Making a loan at a bank

Today, loan programs are in great demand among s, because of the difficult economic situation in the country, almost every person takes a loan at least once in his life. Since the demand for such services is constantly growing, then the proposals are beginning to take on a different character. For example, today it has become possible to obtain a loan from a bank.

Credit abroad: advantages

How to get a loan in a foreign bank?

The very first thing that can attract customers is the minimum interest rate for a loan, for example, if banks in the country offer 17-36% per annum, then abroad it will be only 3.5 – 7% per year. Of course, what is important is the purpose of the loan, as well as in which country. It should be understood that foreign banks offer advantageous loans for the purchase of real estate, where the minimum amount can be from $ 50,000. For foreign customers, the interest rate can be from 5-7% per year. Compared with such indicators, they will still be more profitable than in the country.

It is worth comparing the stability of foreign and domestic banks, then it is safe to say that the former are more stable. Here, the conditions for lending remain unchanged, which is why users can safely plan their budget for several years in advance.

How to get a loan in a foreign bank?

How to get a loan in a foreign bank?

Of course, at first glance it may seem that such an operation is impossible, but still in the modern world you can get a good loan without even leaving the country. In this case, the borrower will be assisted by a consulting company that will work as an intermediary between the person himself and the foreign bank. Such companies can usually charge approximately 1% for their services. But, to save on the services of such companies, you can simply search for representative offices of import banks in your country. If you need money faster, a person should start by choosing a banking organization. The next step is to search for the organization’s representative in the country or search for a consulting company and perform the following steps:

  1. Apply for a loan and provide all the necessary documents;
  2. Wait for a loan decision, it may take up to 7 days;
  3. If the loan is approved, then you need to draw up an agreement and register it with the National Bank or the Ministry of Finance.

As for the collection of documents, it must be understood that each bank has its own requirements, mainly from the borrower they require:

  • Passport of a citizen of the country and taxpayer code;
  • Income statement, usually foreign banks require that the income is 1.5 times more than the monthly loan payment;
  • If the loan is secured, then you need to provide documents for real estate or other valuable property.

When applying for a loan at a foreign bank, it can be repaid either in monthly or quarterly payments, everything will depend on the loan agreement. The lending currency is chosen by the borrower himself, today the most popular are the dollar and the euro. Many banks notice that the user pays his loan on time and without debts, so with the following loans they can offer more favorable interest rates and bonuses.

How to get a loan from a bank abroad?

How to get a loan from a bank abroad?

If a person is abroad for work or for personal purposes, he can get a loan from banks without difficulty. In order to obtain the required loan amount, the borrower will need to have:

  • International passport;
  • A document that confirms the official resides of a person abroad;
  • Employment document;
  • Information that the borrower does not have arrears and debts on previous loans;
  • Documents for real estate or valuable property in case of collateral for a loan;
  • Surety, if a relative of the borrower lives in the country and is ready to take responsibility.

Most often, a mortgage loan is approved, while real estate that you buy itself acts as a collateral for a loan, this is the option that will give the bank confidence that the loan will be paid on time, without delay. Of course, it is worthwhile to understand that the chances of issuing credit funds will depend on the guarantees that the borrower will provide him. If the user refuses to pay the loan, then he will receive an appeal to the court, which may affect the credit history of the borrower. Many banks initially check the solvency of customers so that such situations do not occur.

Poles have no problem paying off debts

For the second quarter in a row, we can observe a growing share of households that are able to pay off their financial obligations without problems.

The good situation of borrowers

The good situation of borrowers

In just one quarter it increased from 58.4 percent. up to 62 percent and this is the best result in the entire history of research that has been conducted on the Polish market for 9 years.

Certainly, the growing percentage of our country’s debt is significantly impacted by the improving economic situation of our country. Financial education, which leads to the growing awareness of Poles in taking loans, is also significant. Increasingly, before we complete the loan application, we analyze our budget.

We adapt loans to our financial capabilities, we consciously decide on the form of repayment – whether we need a quick payday loan, which is repayable in full or an installment loan. Therefore, repayment of liabilities is no longer such a heavy burden for the household budget.

A positive vision of the future

debt loan

An increase of almost 4 percentage points the percentage of households declaring that they do not foresee problems related to repayment of liabilities in the near future. Just three months ago, the percentage of respondents who did not expect financial problems was 44 percent, now it has grown to 48.8 percent.

