Are The Hungarians Indebted?

Relatively often, the topic is: Hungarians are indebted. Many believed that as a result of the global economic crisis, the borrowing habits of the Hungarian population would change, wastage as a credit would be removed from the repertoire and more and more new loans would be raised consciously. Today, we can see from the figures that the population has been the maximum. It’s been a while and people are making the same mistakes. Practically, the Hungarian population has begun to indebted again!

In the article, we are going through the process of indebtedness and the dangers that can drive us into the debt trap.


I live better and spend more. Then I live the same way I spend more

I live better and spend more. Then I live the same way I spend more

Every debt trap begins with the hope of a better life. So when the individual decides to “deserve” something and tries to achieve it beyond his own resources (credit). This demand is typically born when we enter a “higher income” band and suddenly we cannot start with our income.

So it has spread in the public consciousness that only the needy, the poorer people can get into a debt trap. Debt traps are just as dangerous on paper for those with higher incomes. In this article, they will be explicitly about them, who are in debt spirits that they had everything on paper for a normal life.


The whole process

its essence is based on the needs expressed. When we start looking for more, we want to allow ourselves to do more and more. However, this is never a rational decision but a satisfying need. I know a lot of people who, coming from an average or poorer environment, have begun to look far above average and have a particular urge to always buy something (what they need or do).


Do you own a TV, and do you buy an ultraLED TV?

Do you own a TV, and do you buy an ultraLED TV?

There is no stopping point at one point and after we have fully devoted our savings to our increased income, we have no choice but to turn to the bank and take on various loans. Credit institutions and shops are playing our “hands”, as they are constantly beating the “better opportunities”.

Since the demand has already been formulated in us and there are these offerings, it is only a matter of time to sign the debt spirits in a weak moment.


Many don’t think about it

financial loan

The obvious fact is that when, for example, they choose a TV for themselves, they actually buy two models. A TV for themselves and a lot better for the bank. But how is this possible? Literature calls this “paid interest”, ie the cost of using the money borrowed from the bank. Optimally, with the help of the bank, we can spend the money we are looking for in the future.

This is a reasonable and logical step, for example, when we change our apartment on favorable terms for our own apartment. Or when we buy a more useful, more suitable car for ourselves. Or, when a vital device (eg washing machine) goes wrong and needs to be replaced immediately.

It is less obvious that we are buying things that are totally unnecessary, that do not contribute to our lives, because we are unable to raise the necessary capital in x months. However, the monthly capital (savings vs. monthly repayment) is at our disposal. Everyone has to decide whether to put this available capital into their own savings or to spend on monthly repayment.


What makes a harmless loan a point of debt spiral? Are the Hungarians indebted?

What makes a harmless loan a point of debt spiral? Are the Hungarians indebted?

The answer is already in the question. People rarely stand for a loan after they have grabbed a “better life” taste . In addition, the need for a better life is “justified” by the higher or higher than average income and the “because I deserve” factor. Debt spiral is prepared by accumulating credit for credit, what we do with the process,


by then, the monthly repayment of the loans will completely consume our income.

It is very difficult to get out of the debt spiral because, on the one hand, it should be abandoned from the lifetime established until then, and on the other hand it can be very little beyond one point. Because what are the basics of a real debt spiral? We use the bank’s money to do things that do not create value, make money, and lose value at the moment of purchase.

Such things are typically electronic devices, clothes, regular food, or traveling from credit. Neither of these can, if necessary, “get rid of” at the right price and get something back from the waste of money. Mortgages are mistakenly named as the most dangerous item of indebtedness!

In reality, many of the “little items” that cause a financial crisis, because we could “get rid of an apartment in time” and represent a kind of wealth. Now look at a note from 2009 about a client where a husband-wife + mother-mother took part in the structure of the debt spiral, and four of them were able to show the total family income of nearly 600,000 forints at that time. What do you think caused their loss of hope?

The truth is that the picture is further shaded by the fact that they lived in the family house for 4 (two generations), so we would have to deduct the theoretical amount they would have to pay if they were not living in their own house, out of the 139,000 HUF repayment. but both in a separate sublet. So it is an amount to be paid in any way.


How can you avoid debt?

How can you avoid debt?

Now I write to you a list of ideas that you can take to avoid debt spirits that you can never clear out and accumulate bank interest instead of saving.

  1. If it rises a. your financial system (How do we train a financial reserve?)
  2. From this point on, you buy only value-creating things from credit. Attention: the bigger tv is not value-creating!
  3. If you want to buy something “no value-creating”, you will put aside the minimum amount you would have to pay each month instead of credit. Once the money has accumulated, you will buy what you want from yourself.
  4. You are not a speculator, so you strive for “guaranteed installments”
  5. You forget the “because I deserve mentality” and instead of “how much should I work” mentality. Immediately!

