Living in reality is a complex affair especially, when you have to sign financial contracts – be it opening a bank account, acquiring an insurance plan, starting a credit card or signing an employment contract. Contacts are legally binding and a breach of the terms can get you into trouble. Therefore, signing financial contracts is something that you cannot avoid. Before taking the pen and stroking your name or signature across the paper, there are many things to consider.
Options: Understand the options that are available in the market and which one would suit your needs best. If you are hunting for a credit card, there are many options available from Blue Cash
Everyday to Discover it. Always compare the elements against each other, the interest, the duration, the grace period, the terms and conditions. Understand the pros and cons between each one of them. Make sure that your contract states the same clauses that the company claims on their websites or brochures.
Reputation: Understand the company you are dealing with. Ask friends and family members. Make use of the internet to view comments from the customers to gauge what aspects the company uses as loopholes in their contracts. Such things should be factored in your decisions and you may also use these to negotiate the contract with the company.
Negotiate: Contracts may be printed on paper, but they are not chiseled in stone. If you do not like a particular aspect of the contract, do not hesitate to raise your concerns. There is no harm in asking. Try to get the best deal for yourself. If you feel the cost/ interest is too high or the payment is too low, do raise your voice.
Devil in the Details: Read your contract carefully. If you have to grab a magnifying glass and read through the fine print, do it! Do not rely on the verbal promises or claims of the salesperson. Go through the contract yourself. In fact, get your legal and technical experts’ opinion on this.
Understand: After reading everything, make sure you understand what the words are saying. Talk to friends, family members and get in touch with previous or current customers. If you feel the need, you can even take help from experts to understand it. And never hesitate to call up the customer service or your sales representative to clarify points.
How to get out: Make sure before signing the contract, you know how to get out of it without suffering any penalty, if you are dissatisfied later or it does not meet your demands. Every contract should have a ‘cooling off period’ wherein you can get out of the contract without suffering financial losses.
Take your time: Do not rush into your decision. Take your time, do your sufficient research, read and re-read your contract. Keep your ears open to listen what others have to say.
Responsibility: Finally, understand you are responsible for signing the contract and any benefits, negative impacts or breach of contract will fall on you.
Once you sign the contract, make a copy for yourself and keep it safely.