This improvement is apparently a continuous process. The result of the previous quarter (44%) was considered by specialists to be very good, and the current increase is the highest in the entire history of the study. Positive visions of the future declared by Poles are a good signal for the financial market.

This means that the solutions offered by loan institutions and banks are adapted to the needs and capabilities of consumers. In temporary financial problems, people using the help of banks and loan companies are granted real repayment obligations. Thus, it can be seen that the entities granting loans thoroughly examine creditworthiness and only on its basis determine the number of liabilities granted.

Decreasing problems with paying off obligations

Decreasing problems with paying off obligations

At the same time, the percentage share of households declaring significant problems with repayment of their liabilities decreased. It fell by almost 1 percent. and now it is 8.3 percent It is worth noting that the percentage of those farms where lettuce is very difficult is the lowest in 3 years. These changes are also important information for the financial sector – groups with the biggest problems with paying their debts often do not pay them on time, which is quite a big problem for loan institutions.

A positive signal is also the decreasing percentage of households that expect major problems with paying their debts over the next year. Currently, such a declaration is made by just over 6 percent. respondents.

Quarterly surveys carried out by KPF indicate that the situation of Polish households is improving. This is influenced by many factors, and the most important is responsibility – both lenders who professionally assess the lending capacity of their clients, as well as borrowers who, having more and more knowledge in the field of finance, are more careful in choosing offers.

Bank tax charged to the customer’s online loan

Banks, credit unions, insurance, and loan companies – for these institutions, since February 1, 2016, the tax has increased, by 0.44% in value of assets. It would seem that the increase is small, and the average client of these institutions should not feel the difference. So why did the topic of rate increases become number one?

Banks with additional costs

Banks with additional costs

The increases that will be felt by bank customers are not the result of an increase in the tax itself. This is because there are other burdens imposed on the banking sector, such as the Borrowers Support Fund, the Bank Guarantee Fund and, with high probability, support for people repaying bank loans in foreign currency that banks will have to cover.

The first changes are already visible on the market, increasing the mortgage loan margin, and higher commissions for banking services.

Tax needed to finance government plans

finance

Increasing the tax is necessary to fulfill government promises, including payments of USD 500 for a second child, or lowering the retirement age.

The government’s intention is right that the banks that offer one of the most expensive services in Europe in Poland support their social assistance. Unfortunately, as a consequence, the tax will be passed on to consumers. So the circle closes, what we can gain, we will have to pay earlier.

Banking tax imposed on capital groups

Banking tax

Institutions that have been subject to the new tax cannot bypass fees. The legislator has foreseen situations in which one capital group is divided into several companies, thus not exceeding the set limit of assets subject to tax. The tax is therefore imposed on entire capital groups.

The fears of financial market experts are slowly coming to fruition, some banks began to increase the cost of loans and other banking services before the introduction of the act.

According to specialists, this tax will affect the rate of economic growth. Let’s hope, however, that the solutions proposed by the government will ultimately improve the quality of life in our country.

Revolving credit, the alternative to credit without proof of salary.

The bank loan proves to be the best solution when you are in urgent need of money. However, the bank is unlikely to give you a loan if your wages are intermittent. Today, credit organizations offer loans without proof of salary based on your financial situation.

What are the differences between personal loans and revolving credit?

What are the differences between personal loans and revolving credit?

Revolving credit and personal loan both in the borrowing category without proof. That is, you will never have to be accountable to your bank or credit agency. These types of loans can allow you to get up to 75,000 USD. It should however be borne in mind that the term “without proof” only applies to the freedom to use the funds as you see fit. Although they are similar, personal loan and revolving credit are different.

The first requires the borrower to have a fixed source of income. A stable job, therefore. There is therefore no personal loan without proof of salary itself. Revolving credit, on the other hand, does not require a pay slip and constitutes a reserve of money available 24/7.

How does the revolving loan work?

How does the revolving loan work?

Revolving credit works like an overdraft account. With the loan institution you have chosen, you set a ceiling. Seven days after signing the contract, the funds are transferred to your account. You can then start using the money as you wish. As for reimbursement, be sure to respect the monthly payment. You can lower or increase its amount according to your possibilities and by requesting it from your financial institution.

If a problem occurs, you can be granted 2 postponements. However, this results in the suspension of the use of your personal loan without proof of salary. When you have repaid your loan in full, your contract does not end. You will again have a reserve of money for the amount of your loan and can use it or not. If you do not use your revolving credit for one year, it will be suspended.