How to get out of debt and start saving

Outstanding debts


Knowing the details of outstanding debts should be the first step. Make a list of them, identifying the financial institution, committed fees, interest rate and outstanding amount. It also includes all small debts with friends or family. The commitment is in all areas.

If you have any questions, or there is a possibility that you have forgotten some of the debts.

This exercise will allow you to establish which debt charges the most interest and you can strive to eliminate it, even if it means making a great temporary sacrifice. At this point you should also stop increasing the debt and start working on a plan.

The perfect plan: family budget

The perfect plan: family budget

If you have already asked yourself how to get out of debt, or you are in Veráz and you need to cancel debts, you should start putting together the master savings plan and execute it, since all the time it takes to start with it will play against you and in of your finances

There are certain tips that we know can help you get your economy on track and start saving, so take paper and pen, we tell you:

  • Start by establishing a personal or family budget.

  • Check your total monthly income, vacation vouchers, professionals and any entry you should consider for the course of that first year.

  • Prepare a list of monthly services that you cannot fail to honor; as well as payments for education, transportation, maintenance, medical treatment, food and any other way out that you can include as a fixed household expense.

  • You can make a list with the superfluous expenses of the last weeks or months, to review what you spend your money on. It includes sweets, alcoholic or sweet drinks, night outings, shows, sports and any item of a non-essential nature.

This preliminary balance will allow you to establish your real repayment capacity and measure your borrowing capacity. If the resulting difference is less than the amount of debts you face monthly: You have to increase your income and control your expenses!

In the process to increase your income


Check your real skills so you can focus on extra activities that facilitate the increase of your monthly income:

– If your art is cooking and you stand out in desserts, you can offer cakes or cookies to friends and acquaintances. Check your options on the web. Many freelance work pages offer you unsuspected opportunities such as writing, translation or online assistance.

– If your art is crafts, take advantage of your social networks to promote your work, seeking to interest acquaintances and establish the possibility of a small personal business. You can offer for sale personal or household items that you do not need, everything is valid.

The final step

When you cancel the debts you will recover your monthly capital and you will have the opportunity to start saving. You can build an emergency fund, if you do not already have it, which will allow you to avoid unnecessary indebtedness in the future.

Stock Market: Investing In Small And Mid Caps? Loans



The essential :

  • Small and mid-cap companies are listed companies with a market capitalization of between 500 million and 10 billion euros;
  • Small and mid caps offer higher yields than big caps at the price of volatility and lower liquidity;
  • Small and mid-cap ETFs provide consistent diversification of small and large caps.

Retrospective analysis has highlighted a profitability gap for small and mid-caps (small & mid caps), compared to the broad multinational caps. If this asset class has, on average, better returns, keep in mind that these assets are inherently riskier. Investing directly in a few small businesses is therefore not recommended. It is better to favor a diversified investment.


What is a small or medium capitalization?


What is a small or medium capitalization?


The concept of small and medium capitalization is relative. Indeed, small and mid-cap companies are not start-ups but are listed companies. Small caps and mid caps are companies whose market capitalization is below a certain amount.

According to the definition of the financial lexicon Les Echos , small caps are companies whose market capitalization is between 500 million and 2 billion euros. As for mid caps , these are companies whose market capitalization is between 2 and 10 billion euros. Thus, 90% of the listed shares are small and mid caps .


Why invest in small and mid caps?

Why invest in small and mid caps?


Ensure better portfolio diversification with small & mid caps


Most French equity funds are geared towards CAC40 shares. Nevertheless, the price of large caps can be very correlated, for two main reasons:

  • these companies are sensitive to the same macroeconomic factors, such as the evolution of key interest rates or international trade tensions;
  • they are in the same stock market indices, as for example the CAC 40, with regard to large French capitalizations.

For their part, medium-sized capitalisations and especially small caps have markets that are often national or at the scale of a limited economic zone. Their valuation depends more on their intrinsic growth, their ability to innovate and gain market share. They do not all react in the same way to macroeconomic news. By integrating small & mid caps into your portfolio, you increase the diversification of your investments.

See also: ensuring better diversification with foreign equities.

More performance thanks to small and mid-caps

Statistical analysis and academic research show that small companies have, on average, better stock market performance.

Eugene Fama , winner of the 2013 Nobel Prize in Economics for his work on the efficiency of the financial markets, has thus completed the methods for valuing financial assets (CAPM) with a so-called ” three-factor ” model. In this analysis, it highlights the existence of a “risk premium” for small and mid-caps. The risk premium is a surplus performance that rewards the investor for holding a riskier asset.

