Loan for free. Free loan in a few moment

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 loan - 60 days, 30 days? How it

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.


The total term as a benchmark for real estate loans.

Total term – the most important facts

Total term - the most important facts

The term total term refers to the length of a loan agreement that is determined prior to the conclusion of the loan agreement

The shorter it is, the cheaper the loan.

A longer term increases the total cost of the loan.

The term therefore influences the interest rate and the total cost of a loan.

Total term – definition

The term refers to the agreed contract term for a construction loan or mortgage loan. So that’s the total term for a loan.

The borrower (debtor) must have repaid the entire loan amount including interest and all associated costs to the lender (creditor) by the end of this time.

The term for a home loan or loan is agreed between the lender and the borrower. It is binding on both sides.

What is the total term of real estate loans?

What is the total term of real estate loans?

The total term of loans can vary and the choice of total term should be made dependent on various factors. Many banks offer a total term of a few years for a classic loan. These loan terms start at one year and can be extended to a total of ten years.

In contrast to a classic loan, the real estate loan (construction loan, mortgage loan) usually has longer terms. Since such a loan is usually about much higher loan amounts, it can have a total term of up to 30 years.

In principle, banks do not offer an infinite number of terms for all loan amounts. Especially when it comes to a loan of a small amount, the banks are often unwilling to grant a long term.

  • The choice of a lender also depends on the combination of the desired loan amount and the requested total term. The larger the loan amount, the greater the range of terms.

Long or short total term for real estate loans?

Long or short total term for real estate loans?

The term of a loan is largely responsible for the amount of the interest rate proposed by the bank. The longer the term of a loan, the more interest the lender charges. The cause is increased risks for the bank, which may arise due to the following circumstances:

  • Borrower becomes insolvent
  • Unemployment loss
  • Financial worries from prolonged or serious illness
  • The bank’s capital is tied up in the long run
  • No possibility of reinvesting the loan amount

The bank always compensates for these risks by raising the interest rate slightly. This means that a shorter term can have a positive impact on the borrower’s charges.

The interest rate does not depend solely on the term. It also affects the total cost of a loan. The reason for this is, of course, the period over which interest has to be paid. The borrower repays part of the loan amount and the interest on a monthly basis. However, the longer it takes for the repayment, the more interest accrues, even with the same interest rate.

What the borrower should consider when choosing the term is his own financial situation. On the basis of payments already to be made for rent, energy, fees (e.g. cell phone), food, clothing or existing loans, the highest possible credit rate should be determined and the term determined on the basis of this.


The loan agreement – what can change in the loan agreement?

The Bank, within the scope of its rights resulting from the signed loan agreements, may change its terms. This is most often the case with mortgages. Basically, it is these contracts that are most often modified by banks, mainly because their loan period is usually very long.

In 25-30 years, there may be radical changes in the economy, which may in a way force changes to the mortgage contract. Banks do not want to incur losses, so they construct such long-term contracts with the proviso that some of their provisions may change in the future.

It should start with the fact that the bank has the right to change the terms of the contract it has entered into with the client. Most often this situation applies to mortgages, where the conditions are modified. In this case, it is worth finding out what the loan agreement requires us to do.

When can you make changes to your loan agreement?

The loan agreement signed with the bank usually contains provisions regarding in which cases changes may be made to its content. Banks usually leave a gate in the form of the possibility of making changes to the contract when the market situation deteriorates or improves.

For example, the bank’s margin may change as a result of changes in the main interest rates set by the Monetary Policy Council operating at the National Bank of Poland.

The change can also be made at the customer’s request, e.g. if he would like to make some modifications to the repayment schedule or in his own data included in the loan agreement.

What provisions in the loan agreement can be changed?


Before signing the loan agreement, the customer must know, among other things, what mortgage terms the bank can change after signing the contract. Most often they concern:

The margin has a direct impact on the amount of principal and interest installments repaid by the customer. For this reason, borrowers are quite rightly afraid of any changes in the terms of the contract in this regard, as they can generate an additional burden on their home budget.

