How much do personal loans cost?
If you are wondering about the fees and charges involved in borrowing a personal loan, have a peep below as we explained it all.
there are fees that are charged per month of the loan term. It usually costs around 4 - 12% of the principle loan amount.
every time you miss a loan repayment you will be charged between $25 - $35, so it’s important to ensure you have enough funds in your account.
Right, now it’s time to talk about the important stuff – what you’ll have to pay each week to repay your personal loan.
YOU'LL PAY A 4 - 12% MONTHLY FEE.
Under the current legislation, most small personal loan providers don’t charge an annual interest rate (you’ll know this as an AIR) %.
Say you need $1,900. If you choose to repay the amount over 52 weeks. Your repayments would include your principle amount (the amount you need – $1,900) and your monthly fees (4-12%) and divide it into 26 fortnightly payments. So, it’ll look something like this:
$1,900 + $1,388.22 = $3,288.22 / 26 = $126.47 per fortnight