Credit 100 USD per month: more than 1000 USD difference !!!

Finding a loan of 100 USD per month is no problem. We will be in the category of small credits. In this category, the most important is to pay attention to the rates offered. For a credit of 100 USD per month, the interest may seem low. But in proportion to the amount repaid, this credit can be expensive.

How much to get for a 100 USD credit per month?

How much to get for a 100 USD credit per month?

When you want to pay back 100 USD per month for a loan, there are generally two options. Depreciable credit or revolving credit. Most of the time, we will move towards revolving credit.

Revolving credit

Although it is generally known to be expensive, revolving credit is the most suitable for a loan at 100 $ / month. Indeed, this type of credit is made to offer small monthly payments adapted to the monthly budget. It can be expensive but has the huge advantage of being able to be prepaid at no cost. It’s the law. It is therefore its flexibility and its small accessible monthly payments that make it an advantage.

For example, for a 3000 USD loan, Bankate offers a repayment term of 36 months. We will reimburse a credit of 110 USD per month at a revisable taeg rate of 21.04% for a cost of credit of $ 968.02. We understand better the advantage of going through our credit comparator. Or pay off your loan before the end to lower the cost.

Depreciable loan

The most important amount at the lowest rate that you can borrow thanks to a personal loan repayable for a monthly payment of 100 USD per month, it is 7000 USD. The exact funding is as follows:

  • For a depreciable consumer loan of 7,000 USD over 84 months, you will reimburse a monthly payment of 108.78 USD at a fixed APR rate of 8.20%. Or a total cost of the credit of 9,137.52 USD excluding optional insurance. That makes more than 2000 USD of interest but at the same time, the credit lasts 7 years. We will see later that we can make it much cheaper for a loan of 100 USD per month.

If you want to pay less interest, you have to reduce the duration of your loan and therefore the amount borrowed to stay around a monthly payment of 100 USD / month.

Mini credit at 100 USD per month

It is the most expensive credit. Our investigation into mini credit has clearly shown that this credit is expensive. Not apparently because interest usually only costs a few USD. But for a credit of 1000 USD, a few USD immediately raise rates to more than 20%.

Cheaper loan at 100 USD per month

Cheaper loan at 100 USD per month

To get the cheapest credit, there is no secret, you will have to reduce the repayment period and therefore the amount you will borrow if you want to keep a monthly payment of 100 USD per month.

For example, the best offer we currently have (August 2014 period for reading all the examples in this article) for a credit amount of 5000 USD over 60 months is an amortized loan with fixed APR at 5.50% for a monthly payment of 95.20 USD, i.e. a total cost of credit of 5712 USD, or a total interest of 712 USD.

This credit seems to us to be a good compromise for a monthly credit payment of around 100 USD per month. Why go through Captain Credit? As we will see right after, you can have hundreds of USD in interest spread for exactly the same credit of 100 USD per month (approximately) !!!

Comparison of the cheapest credit for $ 100 / month

Does that seem absurd to you? So do we, so here are our explanations. But know right away that all these practices are legal with respect to the consumer credit law.

We have chosen to take a loan of 100 USD per month (approximately, the monthly payment being adapted to the rate of each credit organization) in the form of an amortizable loan of 5000 USD over 60 months.

  • The cheapest credit: fixed APR 5.50%, 60 monthly payments of 95.20 USD, or a total cost of interest: 712 USD.
  • The most expensive credit: APR fixes 13.96% 60 monthly payments of 114.12 USD, or a total cost of interest: 1847.20 USD.

For the same credit 100 USD per month, here is already more than 1000 USD difference !!

But there is even more! We went to check the monthly payment and the most expensive cost for a 5000 USD loan but this time over 72 months. You should have a cheaper monthly payment, shouldn’t you? And well surprised, not at all !! Here’s the comparison:

  • 5,000 USD over 60 months Fixed APR 5.50%, 60 monthly payments of 95.20 USD, for a total interest cost: 712 USD.
  • 5,000 USD over 72 months fixed APR 13.96%, 72 monthly payments of 100.74 USD, for a total interest cost: 2,253.28 USD.

Conclusion:

For the same 5000 USD and for a monthly loan payment of 100 USD, you will pay back longer and it will cost you more than 1500 USD more! So if you want to find the best credit 100 USD per month, trust Astro Finance.