If, for example, a change in the bank’s margin or insurance is made by the bank in accordance with the conditions indicated in the signed credit agreement, then the customer has nothing left to do but sign the annex to the credit agreement and thus agree to the proposed terms.

With foreign currency loans, an annex to the loan agreement may relate to the conversion of the amount of the liability. Customers may also change the provisions of the loan agreements. The customer should report to the bank a change in such data as:

  • borrower’s personal data,
  • place of residence and registered address,
  • workplace.

Failure to notify the bank of such changes may cause the bank to draw legal and sometimes financial consequences for the client. Ultimately, the loan agreement may be terminated, which will result in the refund of the sum of the loan granted and outstanding.

In addition, in agreement with the bank, the loan agreement may change as regards the payment schedule. In this case, we can deal with:

  • a grace period, i.e. deferment of installment payment ;
  • suspension of the repayment period, i.e. popular credit holidays;
  • prolongation, i.e. extension of the loan period.

Much less frequent appearing modifications to credit agreements may be:

  • a change related to the withdrawal from the insurance contract or the cessation of the use of certain banking products – on which, for example, preferential price conditions were dependent;
  • change in legal collateral for a loan or credit facility, e.g. mortgage on an additional property.

In each of these cases, an annex to the loan agreement is signed.

Banks are obliged by the new mortgage act to restructure their debt if the borrower is unable to pay his loan installments. Restructuring involves changing debt repayment terms and adapting them to the client’s capabilities. It may include:

  • temporary suspension of loan repayment,
  • deferral of loan and debt service costs,
  • change in capital installments,
  • changing the period and method of repayment of the debt,
  • consolidating two loans into one.

Therefore, when you run out of funds to pay the installment, you can always count on changing the loan agreement and restructuring the debt at the initiative of the lending bank.

The new Mortgage Act imposed on credit institutions an obligation to enable debt restructuring if justified by an assessment of the borrower’s financial standing.

Changing the terms of the loan agreement on the bank’s side

Changing the terms of the loan agreement on the bank

Most banks reserve the right to change the terms of the contract while constructing loan agreements. The loan terms may change if the realities of the financial market in the country change, e.g. very high-interest rates prevail, resulting in a change in the cost of money.

The bank has the right to change the terms of the loan agreement signed with the client, especially the mortgage contract. The customer may agree to the proposed changes and sign the presented annex to the loan agreement.

However, if the changes are unfavorable and negatively affect the terms of the loan, then the borrower may think about negotiating them with the bank or eventually refinancing the loan. It involves the transfer of a loan from one bank to another.


What do you need to do to get a cash loan?

Each of us sometimes needs extra cash. After the holidays, when the account is empty, the washing machine suddenly breaks down, the car does not want to light, and the children catch bronchitis. It is a scenario that I do not wish you, but you know – misfortunes like to walk in groups.

In this situation, if you do not have savings that you can / want to use, choose a cash loan. If this is your first adventure with this product, I will tell you what to look for, what a cash loan agreement should look like and what the procedures should look like.

Importantly – banks usually do not want to grant loans to people without creditworthiness. If you’ve never had any loan, credit, or anything bought on the installment plan, learn how you should go about building a credit history.

Cash loan – who can get it?

Anyone who is over 18 years of age and has creditworthiness can get a cash loan. The bank you apply to will start by counting the so-called scoring.

Creditworthiness is the ability to repay the loan (principal and interest) within the period specified in the contract.

The creditworthiness analysis is carried out by the bank. Most often it divides it into two parts – quantitative and qualitative. The quantitative analysis includes checking the financial situation of the potential borrower. The bank checks:

  • earned income
  • monthly maintenance costs (rent, utilities)
  • current debt (currently repaid loans, amount of credit card debt, available limits, guaranteed loans)

Qualitative analysis is an analysis covering all other aspects, such as:

  • traits such as age, marital status, number of dependents, housing status, education, seniority, occupation, a position held
  • the credit history of the potential borrower.

The bank will download a report from GFCI to check your obligations and what your credit history looks like. It will also check that you have paid all your previous liabilities on time and that you have no more than 30 days of arrears.

