June 12, 2017 Student life is not the cheapest at all. Education in state universities alone does not cost theoretically. However, maintenance (e.g. payment of rent and settlement of bills) or the purchase of study materials can be very costly. Not to mention living outside of studying, i.e. the different types of trips or courses in which we would like to take part. It is better not to mention the renovation of an apartment – only credit will help in such expenses. Just how to improve your financial credibility?
Let’s start with whether students can have creditworthiness at all? This is the most important question for banks. Creditworthiness is one of the conditions that allows a learner to take a loan and use additional money on the account. It is influenced not only by the amount of credit we are applying for and our age. Income or credit history, which both financial institutions and clients themselves can check in the Credit Information Bureau by downloading the BIK report, are also important. A free report option is available for individual customers. It is worth using it to see how useful it is. Credit history plays such a big role, because it is our solidity in paying off liabilities is the most important for banks. But how to build it when life in college costs us enough?
How to take care of your credit history in college?
Credit history cannot be built overnight. It takes time. Studies are the best time to show banks that, despite our young age, we can make sound decisions. We prove that we manage our budget rationally and we are not in danger of a debt spiral. Creating credit history will help us shopping in installments or taking small obligations, which we will pay off quickly, but will leave a trace in the Credit Information Bureau. We just remember to agree to the processing of information on loans repaid on time. If we do not do this, the BIK database, which is used by financial institutions, will only contain data related to current loans or liabilities that we have not managed to cope with.
Building creditworthiness is a good step for the future
In addition to building a positive financial history by taking small loans, we should also take care of our savings. The more money we collect, the better the bank’s rating can be. To achieve this, we need a job and income, but remember that the best form of contract for the lender would be an employment contract. However, if we are employed on a specific work contract or mandate contract, banks will also take us into account, provided that we duly document the source of our livelihood. It is also worth having the least permanent commitments. The more payments we need to settle, the less money stays on our account.
Even if we do not use the offer of cash loans during studies, having creditworthiness it will be easier for us to apply for a loan in the future, e.g. for a loan for young married couples. Banks will look at us with a more favorable eye, seeing that we have already honestly paid our debts and took care of our budget.
If not a loan, then a loan for young people
Credit is not the only solution that we can use if we need financial support in college. An attractive alternative is the offer of attractive loans online, which do not involve such stringent requirements. Creditworthiness is needed here, but we won’t have to wait long for the decision. We submit the application in a few minutes and we receive the reply equally quickly. Student payday loans will help us finance the trip to relax after the session, and if we take advantage of the free payday loans offer, we will not worry about the costs. Their most important advantage is the need to refund exactly the amount we received as part of the financing. More and more companies are offering non-bank liabilities, all you need to know is how to look for convenient offers.
Reasonable financial obligations
The rankings, e.g. payday rankings, which indicates the most attractive proposals for us, help us make a reasonable loan. It shows in which company we will receive the largest amount and in which of them we can count on the most convenient loan period. By the way, we have the chance to know the details of the offer, and this is very important when making decisions related to cash. Our choices should not be hasty, because ill-considered ones can often harm us. We should learn good habits when taking out the first loans and credits, thanks to which we will never be in financial trouble. Not only students should use such hints. Knowledge can be acquired at any age, and if we do not want to learn from our mistakes, we should use educational programs that address various issues relevant to our budget.
Education in finance is very important, not only when we decide to get loans for students or if we apply for financial support for young people in the bank. Once acquired knowledge will be useful to us for life, especially if we use modern educational platforms. We will also draw on the information obtained in adulthood, e.g. taking out a loan for an apartment or choosing a loan in installments when our needs are not so great. One of such platforms is kapitalni.org, which Wonga has prepared for us. With interesting courses we will learn to plan our budget properly and we will know how to avoid financial mistakes. If we learn this already in college, in adult life our budget will always be in good shape.