Interest-free loans are loan activities in which banks or other financial institutions expect an annualized interest rate of zero. In view of the zero expected annualized interest rate concessions, many people want to apply, but because of the harsh application conditions, more people can only be turned away.
Generally speaking, interest-free loans are divided into two situations:
First, government student loans, business loans, agricultural loans, etc.
Students applying for student loans are limited to college students with difficult family conditions; Entrepreneurship loans and agricultural loans are only for specific groups of people.
Second, the car loan with zero expected annualized interest rate
In order to increase sales, some car dealers will borrow money at zero profit to buy a car. What consumers need to pay attention to is whether to pay the handling fee at the same time. Although it claims zero expected annualized interest rate, otherwise the interest-free car loan will only be a gimmick.
Apply for interest-free loans to avoid these minefields:
1, the biggest pit of interest-free loans comes from the loan costs such as handling fees and management fees hidden behind the zero expected annualized interest rate. Except that some government discount loans may be interest-free, it is basically impossible for ordinary people to apply for discount. When the pie falls in the sky, you'd better ask a few more questions.
2. In addition to hidden costs, more "interest-free loans" are actually financial scams. The loan company doesn't exist. Liars use the word "interest-free loan" to attract your attention and then cheat you of your money step by step. In this case, you have to be more careful.
After all, the threshold for interest-free loans is too high, and qualified people are rarely eligible to apply. In most cases, advertisements claiming interest-free loans are untrue.