Every day, more and more non-bank loan offers appear on the financial market. In some situations, when it is too late to ask how to save money, this form of help turns out to be the best solution. However, for new customers, product variety may seem an insurmountable obstacle.
We have created the following guide with such people in mind. You will find there useful information that allows you to quickly find the right offer. It answers the question: Online loans – what to look for when choosing or comparing offers?
Online loans – what to look for?
For many of us, the basic criterion for choosing the right loan will be the amount available. When we decide to make a financial commitment, we want the product to cover almost all our needs almost immediately. Also experts advise against using the services of several companies at the same time.
Despite this, it happens that in gantry situations we forget about good advice, and control over our decisions is taken by fear, impatience and desperation. However, we should remember that in the case of applications for non-bank loans online, the entire application process runs smoothly. We do not have to wait for money as long as in the case of banks, so you can easily look through the available database of offers. If we do this, we will definitely be able to find one product – instead of several – that suits our needs.
Maximum and minimum loan amount online
Online loans – what to look for? At the beginning we face the basic choice between payday loan and installment loan. Finding the answer to the question which one is right for us requires going through several stages. Let’s start by analyzing the amounts that a given product has. We will then cover other aspects. Long-term loans give us access to much higher amounts than payday loans. It is worth remembering, however, that lower limits are also increasing. Therefore, if we need a small injection of cash, then the value of financial support that interests us on better terms can be found among the offers of short-term liabilities.
For example, LENDER payday loans can range from USD 100 to USD 3,000. In turn, after searching the installment commitments database, we will notice that the sum of USD 100 is only available in the case of a Wong loan. The reason for this may be the simultaneous offering of payday loans and installments by the company. As for the maximum amounts, then:
After switching to one of these tabs we will be able to use filters. Use the sliders to specify the amount you are interested in and the repayment period. Then, in response, we will receive a list of companies whose offers meet our expectations. For example, if we want to take a payday loan of USD 2,000 for 60 days, then the feedback will look like this:
Their initial selection can be facilitated by the use of combinations such as Ranking of payday loans of the month, Ranking of loans of the month, Payday loans without BIK, BIG, KRD, ERIF and many others. You can find them by going to the “Rankings” tab.
Online loan repayment date
Online loans – what to look for? We undertake to repay any loan. In some cases, the refund payable will be increased by the cost of running the commitment, such as commission, interest, and additional fees. However, there is also a solution that can help us minimize them to even USD 0. While browsing specific offers, we have certainly noticed the APRC abbreviation appearing next to them. What is hidden under these letters?
APRC what is this?
The development of this abbreviation reads Actual Annual Interest Rate. We may wonder why this is so important information. As customers, we usually want the selected offer to be the cheapest. Some find perfect non-bank products for themselves thanks to APRC. The annual percentage value hidden under these four letters means the total cost of the commitment that we will have to bear after signing the contract. Thus, it includes both the loan amount and all its costs. Thanks to this information, no fees will be hidden from us.
It is worth remembering that when searching for the cheapest offer according to the APRC, we must ensure that the loan amount and repayment date are the same each time. Depending on these parameters, the APRC may increase or decrease.
Online loan repayment date
If we are sure that after the 30-day deadline or a maximum of 65, we will be able to repay the loan and its costs, it is worth choosing such a solution. However, we emphasize once again that this is a good solution for people whose financial crisis is temporary. On the other hand, online installment loans with a long loan period will be a good solution if our needs are large. By choosing convenient monthly installments for us, our budget will not be undermined.
Online loan costs
Online loans – what to look for? Various fees may be added to the cost of an online loan. What will make up the total repayment amount depends on the company’s internal decisions. However, its maximum value (except for interest) was limited and specified in the Anti-usury Act. According to the records, it cannot be higher than:
- 25% of the total amount of the liability,
- 30% of the liability amount on an annual basis.
