Loans are one of the most used services, and for those who need immediate liquidity, applying for a loan is the best solution, as long as they can not resort to other alternatives.
Currently, it is quite usual to request a loan or credit to cover specific Aunt Polly or even to carry out future projects, such as a reform at home, buying a new car or starting a business.
Asking for a loan or credit today is very simple, especially if the Internet is used, since there we can find many companies that offer this service, without paperwork and almost immediately.
Requesting a loan is the best way to get the money we need for unforeseen events or to carry out a project, as we said.
Asking for a loan online is very easy
One of the advantages of applying for loans online is how easy it is to obtain it.
In most websites the process is the same: you select the amount you need and the term to amortize it. Depending on the company you can obtain some amounts or other, and usually, if you are a new customer and it is your first request you will have a lower limit.
For example, if you find a portal that offers you up to 1,000 euros, it is very likely that your first loan will only give you the chance to get up to 300 euros.
But hey, once the deadline expires and you pay on time your profile will be better valued and you will be able to have access to higher amounts. As in everything, it’s a matter of gaining confidence.
As for the offer, it is immense, you can apply for quick loans or mini credits without too many requirements if they are of small amounts.
There are also loans with endorsement for higher amounts, and in the same way you can apply for loans even if you are registered with ASNEF and similar ….
Even in some cases you will not need to have a payroll, as long as you have a stable source of income such as a pension, unemployment benefit …
The basic requirements to apply for a loan are usually: being of legal age, being a resident in Spain and having a Spanish bank account. How additional conditions may request a proof of your income to determine that you have the appropriate profile.
Remember to pay attention to the interests and conditions of the loan
When you go to apply for a loan it is important that you have all the conditions of the loan clear and that you know at all times when and how much you will have to pay.
Therefore, it is important that at the time of requesting a loan you pay attention to the loan simulator and review the amount to be requested, the term for its return and, of course, the interest.
Often companies offer the first loan as free, that is, you will not have to pay interest and at the time of expiration you will have to return exactly the same amount you had requested.
However, it is important that you pay attention because sometimes you will not pay interest up to a certain amount so if you request a higher amount they will charge you. You must be responsible and analyze all aspects of the loan carefully before signing it.
And the same thing happens with commissions. In general, most are quite clear and transparent, so you should not have problems in this regard.
Another question, we advise you to pay close attention to the conditions of the loan because in some cases there is a penalty for early repayment.
This means that you will not be able to repay the loan before maturity, even if you already have the money and want to settle the debt. It is not the most usual but it should be taken into account to avoid problems.
What to do if a loan can not be repaid on time?
And now, we are going to comment on the opposite of anticipation, what would happen if the loan can not be repaid in the established time. But, first of all, we ask that if you are going to apply for a loan before doing it, be clear that you will be able to return it.
Applying for a loan implies an important responsibility and you must have that assurance that you will be able to face the payments, whether they are installments or fixed payment.
In these cases having doubts is not usually a good sign, because if from the beginning you are not sure if you can pay on time, surely you can not do it. So it is better that you do not request it and that you look for another alternative that can better adapt to your Aunt Polly.
Anyway, let’s put ourselves in situation, imagine that you have requested a loan and you were sure that you could return it without problems and, for whatever reason, now you can not.
In this case you have an alternative: request an extension of the loan .
In fact it is what you should do if at the moment you will not be able to repay the loan. In addition, it is important what reactions on time and do not let the deadlines expire, because you could incur the loan default and you would have to face its consequences.
How can you request an extension of the loan?
As we said, if you are not going to be able to repay the loan on time, the best solution is to request an extension of it. This way you can earn more time to get the money and repay the loan without suffering the penalties for non-payment.
It is always better to negotiate the terms for the repayment of the loan than not to pay the installments, because in situations of non-payment the interest will begin to accumulate and the debt will increase.
Even so, you should know that not all the entities that offer this service allow you to request extensions. That’s why we used to talk about the importance of having all the conditions clear when applying for a loan.
In the case that if you grant it you should review the clauses and bear in mind the costs that this option could have. In many cases when more time is requested to meet the payments, the entities request the payment of the interest generated up to now and grant the refund for the new term established.
The extensions have costs , of course, but it is always better to delay payments and accrue interest for default, and end up in a situation of default on the loan.
What happens if you do not respond to a default?
If you are going to request a loan, you must be very clear about the conditions of the loan and have the capacity to return it within the established term.
If you can not afford the payment, it is always better to contact as soon as possible to solve an extension, whenever possible, of the loan to extend its duration and have more time to return it.
However, if at the time we can not respond to a default, what would happen? Well, in that case, the entity will have the capacity to initiate both administrative and judicial proceedings that correspond to the objective of paying off the debt.