Get the Latest Appliances with an Appliances Loan in the Philippines
Who can get a Digido loan?
Key takeaways:
- Appliance loans offer access to appliances without immediate cash outlays
- Various installment plans often come with interest charges
- Appliance loans can help in improving credit scores
- Digido Loans a simple way to finance the purchase of home appliances
Whether you are buying an appliance for the first time or replacing an old one, finding good options that are within your budget can be difficult. And even if you find one that satisfies your needs and preferences, it may not be affordable. Then home appliance loans can bail you out!
What is Loan for Appliances in the Philippines
Appliances loan is a loan package reserved for members to finance their purchase of appliances. Appliances loan in the Philippines usually refers to a hulugan plan.
Hulugan payments, also known as installments, are used by people to pay for large purchases. This mode of payment is commonly used for items like appliances, cars, electronics, and other products and services that a consumer cannot pay in full. A customer agrees to pay an initial amount of money to buy an item and pays the remainder including interest at staggered rates over a period of time.
Both the seller and buyer make an installment payment agreement in writing containing all relevant informations such as:
- a detailed description of the product
- cash value of product
- the down payment amount
- the total amount of installments payable
- the monthly payments which include interest rate and other charges
- summary of the parties’ rights including option to cancel
- and the seller’s right to terminate the agreement for a just cause.
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Benefits of Appliances Loan in the Philippines
Appliance loans in the Philippines offer numerous benefits to individuals who need to purchase essential appliances but lack the funds to do so immediately. Here are some of the advantages of appliance loans:
✔ Access to essential appliances without immediate cash outlays
Appliances loan Philippines enable individuals to purchase essential appliances such as refrigerators, washing machines, and air conditioners without having to make an immediate cash outlay. This is especially beneficial for those who require these appliances urgently but may not have the financial means to purchase them outright.
✔ Spread Out Payment
Appliance loans typically offer flexible payment terms and schedules, allowing borrowers to repay the loan in installments over an extended period. You can spread out your payments up to 12 months or more depending on your liquidity time frame.
✔ Practical Spending and Better Financial Tracking
As installment plans have fixed monthly rates, you can create a budget plan and can make other purchases in the future. You can also save for long-term financial plans. This will give you a clear picture of your overall expenditures and allow you to control and track your finances.
✔ Opportunity to Improve Credit Score
Appliance loans also provide an opportunity for individuals to improve their credit scores. By making timely loan payments, borrowers can demonstrate their creditworthiness to lenders and improve their credit standing.
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What types of Appliance Loans are Available in the Philippines
In-house financing by appliance stores and manufacturers
In-house financing allows people to purchase and finance goods and services directly from the seller. The financing is provided directly to consumers by retailers or other firms thereby eliminating third-party lenders which provide customers with funds to finish the transaction.
This kind of financing is commonly used for large purchases in the retail sector. Some appliance stores offer zero-percent interest installment plans, which can be a great option for consumers who want to avoid paying interest charges.
Under in-house financing, the store or manufacturer acts as the lender and provides the customer with a loan to purchase the appliance.
What is a Hulugan Appliances Program?
Certain appliance stores in Philippnes offer a widely popular installment plan known as “Hulugan Appliance”. This payment scheme enables customers to buy appliances and spread the cost over a period of time, making it more affordable and manageable for them. Some popular appliance stores in the Philippines that may offer installment plans like “Hulugan Appliance”: SM Appliance, Abenson, Robinsons Appliances, Anson’s, Western Appliances, City Best Appliances, Welcome Home Appliances.
“Hulugan Appliance” is a specific installment plan offered by some appliance stores in the Philippines that allows customers to purchase appliances and pay for them in installments.
One of the benefits of “Hulugan Appliance” financing is that it allows customers to purchase essential appliances without the need for immediate cash outlays. Additionally, some stores offer zero-percent interest installment plans, which can be a great option for consumers who want to avoid paying interest charges.
Here’s how in-house financing typically works:
- Customers select the appliances they want to purchase and indicate that they would like to use in-house financing.
- The store or manufacturer reviews the customer’s financial information to determine if they are eligible for financing. This may include a credit check or other financial documentation.