In order for nothing to surprise you, you can check your credit history yourself – all you have to do is generate a free report in the Good Finance Credit Information (GFCI).

If you want to check your credit standing yourself, you can use our credit standing calculator.

Cash loan – documents needed for a cash loan

You need literally several documents to get a cash loan.

  • a document confirming your identity – based on which your data, age and nationality will be verified. In the credit form you will have to enter the data that matches those in the document.
  • income statement – it will be the basis for assessing your creditworthiness. You will receive an income certificate from your employer. If you are a pensioner, you should confirm your status by providing the last pension slip. The bank may also ask you for additional income confirmation, e.g. your bank account statements for the last three months. You will show that you are financially stable and receive a regular income.

Online cash loan – no earnings certificates

Some banks grant loans based on a statement. Most often, applicants for a small loan can get such a cash loan without certificates. Although the amount of such a commitment may be lower, it also requires fewer formalities.

Cheapest cash loan – comparison of offers

Be sure to read at least a few offers so that you can compare them with the costs of the loan you intend to apply for. First of all, compare products in different banks so as not to overpay in the world. Instead of browsing dozens of offers, check how the cash loan comparison tool for Richard III works.

How do you find the best online cash loan?

Choosing the right loan should depend on several key factors. First, think about your purpose of lending (buying a car, renovation, repairing equipment, etc.).

No borrowing is too high an amount if, in fact, you do not need so much extra money, and you know that you will have problems with their devotion. However, if you need extra cash quickly, opt for a quick cash loan online.

Simple procedures, quick credit decisions are its definite advantages. Below you will find some of the most popular offers among our users.


Does a woman have a chance for a loan during pregnancy or on maternity leave?

The rules for granting mortgage loans are becoming more and more restrictive. Once, it was enough to meet a few basic conditions to get a loan to buy an apartment. Currently, banks require high own contribution from customers. People who do not have a certain financial situation, including pregnant women, suffer the most. Is credit available during pregnancy? We answer!

In an instant, our structured life can turn upside down. Information that a child will be born soon changes everything. From now on, future parents must think not only about their future but above all about the future of their unborn child.

Often, while waiting for the toddler or immediately after his birth, they decide to buy an apartment, and then in most cases, a mortgage is inevitable.

Can I take out a loan during pregnancy or on maternity leave?

Can I take out a loan during pregnancy or on maternity leave?

The matter is more complicated than it seems at first glance. Although credit is possible during pregnancy, many factors influence the credit decision. Therefore, you can not always get it, and its height can vary.

Some might use the argument that a pregnant woman has a steady income. It is indeed so, but only for a while. When determining creditworthiness, banks check what the financial standing of the client looks like now and visualize what it will look like over the next 3 years.

So, taking a loan on maternity leave, it must be stable enough to be able to conclude that it will not change during this time, and if it changes, it certainly is not for the worse. This is all because, from the banks’ perspective, there is quite a risk that a woman will not return to work after giving birth or maternity leave.

Credit and sick leave during pregnancy – is it possible? It turns out that most banks do not stand in the way of fulfilling the dream of a new apartment for people who are expecting a child. A pregnant woman must, however, attach to the income statement that she is on a long-term (over 30 days) sick leave. You will also need to attach a statement that will state that you will return to work after maternity leave, i.e. you will not take parental leave.

Does a woman on maternity leave have a chance for a cash loan?

Does a woman on maternity leave have a chance for a cash loan?

Rather, there is no major problem with getting a cash loan when pregnant. A cash loan can only be difficult to obtain if you request a high amount. If you want to get a cash loan for several hundred thousand dollars, you must have good creditworthiness and unqualified credit history – this is the case, however.

A cash loan during pregnancy is possible even if a woman plans to use her maternity leave. And what does the issue of cash loan on maternity leave look like? Just like a pregnancy loan.

The problem only arises when the employment contract ends during maternity leave. According to the law in force in Poland, the employer is obliged to extend the contract until the end of the leave. Unfortunately, in practice, it is so that you can not count on the extension of the contract after its termination.

Bank analysts always take into account the worst-case scenario, which is why women in this situation have to reckon with the fact that their loan application will be rejected.

