Among the loans currently generating great interest are, among others, so-called payday loans. Parabanks, which are more and more with each year, provide them. Few people realize that their offer is not only payday loans. Below we present what we can count on when deciding to take advantage of the parabanks offer.
The most popular product of the non-banking financial market are, of course, payday loans, i.e. short-term loans. Their name did not come from nowhere. They are given for a really short time. In general, the loan duration in their case ranges from a few to no more than sixty days. Initially, non-bank companies offered their clients loans for a short period of time as well as a really small amount – generally they did not exceed PLN 1,000. Currently the situation has changed significantly. As for payday payday, you can borrow up to six thousand zlotys today. The lowest amount that comes into play in most parabanks is fifty zlotys. It should be added that a lot of parabanks attract their customers with a free first loan. What does it mean? There is no interest rate on the first loan. This means that we will refund exactly the amount we decided to borrow.
Parabanks are constantly expanding their offer. Currently, these are not only payday loans, but also installment loans, which amount to much higher amounts. This is a sensational choice for people who need a much higher amount of money, but will not get a traditional loan at any bank. Such a loan is currently even thirty thousand zlotys. How long is the loan period? It depends of course on the lender, but it is up to four years. When deciding on such a loan, one must take into account the potential costs associated with it.
Is it worth taking a cash loan?
If we do not have an ID card – be it due to losing it or waiting for a new one – unfortunately we will not be able to take a payday loan. Parabanks accept only an ID card as an identity document. By presenting only a driving license, we will not be able to confirm our identity. What’s more, remember that your ID card must be a valid document on the day you apply for payday payday loans. So if it has expired, we can forget about the overnight payday.
Identity card is required by companies offering payday pay not only because of the number and series that must be included in the loan agreement, but also because it is a document confirming the age of the applicant for payday pay. It should be clearly stated that payday loans are reserved only for adults. So if we do not have an ID card, payday pay is not for us. Therefore, everyone who wants to borrow money must have an ID card.
Payday loans are quick loans, the popularity of which is now really huge. This results, among others, from a very shortened, simplified loan decision making procedure. A lot of people wonder if you can get a payday loan if you document your identity not with an ID card, but with a driving license.
A lot of people ask why an ID is needed to receive a payday loan. It should be clearly stated that the loan agreement cannot contain such data as the number and series of the ID card. Only then is the contract between the lender and the borrower valid. Meanwhile, no other document – be it on your driving license or passport – is in vain to look for information on the number and series of your ID card. Therefore, the lack of an ID card makes it impossible to receive payday loans.
At Which Bank The Cheapest Cash Loan?
The most important disadvantage of payday loans is, above all, high interest rates. APRC, i.e. the total annual interest rate is much higher in their case than in the case of classic bank loans. What does this mean for the customer? To the parabank you need to return an amount definitely greater than the one we decided to borrow. For this reason, it is so important that you decide more wisely about the amount you want to borrow. You have to seriously consider whether we can afford to pay back certain debts.
Although parabanks already provide the option of so-called credit holidays, it is a solution that will cost us a lot. The borrower must pay for postponing the repayment date. This makes the loan more expensive again. What’s more, the parabank may of course refuse to grant us such assistance in paying off the debt.
Payday loans are so-called instant loans, whose popularity is constantly increasing. More and more people who cannot count on getting a bank loan decide to borrow money in the so-called parabank. Chowówki have many advantages, which make them popular. However, it should be remembered that extreme caution is recommended with them. Otherwise, you can quickly fall into a debt spiral, from which it is not so easy to get out. What to watch out for when deciding to take a payday loan?
Late repayment is an element of payday payday, which can really cost a lot. Everyone who decided to take a payday loan should be aware that not paying installments on time will result in high interest being charged. As a result, we will give back a significantly larger amount to the parabank than the one we had lent. That is why it is so important for payday loans to pay each installment on time. This will avoid high additional costs.