in this option, the financial institution pays off the applicant's car and the applicant cannot transfer ownership of the vehicle until the financing debt is paid off.
- Financing of goods – a good option for companies that have no capital, but need to invest in high-value materials in the market, an operation that requires a CNPJ to be carried out.
Conclusion (The loan and financing options are vast and care must be taken to find the best option for you, as everything will depend on your profile as a customer, in addition to the objectives for the requested amount. In any case, it is possible to identify that, due to the high values for acquisition, financing is always more bureaucratic options).
Conclusion (The loan and financing options are vast and care must be taken to find the best option for you, as everything will depend on your profile as a customer, in addition to the objectives for the requested amount. In any case, it is possible to identify that, due to the high values for acquisition, financing is always more bureaucratic options).