Is it possible for a woman to obtain a mortgage during pregnancy?

Is it possible for a woman to obtain a mortgage during pregnancy?

There is a chance for a mortgage during pregnancy. A woman in a blessed state, like everyone applying for a loan, must prove to the bank that she will be able to pay the monthly installments regularly throughout the loan period. Her financial position must, therefore, be stable enough not to raise objections from financial analysts.

Together with the application, she should submit a written declaration of resignation from maternity leave, indicating the date of return to work. If one of the additional attachments is a certificate from a doctor about the date of return to work and from the employer about admission to work after childbirth and the amount of planned remuneration, the chances of a positive credit decision will increase.

What if we want to take a mortgage and we have a sick leave during pregnancy? The situation looks almost the same as for a cash loan. After submitting the relevant statements there is a good chance of a mortgage for l4 in pregnancy.



The best holiday loan – how to choose and not go crazy

Most of us have probably heard about the problems of travel agencies and the vicissitudes of tourists in this regard. However, probably even this kind of event will not cause

Poles to stay at home during the summer holidays. However, not everyone can afford the comfort of financing the entire vacation with their own funds.

Which loan to finance the holiday


In this situation, a bank loan can be invaluable. However, the question remains: which loan to finance the holiday? Let’s see! 

The uncertain situation on the currency markets, the collapsing travel agencies – all this makes finding a bargain, but also certain, a holiday trip offers a real feat.

However, all these turbulences can paradoxically mean that we will be forced to support ourselves with a summer loan to finance it all. As expected, just before the peak of the holiday season, banks provide special promotional offers.

This time they tempt customers with a reduced interest rate, reduced commission rate or simply a high amount available or a long repayment period. All this means that the installment can be really low!

A most popular way to borrow money to finance our various types of plans

A most popular way to borrow money to finance our various types of plans

Bank loans are invariably the most popular way to borrow money to finance our various types of plans, dreams or just needs (such as holidays). The main attribute of this type of product is simplicity and speed in obtaining funds – the loan can be paid even on the same day we applied for it!

We decided to analyze loans and cash loans in the amount of USD 5,000, whose repayment is spread over seven years – so that the household’s monthly budget is charged to the amount of USD 100. What are the conclusions of this analysis?

Good Finance became the winner of the holiday review of the most advantageous loan offers with its new promotional offer operating under the name “USD 5000 loan: Super-light”.

In her case, we will pay only USD 89 a monthly installment, and the APRC will be lower than 13%! Such conditions are really achievable – no commission and low-interest rate deserve praise!

The Good Finance Bank offer, which provides USD 5,000 for a monthly installment of less than USD 91, turned out to be slightly more expensive!

Good Finance Bank we have to pay a 2.5% commission, and the interest rate is 1 pp higher than in Fine Bank and amounts to 13%.

Good Finance came with third place with a loan offer for everyone. In the case of a Wrocław bank, the monthly installment will be 92.32 USD, the interest rate – 13.5%, and the commission for granting the loan – 5%. Writing about Good Finance, it is impossible not to mention his latest promotional campaign, the face of which is the popular actor Sean Cole.

Her basic message is that we have holidays once a year and it is worth doing everything to make them successful.

The actor encourages us to avoid all kinds of “occasions” on which we can come out like Zabłocki on a soap.

The difference in the amount of the monthly installment between the first and tenth loan offer in our statement is quite significant, amounting to USD 20 – which translates into over USD 1,500 in the entire repayment period!

 A decision on the loan repayment period,

 Decision on the loan repayment period,

The decision on the loan repayment period, as always, is recommended to be taken by yourself. The longer the repayment period is, the lower the installments will be, but at the cost of higher interest, i.e. what we will refund to the bank.

The solution in the form of a cash loan seems to be more favorable than, for example, an overdraft facility. In the case of a loan, we repay the principal and interest installment on a monthly basis, not just the interest itself.

An additional attribute is that with a loan we pay the commission only once and with a revolving loan it is required to be paid annually!

