A loan is the financial transaction in which one entity or person (the lender) Delivers another (the borrower) a fixed amount of money at the outset of the Transaction, on the condition that the borrower returns that amount together With the interest agreed in A specified period. The amortization (repayment) of The loan is usually made through regular installments (monthly, half-yearly ...) over that period. Therefore, the operation has a previously determined Life. Interest is charged on the total borrowed money.
Loans Are usually granted to finance the purchase of a particular good or service: a Car, a study, a home improvement, etc.
A bank loan Can be a good economic resource if you really need money and you haven’t any Other alternative. I personally would not like to get a loan to buy anything, But nowadays for buying a house only is possible by getting a loan, the Interest and commissions can be very high. Today, banks do not grant them so Easily, if a few years ago It took them a day to grant it, today it takes 2 Months to respond whether they accept it or not, and also have to meet more Conditions than before. My opinion is if you can avoid the loan, avoid it.