How to Borrow Money without Paying Interest

If you want to borrow money without having to pay any Interest at all, then there are ways to go about it. One way is to borrow from a friend or a member of family. However, you must understand that this scenario holds potential dangers. Not least the ability to pay back what you owe. Borrowing from friends or from family could, potentially- put paid to any healthy relationship you have with them. So, think carefully before you go down this line.

If you go ahead and borrow the money, then make it clear when you will be able to pay the money back. Give a specific day and date and stick to it. Do not haggle over the date later on, when you have already stated when you would pay it back. This will only cause arguments, and may cause any relationship you have with your family and friends to split and break apart.  You must have the confidence and the ability to pay the money back. Do not borrow money knowing that you cannot pay back what you owe. This will simply antagonise the situation and cause arguments and you will never be trusted again, if you need to borrow again.

The majority of family and friends – if any – will not add interest to the amount borrowed. But do not take advantage of their kindness because of this. /Stick to the date you said you would pay them back and keep to it. Once you pay back what you owe, they will be more approachable in the future, should you wish to borrow again.

A good idea, once you have set the day and date about when you will pay back, is to write everything down in black and white. Have some kind of document drawn up so that there are no arguments either way. That way, both you – and the person you are borrowing from –  have hard proof of when the money was borrowed and when you are paying it back.

Apart from family and friends, there are many stores that you could borrow from. Such stores will offer you interest at zero the amount. This is good because the original amount of money you borrow will always stay the same. In other words, with no interest added, you pay back exactly the amount you borrowed – nothing more, nothing less.

However, what you must understand is that most ‘reputable’ stores, will only qualify you for a loan at such a rate, if you are ‘financially sound’ – that is to say you are not in debt with anyone. If you qualify, then you can get the ball rolling by applying for a loan – at zero interest – as soon as you can.

But again there is a catch, because if you cannot pay back what you owe, within the allotted time, then interest will be added to the original amount. So if you purchase any goods, the money must be paid back on or before the due date – before interest kicks in. However, there are such things as Zero Per Cent credit cards. These cards are usually issued to new customers, who have a good financial standing [ie: not in debt]. The time is usually between 3 to 15 months – depending on what the loan is for.

The trick to using such cards as Zero Per Cent credit cards, is to only borrow the amount you know you have the ability to pay back. If you are late in paying back what you owe, then interest will kick in and you will have to pay back the original amount you borrowed, plus any interest accrued.

Always make sure, with such cards, that you at least make the minimum monthly payments – if you do not, then Interest will be added. Companies that are offering you a Zero Per Cent Interest Rate are begging you to purchase their goods. Zero Per Cent Interest is what companies use to entice you to purchase their products. Indeed, offering ‘free money’ is something that will tempt more than a lot of people.

If you want to make a ‘big purchase’ but do not want to pay any interest on that purchase, you may have to wait up to 8 months. Zero Per Cent rates come around, but not very often, when they do, they are open for only a short while. Get them while you can, to purchase things like a car, or television.

For example, if you purchase a car at Zero Per Cent Interest Rate, you will only be paying back the original amount on the car for 60 months or less – at a Zero Per Cent interest Rate. So, when companies offer you a Zero Interest Rate on that car you want, or that television you have admired, apply for the offer while you can. Zero Interest rates on big items do come around, so keep your eyes open.

However, the consensus is – within the business world – that with the economic downturn around the world [and especially in Europe and America] large companies are desperate for custom. Therefore, there should be a lot more zero interest rates on offer to entice customers to purchase from their stores.

At the end of the day, as long as you pay your bills on time, and you have not fallen into debt, then you should be able to qualify for a zero interest rate loan or purchase. Whether you borrow from a friend, family or you apply for a credit card with Zero Per Cent Interest Rate – pay back what you owe – on or before the due date –  and you will not go far wrong.