If they offered you credit and temptation is making your little eyes.
First, you must ask yourself: are long-term debts convenient?
A rule under which most people should live and as far as possible not to break it is to have the life that reaches us with our salary, this would save us many headaches.
Few people in the country have the ability to buy a car or a house instantly, for most this is not an option, so credit means a way to access it.
If we could define when it is convenient to commit a part of your income, especially when we talk about long terms such as 5 or 20 years, we could say that it is when you are committing to something that will ultimately be yours.
Some specialists consider that there are good debts and bad debts, although it can be a very extreme way of looking at things, it is also true that it serves perfect to illustrate this situation.
A bad debt, according to this conception
Is the one that only compromised your income and at the end of the day your assets remained in the same conditions, it is something like when you pay with the credit card the pantry.
On the contrary, when we talk about good debt, it is when despite committing your income in a debt for a long time, it left you an asset in your assets, it can be a property, for example.
For Gianco Abundiz, a specialist in personal finance, the only good debt is when you hire a mortgage loan, because at the end of those 20 years, you will have a place of yours and that later can become an asset, which depending on the location area will increase Your surplus-value.
Debt like this will always be long term, generally 5 or 20 years
Unless you pay more to the credit and the balance is reduced.
Although it is not a magic recipe or that can remain as a ring to everyone’s finger, it is important that you check how much it is worth acquiring such a long debt.
Always take into account that even if we do not want to, there are unforeseen events along the way that can make it difficult for us to pay this type of debt. From my point of view, it will always be better to be paying your house than to have a part of your income for an income, but there are different points of view.
In the case of a car, although the terms are not as long as in a house, you have to take into account that you have to pay verification, annual services, and gasoline. That is why they say that the ideal term to contract a debt of this type is three years. Thus, if at five years, the car begins to need major repairs, you can enjoy two years after paying for it, without having to make major repairs.
Finally, it is important that you remember that a personal loan requires commitment, do not leave it at random, check all the variables and decide if you can and should acquire it.