Financial planning is important, because if there is no financial planning how can you calculate the amount of expenses and income you have. In the economic system, in outline, spending cannot be greater than income but in practice there are times when income cannot cover the amount of expenditure. For example, it is now entering the holy month of Ramadan where the prices of basic goods are relatively rising while monthly income has not changed, not to mention the needs of Eid, and after Eid still need funds for the new school year for children entering school.
That is what is meant by critical moments, although if calculated annual income can meet all needs, but because income can not be obtained at once on an annual but monthly basis, financial planning is very important. But if even financial planning cannot cover needs at critical times then another alternative available is loans.
Talking about short-term or long-term loan funds, where do you usually go? The list below is probably the answer you hear most often:
- Borrow from relatives
- Borrow from a close friend
- Borrow from a bank
- Borrow from savings and loan cooperatives
- Mortgage goods
What about borrowing funds online? In foreign countries, there are already many companies that provide online money lending services for various needs ranging from tuition fees to the cost of home and private car installments. This is also supported by the development of information technology, especially the internet which is growing rapidly, currently this type of loan is also mushrooming in Indonesia, because in addition to the relatively fast lending process when compared to banks or savings and loan cooperatives, lending periods can also be adjusted according to the needs not such as when having to borrow from relatives or close friends who certainly have a limited period of time. One more advantage is that some types of loans do not require collateral or collateral at all but remain safe and minimal risk.
But there are also some things that you should consider when you want to use online money lending services:
This is also important even if you are the borrower because what is feared is that those companies are involved in illegal financial networks such as money laundering, for example, if your name is registered you will also be part of the crime even if you are just borrowing money.
The return system must also be studied carefully. Although of course you have an obligation to return, all types of return systems must be clear, for example the period of return, the amount of interest that must be returned and so forth. This is to avoid additional costs that are just a mode of the company which in the end actually harms you.
The consequences of delay
If you have decided to borrow money then you should also have a commitment to return installments in a timely manner. Besides this it is also good for your credit history so that later if you want to apply for a loan or credit then you will be fine because your credit history is clean. But it is also important to understand more about the consequences or sanctions for bridging, such as how many fines must be paid when it’s too late and or if there are other sanctions. This is also to avoid the existence of fraud loopholes from the company or certain elements who take advantage of your ignorance.
If the loan you are proposing requires a collateral, then look over all points in the agreement to ensure the security of your collateral assets.
The advantage that is usually obtained when borrowing money online is a relatively quick process when compared to the lending system from other financial institutions. In addition, you can also set the loan period according to your needs. As the example above, your needs will increase dramatically in the next two months but in the third month it has returned to normal again, then you can arrange payments so that your loans can be paid off quickly and your expenses are also reduced.