Then the day has finally come. The wife is tired and it’s time to refurbish the kitchen. After a quick trip to IKEA, you have found a perfect kitchen. Everything is patted and ready until you see the price of the kitchen … Roast, it was not cheap no! Unfortunately, renovation is relatively expensive these days, whether you buy brand new or used. Because of this, many people choose to take out consumer loans to finance renovations and renovations.
Consumer loans are a good option as long as you choose a loan with favorable interest rates and terms. Another alternative that is becoming more common these days is a home improvement loan . A home improvement loan is just what you think it is, it is a loan tailored for you who are looking for affordable financing for renovation.
Don’t quite know what to choose? Let’s take a closer look at both options.
A consumer loan is the most common option if you are looking for quick and affordable financing. Since most banks in Norway offer consumer loans, the chances are that you will end up with a consumer loan rather than finding a “clean” home improvement loan. Finding the perfect consumer loan is not always easy with countless players in the market. Before you start looking for a consumer loan, it is important that you take the time to find out how much you actually need.
Once you have identified a suitable amount it is worth comparing so that you find that loan with the lowest interest rate. A couple of suppliers who normally deliver loans at favorable interest rates include LE Money, Orange Finance, TeleLending, Norte Bank and Nordax.
A home improvement loan is a loan offered by banks to give you the opportunity to refurbish your property. Normally, these loans exist as part of a mortgage loan package, but it is also possible to obtain them on an individual basis.
At present, there are very few players in the market offering home improvement loans. One of the few players offering this is Norte Bank. We take a closer look at this loan below.
Norte Bank is one of the few banks that offer “clean” home improvement loans. This loan offers you the opportunity to borrow up to $ 400,000 without collateral. The final interest rate you pay is dependent on various factors such as credit rating and ability to pay. For consumer loans of $ 100,000 over a period of 6 years, the lowest effective interest rate is 10.41% and the highest effective interest rate is 24.48%.
What loan you end up with is ultimately up to you, but what is important to remember is that there are different options in the market. Always check the effective interest rate when looking for loans!