If Eugene Fama had initially validated this result in the US market, the empirical analysis has been extended to all geographic areas since then.

The outperformance of small and mid-caps can also be seen by comparing the evolution of the small caps versus the large caps . For example, since 1990, the average yield of the S & P 500 (the 500 largest US market capitalisations) is 6.6%, where, by adding the following 1,500 companies in order of size (Russel 2000 index), the annual rate reaches 7.14%.


Risks related to small caps and mid caps


Risks related to small caps and mid caps


The higher volatility of mid and small caps


Individually, a small company has a greater risk of default than a larger company. This is due to many factors: a weaker balance sheet, a less diversified activity, a lower financing capacity, a less well-known brand, etc.

In stock prices, this translates into greater volatility for small caps. The volatility of an asset measures the average amplitude of its fluctuations, both up and down. The more volatile an asset is, the greater the risk of loss in the short term.

Take the example of the S & P 500 and Russel 2000: the historical volatility of the first index is 16%, that of the second is 20%.

Small-cap liquidity risk

Small and mid-cap stocks are listed on the stock exchange and normally offer instant liquidity. This is indeed the case for most of these actions. Nevertheless, some listed companies may have a very low capitalization of just a few million euros. The price of their shares rarely exceeding one euro, are called “penny stocks”. These, although publicly traded, may have a very low trading volume and may therefore present a liquidity risk, especially in times of stress. We therefore recommend to avoid them.

How to invest in small and mid caps?


How to invest in small and mid caps?

As we have seen, small and mid cap stocks perform better than large ones, but they have greater volatility. In order to contain this volatility, it is important to diversify your investment. We therefore advise against investing in individual securities or individual actions, but rather to invest via ETFs .

ETFs (or trackers) are index funds that replicate the performance of a stock market index. The benefit of index funds is twofold:

  • stock market indices are broad, these funds will have several hundred underlying, ensuring good diversification;
  • Since replication is automatic, ETF management costs are very low compared to traditional funds: 0.25% per year on average for an equity ETF versus 1.7% for conventional UCITS.

For example, the MSCI Europe Small-Cap iShares ETF allows investors to invest in European small caps, and the Amundi ETF Russell 2000 on US small caps. These funds also provide good sector diversification, as an illustration, the iShares ETF MSCI Europe Small-Cap has the following breakdown:

  • industrial sector (21.42%);
  • financial services (14.81%);
  • technology companies (10.32%);
  • real estate (10.15%).

And that with companies spread throughout Europe.

By multiplying the different ETFs in your portfolio, diversification is maximized and the volatility effects of small and medium-sized ones are partially offset.

You can invest in these ETFs with all your tax envelopes : life insurance, securities account, PEA or retirement savings, provided your bank or insurer makes ETFs available.

Read also: life insurance and ETF , the winning combination.


What Nalo does for you


What Nalo does for you


Nalo is an investment company dedicated to individuals. With Nalo, you can subscribe online to a life insurance policy that we manage financially. We put in place a tailor-made management strategy, adapted to your financial projects and your heritage environment.
In order to reduce management fees, Nalo only uses ETFs, and to maintain good diversification as well as to maximize the earning potential, we integrate ETFs exposed to small and mid caps.


How to Invest When You Are 30? Funds



The essential


The essential


  • At 20, 30 or 40 years, the investment issues are not the same.
  • Maximizing your earning potential during the savings phase and then stabilizing your investment as you approach the goal is the right strategy.
  • Better to invest early, even small amounts.

You want to invest in order to realize your projects or prepare your future, but you do not know how and in what to invest?

At 20, 30 or 40 years, the investment issues are not the same. Firstly because the notion of “short”, “medium”, “long” term is not the same and we generally have a family structure that changes and financial resources that evolve. What are the good habits to have when you are 30?

Learn more about investing at different ages.


What to know before investing


What to know before investing


At 30, it may be your first investment and it is important to know the main investment products, the different media on which you can invest. Mutual products, life insurance, securities account, trackers (ETF), … Here is the essential.

The different financial investment vehicles


The different financial investment vehicles

The actions

Investing in equities (business units) has significant potential for gain in exchange for large fluctuations, both up and down.

The obligations

Investing in bonds (corporate or state loans) has moderate earnings potential and moderate fluctuations.

Investment funds

Investment funds, more specifically collective investment schemes (UCITS), are baskets of stocks or bonds. These funds are managed by professionals who select these stocks and / or bonds. They therefore allow access to diversified investment portfolios, without having to choose even the securities.


