A revolving credit is a flexible form of borrowing money. With a revolving credit, you have a loan that you can take out up to your credit limit. You may also repay your revolving credit earlier without penalty. All benefits from a revolving credit. Yet there are also disadvantages. A revolving credit has a variable interest rate. This means that interest rates can fall. But it can also rise. A revolving credit with rising interest is certainly no exception. However, a revolving credit with a falling interest rate is less common. Banks are adept at passing on interest rate rises (too) quickly to consumers. However, interest rate falls are less windy. A less pleasant example of this can be seen in the statements of the Mbund. A consumer has complained to Mbund about the rising interest rates. While the interest should be falling. However, the consumer’s claim has unfortunately been rejected. You can read Mbund Revolving credit with rising interest rate throughout the ruling.
What to do with a revolving credit with rising interest rates?
There are a number of measures you can take if you notice that interest rates are going to rise. The first measure is the simplest. If you lie awake with a variable interest rate. Then close a credit with a fixed interest rate. The personal loan. You then have no uncertainty. But there is the risk that interest rates will fall in the future and that you will actually pay too much in interest. In addition, it may be an option to transfer your overpriced revolving credit to a revolving credit with a much lower interest rate. You then immediately start saving on your loan.
If you cannot transfer revolving credit with rising interest rates
You once took out a revolving credit at a low interest rate and with good conditions. However, due to rising interest rates, your credit has become a lot less interesting. You request a revolving credit with a lower interest rate, oddly enough, the bank rejects this. Because you are already fully charged with your current loan ?! But you want to transfer it more cheaply! Do you recognize yourself in this? Then you are by no means the only one. A very annoying problem. Certainly if after further searching for a cheap loan it appears that it is really not possible to take out your loan more cheaply. There are thousands of people in this annoying package. Fortunately, the banks are working on a solution. People who are “stuck” with their loans now get more options. The exact interpretation of this is different for each individual. But the possibilities seem to be really coming.