As you know, it costs money to borrow, but the interesting question is how much it actually costs per month. Of course, it is really difficult to say exactly on the krona how much it costs in advance when interest rates are set individually, etc. But here I am going to do some regular loan types and what it is about to cost. All figures here are before the interest deduction of 30%.
If we start with the smallest loans that go under the term micro-loans, it is very much about how big the loan is and the length of the loan. If you look at a loan of SEK 3,000, you can find one for SEK 200. If the money is instead to be borrowed for 90 days instead of a short 30 then the cost will also go up to SEK 350.
Note that this is for the cheapest lender we compare here (apart from those who offer free loans to new customers), instead you look at the most expensive lenders, you can put on about SEK 500 for a loan of 30 days and around SEK 700 for a loan in 90 days. This is thus the actual interest expense here I have not included amortization.
Thus, the loan cost per month is not very high, but the total cost is relatively high. If you jump up to SEK 10,000 and check in 90 days where it feels most reasonable, the cheapest lender will take about 350 SEK from you per month. The most expensive one takes about SEK 1,066 per month. Which is a big difference in price there.
If we move on to private loans it is a little easier to set up figures for the whole thing as it does not vary in exactly the same way. What we are looking at here is a private loan of SEK 100,000 for 5 years which feels pretty standard.
If a lender offers an interest rate of 5% and repayment according to annuity, the cost per month will be SEK 1,887 and then the amortization is included. If you instead calculate 10% interest, the cost per month will be SEK 2 125.
If you make a quick comparison for the largest private loans of SEK 350,000, the same calculation shows a monthly cost of SEK 6,605 and SEK 7,436. It then starts to deal with quite large sums each month.
For mortgages I can borrow a text that we have here on the page that describes exactly this. “SEK 1 million costs SEK 2,500 per month if the interest rate is 3% and SEK 4,117 if the interest rate is 5%. Borrowing instead of SEK 2 million will cost SEK 5,000 at 3% and SEK 8,333 at 5%. These are also figures that applies before the 30% tax deduction. So to see the real cost, it’s this sum minus 30%. “
Here we talk about figures without any amortization. Here, too, we have expected a significantly lower interest rate for mortgages, as it normally is in this way. It also shows how much difference there is in monthly costs between the different types of loans.