Assistant Professor Dr. Sharier Azim Khan Offers Expert Tips on Personal Loans in Latest WalletHub Publication
Dr. Sharier Azim Khan, Ph.D., CFA, Assistant Professor of Finance in the Texas A&M University-Commerce College of Business, was recently featured on WalletHub, a top personal finance website. Dr. Khan offers valuable insights and practical advice on personal loans, providing students and consumers with essential guidance on managing this financial product wisely.
In his WalletHub feature, Dr. Khan breaks down important aspects of personal loans, emphasizing the need for careful consideration before borrowing. He explains that personal loans are usually unsecured, meaning they aren’t backed by collateral like a house or car. Because of this, banks charge higher interest rates compared to secured loans.
Dr. Khan advises using personal loans as a last resort, particularly for paying off high-interest credit card debt. He recommends choosing a loan term with manageable monthly payments. Dr. Khan also highlights the common traits of the best personal loans, noting that some lenders offer lower interest rates if the loan proceeds are directly paid to credit card companies, which can help borrowers save on interest.
When asked if not having a personal loan is the best option, Dr. Khan strongly agrees. He advises against using personal loans for discretionary expenses like vacations or new gadgets. Instead, he suggests only taking out personal loans for long-term investments such as cars or homes, which provide lasting value. Dr. Khan stresses that everyday expenses should be covered by regular income, like a salary, rather than through personal loans.
Dr. Khan’s insights give students and consumers a clear understanding of personal loans and highlight the importance of smart financial management. His expert commentary on WalletHub reflects the college's dedication to impacting, educating, and transforming the lives of everyone in our community both in person and online.