How to take out revolving credit?

How to take out revolving credit?

The request for a revolving credit can be made at a bank, in a store or online. The latter method is becoming more and more common. You choose the offer of a credit house, fill out a form and attach the supporting documents. Upon validation of your request, you receive a contract which includes the amount of the loan, its duration, the APR, the amount to be reimbursed and the monthly payments.

However, before taking out a revolving loan, you should know that it is mainly used to pay for repairs or to buy computer, audiovisual or household goods.

It is not suitable for expensive projects such as buying a car, building works or financing studies. Revolving credit should also never be used for impulse purchases because its interest rate is very high. This type of loan is therefore mainly intended for people who still have a stable financial situation to avoid over-indebtedness.

Interest calculation installment loan.

A simple percentage interest calculation, which is based on the total loan amount, does not take into account that the borrowed loan amount decreases with every installment paid and that the interest rate also decreases. To calculate an installment loan, it should be noted that the interest is always calculated as a percentage of the remaining loan amount.

The more installments you pay off, the lower the remaining debt. The interest must be calculated from the respective remaining debt and in the course of the loan repayment not only the credit burden decreases, but also the interest burden.

An example of interest rate calculation for installment loans

An example of interest rate calculation for installment loans

For example, you took out USD 30,000 as an installment loan. In this example, the interest rate is 3.2 % as the APR. The loan repayment is expected to be completed in three years. In the 36 months, all installments will be repaid to the lender at a constant amount. The formula for calculating interest is as follows:

  1. Capital * Interest factor rate = residual debt 1
  2. Residual debt 1 * Interest rate factor – residual debt 2
  3. Residual debt 2 * Interest factor rate = residual debt 3
  4. etc

You can see from the given formulas that the interest is always calculated as a percentage of the current remaining debt, which decreases with each monthly payment. As soon as you make possible special repayments as a one-off payment in installments, the amount of the remaining debt drops and in the following month the interest is calculated at the monthly interest rate from the existing remaining debt. With annuity loans, repayment is made in constant installments, but the composition of the installment changes every month.

The rate is made up of the redemption component and the interest component, in the beginning the interest component is the highest, but with each month of the loan repayment the interest component decreases and the repayment component for paying off the loan amount increases.

Adjust the installment loan interest calculation

Adjust the installment loan interest calculation

The rate remains the same, but within the constant rate, the composition changes in your favor, because if the loan amount gets lower, you also pay less interest. With a long loan term, you pay more interest than with a short term loan. In this way, the determination of the term has a direct impact on the interest burden during the credit term.

The loan interest is remuneration for the lender because the lender lends you a certain amount for a fixed period. Make sure that the monthly interest is always calculated from the current remaining debt and not from the total loan amount, in order to avoid unnecessary additional costs and to increase the repayment portion each month.

In summary: the interest calculation of the installment loan

In summary: the interest calculation of the installment loan

The rates are largely the same for annuity loans, but as a borrower you always have to pay attention to how the current rate is made up each month. The rate has only been correctly calculated if the repayment portion increases every month and the interest portion falls. It is best if the bank not only states the amount of the monthly installment, but also how it is currently composed. As a consumer, you always have an overview of the entire loan repayment.

We explain what an online loan is for an account

When time is chasing us and we have no time to waste, when we need support “for now”, and no one is able to help us, if we are at risk of lack of money.

What is an online account loan?

What is an online account loan?

What can help then? Of course, online loans into your account! However, before we discuss this issue and check whether the online loan for the account is intended for us, let’s check the most common voices about universal access to the network. The Internet loves or hates itself.

Online loan to account

money loan cash

The Internet can often be annoying, for example, when family and friendship ties disappear because of it. We spend more time in front of the computer, forgetting to meet a friend face to face. Social networks replace real contact, sometimes we talk less to each other.

Of course, this is not the norm, but certainly the convenience of such contact is largely encouraging to abandon other, more engaging activities (i.e., for example, meeting for coffee).

Oh, dear internet!

Others believe that the internet not only does not damage friendly and family ties, but just strengthens them. This is because one does not exclude each other! It is not that when we talk to someone via Messenger, we automatically stop meeting such a person face to face.

None of these things – we can even better match each other, and – not only from time to time when we pop out for coffee – keep valuable knowledge.

