When you need a personal loan , the first thing that comes to mind is the banks that offer this kind of services, but just as these entities can offer you more security, they are plagued by endless procedures to guarantee the possibility of the loan. .
If what you need is to find a personal loan quickly , drastically reducing the time used to obtain them and, also, from the comfort of your home , the best option is online personal loans. Previously, it was a bank or a private lender, but with the evolution of the networks, many online personal loan services came to light that could speed up the process, giving more comfort to clients.
With the evolution of this service sector, traditional banks have also started to offer this kind of loans very quickly through their web pages, this reflects how people have been using this kind of services more and more.
What is a personal loan?
The origin of the personal loan goes back to the times of ancient Rome, with the monetary movement that had been created in that civilization, it was not long before the first guarantors and usurers began to appear.
In Rome, these kinds of services were mostly offered by Jews, since Christians viewed these kinds of transactions with a bad eye. France was the first Christian country to standardize personal loan services.
On the other hand, personal loans are products received by the borrowers from a lender, this money received by the borrowers must be repaid in established terms together with a certain percentage of interest.
In case the borrower defaults on the loan payment, he must respond with his own assets, both present and future. There is always a reason for these credits, from buying a fairly expensive product (such as a car) to being able to invest it in a business, since you are basically paying to get money quickly.
Personal loans and their main characteristics
Its main feature is that they are not about little money, they are not mini credits, therefore, as we said earlier, they are usually requests for financing expensive projects and, because they are high amounts of money, the repayment period it usually consists of years, by paying monthly installments with the added interest.
Banks are in charge of offering personal loans, normally this requires a large investment of time and resources to prove to the bank that you can pay the loan in the time established by them. Although, in recent years, the use of the internet to request personal loans online with specific characteristics has become normal, so that the loan can be requested in a faster way.
When it comes to face-to-face banks, the approval or denial of the request may take a few weeks depending on the bank and, if approved, you must sign a contract with it.
It should be noted that there are many types of personal loans that can go according to the credit needs of any type of applicant, and the situation in which they find themselves.
Documentation necessary to request a personal loan
The documentation that is required in the application for a personal loan may vary from one entity to another, it should be noted that these requirements are usually quite strict, so that the entities can be sure of whom to give a loan or not. Below we show you the documentation that is generally necessary:
Bank justification of your income: with this, the entities will ensure that you have an adequate income so that you can pay the credit on time.
Document that has your bank account number : this way they will make sure that the account belongs to you.
Requirements to be able to request a personal loan online
These requirements change depending on the page on which you request the loan, but below we show you the most common requirements, which are not usually as complicated as those of traditional banking entities:
- Reside in Spain
- Be of age
- Have monthly money income
- Being the holder of a Spanish bank account
- Have a mobile phone
- Do not appear on the lists of defaulters with a debt greater than 2000 USD (or do not appear specifically)
What happens when I don’t pay the personal loans online?
The non-payment or delay in the installments of these loans can have a series of consequences that will intensify as the time in which you do not pay the loan increases:
Extra expenses: having delays in the payment of the loans, you are bringing more debt than you already have, through delay expenses , which are formed by increasing the interest on the loan and the management expenses , which appear every time the bank tries to communicate with you in some way due to delay in payment.
Registration in a list of delinquencies: after all that was explained in this article it is quite obvious the consequences attracted by this point, this will limit you in a great way to request a new loan.
Recovery companies : these are companies specialized in trying to collect your debt in very annoying ways, nothing you want to suffer.
Judicial route : this is undoubtedly the worst of all points, it involves many extra expenses for the conduct of the trial, which in case of losing you will have to pay the debt including the extra expenses established by the entity.
Of course, all this can be avoided if, before requesting a loan, you sit down to think carefully about whether you can really repay it in the stipulated time, save yourself the problems and extra expenses that may come out of a debt with these financial entities.
Although it is possible to find low interest personal loans and they can undoubtedly be a great financial help for many situations in which large amounts of money are needed, or fast money, just remember to pay your installments on time and invest the money wisely.