Bank Mediates This Installment Loan Out Of Pure Charity
The visit of major sporting events is a very expensive matter for average consumers. This is especially true for events such as the European or even World Cup. Because it’s not just the ticket costs for the stadium visit. Such a World Cup visit costs significantly more. Since the arrival is added, the accommodation on site and the food you can afford. That can probably pay only the least of the petty cash. Especially not in Argentina. So why not visit the World Cup on credit ?
World Cup Credit: Smarter Marketing Move or Rip Off?
That’s exactly what the Argentine bank BBVA Banco Frances thought: why not get credit for the World Cup ?! That’s a smart move in many ways. World Cup products boost sales, a dream for every marketing department. The football crazy Argentines feel in their passion picked up and supported. This polishes up the image.
And for the customer, it also sounds fine. A credit of up to one million pesos can take. That’s about 34,000 euros. For the repayment he has a generous 7 years time . And anyone who pays any of the 84 installments for the loan will even be paid the taxes and fees for the past year. Nice, this World Cup-friendly bank, right ?
The weakness of the loan is the interest rate
Anyone who thinks that the bank mediates this installment loan out of pure charity and football passion is wrong. You can be royally paid the million pesos. With an interest rate of crisp 50 percent.
Why is BBVA Banco Frances so convinced of its product? So sure that the World Cup loan works? Despite the high interest rates.
The conviction of the bank and the willingness of the Argentinians to embark on this seemingly daring investment are explained by the Argentine economy. With an inflation rate of 25 percent, the high interest rate is already relativized again. The Argentinians are playing poker. And hope that when they start repaying, the money is worth less. That would be synonymous with falling interest rates on the loan . At the same time, it remains a good business for the bank.
In less than a year, the bank has already brought over 8,000 of these World Cup credits to the people. Ascending trend. This pleases the bank, the Argentines and their national team. That can look forward in Russia thanks to credit for active support from home. Whether the Argentine national team, the Albeceleste then also thanked the bank?