Applying for a loan today is not uncommon. It is normal that at some point we have an economic need that we cannot pay with our usual income. Or with the help of our savings. For example, we have to do a home renovation that we did not have. Or that our car breaks without notice and we must buy a new one.
In these cases the normal thing is to resort to the bank of all the life to be able to request credit. However, this does not have to be the best economic decision for us. Today there are many private equity companies and private lenders that offer solutions and alternatives to traditional banking. And that they have some really competitive and interesting products. To such an extent that they even become more attractive than those of banks.
From Private Lenders we want to explain what are some of the main advantages of loans between individuals. We are sure that this information will be interesting for you. Let’s start.
Learn about the main advantages of loans between individuals
Ease of getting credit instantly
Unlike what can happen with traditional credit institutions, private lenders offer many facilities to borrowers.
- Fewer requirements. In general, the minimum requirements to access this type of loan are much less demanding than those that request a bank. For example, even if you are in Asnef, you do not have a good CIRBE or even your payroll is not regular, you can get money.
- Greater speed of concession. And not only that, but the concession is practically instantly. Depending on the amount you request, you can have the capital in your own checking account in less than 15 minutes or in a maximum of 72 hours.
No need to change banks or link other products
Two other main advantages of loans between individuals are the following:
- No need to change banks. Normally when a financial institution offers us a loan we have to have an open account with them. But this does not happen with private lenders. In this case we will be able to keep our checking account in the bank that we want. This will not affect the granting of the credit.
- They lack linked products. Also there are no linked products. A very common strategy in banks. In order to gain more clients and benefits, they usually associate loans with related products. In exchange they promise decreases in interest on the loans. But this does not always mean better prices. Well, even if the interest on the loan is cheaper if we have to accept another expense, it will not come to our account. As much as they tell us that they are offering us something in exchange. But it is something we do not want and may not need. This is very common with mortgages. They often link home insurance to their concession. Although these insurances are not exactly the best option for the consumer.
Although many people think otherwise, the truth is that private loans offer very competitive interest on their loans. Even in many occasions more attractive than those of banks.
The APR of these loans, according to the Bank of Spain, is usually between 6% and 8% per year and is calculated in a completely personalized way depending on each case.
Contracting through the internet
Another of the great advantages of these loans is that it is not necessary that we go to any office to manage them. Everything is done immediately through the internet. Which allows us to be where we are and we can get a loan.