An Exchange Traded Fund ( ETF ), also known as a tracker or index fund, is an investment fund composed of stocks or bonds from several hundred companies (or bonds of several states). The management of an index fund is automated: it replicates a stock market index by faithfully following its evolution. The advantage of ETFs is to have lower fees compared to conventional investment funds (5 to 10 times lower). It is this medium that we recommend.

The investment materials mentioned above must be purchased within an account or a contract, we speak of tax envelope. The tax envelopes are differentiated by the tax advantages they offer and the constraints they impose.

The different tax envelopes to make your investments

The different tax envelopes to make your investments

Account title

A title account is an account that allows you to hold highly diversified securities and securities: stocks, bonds, investment funds but also more speculative derivatives such as warrants and options. However, the title account has no tax advantage.


The PEA is a securities account that allows investors to invest only in French and European equities with favorable tax rates. As the PEA is very inflexible, it is intended for long-term investors. Indeed any withdrawal made before 8 years will close the account. Note also that you can only have one PEA and that it is capped at € 150,000.

Life insurance

Life insurance is a tax envelope that allows you to make a variety of investments: investment funds in stocks and bonds, ETFs, and guaranteed capital funds. Life insurance has two tax advantages: a gradual tax exemption for capital gains and a reduced tax on your estate. Lastly, life insurance is a flexible product that allows you to make withdrawals and payments when you want. Life insurance is, in the majority of cases, the most appropriate tax envelope.

For your investments we therefore recommend an allocation of ETFs (index funds) in stocks and bonds, within a life insurance. However risk taking and earning potential can be very different depending on the ETFs chosen. This choice must be made according to your objectives and your investment horizons.

Three goals for your 30 years

Three goals for your 30 years

Investing by objective consists of defining one or more investment projects, each with an investment horizon of their own, and arranging for a suitable investment based on it. Your risk-taking will be optimized.

Here are 3 goals that you can reasonably set yourself at age 30:

Precautionary savings

Sometimes your plan does not go as planned. The loss of a job, an expatriation or the arrival of a child are life events that may occur. Proper precautionary savings can help you make sure that this unexpected does not affect the rest of your projects. Dealing with such an expense without affecting long-term savings, without endangering the financial future of your projects requires a “safety mattress”.

Here, the security and liquidity of your investment outweigh the performance of the product. Even though the amount of the investment varies from one household to another, we advise you to build a precautionary savings with an amount sufficient to cover your basic expenses for a minimum of three to six months. To guarantee your capital, we also recommend an allocation with moderate risk taking, ie 20 to 30% of shares.


Longer contribution periods, lower pensions: planning your retirement is important, and doing it at the age of 30 is essential. Early subscribing smooths his savings effort over time. For example, you can set up monthly payments, even small ones.

For a high earning potential, risk taking must be strong and volatility should not be a drag. At age 30, we therefore recommend a retirement allowance composed of 70 to 100% of shares. When your retirement is approaching, the stocks in your portfolio need to gradually be replaced by less risky corporate and government loans. This maximizes your earning potential during the savings phase and then stabilizes your investment when you need your money: when you retire.

Property purchase

Anticipating a real estate purchase will allow you to make a larger contribution. Your risk taking will depend on the time you give yourself to make your purchase. Indeed, if you want to acquire a good before 5 years, your risk must be low. On the other hand, if you plan for more than 10 years, your risk-taking may be higher. This is due to the length of economic cycles, which last from 7 to 10 years. A recession that occurs over a 10-year horizon will be followed by a growth phase allowing you to avoid losses.

Therefore, focus on riskier vehicles with higher earning potential (equities) over a long time horizon and stabilize your investment as you approach your goal with less risky investments (bonds and guaranteed capital funds) .

How to build your portfolio?
Risk taking according to the time horizon
Deadline for the project 2 years 5 years 10 years
Share of shares <15% ~ 30% ~ 60%

About Nalo


Nalo has set up a unique technology in France that allows you to invest by objectives , allowing you to define as many projects and investment horizons as desired. You determine an investment dedicated to each of these projects within a single life insurance contract (allowing you to take advantage of the tax precedence for all investments). We put in place an investment strategy dedicated to each of your objectives, so that the risk taken is in permanent adequacy with the desired investment horizon.

In addition, your investments are almost exclusively made via ETFs. We strive to automate low value-added tasks to provide you with quality service, with some of the lowest fees on the market.