In general – when looking for the best cash loan offer, it’s worth comparing available offers – e.g. via free online comparison websites – just a few clicks and you can save a lot of money! It is better to spend these funds on faster repayment of our loan.


Loan Term: How Long Should a Loan Run?

The loan term describes the phase during which a loan is repaid. There are different factors that determine the loan term. Borrowers need to be aware that by determining the term of a loan, they mutually influence the conditions that a lender grants them.

Why is the loan term important at all?

Why is the loan term important at all?

In addition to interest, the term affects how expensive a loan becomes. Basically:

  • The shorter the term, the lower the annual percentage rate.
  • The longer the term is chosen, the higher the annual percentage rate.

Note: As a rule, there is a certain “term corridor” for installment loans, in which the interest does not vary even with small changes in the term. With regard to the annual interest rate, it is irrelevant whether the loan will be paid off in 24, 36 or 48 months. Most credit institutions only charge premiums for very long terms of over 60 months .

In addition, the term also has an impact on the absolute borrowing costs. It also applies here that long-term loans are more expensive than loans that are paid off quickly. But: short terms always decrease – with the same loan amount – with comparatively high repayment rates. In the best case, borrowers must choose the term as follows:

  • As short as possible to reduce the annual interest rate and the total borrowing costs.
  • Sufficiently long so that the repayment rate does not put too much pressure on the monthly household budget.

How can the suitable loan term be determined?

How can the suitable loan term be determined?

It is advisable to determine the length of the loan term based on the ideal amount of the monthly repayment rate. Ultimately, a borrower’s financial framework dictates how much money he can spend each month to repay a loan. For this reason, consumers must first compare income and expenditure in order to determine their financial scope – in technical jargon this is called “budgetary bill”.

Note: Banks are also requesting the cost of living as part of the credit talks. Consumers should absolutely provide truthful information here, because if they provide false information on the basis of which a loan is granted, this can ultimately have legal consequences.

Once consumers have determined the amount that could be available each month to repay a loan, you should plan a safety buffer. It is good practice not to plan the entire monthly budget firmly, because there are always unforeseen expenses. If consumers have reserved every penny permanently, a financial imbalance quickly arises, which sometimes even leads to a debt trap.

Example: A borrower has a net household income of 2,000 USD. The monthly cost of living including all financial obligations is 1,600 USD. Accordingly, 400 USD are not planned. As a precaution, consumers of the 400 USD should plan no more than 200 to 250 USD for the repayment of a loan in the long term. This leaves a buffer of 150 to 200 USD for unforeseen or spontaneous expenses.

How much credit can borrowers afford?

How much credit can borrowers afford?

How much credit a borrower can afford if the monthly available budget is known is determined or varied by the term. It is advisable not to choose the loan term beyond the useful life of the purchased goods. For example, if you plan to finance a car with a loan and drive this car for the next six years, the loan term should not be longer than six years.

Example: If, as in the example above, the borrower has 200 USD available to repay a loan per month, he could afford a loan of almost 16,000 USD with a term of 84 months and an effective interest rate of 1.87%.

How do I calculate the optimal loan term?

How do I calculate the optimal loan term?

Calculating the length of the term yourself is not that easy, because there are different types of credit. For example, if an annuity loan is taken out, the term is calculated differently than if a final loan is chosen.

In the best case, borrowers must choose the term as follows:

  • As short as possible to reduce the annual interest rate and the total borrowing costs.
  • Sufficiently long so that the repayment rate does not put too much pressure on the monthly household budget.

The loan term can be determined step by step using the best bank loan calculator by entering a loan amount and selecting any term. A column then appears in the results list, in which the monthly charge can be read. Consumers can now use the various options to try out how the monthly rate changes. In this way, they approach the ideal runtime that suits their individual circumstances.

Is it possible to extend the loan term?

Is it possible to extend the loan term?

The loan term is an important variable when agreeing a loan. It determines how high the total interest the bank will take on the loan. It is therefore not easily possible to extend an agreed loan term. There is no legal entitlement to an extension of the loan term. Borrowers must contact the bank and ask. If the bank agrees to an extension, it does so out of goodwill.

