Loans for everyone – no formalities!

We present a list of loans that we believe are targeted at everyone. These are payday loans and installment loans that the proverbial.

Online loans for everyone – up to 14 payday loans and installment loans!

cash money credit loans

There are quite a few such loans on the market. Few companies take the path of specialization and direct their offer to e.g. women or retirees. The very idea of ​​the payday loan includes its universality.

This loan is to be granted quickly, without complicated formalities, and granted to as many people as possible who will be able to pay it back.

A loan for everyone. What do you need to get it?

cash money credit loans

The phrase ‘loans for everyone’ or ‘loans for everyone’ can be a bit misleading because it suggests that absolutely everyone will get a loan.

Of course, this is not the case. Loan companies are entities that provide financing professionally, which means that they want to earn on their activities. To do this, they have to set certain requirements for their clients. To receive the payday loan you must:

  • be at least 18 years old
  • have creditworthiness,
  • have a steady, documented income, even of a modest amount,
  • not be in debt
  • have an account in a Polish bank and ID card,
  • agree to the inquiry in credit and business information databases,
  • honestly pay your financial obligations.

If you meet these conditions and verify your identity, you should get a loan without being denied. There are even special loans for those in debt, but we would not qualify them as loans for everyone – it is a product dedicated to a specific group of clients, which is subject to specific requirements.

What databases do companies check and why do they do it?

What databases do companies check and why do they do it?

Lenders check so-called debtors’ bases to make sure they are dealing with honest clients. For this reason, one unpaid payday payout may limit our chances of getting another portion of the financing. The most popular economic and credit information databases that are checked are BIK, BIG, KRD, and ERIF. It is worth knowing which companies do not check particular databases.

This is not only important for people who for some reason have an active debt in the Credit Information Base and want to apply for a loan despite this. Not everyone wants information about the payday payday payday to appear in BIK because, for example, it is soon going to apply for a credit card and wants to receive the maximum limit on it. So we can say that payday loans without bases are a product for people who want to remain discreet.

How to prepare for taking an online loan?

How to prepare for taking an online loan?

Everyone who wants to get a loan through the network should be aware that their identity will be verified by e.g. a verification transfer. It is necessary because otherwise, everyone could pretend to be any person and extort a loan from someone else’s data.

To take a loan online, you need an ID card. When completing the application, provide information such as the number and series of the ID, and the expiry date of the document. For lenders, this is still not enough to confirm that we are who we claim to be. You can finally lose your ID card or it can be stolen. For this reason, the so-called two-step verification has been introduced. Most online loan companies use them successfully.

To carry it out, you must have a bank account. After receiving a small amount transfer (usually USD 0.01), the lender is able to see who sent the transfer and thus find out whether the loan will affect the account of the actual applicant. The second way to verify my account is automatic systems. They are ‘smarter’ than penny verification and check if the account belongs to the person whose name appears on the application. Thanks to this, the verification process is faster.

As we are looking for a ‘loan for everyone’, we will usually not need income documents. Some of the lenders we present sporadically require them – for example, when we want to get a loan for a high amount. In principle, however, we do not need to take a picture of your contract or make an account statement, as is the case with cash loans.

The next items almost always required are your cell phone and email address. They are necessary to register on the lender’s website and provide additional proof of identity.

What to prepare before completing the loan application?

There are also so-called unverified loans, i.e. loans with alternative ways to verify your identity. The identity can then be checked, among others by courier and by phone. In any case, you must have an ID card. To sum up, before applying for additional cash, prepare:

  • Current Polish identity card.
  • Login details for a personal bank account.
  • Mobile number.
  • E-mail address.

Reverse mortgage – is it really worth it?

An example is a reverse mortgage, which can be a source of additional income for Polish seniors. In our country there are no provisions regulating an inverted mortgage, currently, the Ministry of Finance is working on a draft of such a law.

Reverse mortgage principle

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However, entities offering similar mechanisms are already on the market. This concept, as the name suggests, is based on the reverse mortgage principle. Under a reverse mortgage contract, the financial institution undertakes to pay a specified amount to the other party, which in return waives its right to property after death.

This solution is to be targeted mainly at lonely seniors who have no one to leave their flat or house. Payments themselves can take different forms – e.g. regular monthly installments or a one-off payment of the entire sum.

It should be noted, however, that the amount of benefit received depends on two factors – the value of the property itself and the age of the people applying for it. The average life expectancy of women is, therefore, higher, and they can expect lower pay than men.

High-value real estate in attractive locations

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The idea itself seems to be a good solution for older people, who often have high-value real estate in attractive locations. Thanks to the reverse mortgage, they can take advantage of this situation and improve their living conditions when they are retired.

This is especially important at a time when spending on medical care and medicine increases significantly. However, it is also worth looking at the other side of the coin.

