Are you looking for a way to restore the liquidity you just lost? Maybe you want to finance your purchase quickly and you don’t have sufficient funds at the moment?
A free loan can help you solve temporary financial problems.
Free loan – what is the difference between a free loan and a regular loan?
When borrowing money from loan companies or even banks, you usually have to reckon with the fact that the institution’s goal is to earn. Therefore, you usually give more than you borrow (unless you have the “free loan” or “free loan for 60 days” offer, but more on that in a moment). To the borrowed amount (i.e. the so-called capital part of the installment), usually fees such as:
- The interest rate on the loan , i.e. the nominal interest rate – is a percentage that illustrates the interest rate charged on borrowed funds. The interest rate may not be higher than four times the current Lombard loan rate of the National Bank of Poland. Such a restriction was introduced so that financial institutions do not impose too much interest on the capital they borrow.
- Lender’s margin – this is an amount determined individually by financial institutions that borrow money. It is to be a guarantee of income.
- Costs of additional services – it happens that you can or need to use other, additionally paid products of a given company, e.g. insurance, to get a loan.
Other fees may also be added to the loan, depending on the institution’s internal arrangements. All the above elements, which are added to the capital part of the installment, are expressed by the APRC indicator. What does he mean
APRC is the actual annual interest rate. This is the percentage of the “price” you have to pay for taking out the loan. It is calculated on the basis of a special formula and takes into account all costs associated with granting the loan and its financial support. Free loans have an APRC of 0% . This means that the total cost of the loan is PLN 0 and you pay back exactly what you borrowed.
Remember that if you meet the offers “free loan 60 days” or “loan for 30 days for free”, you will not be exempted from exceeding the payment deadline. You must return the money you borrow within the time limit to avoid additional costs.
Free loan – what are microloans, i.e. Good Finance?
Loans with zero APRC are usually granted as free loans for 30 days or free loans for 60 days, or so-called payday loans. Of course, the loan period depends on the company’s offer, but usually, it does not exceed 30 or 60 days.
Free loans are also called microloans because you can borrow a relatively small amount – e.g. 1000-3000 PLN. It is a sum that can help you meet your immediate needs, such as buying new equipment, car repairs or medical expenses.
Advantages of free loans:
- You do not pay any fees, commissions or interest.
- You can get a loan in a short time – the processing of the virtual application takes up to several minutes.
- You do not need to complete many formalities – usually, a loan is required for an ID card, 18 or 21 years old and a bank account (if you apply for an online loan).
- You do not have to worry about your bad credit history – loan companies or parabanks often do not attach importance to your other obligations, do not check the history of BIK or assess creditworthiness.
- Payday loans are easily available – on the Internet you will find many micro-loan offers. Remember, however, to be vigilant and carefully check the company and offers free loans.
Loans and credit are not synonymous – they are terms that mean two different financial products. The loan may be granted only by the bank. It is necessary to sign a contract, and the rules for its allocation are governed by banking law. A loan is a much broader concept.
It can be provided by banks as well as non-bank institutions and private individuals. The cost of the loan is determined individually by the institution, you can get, for example, a loan for 60 days for free.
Free loan – 60 days, 30 days? How it’s possible?
Free loans are not granted to everyone. In addition to the fact that you can usually borrow a relatively small amount for a short period of time, you must meet one more requirement:
Why do companies borrow money for free? Because financial institutions that offer quick loans, there are a lot on the market. To attract new customers, loan companies are preparing special offers, such as loans for free.
If you do not want to drown in a sea of offers, use the payday compare engine, available online on the Good Finance portal. This tool compares various parameters in a legible way, which makes choosing the right to offer much easier.