When you need money, the first thought is usually store credit — after all, you get what you want on the spot in the shop. But is that really the best solution?
What is store credit?
Store credit you typically apply for at the merchant — when buying furniture, electronics or a car.
- THM (the Hungarian APR): usually 20-40% (yes, you read that right)
- Term: typically 12-60 months
- Hidden costs: administration fee, insurance premium, early repayment fee
Example: a HUF 500,000 store credit over a 36-month term at 30% THM costs about HUF 21,500 a month. Total repayable: about HUF 774,000.
What is a personal loan?
A personal loan is for free use — the bank does not ask what you spend it on. The best offers have a THM of 8-18%.
Example: the same HUF 500,000 at 12% THM. Total repayable: about HUF 597,000. Saving: HUF 177,000.
When should you choose store credit?
Almost never. Only if the merchant offers a 0% THM promotion and it is genuinely 0%.
When should you choose a personal loan?
Almost always. If you face any larger expense — furniture, travel, renovation, debt consolidation.
How to pick the best one?
The key is the THM comparison. Ask for offers from at least 3 banks, or ask a loan broker for help.
Want to know how much you could save? Request a free comparison.