Tip: When agreeing your loan, consumers should always make sure that they include a special agreement that can affect the loan term. One option would be to adjust the rate down. This entails an extension of the loan term.

If you want to extend the loan term, you should be aware that the bank will benefit from it. The longer a loan runs, the longer it takes interest and receives more interest overall for the same loan amount. When talking to their bank about extending the loan term, borrowers should ask for a list of the additional costs. This way you know exactly how much more you have to pay compared to the original loan agreement.

Tips on how consumers can extend a loan term:

If the loan was concluded with a nearby bank, the personal consultation with the bank advisor is due. Consumers should always explain why they want to extend the term (e.g. financial burden due to relocation, changing jobs or the next generation) and how high the future monthly rate should be. It is best to ask borrowers how they can shorten the processing time. Maybe there are documents that the bank advisor would like to see? Consumers should clarify this before the appointment so that they can bring these documents directly with them.

Debt and new loan agreement

If it is not possible to agree on an extension of the term with the lender, it may be worth thinking about rescheduling. With a new contract, consumers can re-agree the conditions and ensure that the rate is correspondingly lower and additional special agreements such as special repayment right, repayment suspension and rate adjustment (up and down) are granted. A lot of money can be saved at this point because interest rates have dropped considerably in recent years. Many borrowers can save a few hundred USD here.Tip: The loan comparison of best bank is used to compare offers for debt restructuring. A personal interview with an experienced financial advisor from best bank helps to point out the options and answer any questions that arise.

Advantages and disadvantages of long and short loan terms

Advantages and disadvantages of long and short loan terms

Long loan term – advantages and disadvantages

A loan of 10,000 USD with a term of 60 months, an interest rate of 2.2 percent and a repayment rate of 176.15 USD costs a total of 569.24 USD in interest. If 2.2 percent of the loan is repaid over 36 months at USD 287 each, a total of USD 342.79 interest accrues. The saving is 226.45 USD, which corresponds to a reduction of 39.78 percent.

What else should borrowers consider when agreeing the loan term?

What else should borrowers consider when agreeing the loan term?

Borrowers should consider which loan term is best suited to their needs, given the monthly charge and the interest rate granted. First and foremost, it’s about not restricting your own financial scope too much. Banks are also entitled to credit terms. For example, you look at the age of an applicant. If a pensioner applies for a loan, he will receive an offer with a much shorter term than a young worker who takes up his first job. Tip: Borrowers should always keep an eye on their personal financial situation and agree on customer-friendly special conditions. Flexible repayment modalities, repayment suspension and repayment rate changes are such special conditions that can maintain or improve the ability to act in a financial emergency – even with an otherwise fixed contract term.

Find the maximum rate, compare offers and check special conditions

Find the maximum rate, compare offers and check special conditions

The choice of the loan term has a direct influence on the loan costs, but also the monthly charge. For this reason, prospective creditors can use the best bank loan calculator to provide a selection of loan offers including the interest rate and monthly installment with just a few details. Different terms can be conveniently set here, so that it is immediately apparent how the change in term affects the credit rate. Borrowers can also get free advice and support from an independent financial professional. In this way it is possible to determine the appropriate loan term and to find a loan with terms that make the most sense for your own purposes.


Surety – that is, the real possibility that you will pay off your loan

You can guarantee almost any loan, especially one for a larger amount. In practice, this form of support is most often chosen by people who apply for a mortgage. You might as well be required to take out a cash loan.

What is the loan guarantee?


A loan resident is also sometimes called a loan guarantor or guarantor. This is the person who undertakes to repay the loan when the main borrower is in arrears.

This means, therefore, that a loan guarantee may require payment of installments for our loan.

In what situations do you need a loan guarantor?

When do you need a vein? Credit surety is necessary when the person who applies for it is not sufficiently creditworthy. In this case, the surety provides additional security.

Which institutions require a loan guarantee or cash loan?

A loan or cash loan surety is most often required in banks and applies only to situations where the borrower’s earnings do not allow him to be granted a loan.

The loan guarantee is governed by the provisions, and more specifically by Art. 879 §1 of the Civil Code.

Who can become a resident?


