Why do companies offer free first loans?

Loan companies have a real paradise , which is why despite the changes in the regulations regarding maximum costs they are still extremely well. In recent years, a new Product literally appeared on the same market every day. Payday loan attract with accessibility, the option of obtaining it through the internet, without certificates or also that the capital can be thanks to technology, even in 15 minutes on the account. Thanks to this they are so common among the still extremely indebted society.

What are free payday loans and loans?

What are free payday loans and loans?

Free payday loans or loans are no different from the traditional versions we can take with private loan companies. Their mechanism of obtaining, the conditions to be met or paying off is the same as in a typical interest rate mode. To be able to receive them, first find the right company that offers such a promotion, then select it on the website and submit the application. After completing it and sending it, we are waiting for approval. When the loan or payday loan is given to us, we will receive an appropriate SMS or e-mail.

Who uses free payday loans?

Who uses free payday loans?

Free payday loans are a benefit for both parties. Profit on the part of the consumer is certain – he obtains additional cash without any special expenses, quickly and without time-consuming procedures, so while maintaining all relevant benefits. Meanwhile, it is easier for lenders to create a consumer base – it is because the huge probability that a consumer convinced by a free loan will be interested in the company’s services in the future. We rarely think about the fact that for non-bank companies, payday loans are an article with great danger. Additional expenses and commissions added to the sum of the loan are collateral for the company in the event of repayment problems.

Why do companies grant free loans?

Why do companies grant free loans?

Many consumers may wonder why non-bank loan companies are offering free loans. Is it worth it at all? In the case of free loans, we can talk about mutual benefit. The company draws the consumer’s attention with a promotional offer. The borrower receives the article without any special costs, while the creditor, in the meantime, establishes a bond with the contractor, and if he is satisfied, he can use the services of the company again. From the perspective of the company’s operation, granting interest-free loans is quite dangerous. It should be remembered, however, that in this way lenders create their own consumer base, which in the future they can offer next monetary items.

Which companies give the first loan for free

Which companies give the first loan for free

There are several companies offering the first loan for free. It is important, however, that we pay back such loans over time, because in other cases they will cease to be free and they will cost us a lot. There are a lot of huge rankings of loan companies on the Internet, but often several companies belong to the same organization, which is important when we take the first free loan.

What is consumer credit?

 

According to the adopted regulations, consumer products are considered to be banking products as well as those offered by loan companies. The amount of the liability may not exceed 255 thousand dollar. Tegu type financial services must have a clearly defined contract. What is the difference between consumer credit and consumer credit? We invite you to read!

Consumer credit must be stipulated in the contract

Consumer credit must be stipulated in the contract

Consumer credit is regulated by the Act of May 12, 2011. According to the adopted regulations, the loan amount may not exceed 255 thousand dollar. Within the meaning of the adopted legal act, both a bank loan and a non-bank loan are considered as such a financial product. Important – this financial service must be stipulated in the contract. A consumer loan agreement is:

  • loan agreement,
  • loan agreement within the meaning of the banking law,
  • agreement on deferring the date of payment of the cash benefit to the consumer, if the consumer is obligated to bear any costs related to the deferral of performance of the benefit,
  • credit agreement, in which the creditor incurs a liability to a third party and the consumer undertakes to return the fulfilled benefit to the creditor,
  • revolving credit agreement (credit card).

Differences between a bank loan and a loan from a non-bank institution

Differences between a bank loan and a loan from a non-bank institution

Banks have a statutory obligation to check the BIK score of a potential customer. Loan companies do this voluntarily. It is worth noting that banking institutions attach great importance to financial liquidity.

If the borrower does not receive a sufficiently high salary and, which is even worse, is employed under a mandate or work contract, he may have considerable problems obtaining a loan. Interestingly, the amount of the bank loan depends not only on earnings, but also on the profession of the borrower. In the privileged group are lawyers and doctors.

Loan companies look kindly at the borrower’s credit history. Previous financial liabilities that have not been repaid on time should not affect the decision to grant the so-called repayable financing. However, you should be aware that loans without BIK do not currently exist. If a given loan company does not use the Credit Information Bureau databases, it cooperates with competing registers – eg ERIF or KRD.

In the case of non-banking sector products, the application procedure is maximally simplified. In online loans, the entire application process is done electronically. Money is received by transfer.

Consumer credit and consumer credit

Consumer credit and consumer credit

The basic difference between consumer and consumer credit is the fact that in the case of the former the customer must specify the purpose for which he incurs the commitment. Meanwhile, consumer credit money can be distributed voluntarily. To sum up, a car loan or an apartment loan is a consumer loan, while a quick payday loan is a consumer loan.

Consumer loan for a car – in a bank or a loan company?

Consumer loan for a car - in a bank or a loan company?

The consumer car loan is granted by both banks and loan companies. The banking offer can be used by people who have impeccable credit history and high earnings. On the other hand, loan companies offer their products to people without financial liquidity. Lite lender does not require income certificates. This is because the loan is bought and bought.

Where can you get payday loans without verification?

Payday loans are financial products that even indebted people can apply for. Quick loans without bases are a minimum of formalities, usually you only need an ID card to get them. What is worth knowing about payday loans without BIK? Where can you get a loan online without a BIK?

Payday loans without BIK – or what?

Payday loans without BIK - or what?

Generally speaking payday loans are small loans, they are also called micro loans. The payday loan is usually up to several thousand dollars. You can take it for a short time from 14 to 60 days . It happens that some parabanks extend this time at the request of the customer who has problems with repayment.

Loans without BIK and KRD means that they are not subject to meticulous verification of the applicant, as is the case with bank loans. Loan companies do not check your credit history, they provide payday loans, regardless of whether someone has already had debts or not. The only requirement for such payday loans is the age of the customer. Most parabanks require that the applicant be 18 years old, although it is possible that this minimum age is raised to 21 years.

Payday loans without BIK – for whom?

Payday loans without BIK - for whom?

Most often these are payday loans for those in debt. They are taken by people who are already repaying obligations and need more money to cover their debts. Loans without bases are also taken by people who in the past had problems repaying loans or credits on time and have a negative credit history . Often, payday loans without BIK and KRD are taken by people without a steady source of income, the unemployed, students, etc. Unfortunately, this can lead to debts, because a person may not have the money to pay the payday payday on time, which will be charged additional costs.

Consolidation of payday loans – how does it work?

Many people who take loans online without BIK take another loan to pay off their debts . The only reasonable way out of this spiral of debt is to consolidate payday loans. It is a combination of several liabilities into one, the repayment period is extended and one installment is set in such amount that the indebted person is able to pay it off without a significant burden on the household budget.

Instantaneous pay without BIK – where to look?

Instantaneous pay without BIK - where to look?

Many parabanks offer payday loans without BIK. However, it is worth comparing offers and checking their parameters. Particular attention should be paid to the APRC, i.e. the cost of such a loan. Payday loans comparison websites, where loan companies offering commitments without BIK can be analyzed. It is also worth familiarizing with the offer terms and regulations before sending the application. Additional fees may apply . Such costs are usually associated with the loan being not repaid on time. These could be fees for sending reminders to pay back. As a last resort debt collection and court costs also appear if the customer does not repay the amounts due and there is no way to settle the obligations.