Personal Loans Quote | General Finances


Poste Italiane’s personal loans in 2019 to customers with a BancoPosta account are among the most popular among online and post office loans. The possibility of calculating the installment and or related interest rates, the online estimates and the prepaid cards that are made available by Poste Italiane to obtain small loans fast in classic mode or with the sale of the fifth. All the information that could be useful in case you are interested in becoming a customer of Poste Italiane, whether to receive a loan or for any other reason, can be found on this page. Here we will in fact analyze the strengths and weaknesses of the various products offered by the company, so as to guide you in the best way in choosing the most convenient options ever.


Personal loans: rate, interest and installment calculation


Personal loans: rate, interest and installment calculation


One of the most popular products, especially in this historical period, is certainly that of personal loan. As we said, BancoPosta allows the request for a loan , taking into account, however, its own personal needs. This means that you can evaluate the amount and duration that can be more comfortable. It is interesting to know that loans of a minimum of 3,000 can be requested, up to a maximum of 30,000 euros with installments. Regarding the repayment method, it will be possible to decide, based on your needs, the number of months in which to make the repayment, from a minimum of 24 up to a maximum of 84 months.

Poste Italiane’s personal loan can be obtained by going to the post office that you prefer, remember that it is also open on Saturday morning. On the post office website it is possible to make an appointment, choosing, from the list that will be presented to us, the office that is most convenient for us. Subsequently, what we will have to specify will be the date and time in which we are interested in having a meeting to make the request for funding, or even just to receive more information about it. However, it is also possible to get a precise idea of ​​the installment and interest rates directly online and through the official website. To do this you can use the simulator, available for free online.

The procedure that we will have to follow to carry out the simulation of a loan and therefore know the monthly payment and the interest rates applied Tan and Taeg is very simple and fast. You need to connect to the site address and click on the section set up just for this service. To access this page, you must first register on the Poste Italiane website. The data that is required to register are your personal data and a mobile number, to which the code that will be necessary to successfully complete the registration will be sent.

Once this is done, it will finally be possible to calculate the installment. It will take just a few minutes to learn about the features of the BancoPosta personal loan that will be offered to us. What we will have to do is enter the amount we need and the duration of the loan. By starting the simulator, we will immediately be able to consult the hypothetical installments that will be made available to us and that fit in the best way with those that are our needs. Let’s see, then, also in the next paragraph what needs to be done to calculate an online quote.


Personal loan online quote and example


Personal loan online quote and example


If you are interested in the personal loans offered by Poste Italiane, the best thing to do to get an overall view of the various options proposed is to request a quote. To do this the company makes available to its customers two different roads to follow. The first is the one we introduced in the previous paragraph, and it is the simulation of online financing. In this case, therefore, not only the data but also all the necessary documentation, can be sent completely online. As regards this last aspect, it should be specified how documents can also be sent in paper format.

If you prefer the 100% online procedure to compare with an operator who will advise you in the best way according to your indications, what you can do is contact the company by phone, or make an appointment at one of the Poste Italiane offices. Once the request for a quote has been submitted for the loan you are interested in, if the outcome proves positive, the amount requested will be credited within a few days to the BancoPosta account in your name. However, at this point, let’s try to understand with a practical example what we are talking about.

Let us consider the case that an applicant has carried out the procedure for calculating the budget by connecting to the BancoPosta site. At this point in his life, this user has decided to carry out a project and to do so necessarily needs a certain amount of money. Thus, the aforementioned, relying on BancoPosta, wishes to assess exactly in what figures the loan of 10,000 euros is made, wanting to pay the debt in 60 installments.

The result presented by the Italian Post Office simulator is quite convenient. The first aspect that is most taken into consideration when a financial product of this type is examined is the repayment installment. In the example considered the company proposes monthly installments of 200.38 euros, therefore rather light. As regards interest rates, the BancoPosta loan offered includes a fixed Tan with a percentage of 7.50%, while the Taeg is   of 7.84%.


Opinions on personal loans

Opinions on personal loans


When you find yourself in the situation of having to choose the loan that, among those proposed by the various companies, turns out to be the best in relation to those that are your own needs, an excellent choice can be to consult one of the various themed forums in where opinions can be found regarding the best financing in circulation. This is why we want to dwell on the reviews and opinions circulating on the web about BancoPosta’s personal loans. Indeed, it is interesting to know in advance what the opinions of this service may be for all those who are deciding to approach and try it.

Surely, even for those who carry out this financing service in person, it can be useful to know what the customers who are already taking advantage of these loans think about it. In fact, it is really important not only to confirm the strengths, but also to have the opportunity to improve more and more to meet every need. In this case, however, our point of view is that of the customer who wants to receive a loan. There are two fundamental aspects to be evaluated: convenience and, above all, reliability.

