Why Compare Quick Loans?
With 57 non-bank lenders in Latvia (Consumer Protection Center (CRPC) data, end of 2015), most of which are fast credit firms, it is clear that their offerings vary. This means that some offer good value, others not very good. That’s why comparing quick loans is important – to save and possibly get your first loan free of interest. In this article, we’ll look at what to compare with different lenders if you’ve already decided to use fast lender services.
First interest free loan – a reason to compare
If you have already borrowed from a quick lender, you are no longer eligible for the first interest-free loan. Although some customers try to keep their loyalty programs, it is worth filling out the form again with another lender so that you do not have to pay for your loan. Not only will this save you money, but also slightly increase your chances of paying back on time – and this is indeed a problem for most borrowers.
Interest rates – if you need a bigger loan
If you need a loan of over $ 300- $ 400, then you will probably need a non-bank lender who offers bigger loans as well. Unfortunately, these types of loans do not give the first loan free of charge. This means that you will have to pay interest, so if you happen to borrow more, it is worth comparing your loan interest to save. Keep in mind that if you borrow a loan with a bad credit history or lower income, the lender may consider you a risk client, which means that the loan can be given to you at a higher interest rate.
How much do you lend?
Mostly quick loans are lent in the amount of 10 to 400 euros, with larger amounts being described by the words “consumer loan” or similar. Many companies offer quick loans of up to € 300-400 for up to 30 or 45 days. However, if you try to borrow more, you will be offered a consumer loan that can be repaid in a couple of years. Whether a lender offers you the amount you need is also, of course, an important factor in lender selection, and definitely a factor worth comparing.
Although many lenders have bad reviews (both lenders and borrowers are to blame), overall, the most important criterion for a lender’s credibility is whether they operate under a license issued by the CRPC. If so, the lender’s credibility is not worth worrying about. If, however, you want to borrow from an ethically sound lender, it is worth studying the news, as several lenders regularly receive penalties for either misleading consumers in their ads or for underestimating their customers’ solvency.
Among other criteria, it is wise to compare contract terms, incl. registration fee, penalty interest, etc. Quick lenders all offer collateralized loans as one, but the terms may differ at some points. For example, Vivus.lv currently offers loan insurance, which is offered for every loan, which is made for at least four months – which is a considerable advantage to decide for this lender. Although the lender’s working hours are not mentioned in the terms of the contract, do not forget to look at it to see if you will get the credit when you need it.
Since you are already on this page, why not compare credits with us? Since quick loans are so easy to use and take less time to settle than, for example, car leasing, don’t forget – always compare before you borrow.