How to optimize your budget to obtain a consumer credit: practical guide

Are you looking to optimize your budget to obtain a significant consumer credit? You are in the right place ! First of all, why is it important to optimize your budget to obtain consumer credit? Well, sound financial management can mean the difference between a private credit application approved and one application denied. Additionally, a well-managed budget can help you secure more favorable loan terms. Here are some tips to help you prepare your budget in order to obtain consumer credit.

Contents

1. Understand how your finances work
2. Establish a budget before obtaining credit
3. Reduce all unnecessary expenses
4. Increase your income
5. Manage your existing private loans
6. 3 tips to increase your consumer credit
7. Our conclusion

Understand how your finances work

Do you wonder where your money goes each month? Before being able to optimize your budget, you must first understand your spending habits. Take a close look at your bank statements, bills, and general expenses to determine where you spend the most.

Establish a budget before obtaining a consumer credit

After understanding your spending habits, it's time to set a budget. This will help you track your spending and identify areas where you can save. To do this, subtract your monthly expenses from your monthly income. The result is the amount you can devote to saving and repaying your consumer credit. To make your budget, we recommend that you use a excel table that you will find on the internet.

Reduce all unnecessary expenses

To maximize your ability to repay consumer credit, consider reducing your unnecessary expenses. This may mean giving up some luxuries, like dining out or subscriptions to services you rarely use. With some reduced expenses you will therefore be more comfortable repaying your private loan.

Increase your income

If reducing expenses isn't enough, it may be necessary to increase your income. This can be achieved through part-time employment, a side hustle, or by investing in opportunities that can generate passive income. All secondary sources of income will allow you to increase your ability to repay your consumer credit.

Besides, if you want to easily maximize your income and benefit from an interesting financial opportunity, becoming a client indicator for Lica is a wise choice. Join our indicator program today and start generating additional income by recommending Lica to those around you. Register now and discover the financial potential that awaits you

Manage your existing private loans

If you have existing debts, it is crucial to manage them effectively before taking out new consumer credit. It can mean renegotiate the terms of your loan current or consolidate your debts to reduce interest rates.

This is where Lica can help you. As a private credit expert in Switzerland, Lica offers services that can help you reduce the monthly payments of your existing loans. Whether it's leasing, your credit cards or consumer credit, Lica will help you save money on your monthly payments. With years of experience and a dedicated team of financial professionals, Lica is the partner of choice for all your credit needs.

3 immediate tips to quickly increase your consumer credit budget

1. You can lower your health insurance premium

A reduction in your health insurance premiums will directly increase your ability to obtain private credit. Here are 4 ways to save your insurance premium costs:

Increase the deductible: Choosing a deductible higher than the minimum of CHF 300.- will directly help you reduce insurance premiums.

Choose a different insurance model : Alternative insurance models, such as the family doctor, HMO, Telmed or PrimaPharma models, can provide significant savings on premiums.

Avoid double accident insurance: If the employer covers the accident insurance, the accident cover of the LAMal is not necessary.

Compare the premiums of different insurers : By comparing the premiums offered by insurers, you can easily save money while maintaining the same service.

2. A drop in rent will also increase your consumer credit budget

When the reference mortgage rate decreases, as a tenant, you are entitled to request a reduction in your rent. You should know that all the rent increases you experience during the term of the lease are not necessarily justified. This is why it is essential to check them. Evaluate the change in your rent since you signed the rental agreement. The details needed for this assessment can be found on your lease agreement.

After doing this calculation, if a drop is detected, you can download a preformatted letter to send to your landlord by registered mail. If the rent increase indicated does not correspond to the one you have calculated, it is recommended that you contact your local service to initiate the required procedures with the conciliation authority.

3. Reduce your transport costs

Your transport costs directly impact your budget in calculating your capacity to obtain consumer credit. Here are some ways to reduce your transportation expenses:

Carpooling : Carpooling is a great way to split transportation costs. You can organize carpooling with colleagues, friends or use dedicated apps.

Public transport: Public transport can be a cheaper option, especially if you live in an urban area with a good network. Additionally, many public transport systems offer season tickets or discounts for frequent travel.

Walk, bike or scooter: For short distances, walking, cycling or scootering can be a viable option. Not only do you save money, but you also benefit from regular physical exercise.

Telework : If possible, negotiate telecommuting days with your employer. This will not only save you freight cost, but also save time.

Our conclusion on how to optimize your budget to obtain consumer credit

In conclusion, optimizing your budget is an essential process that can improve your financial situation and increase your eligibility for consumer credit. By taking the time to understand your finances, establishing a realistic budget, reducing unnecessary expenses, increasing your income, and effectively managing your existing debts, you can lay the foundation for strong financial health. So it will be much easier to obtain private credit that will perfectly meet your needs.

Lica, your trusted private credit expert in Switzerland, is here to support you throughout this process. Our dedicated team is ready to help you optimize your budget, manage your debt effectively and obtain the consumer credit that meets your needs. We believe in your ability to achieve your financial goals and we're here to support you every step of the way.

Do you have questions before applying for private credit? Our advisors are there to answer your questions 7 days a week directly on WhatsApp. Ask us for more information and we will be happy to answer you!