Before you borrow

Before you take out a loan, there are some issues you should consider:

Getting credit is convenient as you can buy what you want straight away, but would you be better off saving up instead? Use our money makeover and budget planning section to figure out whether you could save more money by cutting back on spending in certain areas.
Credit comes at a cost - you pay interest on what you borrow and you may also have to pay administration or set up charges. So, it costs you more to borrow money than if you pay for something with your cash savings.
You may prefer to use the same lender you have always used, but it is worth shopping around for the best deal.