Before taking a loan from the bank, it is very important to take a moment and educate yourself about it. If you are someone who does not understand the terminology used in bank papers, then you can ask a person who knows about it and can explain to you. Basically, there are two types of loan that are given by the lender: secured and unsecured loans. A secured loan requires you to put something as a collateral. So in case, if you can’t repay the loan, the lender could still get the money by selling your collateral goods. However, in the case of unsecured loans, there is no collateral involved. It is given purely on the basis of your credit score. Therefore, it is important to maintain a good credit history in order to keep your credit score alleviated.
Here’s what goods you can pledge to get a loan:
You can pledge most of the goods that have a high market value. This could be anything of value including mutual funds, gold, property, etc. However, the best option would be to go with the Car pledge [รับจำนำรถยนต์, which is term in Thai]. When you will choose to put your car as a collateral, an agent would visit and inspect your car to know its current market value. In determining it, various factors including age of the vehicle, depreciation, etc. are taken in account.
Always remember only taking a loan when it is an emergency:
It is crucial for people to know that a loan should only be taken for the situations that really demand it. Taking a loan to buy a new expensive car would be a bad idea. If you can’t buy it in the first place, then it would be extremely tough for you to repay the loan as well. Therefore, it is important that you give it quite a thought before you go for it.