Taking out a loan has never been so easy. Nowadays, almost all banks offer the possibility to apply online. So all you need is a computer and access to the Internet. Online banking is growing steadily. An online bank account or an online credit are just a few examples of how to use banking services quickly and comfortably. How to take out a loan online? Just fill in the application form and wait for the decision of the bank, which will check our creditworthiness. Of course, we need to provide a range of information in the application that will help bank analysts in this assessment. A number of formal requirements must also be met in order to be able to apply for credit. In this article you will find information on how to fill in a credit application, what conditions you have to meet to get a credit, and what you should pay attention to when choosing the most suitable credit offer.
A few words about the loan
First of all, it should be mentioned that credit can only be offered by banks. The rules of granting credits and many other regulations related to them can be found in the Act on Banking Law. These are quite detailed and restrictive guidelines that banks have to comply with. In addition, we must also stress that the banks in the US are under the control of the Financial Supervisory Authority. What does that mean? The FSC is the guardian of the financial market in the US. It often makes recommendations, which the banks also have to follow. These are often the so-called prudential standards in the area of credit policy. So if a bank requires a whole series of certificates from you and carefully analyses your creditworthiness, it not only cares about protecting its interest, but also complies with the requirements imposed on it by law.
What types of credit are we distinguishing? The basic division of credits is based on the line of distinction for whom they can be offered. In this way you can distinguish between loans for business entities and loans for individuals. In the case of corporate loans, a distinction can be made:
working capital loan
investment loan
overdraft facility
However, if we take into account loans for natural persons, the basic dividing line runs between a housing loan (usually in the form of a mortgage) and a consumer loan, which they include:
cash loan
car loan
student loan
credit in a savings and checking account
As you can see, there are quite a few types of credit. The most popular credit is undoubtedly cash credit, because the money obtained can be used for any purpose not related to business activity.
Online credit
How to take out a loan online? First of all, you have to fill in the credit application form on the website of the bank you have decided to use. It is quite a simple activity, but you have to prepare yourself to provide a number of information about your financial situation. Of course, you will have to enter your personal data into the application form – PESEL, series and number of your ID card, as well as address of residence. Then you will determine the amount of your earnings and the type of employment. You will also need to specify the number of people who are dependent on you. Surely the bank will also require you to specify the debt you have with other banks.
The bank may also require you to send a scan of your identity card and a certificate of employment and earnings. A bank analyst will start working on the basis of the application and the documents submitted. They will assess your creditworthiness and make decisions about granting you a loan. Of course, the bank will also scan your credit history. If you have had recent delays in paying off your financial obligations, you are likely to have a poor chance of getting a loan.
Bank loan – which is the best?
How to choose the best credit offer? First of all, you have to search among offers tailored to your needs. And the basic conditions you will define at the beginning will be the amount you want to borrow and the amount of the monthly installment, which has a direct impact on your budget. If you select the right offers, you must then determine which one is the cheapest.
How do I do this? Just look at the Annual Percentage Rate of Charge (APR). It is a coefficient that determines the relation between the total cost of a loan and the amount of money borrowed. It is expressed in percentage terms. The method of calculating APR is to eat strictly specified in the Act on Consumer Credit, therefore banks calculate APR for their offers in the same way. Hence, it is a very reliable tool for comparing credit offers.
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