Borrowing? Easier than ever before

Borrowing? Easier than ever before

Let’s think about how it is with borrowing money. Here is the verdict: whether it is better how we can do it online or not is actually obvious. We simply have more choice, because in the past a visit to a bank or non-bank company was waiting for us, and today we can do the same, but faster and just as safe without leaving home.

It should also be mentioned here that the first loans for customers in many loan companies are for free. Payday loans, or short-term loans, are usually transferred to your account.

And most importantly – virtually anyone can borrow like that!

Non-bank loans on account are nowadays particularly desirable because the uncertain situation on the labor market means that it is difficult to get a loan from a bank.

Because if we work on a civil law contract (mandate contract or contract for specific work) and our payments are irregular, the bank may refuse to help us. Therefore, the growing popularity of non-bank loans is not surprising, because the formalities are kept to a minimum and the time to obtain money is very short.

Not only payday loans but also in installments

Not only payday loans but also in installments

An online loan to your account does not have to be just a quick loan – payday loan. Currently, installment loans are very popular. Also in this option of borrowing in most cases, the option of transferring the loan in several minutes to the customer’s account is offered.

The most important requirements

In most companies, online loans on account are possible after fulfilling several undemanding conditions. A person applying for a loan via the internet must of course be of legal age, although it should be noted that often 18 years is not enough, because a little older people after the age of 20 are more favorable. There is also an upper age limit of 70-80 years (depending on the company).

Of course, a stable source of income is important, but unlike a bank, it does not have to be a permanent employment contract. A requirement (although not surprising) is also a PESEL number and permanent residence. Usually (but not in every company) a declaration is made not to have a negative credit history, for example at the Credit Information Bureau. As we wrote in the introduction: when time is running out and we need quick cash, we should sit at the computer and apply for it online. Looking at the requirements, we can be confident that we will get this support.

Non-bank loans not for debt

If so, you probably know what their services are about. Their main products are online loans, in installments, i.e. financing in the form of quick cash injections, for various circumstances.

Have you ever used the services of non-bank companies?

cash loan

When is it worth using such an additional financing option and what is worth remembering so as not to fall into a debt spiral? You will find out below! Online loans are an increasingly common way to craft your home budget.

Cash that flows into the account, within a few minutes of submitting the application, saved many a birthday, a family trip and the purchase of a dream gadget. What does this service consist of?

Online loan to account – what do you need?

Non-bank companies are trying to maximally reduce burdensome formalities, which in the normal course of applying for a loan or credit, can take up to several days. You don’t even have to leave your home to get a loan online up to several thousand dollars.

All you have to do is go to the lender’s website, fill out the application form necessary to grant the loan and wait for the positive opinion of the company. Mandatory and additional data, which should most often be entered in the headings are: name and surname, address details, place of employment, amount of earnings, account number. We specifically mentioned that some data is additional because financial or employment information is not always required.

Types of online loans – which product should you choose?

Types of online loans - which product should you choose?

There are various forms of online loan financing. You can take an installment loan or online loan to your account. The common element of each product is usually a fairly short repayment period – a maximum of 1-3 years and a limited loan amount.

You can borrow from a few to several thousand dollars. As it turns out, in some cases you can postpone the agreed repayment date, if you lose liquidity for a while. However, remember to always turn to a non-bank company and agree on the details of such a transaction.

Dangerous debt, or why not take out loans to pay off other debts?

Dangerous debt, or why not take out loans to pay off other debts?

Have you heard of the dangerous carousel of debt? Unfortunately, some people think that by paying off one debt with another loan they get a solution in the form of temporary liquidity. Unfortunately, this is a serious mistake. Looking soberly at such a scenario, we will quickly conclude that the loan increases when the next debt is incurred. You pay off your first loan with a larger sum of money from the second non-bank product. It’s so easy to get into bigger financial problems. Unfortunately, remember that every time you suspend repayment of the loan you run the risk of visiting a bailiff, debt collector or entering on the list of debtors. If your credit history is negative, it will be harder in the future to get a mortgage or other form of greater financial support.

Therefore, when you take out a loan online:

– Make sure what installments you can pay monthly
– Are you sure you can’t borrow this money from your family,
– Read the conditions for taking the loan carefully,
– Analyze if the purpose for which you take a loan is certainly necessary for you to achieve.
You can always take the loan, you will pay it back every month or, for some products, once in a short period. With quick calculations carried out for your own needs, you will learn how your account balance and financial possibilities look like.

