How do you choose to repay the loan: in equal or decreasing installments?

When you want a loan, you can choose, right at the beginning or anytime later, to repay in equal or decreasing installments. Some details for the best possible decision:

• You get an idea of what the credit rate is – is calculated based on the chosen product, the amount and the desired crediting period, as well as the type of interest (fixed or variable).
• The repayment method can be changed whenever you want, during the loan. Depending on the option that best suits your budget, you decide whether to switch to equal installments or, where appropriate, decreasing ones.
• Repayment with decreasing installments implies a higher payment rate in the first period of the credit term and a descending trend until the end of the repayment period, and the total interest paid is less than in the case of repayment through equal installments. The explanation is this: it is calculated by applying the interest rate percentage to the balance, and as the loan balance decreases through the repayment of principal, the interest amount in the installment begins to decrease.
• If you choose to repay the loan in equal installments, the value of the monthly installment is the same each month. The amount of the monthly installment is constant throughout the entire repayment period of the loan, and the total interest paid is higher than in the case of repayment through decreasing installments.
• The amount you can borrow also depends on the debt level provided by the regulations in force – regardless of the repayment method.
• How can you request to switch to decreasing/equal installments: we are waiting for you at the bank, where we will explain the solutions you can choose from and present you with an alternative repayment schedule, following which, depending on your decision, we will carry out a financial analysis to verify compliance with the new credit conditions. After the analysis, you will receive the final resolution if you comply legally with the debt-to-income ratio, and if you choose to change the credit repayment method, please make an appointment to come to the bank to sign the addendum to the credit contract that formalizes your decision.