Like everyone, you surely have a project that is close to your heart, but that you cannot achieve due to the lack of sufficient financial means. Well, the banks in Belgium undoubtedly have a deal to offer you. Indeed, these establishments offer countless financing solutions.
The payday loan without proof is one of the most popular formulas, for example.
What is a payday loan?
Most of us are unfamiliar with the lingo of bankers. For this purpose, the name of the credit matters little to us. Indeed, it will always be a question of obtaining a certain capital which will have to be repaid for years.
It doesn’t always work that way. In terms of work credit or even a car loan, the subscriber does not personally receive his loan. The amount will be given directly to the project manager or to the concessionaire.
The payday loan allows you to receive the amount you borrowed from your checking account. You are free to spend this money however you want. So you can finally go on a trip to an exotic country, pay the latest iPhone or why not, organize the celebration of the century.
It is the most flexible form of credit available. Of course, since it is a consumer credit, you cannot borrow an amount greater than $ 75,000. However, this is still enough to go around the world.
Personal credit and assigned loan: what is this story?
Earlier, I already mentioned car credit or work credit that you can compare on this page. These loans are said to be “allocated” since you will have to specify the use of the funds. The bank fulfills the payment for you and you receive NOTHING concretely.
Most bankers will always offer you these formulas because they are undoubtedly the least risky for you and for the banking establishment, but also because the rate is often lower. If the automobile you bought has a hidden defect, the vehicle will be returned to the dealer and the credit agreement will be canceled. While it may be much easier for you, you cannot afford any deviation. However, a payday loan offers you other possibilities.
Personal credit can also be useful if you decide to renovate your apartment and want to buy many items of equipment at the same time. In this context, you benefit from an infinity of possibilities.
Uses of a payday loan without proof
payday loans and consumer loans are primarily intended for individuals. However, the flexibility offered by personal credit greatly widens the possibilities. For this purpose, it is not uncommon for example that an entrepreneur opts for this loan to finance a business creation project. Similarly, a merchant can also use it to alleviate a cash flow problem.
The first thing to remember is that you can use the money as you see fit. You have no account to pay to the bank other than the monthly payments you have to pay each month. : P This is also why we sometimes talk about credit without proof when we talk about payday loan.
Professionals who opt for this solution to fill a lack of liquidity can also choose a revolving credit. With this formula, it is not necessary to redo all the procedures if ever the funds ran out. A quick phone call is enough for the account to be replenished. Nevertheless, a revolving loan is particularly expensive. The monthly payments increase without us realizing it and we quickly graze a situation of over-indebtedness.
To avoid all this, it is better to take out a simple payday loan. The costs will be greatly reduced and you can always spend your money as you wish.
Taking out a loan is an act fraught with consequences. You will be required to pay your monthly payments. If you do not fulfill your commitments, you can be sued and will no doubt be placed on the black list of the Central Credits for Individuals. Once filed, it will be difficult for you to obtain credit in the future.
payday loan online or offline
As with any loan, you must first go to your bank or to a bank’s site. You will need to consult with your account manager before explaining what you want. Usually, you will not have to provide any supporting documents. As mentioned above, you do not need to specify the use of funds.
Online is even easier since you will just have to answer a series of questions concerning your identity and your finances to apply for your payday loan online.
After you wish to take out a payday loan on the internet or with your banker, you will need to provide certain administrative documents to prove your claims. Financial analysts will assess the health of your finances. At the end of their analysis, you will be informed about the outcome of the request. Generally, you get a response in less than a week. We can therefore say that a payday loan is a quick loan.
During a prior interview with a banker, he will carry out a simulation and already present you the rate applied, the monthly payments to be paid or the deadlines to be respected. It is the same thing online except that you obtain his information without leaving at your house. In any case, know that you cannot pay monthly payments which represent more than 33% of your monthly income. In addition, the reimbursement cannot extend over more than 5 years. Even if the maximum amount that individuals can borrow is set at $ 75,000, it actually depends on the financial possibilities of each.
A person who receives $ 1,563 per month cannot pay monthly payments greater than $ 521. In 5 years, this gentleman we will call Jean (again him :-P) can reimburse $ 31,260.
