As many people say, one thing in life is change. This is true of everything, including the credit market and, within that, specific contracts. Banks do not put their heads in the sand and keep an eye on the needs of the population and how they can respond within the given framework.
What do we need for a loan?
Of course, we know that the best loan is the one that does not have to be repaid, but it is not called a loan but a gift. ? We have already talked about what a dream loan can be .
But lately, the needs of the population for a loan have become more and more apparent. Of course, speed, cheapness, flexibility, security are all important, but at the moment one of them stands out:
Last year showed quite clearly, both in regulation and in borrowings, that security is the primary consideration for long-term loans, specifically interest rates .
This can be explained by the fact that borrowers are becoming more aware (hopefully many are reading us) and opt for stability instead of instant cheapness. Currently the most popular are 5-10 year fixed rate loans.
While floating rate loans accounted for about 16% of borrowings earlier this year, only 6% in the last months of last year. Variable rate loans are those with a low interest period, you can find the details here!
It is interesting that during the January-November period we can see the biggest increase in 5-10 year fixed loans. An increase of 123% means that loans of this type increased to HUF 275 billion. This also means that the public is now unquestionably focusing on safety.
Is it just worth taking out such a loan?
We wouldn’t say that. It is up to each individual to determine their risk tolerance. Although the monthly installment of fixed-term loans is higher at the moment ( you can check this with the calculator of the loan ), it may not remain so in the long run, as it is hard to imagine that interest rates will remain as low as they are for 20 years. .
If you have any questions, feel free to contact us! Our experts are at your disposal.