To tell the truth, reading some pages online, we note that there are various opinions regarding this kind of financing by Poste Italiane and therefore, on the Web, it is possible to become aware of the opinions of many customers. It must be admitted that there are many certainly positive considerations. Users often choose even 5 stars with regard to the professionalism of employees and even for the good offers that are offered by BancoPosta . This is certainly an excellent sign, which confirms what has been said about this specific product so far.

From what can be deduced, therefore, Poste Italiane makes available some definitely advantageous loans that can be perfectly matched with what are the demands of everyone, managing to favorably personalize the various possibilities of personal loans. For this reason, the personal loans offered by Poste Italiane are aimed at a particularly large clientele, given that it is a useful product both for those who need a small amount of money to cover, for example, the cost of a trip, but also at more important expenses like buying a new car.


Loan with Evolution


Loan with Evolution


First of all, it is good to clarify what the Postepay Evolution is about . The aforementioned, is a prepaid card that, unlike the classic yellow PostePay, allows you to have an Iban and, thanks to this, to access many exclusive services. One of these services is the personal loan that makes things certainly easier and more comfortable. Through this prepaid card you have the opportunity to carry out your own projects, requesting a loan which, moreover, is also very simple to manage.

The personal loan can be signed by going directly to the post office in your city. Secondly, you can book an appointment with a Poste Italiane consultant or call the toll-free number 800.00.33.22. If the loan is approved, the amount requested with the Bancoposta Mini Loan will be available directly on the PostePay Evolution card. So this is a particularly convenient loan, in addition to the convenience that is common to the various proposals of the Italian Post Office.

So let’s see specifically which are the customers to whom the BancoPosta Mini Loan is addressed. As mentioned, the first requirement is to hold the Poste Pay Evolution card, on which the desired sum will be paid. As for the age group in which it is necessary to return to be able to apply for funding, this will go from 18 to 75 years. Finally, it will be necessary to be resident in Italy, and to receive a work income or, alternatively, a provable pension.

With the Mini Loan offered by Poste Italiane it is possible to receive a not particularly high sum, but with the advantage of being able to receive it in an extremely short time (usually a few hours are enough). In particular, the sum that can be accessed ranges from a minimum of 1,000 euros up to a maximum of 3,000 euros. If you are interested in applying for funding through this product, the documents that you must have on hand are your identity card, your health card and your income document, which will be the last paycheck in the case of employees , the last tax return in the case of self-employed workers, or the last pension slip with regard to INPS pensioners.


Flexible Loan: calculates installment and requirements


Flexible Loan: calculates installment and requirements


To further meet everyone’s needs, BancoPosta has also thought of another advantageous promotion which, it is good to know, is active in this period. We are talking about the offer of the BancoPosta Flexible Loan . But let’s see in detail what this is all about, with all the advantages of choosing this specific product compared to another form of BancoPosta loan.

There are some prerogatives of this financing that can surely arouse interest to whoever is looking for a loan. The first aspect to consider is that it adapts to the needs of all holders of a BancoPosta current account who wish to request an amount equal to or greater than 3,000 euros. The maximum amount that can be requested with the BancoPosta flexible loan is 30,000 euros, but the particularly interesting aspect of this product is the flexibility of repayment.

The services available to customers who choose this loan option are the “change of installment”, ie the change in the amount of a specific monthly installment, or the “installment jump”, which allows you to postpone the payment of an installment at the end of the duration of the loan itself. As we get to the heart of things, we can also describe what could be an example of this promotion. With 90 monthly installments of € 268.88 you can request € 18,000, with a fixed Tan of 8.25% and a Taeg of 8.61%.

This means that the total cost of the credit is 6,231.20 euros, of which 6,199.20 euros is the sum relating to the interest, while no preliminary investigation, installment, handling of the paperwork and paperwork of all periodic transparency communications. Finally, the substitute tax / stamp duty is € 16.00 , while stamp duty on periodic communications is still € 16.00. Then making a quick calculation, the total cost of the loan to which we are interested is EUR 24,231.20. In short, a personal loan that can be within the reach of many applicants.


Sale of the Quinto


Sale of the Quinto


To complete our analysis of the personal loans that Poste Italiane offers to its customers, let’s try to consider another BancoPosta option that can be interesting for those who don’t have time for very long procedures and who, anyway, want to take advantage of the possibility of a loan . The aforementioned loan offers financing solutions for the needs of both Public Employees and State and Armed Forces , but also to INPS pensioners.