It must be remembered that financial institutions offering such solutions are profit-oriented. In this case, the whole system is based on the difference between the real value of the property and the amount that is paid to their owners.

A senior who decides to take such a step must take into account the fact that he will receive only a certain part of the value of his property. Most often the range is from 70% to even only 30% of its value.

Before signing the contract

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Therefore, before signing the contract, it is worth considering whether the property has been properly valued first and whether this exit is most advantageous.

From a purely financial point of view, simply selling your property and renting another can be more profitable. In this case, the senior will be able to freely use the entire amount of the equivalent property.

Refinancing loans – obsolete password

Just a year ago, 6 percent using the mortgage search engine as part of Lite Lender sought to refinance loans. Today it is only 2 percent. The reason for the drop in the popularity of this product is very simple.

Most people who took out loans before the effects of the global financial crisis appeared in Poland enjoy interest-bearing loans based on a margin in the 1 – 2 point range. percent. Today, this level is the peak of dreams. And this is only available for USD loans. In the case of loans, a margin of 2% that’s a great result.

Banks are not fighting for new customers

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And if not through low-interest rates. The lack of access to money does not allow this. Bank CEOs say there is still a problem with lending financing on the market. They do not have access to money outside their owners’ pockets and deposit base. However, both sources do not solve the problem.

The owners are not willing to add money today. In turn, the deposit base is of a short-term nature. They are mostly deposits for 3 or 6 months. After this time, the money must be returned to the client, and the mortgage is to be repaid much longer.

Refinancing loans can still be a good solution

Refinancing loans can still be a good solution

Only for people who pay consumer liabilities with them: cash loans, credit cards, car loans. In this case, despite the current higher margins, the customer can go out.

Also due to the fact that the liability, thanks to mortgage collateral, will be extended for a much longer period. The installment will then fall significantly and the borrower will slip out of the tightening loop.

There is nothing to count on the popularity of classic refinancing loans. The times in which banks granted commission-free mortgages, with record low margins and a statement have now fallen into oblivion. A lot of water will pass before the banks return to expansive lending. Unfortunately. For the customer and for the economy.

Which home loan should you choose to pay as little interest as possible?

The amount of the installment and the cost of the housing loan is determined not only by the amount borrowed, interest rate and the repayment period. The cost of our liability is also affected by the method of repayment in equal or decreasing installments.

When choosing a home loan, we do not think about how to pay it back – will we pay it back in equal installments or in decreasing installments? Often the only criterion is the lowest installment of the loan, we do not assess its costs over the entire loan period. However, in the case of equal installments, although we pay smaller installments during the initial period, we will pay more interest throughout the entire repayment period.

What installment amount?

What installment amount?

In the case of loan repayment in the system of decreasing installments, we pay back an equal amount of capital in each installment.

Example: if we borrowed 250,000 dollars for 25 years (300 months), then every month we will repay 833 dollars of capital in installments regardless of the interest rate. This is due to dividing the borrowed amount by the number of installments.

In addition to the capital installment, we will also pay interest on the current debt every month. In the first installment of the example above, at an interest rate of, for example, 3.6 percent, USD 750 will be charged in a month, ”calculates Michał Krajkowski, chief analyst at Good Finance.

And he explains: – However, in the next month, interest will already be calculated on the amount less capital paid in the previous installment, i.e. on the amount of USD 24,167. Thus, the second installment is still 833 dollars of capital and 747 dollars of interest.

In the following months, the amount of capital will not decrease (USD 833), but interest will systematically decrease and, as a consequence, subsequent principal and interest installments as per the name will be decreasing.

In the system of equal installments, interest is calculated on the current debt, but in order for the principal and interest installment to be equal throughout the repayment period, it is calculated using a complicated formula.

Example: For a 25-year loan of USD 250,000 and an interest rate of 3.6 percent, the installment will be USD 1265. Along with decreasing debt, interest increases in subsequent installments and the share of capital repaid increases.

When will the installments be equal?

bank

Equal installments throughout the repayment period do not change, assuming, of course, that the interest rate does not change.

In the case of decreasing installments, their amount decreases in subsequent periods, however, during the initial repayment years their amount is higher than with a similar loan, but in equal installments. The moment when the decreasing installment falls below the equal installment depends on the interest rate and the repayment period – explains the chief analyst of Good Finance.

Example: At an interest rate of 3.6 percent and a 25-year repayment period of USD 250 thousand – the decreasing installment will be lower than the installment equal after 128 months of repayment, i.e. 42 percent of the repayment period.

If the loan were contracted for 10 years, i.e. 120 months, the decreasing installment will be lower than the equal after 57 months, i.e. 47 percent of the repayment period.

If we get into debt for 35 years

If we get into debt for 35 years

420 months, then with decreasing installments we will start paying less after 168 months, which is 40 percent of the repayment period.