Utility loan – how to get it?

 

Public utilities are getting higher every month, but the salary remains the same. It’s good that there is no heating season in the summer and you don’t have to pay much, but with the advent of cold weather the housing and utilities repayment is of a different nature, you need to pay a very large amount for heating, and if the apartment has two or three rooms, then the fee can be several thousand dollars. All this brings a big imprint on the budget of the people, so many try to find a variety of ways how to pay a communal apartment so that there is enough money for other household expenses.

Utility payments: where can I find funds on them?

Utility payments: where can I find funds on them?

In search of means to pay utility bills, each person can find for himself a suitable option out of all possible, for example:

  • Borrow from friends. This option may be suitable for those who have very good friends or relatives who can easily give away several thousand dollars at the first request. Everything would be fine, but in most cases, not everyone is ready to give a large amount to a person based on trust, moreover, such loans in the future can lead to quarrels.
  • Wait for salary. Since recently people can pay for a communal apartment on any day of the month, and not until a certain date, it will be possible to wait for a salary and then pay for all services. The idea is good and convenient, but if there is not enough money even after a salary, it may not work.
  • Get a loan at the bank. Of course, you can try contacting a bank for a loan, but you should understand that banks usually issue loans on a long-term basis and quite large amounts. In addition to the fact that a loan of up to 5,000 dollars can be refused there, the bank can require a lot of various documents and certificates from the borrower, for example, about earnings or from the place of work, to be sure that the user will be able to pay the loan along with the interest rate , which in banks is usually very large.
  • Take an online loan. This option allows a person to issue a microloan in the amount of up to 20,000 dollars, here the borrower will be able to get the amount of money he needs very simply and quickly. In a microcredit organization, you can take money at any time, because they work online and around the clock.

Having considered so many different options, where you can get money for utility bills, we can conclude that it is best to get an online loan, because this option is the fastest and most profitable.

The choice of a microcredit organization

The choice of a microcredit organization

A lot of microcredit organizations have opened in the country today, so the search for the ideal may take even a few days. To simplify your searches and save time, it is best to find a special service that will perform a search on its own.

One of the modern services for finding credit organizations is the service, where each borrower can not only find the organization he needs according to the terms of the loan, but also on favorable offers.

Service has several advantages:

  • Here you can read all the basic information about the credit institution, get access to its official website;
  • Each user will be able to read reviews from real borrowers and understand whether it is worth taking a loan there or is it better to look for another company;
  • The service provides complete information about regular and temporary promotions, discounts and bonuses that will make the loan even more profitable.

In addition, the borrower does not have to spend hours looking for the right organization, it will be enough to open only a few tabs in the browser and choose the right company for lending in a matter of minutes.

Such advantages allow each client to find the right service and apply for a loan to pay off utilities * very quickly receiving money immediately to the card after registration. In such a service, you can easily search for the right credit company and not worry about the service being unprofitable.

Who can apply for a utility bill?

Who can apply for a utility bill?

Favorable tariffs, lending conditions are also pleasing, but will they give a loan to a person at 18, and is it also possible to apply for a pensioner in a microcredit service? It is clear that a person who has a permanent job and income will have money to pay for a loan, but if you take such categories as students working informally and people of retirement age, can they easily issue a microloan without fuss, refusal and documentation?

Since many organizations treat their customers loyally, loans can be issued there to all comers. If you take the banks for example, then you can get a loan there only from 21-23 years old, and for a chance to get the right amount of money, the borrower will need to collect a package of documents consisting of a statement of income, documents on official employment, they may also be required from the guarantor user. Not everyone can manage to get such a loan, not to mention that the decision on it can be negative, even after the borrower fulfills all the conditions. The thing is that banks do not trust people with informal employment or with low wages, while microcredit organizations are ready to help everyone who needs finances.

Today you can find a service that will provide loans for the right amount to students, women on maternity leave, not working officially, unemployed, and also allow you to get loans for pensioners without any difficulties. The thing is that microcredit organizations do not give such large amounts for a loan, and the loan term is usually up to 30 days, so no one is worried that the borrower will not return the necessary amount of funds. Such companies will really help to solve any financial issue quickly and simply, and together with the service, searches, processing and obtaining a loan will be several times faster.