We are talking about the so-called Cession of the Fifth, one of the financial products that, in recent times, has enjoyed increasing success. It is good to specify that it can be used even without BancoPosta Current Account, there are no additional costs and monthly installments can start from a minimum of 50.00 euros. The same is thought to guarantee the applicant the tranquility of a reimbursement appropriate to his own possibilities and the monthly installment can be considered valid only up to one fifth of the salary.

Furthermore, it is possible to use Poste Italiane’s fifth sale to create new ideas and also to pay off other loans. All this even if you already have other active loans when you want to access a loan. Taking into consideration the category of Public Employees, the requirements are very few. It is therefore necessary to be resident in Italy with a demonstrable income.

Another important aspect is that the worker at the end of the amortization plan must compulsorily have a maximum age of 65 years . With regard to the Armed Forces and the State Police, the maximum age is 60 years. Finally, let’s see what documentation you will need when you go to the post office counter. First of all, as is obvious, the valid identity card, the health card, the CUD, the last two pay slips and the previous financial settlement, only in the case of renewal for another sale in progress. In the eventuality, instead, in which the customer exceeds 60 years of age at the end of the amortization plan, he must have the account statement contributed Inps / Ex-Inpdap extinguishing previous financial statement at hand.

What Is Better to Not Buy in Installments? Installment Loans


Today many people rely on the type of payment in installments to keep getting the desired item. For example, when you want to buy goods whose prices tend to be heavy in your pocket, someone can take advantage of a credit card facility by paying installments to be lighter per month. However, there are actually several types of payments that are better not bought by installments because they can lead to waste, find out what types of products are below:

We recommend that you do not use installments / credit

 We recommend that you do not use installments / credit

  • Clothing / Fashion
    A better type of payment is not purchased with installments, for example when shopping for clothes and accessories, it is better not to use installments in paying. The option that you can use is to use a debit card. It’s a shame if you use installments to buy goods whose prices usually can still be paid in cash.
  • Monthly expenditure
    Not only clothes, you also better shop for monthly needs using cash only, or debit cards when shopping at a supermarket. Price Barang-barang yang tidak boleh dibeli dengan dicicil monthly needs are usually still in the dosage that does not require installments at all.
  • Gadget
    The next product is a gadget, the main reason when someone uses installments to buy a gadget is because the price tends to be expensive, so the option to pay in installments can ease their payment. But without realizing it, shopping habits of gadgets with installments can make you tend to be consumptive, because it simplifies payment. If you lose control, even what you have can be more wasteful and more often changing gadgets. Too bad, right?
  • Business Capital
    Installments used in business capital, for example in the form of KTA. Many new businesses rely on bank loans to start their business. Even though using KTA to start a business is an inappropriate step, it is better to use a KTA loan to develop a business that is already running.

Can Use Installments (If Able)

 Can Use Installments (If Able)

  • Property
    The first product that can use installments is home / property. It is no secret that house prices are really expensive, so there is a need for sufficient funds to buy them in cash. To be lighter, the best option is to use installments. Considering that house prices tend to be high, then if you use installments, the nominal can be bigger, make sure you have considered carefully before making a decision in buying a property unit so that you are not in debt later.
  • Motor vehicle
    The second product is motorized vehicles (home / car), just like property units whose prices tend to be expensive, many people take installment options. This choice can be right if you also have a thorough calculation of the installment payments in the future.

In the end, if you really want to buy goods by installments, it will be better if the goods can bring profits and help increase their income. This means you also have to understand about productive debt and consumer debt, buy productive items. Read more about the differences in productive debt and consumer debt here.

Banks Loans – Old and New


Switzerland has more than 260 banks, and consumers can handle their daily credit transactions in more than 3,000 branches. But the Swiss banking landscape is increasingly in transition – also thanks to the Internet.


The Swiss banking sector includes a variety of banking institutions with different business models and a wide range of services. In addition to the two major Swiss banks, Credit Suisse and UBS, we now have 24 cantonal banks, 62 regional banks and savings banks, seven private bankers, one Raiffeisen bank and many other domestic and foreign financial institutions.

All Swiss banks approved by the Swiss Financial Market Supervisory Authority (FINMA) are affiliated to the German deposit guarantee scheme, which, according to the Consumer Credit Act (KKG), protects loans for up to CHF 80,000, for example. Of the 24 cantonal banks in Switzerland, 21 also have unlimited government guarantees.


New challenges for the Swiss banking sector


New challenges for the Swiss banking sector


However, banks in Switzerland have been facing major challenges for years: rising regulatory costs, negative interest rates, falling margins, rising customer demands, digitization, political and legal uncertainties during the Brexit negotiations, and uncertainty about future US policies. All this will drive structural restructuring in the financial sector in the coming years. In terms of investment and credit, the established banks have already gotten new competitors.


