Before signing anything, three questions need a clear answer. They may seem obvious, but we regularly see files where one of the three was skipped.
1. Is the need real and immediate?
A loan commits your future income. It only makes sense if the project cannot reasonably wait — replacing windows before winter, a training that opens a professional door, a medical emergency. A desire that can be postponed deserves a monthly savings plan first.
Simple test: if you can wait six months and set aside the future instalment each month, you don't need a loan — you need a savings plan.
2. Can the budget absorb it?
The commonly accepted rule: the total of your loan instalments should not exceed one-third of your net income. Beyond that, budget balance becomes fragile at the slightest surprise.
- List your current fixed expenses.
- Deduct them from your net income.
- Check that at least the intended instalment plus a 15–20% safety margin remains.
3. What if your situation changes?
A permanent contract today is no guarantee for five years. Ask yourself: if your income dropped 20% for three months, would the instalment still be manageable? If not, borrow over a longer term with a smaller instalment.
Closing thought
A good loan is one you repay calmly, without ever feeling the weight. If the three answers above are solid, the file is ready. If one hesitates, take time before committing your signature.