- If the customer is approved for financing, they will be offered a loan with specific terms and conditions, including the interest rate, loan amount, and repayment period.
- Once the customer agrees to the terms and conditions of the loan, they can complete the purchase and take the appliance home.
- Customers will then make monthly payments to the store or manufacturer until the loan is fully paid off.
Bank Loans and Credit Lines
In the Philippines, there are several types of bank loans for appliance available for consumers. The most common types of appliances loans include installment plans, personal loans, credit cards, and home loans
- Installment Plans: Installment plans are a popular way to finance appliance purchases in the Philippines. Under an installment plan, customers can purchase appliances and pay for them in monthly installments over a fixed period.
- Personal Loans: Personal loans are another option for financing appliance purchases in the Philippines. These loans can be used for a variety of purposes, including purchasing appliances. Personal loans are typically unsecured, meaning that they don’t require collateral, but they can have higher interest rates than secured loans.
- Credit Cards: Many credit cards in the Philippines offer installment plans that allow customers to purchase appliances and pay for them in monthly installments. Credit card installment plans often come with interest charges.
- Home Loans: Some Filipinos use home loans to finance their appliance purchases. Under a home loan, borrowers can use their home as collateral to secure the loan, which can result in lower interest rates.
However, home loans are typically used for larger purchases, such as a home renovation or a new car.
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Online Lending Platforms and Fintech Services
Online lending platforms are digital platforms that enable borrowers to apply for loans online and receive funds directly into their bank accounts. These platforms use technology to streamline the loan application and approval process, making it faster and more convenient for borrowers to obtain financing.
Fintech is a blend of finance and technology that allows people and businesses to digitally access, manage, or gain insights into their finances or make financial transactions. Some examples include mobile banking, peer-to-peer services, automated platforms.
To use an online lending platform for an appliance loan, borrowers can follow these steps:
- Research and compare different online lending platforms
- Complete the loan application. Once borrowers have chosen an online lending platform, they can complete the loan application online. This usually involves providing personal and financial information, such as income, employment status, and credit score.
- Submit supporting documents. Depending on the lending platform, borrowers may be required to submit supporting documents, such as bank statements, proof of income, and government-issued ID. These documents can be uploaded online or sent by email.
- Receive loan approval and funds: If the loan application is approved, the borrower will receive the loan agreement and instructions on how to receive the funds. The funds are usually deposited directly into the borrower’s bank account within a few business days.
Digido is one such platform and one of the best financial technology companies that offers fast online loans in the Philippines that are excellent for buying home appliances. And here’s why!
Digido Loans – a Convenient Way to Finance the Purchase of Appliances
Using a Digido loan for appliance purchases can be a convenient and cost-effective way to finance.
Digido provides a wide range of loans from 0% interest for first loans to non-collateral loans of up to Php 25,000. Imagine being able to obtain a home appliance loan from any store in just 10 minutes without ever having to leave your house. All you require is a functional Internet connection. With Digido, you do not need to present a multitude of income verification documents. Simply possessing one government-issued ID is sufficient.
Digido loans can be used for various purposes, including purchasing home appliances.
Here are some of the Advantages a Client can Enjoy with Digido loans for Appliance Purchases:
✅ Quick and convenient application process: Borrowers can apply for a Digido loan online through their website or mobile app. The application process is quick and convenient, and borrowers can receive a loan decision within minutes.
✅ Flexible loan terms: Digido offers flexible loan terms that can range, depending on the borrower’s creditworthiness and financial situation. Borrowers can choose a loan term that best suits their needs and budget.
✅ Competitive interest rates: Digido offers competitive interest rates that are lower than those of most credit cards and other alternative lenders. This can help borrowers save money on interest charges and reduce the total cost of the loan.
✅ No collateral required: Digido loans are unsecured, which means borrowers do not need to provide collateral or security to secure the loan. This can be beneficial for borrowers who do not have assets to pledge as collateral.
✅ Use funds for other purposes: If borrowers have any remaining funds after purchasing their appliances, they can use the money for other purposes, such as home repairs, medical expenses, or education.