Banks and intermediaries – online institutes on the rise


Banks and intermediaries - online institutes on the rise


For a long time, consumers have no longer been bound by traditional branch business. For example, many banks and brokers are currently also offering their businesses via their own online portals. Most of all, personal loans are available online today. Cashgate, for example, which belongs to Raiffeisen Switzerland and the Cantonal Banks, or Bank-now, the subsidiary of Credit Suisse, and Cembra Money Bank – to name but a few examples.

In many cases, credit institutions even broker their investments and loans exclusively online via their home page – for example eny Finance AG, Migros Bank or bob Money. All of these, for example, only offer their personal loans as modern online loans, where interest rates are generally variable and criteria for the amount of interest vary widely from provider to provider.

On the other hand, there are no online shops that still serve Switzerland’s regional cantonal banks such as the Valais Cantonal Bank, the Zurich Cantonal Bank or the Geneva and Jurassic Cantonal Banks. Most of the regionally active cantonal banks continue to rely on customer advice by meeting and direct contact in the bank.

New Financial Trend – Peer-to-Peer and Landing


Modern online platforms have also made completely new business models possible for several years. A relatively new trend in the credit market in Switzerland, for example, are loans from private individuals to private individuals. These so-called peer-to-peer loans are brokered for example on online platforms such as Cashare AG, CreditGate24 and Lend.

These new online service providers bring private and private investors together quickly and easily. Here consumers receive their credit from private individuals or SMEs – and no longer from a traditional bank. Also, the interest rates are not strictly predetermined, but negotiated by supply and demand in concrete loan project with written loan agreement itself. Conversely, entrepreneurs or start-ups can advertise in such online platforms for potential financiers.

Safety is still high on the list

Safety is still high on the list


Consumers, however, do not have to worry. Because for online banks or novel peer-to-peer platforms also apply all the rules of the consumer credit law (KKG), especially in terms of liquidity, money laundering and credit check. In order to take advantage of this novel service, credit seekers, such as lenders, must properly register and previously submit all the data required for the credit check online.


New banking in the interests of the consumer


New banking in the interests of the consumer


Up-and-coming comparison portals such as the German start-up CAPITALO have an eye on such novel trends in the Swiss banking market. The aim here is to show the classic Swiss consumer new opportunities, for example in borrowing, and to make the process of providing credit as fast, simple and secure as possible. And this applies to both Swiss citizens, as well as for cross-border commuters and interested parties with other residence status.

The Advantages and Disadvantages of Debit Card – Credit – Borrowing Money


Do you have a rental property and do you want to create more space or give the home a makeover? Rules apply for the conversion of a rental home. You can not just refurbish or renovate a rented house without asking the landlord for permission. You can read all about renovating rental properties and arranging financing for this on this page.

Request permission for refurbishing or renovating a rental property


Request permission for refurbishing or renovating a rental property

Are you in a rented house and are you short of space or do you want to remodel the house? Usually the housing association or landlord will only be happy if you install a new kitchen or bathroom. But for the creation of extra living space by means of an extension or a dormer, that is not always allowed. You always need permission from the landlord. Once you get permission for this, you will also have to be able to finance this. But is money borrowing for a conversion to a rental property wise? We will go deeper into that later.


Often no permission is needed for minor adjustments


Do you want to make small adjustments to your rental property that can be easily undone in the future? Then you do not need permission for this in most cases. Examples of minor adjustments are: Placing curtain rails or shelves, wallpapering, placing burglary protection, painting, placing sunscreens, et cetera. Keep in mind that rented accommodation will (usually) have to be delivered bare again or as delivered.


Need permission if …


Need permission if ...


When renovating, building or renovating your rental property, you must always request permission from your landlord. In that case, submit a request for a renovation. Note: Landlords may of course refuse such a request. If the house falls in value after a renovation or can not be easily rented out afterwards, then a landlord will probably not agree with this. If you are of the opinion that a refusal is unfounded, you can still submit this to the court. If you get permission, make good arrangements and record everything on paper. When placing a new bathroom or kitchen you can, for example, agree that the landlord reimburses part of the costs.


How to finance refurbishment?

How to finance refurbishment?

Suppose your application for a renovation or conversion to your rental property is approved, how do you want to finance this? We advise tenants to simply save money for this. This is the safest way. Do this only if you expect to live in your current home for several years. Incidentally, it is also interesting from a tax perspective to use your savings. Because you have to pay wealth tax in excess of 30,000 euros. Would you prefer to take out a renovation loan? Check out the offer on our website.