In short, all these calculations are headache, it is better to do a payday loan simulation online.
But this way you understand that the unemployed credit is a really difficult thing to have because you must have money left to live after paying your monthly payments.
Either way, you will need to negotiate the terms of your credit agreement in a final step. In order to have all the weapons in hand not to get entangled, I advise you to inform yourself well beforehand. If you present the right arguments, you will get advantageous conditions.
Conditions to be met to obtain finance
In fact, you only need to have the legal capacity to take out a loan, that is, you must be of legal age and have a stable source of income. For emancipated minors, this also remains possible. However, they will need to find someone who can vouch for their situation. Ditto if you are unemployed, you will probably have to present someone who is surety.
It is that the bank must be sure that you can repay your loan. In this sense, they will assess your financial health before granting you this credit. In this context, it is in your interest to never have had any dispute with a financial institution. If so, your chances of finally pocketing enough money to spoil your loved ones will be greatly reduced. This is for example the case when one is prohibited from banking.
Request for a payday loan in a bank other than one’s own
Also be aware that you do not have to take out credit at your bank. For some reason, you may find that the grass is greener elsewhere and there is nothing stopping you from contacting another organization.
In this kind of situation, the subscribers fear the procedures to follow and all speak in particular of a transfer of balance which can take 6 months. However, be aware that some financial institutions will not require you to open an account with them. In the hope of counting you among their customers, some will suggest that you open an account in return for a much more advantageous interest rate.
If you decline this offer, you always get your loan on your checking account. An automatic debit will then be configured for the payment of monthly payments.
In the event that you have to resolve to go through a bank which will require you to open an account, you are not obliged to make an account transfer. You open an account in the new bank and then you use this new RIB. When there are no more movements on the old account, ask for your balance which you deposit in your new account. This eliminates the need to wait for months.
Some people think that banks are getting richer on the backs of law-abiding citizens. This thought is so ingrained in the collective unconscious that some people avoid at all costs asking banks and turn to a loan between individuals.
Fortunately, some laws have been put in place to prevent banks from taking advantage of your financing needs. To this end, credit organizations cannot exceed a legal usury rate. In this context, you are always relatively winning in the end.
The lender also owes you complete transparency. Before signing the credit contract, he must present you with an amortization schedule. This shows you the amounts to be paid according to the due dates. The banker must also explain to you all the costs relating to the repayment of your loan. So you will know exactly your remaining balance after the monthly payments have been made.
The bank must also give you the amount you just borrowed either by check or by transfer. If your banker gives you cash, it is better not to accept. Indeed, this hides something fishy and it is better to take precautions when it comes to money.
payday loan at the best rate thanks to my comparator
If Grandpa and Grandma went to banks to find the best payday loan deals, you don’t need to use this technique to find your happiness. In the digital age, you can find everything on the internet. On Booking online you can for example find the cheapest accommodation on the market while on Kayak you can book a low-cost flight. Some sites of this kind can also be used to identify the bank that offers the best formula in terms of payday loan.
Anyway, the comparators allow you to discover the offers of the largest banks in Europe to name only Good Finance. Rates are currently around 5%. Compared to consumer loans, this rate is quite high, but remember that you will be free to spend your loan as you wish.
By using a comparator, you have the option of applying for a payday loan online. To do this, you land on the site of the bank in question. Generally, the procedure is done in three stages.
- You will make a simulation using a tool which will indicate the amount of the monthly payments, the duration of the reimbursement as well as the total principal to be reimbursed. You must then provide certain information and send a credit request.
- The managers send you a contract by e-mail which you must sign and send back with certain administrative documents.
- You receive the money if the bank grants you the credit.
How to negotiate your payday loan?
Using a comparison is undoubtedly a crucial step. Thanks to the information gathered, you can make competition in your favor. The main thing is to convince your banker that you can totally take out a loan with another organization that offers lower rates.
In all cases, always remain vigilant regarding the fees for the files and other costs. Your contact can try to make up for losses by overcharging certain services. In any case, stay calm and get the message across subtly.