Many people wonder who can be the loan guarantor. Only a person with creditworthiness can become a citizen. A stable work situation is therefore needed. In practice, this usually means an employment contract of unlimited duration .

However, this does not mean that another form of employment disqualifies you from being a resident. Much depends on the amount of earnings or life situation. There is therefore no clear answer to the question of who can be a resident.

It is rarely possible to guarantee a loan by a spouse. Most often this function is performed by parents or siblings.

What requirements must a person meet to become a resident?

The loan guarantor must be an adult and have legal capacity . He should also have permanent employment and income enabling repayment of the guaranteed loan.

What other requirements apply to the girrant? Some banks set the maximum age of the borrower, so he may not exceed the upper age limit in this case.

What are the rights and obligations of the loan guarantor?

The loan guarantor has the right to know the current state of loan repayment. His main duty is to cover the borrower’s obligation when he stops repaying the loan .

Does the resident have to be at the signing of the loan agreement?

The resident must be at the signing of the loan agreement to sign the loan surety agreement. A handwritten signature will be required.

Is it possible to change the loan guarantor?

If the borrower repays the liability on time and provides the bank with another form of loan collateral, the bank may withdraw from the liability regarding the guarantee.

When is a resident responsible for the borrower’s obligations?

At the moment when the borrower stops paying off his liability, the resident is obliged to assume the burden of repayment.

What can a resident do if the borrower defaults?

At the time of signing the debt guarantee agreement, the resident assumes full responsibility for the borrower’s failure to pay the debt.

Does a resident have to pay back the loan after the borrower’s death?

What is the relationship between loan surety and borrower’s death? Financial liabilities after the death of the borrower pass to his heirs . However, if they resign from the inheritance or are unable to settle the debt, then the resident is obliged to repay the loan.

When does a resident not have to pay back the loan?

The extent of the liability of the girrant cannot be wider than the obligation incurred, which means that at the time of repayment of the loan, he is released from fees.

How to recover money as a resident?

A resident may issue a pre-trial request for payment to a person whose loan he has guaranteed. If it fails, he has the right to seek repayment in a civil lawsuit.

Do heirs inherit the inheritance of a loan guarantee?

What happens when a loan resident dies and the borrower does not repay the debt? The guarantor’s death does not release his heirs from liability for the obligations of the testator .

Therefore, they inherit liabilities from the loan guarantee, unless they renounce the inheritance or decide to accept it with the benefit of inventory.

What loans can a lifeguard guarantee?


A loan with a guarantor is a solution that can be used for both cash loans and mortgages. A loan surety is most often needed for larger amounts.

Cash loan with guarantor

For many people, a cash loan with a guarantor is the only chance to grant a loan. A cash loan with a guarantor is available at most banks.

Do you need residents for a mortgage?

People who are wondering how to finance the purchase of an apartment often consider asking a loved one to guarantee a mortgage. When is it necessary? In practice, a mortgage is not always needed for a mortgage.

If the bank decides that we have sufficient creditworthiness, then a mortgage resident will not be needed.

What to look for when we agree to become a guarantor?


First of all, it is worth knowing that we have the right to know the borrower’s financial standing. Then we will find out if he is able to pay his commitment on time.

How can a resident protect himself against a loan guarantee?

You can, for example, stipulate in the contract that the bank first uses other possible ways of debt enforcement, such as a mortgage on the borrower’s property.

How can a resident control the course of loan repayment?

A resident has the right to know the repayment status of the guaranteed loan, it is enough to submit such an application to the bank where the commitment was made.

Does loan guarantee reduce creditworthiness?


Before you agree to become a resident, you must check that the loan guarantee reduces your credit standing. What if, in the near future, you want to apply for a loan yourself?

Unfortunately, the loan guarantee is treated in the same way as our financial liability, which is why the borrower’s creditworthiness may be underestimated by them. This does not mean, however, that the resident has no chance of getting a loan.

Can I cancel or withdraw a loan guarantee?

 Can I cancel or withdraw a loan guarantee?