Example: The data will look different if the loan interest rate for USD 250,000 is for example 6.00 percent. Then, for a loan taken for 25 years, the decreasing installment will fall below the equal installment after 115 months (38 percent of the repayment period).

For a 10-year commitment, the installment will be lower than for an installment equal after 55 months (45 percent of the repayment period), and for a 35-year loan after 143 months (34 percent of the repayment period). Thus, the higher the interest rate or longer repayment period, the faster the decreasing installment will fall below the equal installment.

Deleting a mortgage from the land and mortgage register

After paying off the mortgage, the mortgage should be removed from the land and mortgage register. It is not the bank’s responsibility.

Who applies for the mortgage to be removed from the land and mortgage register?

Who applies for the mortgage to be removed from the land and mortgage register?

The bank only has to agree to delete the mortgage. Who submits the application and how long does it take to delete the mortgage? In the article, we suggest how to plot a mortgage step by step and where to download the no-entry form. 

mortgage agreements. Only in December last year, 30.6 thousand customers applied for a loan for their own apartment. By 15% compared to 2018, the value of mortgage loans also increased.

One of the last stages of the mortgage is the entry of a mortgage in the land and mortgage register and the establishment of a contractual mortgage. After paying the debt, the mortgage should be removed from the land and mortgage register. Pursuant to the Act of July 6, 1982, on Land and Mortgage Registers and Mortgage, the property owner is obliged to submit an application for the deletion of a mortgage from the land and mortgage register. Before doing so, however, you must obtain permission to release the mortgage. How to do it?

The mortgage we must obtain permission to delete the mortgage

The mortgage we must obtain permission to delete the mortgage

The consent is given to the bank that provided the financing. Issue a statement to the borrower (so-called moral receipt) confirming that the debt secured by the mortgage has been fully settled.

The bank sends the document by post and the borrower encloses it with the application for deletion of the mortgage from the quota. Many banks prepare a maze letter automatically after the last installment has been posted. Some of them charge a fee for this.

The Mazovian receipt should contain:

  • borrower’s details,
  • mortgage contract number,
  • land and mortgage register number,
  • record confirming the total repayment of the mortgage,
  • a record expressing explicit consent to delete the mortgage from the quarter

The next stage is completing the application for deletion from the land and mortgage register, which we submit to the court with the consent of the creditor and confirmation of payment of the mortgage cancellation fee.

No consent to delete the mortgage

It may happen that the bank does not agree to delete the mortgage. Most often it results from the failure to post the last payment. The transfer time depends on the hours of the outgoing and incoming transfer sessions.

If you want a quick cash transfer, it’s better to make an instant transfer. There may also be a misunderstanding about the additional costs of the loan. If the customer does not want to settle all amounts due, the bank has the right to refuse authorization to delete a mortgage.

Such problems do not apply to cash loans. A cash loan can be a good alternative, especially when you need a small amount to buy an apartment.

How to pay off foreign currency loans cheaper?

The anti -reading act, in force since the middle of last year, allows repayment of the loan installment directly in foreign currency.

Such a solution, which all currency borrowers have, makes it possible to bypass the high rates imposed by banks that have not reduced prices and are still selling dearly.

However, it is worth knowing that in addition to exchanging the native currency with the help of banking institutions, you can also use the exchange offices available on the internet market. All those who buy currencies online gain up to 6 percent

What should you do to take advantage of online currency exchange?

What should you do to take advantage of online currency exchange?

You must register as a customer in the selected exchange office. Next, enter the account number from which the money will be sent for exchange, followed by the currency account number to which the exchange office will send it after exchange. Later we make a transfer to the indicated account, the main analyst at Good Finance Advisors.

Because online exchange offices have accounts in many banks, we usually see our money after a moment on the currency exchange website. Then, following how the exchange rate changes, we choose the moment of exchange and wait for the transfer.

More and more borrowers are looking for alternative solutions and exchanging dollars and francs on our website. Most exchanges are recorded between the 27th and the 10th day of the next month, i.e. on those dates when loan installments are repaid most often.

Currency exchange is an online currency exchange

Currency exchange is an online currency exchange

Currency exchange is an online currency exchange office that allows currency exchange at your own exchange rate, independent of banks and currency exchange offices.

Thanks to this solution, borrowers minimize the spread costs, i.e. the exchange rate difference between the purchase price and the selling price and can save a lot of money. Using the Good Credit platform, you can get an average of USD 2,500 to 3,500 for every 100,000. USD loan – adds Dagmara Malinowska.

How to apply for a loan?

The first step should be calculating creditworthiness – emphasizes an analyst at Good Finance. It will allow us to estimate the maximum amount of mortgage we can apply for.