The exception are loans granted for several years. In such situations, the maximum amount may not be higher than 100% of the liability. If we borrow USD 2,000 for 6 months, then the maximum amount of non-interest costs will be: 25% * USD 2,000 + 15% * USD 2,000.
The cost of an online loan includes:
- interest – the interest rate on a non-bank financial product may not exceed twice the sum of the NBP reference rate and 3.5 percentage points. The value of the NBP reference rate has not changed since March 2015 and is currently 2.5%, and thus the maximum interest rate is 10%.
- commission – basic fee for granting an online loan,
- preparation fee – the value we pay for the preparation of the contract and acceptance of the application,
- administration fee – for loan service,
- registration fee – as the name suggests, for registration (for example 1 gr),
- insurance – additional protection against random accidents.
It is worth repeating again that not all of the above-mentioned fees apply to every loan. As with the Filarum loan in the amount of USD 2,100 for 30 days, the costs are a commission of USD 573 and capital interest of USD 17.26.
When, in response to Lender, we receive a list of loans that meet our requirements, then we can see the costs by clicking the “Details” tab. The first information that will be displayed is a representative example of an online loan.
Online loans – what to look for? Loan companies offer their clients various inferences. One of them is a telephone conversation during which we provide all the necessary data to complete the application. Consultants are waiting for our calls at the number provided in the special section. If we have additional questions, then regardless of the method of inference, we can contact Customer Service. Information on this subject can be found, for example, in the Wong tab contact.
Another solution may be to use home service, where all information is provided personally to the company’s representative. However, when it comes to stationary branches, the lenders decided to give them up mainly due to technological progress. It made it possible to transfer the application procedure to the internet.
Online loans are characterized by a short waiting time for the lender’s decision. Filling in the application takes a maximum of several minutes. In addition, most companies guarantee that the loan will be credited to our account within a maximum of one business day. However, it will be sent almost immediately after accepting the application. We’ve checked many times about the loan application process on the lender’s website.
You can read the detailed application procedure and its procedure in our entries from the “Loan test” series. If a product has been tested by us, then after clicking the “Details” section we will find the “Loan test” tab with an access link to the analysis of the application procedure.
In addition, a list of all companies in which our experts have submitted applications can be found in the “Loan test”
Online loans – what to look for? For a long time, the method of verification of identity was a verification transfer. In this situation, there may be a problem with the long waiting time for the transaction to be posted. It all depends on what bank we have an account with. If the same as the lender, the impediments disappear. Otherwise, they can cause problems in getting the decision quickly. That’s why lenders were looking for another way that would speed up the whole process. With the development of technology, there was a chance to eliminate the obstacles that are inbound and outbound sessions.
Currently, many companies use new solutions, such as data verification applications. Most often we can meet with the Instantor program. The solution is to log into your banking through the appropriate page. Then, basic data about our identity and information about the account history will be downloaded from our account. In this way, the lender can also pre-assess our creditworthiness. Everything is properly secured, so we don’t have to worry about our login details. It is thanks to special applications such as Instantor, Kontomatik that we can take out loans online without a verification transfer.
Online loan agreement
Online loans – what to look for? Many of us are certainly wondering how to sign a loan agreement by applying completely online. There are several ways. One of the traditional solutions is submitting the application and then waiting for the courier’s visit. Our duties in this situation include:
- getting acquainted with the contract,
- handing over an ID card to a courier company employee who will verify our identity,
- signing on two copies of the contract.
That’s all. One loan agreement stays with us and the other courier takes you to the lender. However, the whole process can take up to several days, so if you want to receive cash quickly, we should familiarize yourself with other solutions.
Many companies – including LENDER, for example – offer their clients the option of creating an electronic signature. We get the contract to the e-mail address provided earlier or we can find it in the customer’s panel, then we put our electronic signature in it and then send it to the e-mail address provided by the lender. It is important that our signature is verified as secure. This can be done, among others via the website of the National Clearing House (KIR). The certificate opens the way for us to conclude contracts online.