Can I withdraw a loan guarantee? It is very difficult. If the borrower repays the liability on time, the bank may agree to this solution. In practice, it usually turns out that the loan guarantee is difficult to annul.

Can a resident take a loan?

A resident can take a loan as long as he has creditworthiness despite the surety. He must be able to pay both liabilities at the same time (even if this never happens). The answer to the question is whether a resident can take a mortgage.

Credit guarantee without the consent of your spouse

In most cases, the spouse’s consent to the loan surety is required . The guarantee of the loan looks slightly different in the case of property separation.

Then each spouse has separate property, therefore the spouse’s consent to the loan surety will not be required.


Home sales: tips on how to proceed with home loans.

Sometimes the dream of owning a home quickly ends. It doesn’t have to be about separation or unemployment. Sometimes a professional change means that homeowners have to move.

However, if you pay back a home loan for your own home, the homeowner usually has questions such as:

  • Who has to pay off the house loan?
  • Can the buyer enter the contract?
  • Does the bank have to let me out of the loan at all?

Annuity loan completed.

Annuity loan completed.

Payments with an interest component and repayment are paid over a fixed interest rate fixing period. In principle, the bank has a right to fulfill the contract.

Basically, borrowers also have the chance of an extraordinary termination in accordance with § 490 BGB for house loans in parallel to the ordinary right of termination, which allows the loan contract to be terminated after ten years.

This right can be exercised if there is an important reason, if the owner is interested in exploiting the security.

The house sale because of:

  • job-related move
  • Divorce etc.

allows you to cancel your home loan. In this case, however, the bank has the right to request a prepayment penalty to compensate for lost interest gains. However, the claim for compensation must follow certain rules – for example, it must take into account granted special repayment rights.

Right of withdrawal.

Right of withdrawal.

This so-called cancellation joker ultimately means that the cancellation period does not begin. Incorrect or unclear information keeps the revocation window open as long as the lender does not correct the errors.

However, this way out of construction financing for house sales is quite rocky. Another solution would be simpler: the buyer’s entry into the loan agreement.

Credit ratings reach a level comparable to that of the client.

The advantages of taking out a home loan are obvious, there are costs through:

  • the loss of prepayment penalty
  • the deleted deletion and
  • the omitted reappointment of the land charge saved.                                                                                                A calculation must show whether this option pays off in comparison to possibly low interest rates in new business.

Individual evidence and sources

Exceptional right of termination when selling a house.


SMS loan with extension

You have taken an sms loan and the due date for the bill is in two days. You will only receive your salary in a week.

This is a relatively common situation for our customers and because we care about our customers we have responded to the feedback we have received by offering sms loans with extension of the due date. Read on to see what sms with extension means and how you can benefit from this.


Message loans offer SMS loans with an extension

Message loans offer SMS loans with an extension

The fact that you can extend the due date of a sms loan means that you can change the due date of individual bills once every 30 days. However, please note that you cannot extend the due date for the larger loan amounts with repayment periods of 1-3 years.

Remember that you should never aim for sms loans with an extension because an extension of the term of the loan entails extra costs for you. Always aim to repay the loan before the original maturity of the loan expires.


How to extend an SMS loan with Message Loans?

SMS loan with Message Loans?

Once you have received your application, you will be able to log in to My Message Loan with the PIN code you receive from our customer service. There you can see all the loans that you have taken and you can click on the loan for which you wish to extend the term. Our system will register your request and our customer service will send you a confirmation email with the new due date when we have received your request to extend your SMS loan.

NOTE! All invoices must be renewed no later than the due date of the invoice. You cannot extend an invoice that has already expired.


What does an SMS loan with an extension cost?

What does an SMS loan with an extension cost?

When you extend your loan with us you need to pay a handling fee. The handling fee is invoiced separately and sent to you by mail as a new invoice. The price for the handling fee is determined by how many days you choose to move on the due date. The loan capital must be paid with the payment information of the original invoice.

If the loan has been taken with more installments than one, a change will not affect the rest of the installments. The rest of the payments must be handled as per previous agreement and due date. Any questions after the due date should be asked to Savers Debt Collection. Svea takes care of Messaging Loan billing and debt collection.