This will affect the amount of your monthly repayment. You must have enough left out of your income after loan repayments to live and, ideally, still be able to save some money. In most cases, you should make sure that the period of your loan is not longer than the life of whatever you are buying or doing.

With careful budgeting, you can balance the amount you borrow with the period of the loan and the amount you can afford to repay each month.