There is tremendous interest in a new state construction that encourages childbirth, baby-sitting support , also known as baby-loan or woman loan. One last word about this is because just like having a child, taking out the loan in question is a joint decision of the couple and a long-term commitment. The purpose of the loan is to provide a background for family expenses with childbearing at a discounted rate.
You need to make a careful decision
It is no coincidence that applying for a baby loan can only be applied for by married people, which also shows that the couple has to make a joint decision.
We will return to the exact terms and conditions, but first it is worthwhile to take a look around, that as before any loan, it is worth thoroughly reviewing your finances, incoming income, and subsequent expenses. The conscious couple, together, make an informed decision about having a baby and, through that, taking out a baby loan.
You have to look at the family cashier
While spending may vary from one family to another, for the sake of order of magnitude, it is worth looking at official figures for how one or two families are spending.
According to official figures, the average monthly expenditure for families with one child is HUF 260,000, which includes, among other things, the purchase of food, the overhead, the purchase of clothes, transport and more. In families with two children the average expenditure was HUF 296 thousand. It should also be borne in mind that after the birth of a child, the parent’s stay with the child is replaced by state child-raising support, which may be less than the previous salary. In order to keep the family financially secure, having a child and taking out a baby loan must be a joint decision of the family and must only be made consciously.
An expert comes in handy
Those who are eligible for a baby loan should also consult a credit expert before applying, as they can help with family financial review and loan application. Although there are statutory conditions for baby loans, the practice of banks may differ slightly, for example in credit assessment or income testing, so it is important to involve a loan expert.
All in all, after a careful decision, of course, the family can really help out with baby support .
The following are the most important terms and conditions of a baby loan:
- One of the most important prerequisites for a baby loan is that the first child should be born within five years.
- If the first baby arrives within five years, the family will not have to pay installments for 3 years and the loan will be free of interest.
- If the second child is born, repayment may be suspended for a further 3 years and the state will assume 30 percent of the debt. And when the third baby arrives, the entire debt goes to the state, meaning that the debt is released.
- The loan is repayable in installments of up to HUF 50,000 a month, with a maturity of up to 20 years.