Creditworthiness is usually defined as the possibility of paying off the loan installments monthly after deducting all fixed and foreseeable costs. As expenses, banks understand rent, bills, car maintenance costs, maintenance, etc., as well as any monthly financial obligations that are already charged to the budget – in particular installments of other loans.

How can we afford it?

How can we afford it?

Almost every financial commitment we make is recorded in the Credit Information Bureau. This means that not only the very fact of its existence but also whether, for example, we have made timely repayment of installments will affect our creditworthiness or conditions (margin and commission), which will be offered to us by a bank or broker.

Banks sometimes send an application for inclusion in the register of unreliable customers even for several dollars in arrears or for one late installment. It is a good idea, therefore, if we often use or use loans, credit cards or debits, obtaining a BIK report on us.

Only a few banks decide to grant a 100% loan. property values. In most cases, to be able to finance the purchase of an apartment, we should have at least 20 percent. own contribution suggests.

Don’t lose your money

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Very often, customers interested in buying an apartment, house or plot on the secondary market are not aware of what should be in the preliminary contract concluded with the seller while applying for a loan.

In addition to the amount for which the property is bought and the amount of the down payment, it is also very important to set the appropriate date within which the buyer must sign the appropriate purchase and sale agreement with the seller.

The bank does not always make it on time to draw up the loan agreement within the prescribed period and then the seller may withdraw from the preliminary agreement without paying the deposit. A person applying for a loan must also present many documents related to the property, as well as to their own personal and financial situation.

We should receive the list of required letters already during the first visit to the bank. In addition to identity documents, we must provide a certificate of employment and prepare annual declarations submitted to the tax office or PIT-11 from the employer.

The second group consists of documents related to real estates, such as the land and mortgage register, a certificate from a cooperative when buying an apartment from the secondary market, and a notary deed of the current owner.

Buying a property for a loan or for cash?

Do real estate clients often buy real estate on credit? What does it depend on – the price of the apartment or house?
The most part, as much as approx. 80 – 90 percent of real estate transactions are carried out with the help of a loan. The purchase of a real estate in the form of a plot, flat or business premises is still a luxury that the average person cannot afford.

The purchase of even a small apartment is an expense exceeding the wealth of accounts not only for young people. Getting a loan to buy a property is sometimes the only way you can get a roof over your head.

Real estate prices are obviously a factor that strongly influences the decision to buy on credit. However, sometimes it happens and such a situation that taking a loan in a bank is cheaper than spending own funds, which is another sector that may bring higher profits.

What are the disadvantages and advantages of buying on credit?

What are the disadvantages and advantages of buying on credit?

The advantage of buying a property financed with a loan is one basic. You can buy a property without having accumulated its own funds. An additional advantage is that it is not burdened with a mortgage and can be sold at any time.

The disadvantages of buying a property on credit are several. The negotiating power of money is a huge asset. The property owner, when agreeing on the terms of the sale transaction, agrees to lower the price faster and easier when he hears about cash payments.

When crediting a purchase, there is also a risk of not receiving financing from the bank. When signing the preliminary contract, the buyer pays a deposit, which in the event of no credit is lost. Deciding to commit your own contribution in such cases is therefore very difficult and risky.

How does the transaction go if the buyer takes a loan?

How does the transaction go if the buyer takes a loan?

Is it taking longer or do more documents need to be completed? The property sale transaction with the participation of a bank loan extends over time and is divided into two phases.

Two agreements are signed: a preliminary sale agreement and after the buyer obtains the loan, the final agreement is signed. Bank formalities take 4 to 8 weeks to complete. When paying in cash, you can immediately sign the sales contract after agreeing on the transaction terms.

The documents to be completed and prepared for this task are the same in both cases. Additional documents that buyers in a bank must have are documents confirming their creditworthiness. After signing the loan agreement with the bank, they submit it to the notary’s office when signing the promised agreement.

When does the buyer become the owner of the apartment?

When does the buyer become the owner of the apartment?

In both cases, when buying a property with a loan or cash payment, the buyer becomes the owner of the notary upon signing the notarial deed. Is it worth signing a preliminary contract pending a loan?

When we find the dream property, which sometimes requires a lot of time, stress and nerves from buyers, everything should be done to reserve this property. The best and most reliable method is to sign a preliminary contract. We can be sure then that during the period of applying for a loan at the bank, the owner of the property will not sell it to anyone else.

However, before signing the preliminary sales contract, you should carefully verify your creditworthiness at the bank to minimize the risk of not getting a loan.

Can the customer use the services of an intermediary to count on help in finding a loan or related formalities, e.g. indicate where and what to do, help to collect documents and fill them out?

Using the services of a real estate agency, we can count on help in obtaining a loan. Real estate agents work closely with credit advisors. The customer can count on help in completing the documents necessary to obtain a loan, completing all applications, as well as substantive assistance.