Monthly Archive: May 2020

Content of the loan agreement

We know that many borrowers do not care very much about reading the loan agreement particularly carefully. Often you just check that the loan amount, maturity and interest rate are correct, then you sign. And then maybe there will come a day when you are forced to make a payment a few weeks late and then you are surprised by the high delay fees and the interest rate. So they can’t do this? you think, but then you check the loan agreement a little more carefully and then you see that they can certainly do.

This is just one example of why it might be good to read through the loan agreement. Another example is that you invoke the fourteen-day right of withdrawal one or two days late because you thought it started to apply only when you first got your loan, not when you signed your loan agreement.

This should include a loan agreement

This should include a loan agreement

Now we at Good Credit will show you what should be included in all loan agreements so you can get a better picture of what it contains for important information.

Everyone who takes out a loan, whether it is a sms loan or any other loan, has the right to get a copy of the loan agreement, either in paper form or in digital format, for example as a PDF file. You also have the right to receive advance information before you sign an agreement.

This should include a loan agreement

This should include a loan agreement

Info about what kind of credit it is. Is it an account credit, a bank loan (unsecured loan) or a loan that requires security?

How much loan amount (in case of a loan) or credit limit (in case of credit for credit) is all about.

The maturity must also be clearly stated. When it comes to account credit, it must state what repayment requirements apply, which is usually the same as showing how much you have to pay back at least every month. Often this is about a certain percentage of the amount spent that does not fall below a certain amount. Example: Pay at least 10% of the amount used each month but never less than USD 300 / month.

The size of your installments must be clearly stated in a payment plan, as well as how many installments are involved and when they will be paid.

If you have the opportunity to receive one or more installment-free months, it should be stated, as well as information about what it means in practice in terms of loan cost and maturity.

Information on the loan’s interest rate, ie the nominal interest rate (annual interest rate) and the effective interest rate. It must also be stated if the interest rate is fixed or variable. In the case of sms and fast loans, the interest rate is usually fixed, which means that it does not change during the term, while ordinary private loans often have variable interest rates. If the interest rate is variable, it must be stated how it can be changed in relation to the reference rate and when this can be done. It must also be stated under which conditions the interest rate can be changed.

Information about the fees the loan has, such as the set-up fee, the installment fee, interest on late payment and delay fees and reminder fees. It must also state what conditions must be met for any change in the fees.

The total amount you have to repay must also be included in the loan agreement, ie all the loan costs plus what you have borrowed.

If someone has taken out a loan for you

If someone has taken out a loan for you

Information about the right of withdrawal for the loan and villa conditions must be met in order for you to avail of it. In short, you can say that the right of withdrawal is valid for 14 days from the day you sign your loan agreement (not from the moment you got your loan) and then you have 30 days to repay everything. Of course, you get to pay interest for the period you have access to the loan but all other fees you have paid you get back.

You always have the right to redeem your loan early and this should be stated in the loan agreement. If the lender is entitled to interest rate differential compensation, it should be stated how it is calculated, but this is most common for mortgages, not for loans without collateral.

Information about the conditions under which the lender is entitled to terminate your loan, for example, if you failed to repay your repayments on several occasions. The conditions for termination are statutory and cannot be done in any case. Please read about what applies in our article about when a lender can terminate your loan.

Loans without permanent employment; Borrowing money directly

Need to borrow money, but lack a permanent job? Borrowing money without permanent employment is definitely not impossible, although it makes it somewhat more difficult to get a loan unlike if you have permanent employment.

When you apply for a loan, a credit check is made, which simply involves assessing your ability to pay now and in the future. The most important things that affect your creditworthiness, and which come into play when you apply for a loan with no permanent employment, are your annual income, your debts, and any payment remarks.

The banks and lenders simply want to make sure that you have the option to repay the loan according to the plan. By conducting a credit report and assessing your credit rating, they analyze the risk of lending money to you. The more things you can present that show that you will be able to repay the loan without any problem means lower risk to the lender.

This is how you take out loans without permanent employment

This is how you take out loans without permanent employment

There are several different types of employment and sources of income. There are many lenders in the market today who do not stare blindly at your past payment history (such as payment remarks) or permanent employment. They only want to make sure that you receive money regularly so that you can repay the loan when you apply for a loan without permanent employment. Thus, they can accept other forms of income. Here are the most common types of employment and income that lenders usually accept when assessing your credit rating:

Project employment. You have a work contract for a limited period of time, for example, a year. This should mean that you can take out a smaller loan that is paid off during that time.

Income from the pension. Although many lenders have an age limit on their loans, there are some who accept pensions as income and grant loans without permanent employment.

Income from studies. Tuition is an income and is often enough to take out a smaller loan. However, we do not recommend that you borrow money if you are a student – you probably already have a student loan so you risk double indebtedness and high repayments in the future.

Income from A-cash. The A-cash is also counted as income when you apply for a loan without permanent employment. Again, we raise a warning finger. If you completely lack employment and income, it is better to lower your expenses and only borrow money in the event of an emergency and then only very small amounts that you can pay off quickly.

The most important thing is to take the time and compare loans and lenders if you have no permanent employment. The purpose is to find those who help clients who do not have permanent employment or have other factors that cause the major banks to refuse the loan.

Loans that can be taken out without permanent employment

Loans that can be taken out without permanent employment

Most loan forms, except for some of the very smallest mortgages, require some form of regular income. This is necessary so that the lender can feel confident that you will pay your monthly bills without any problems. Here we go through different types of loans and what usually applies when you borrow without permanent employment.

SMS loans and fast loans without permanent employment. These types of loans are smaller, fast loans with amounts up to USD 10,000. They are characterized by having very generous conditions for signing the loan and shorter repayment periods. For example, a very low SMS loan of USD 1,000 can have a repayment period of only one month.

In order to take out quick loans without permanent employment, it is usually sufficient that you have income from work, pension or unemployment insurance of USD 50,000 per year.

Private loans without permanent employment

Private loans without permanent employment

A private loan is a slightly larger loan that is taken out without collateral. They are usually offered up to USD 500,000, but the most common amounts are around USD 30,000. It can be a loan for a slightly larger investment, such as a new washing machine or a used car. Here, the income requirements are slightly higher. We usually see income requirements of USD 100,000 per year for this type of loan, from work, pension, a-cash or similar.

Account credit without permanent employment. An account credit is a current credit that is always available to avail when needed. You can be granted a credit up to, say, USD 40,000 and then withdraw money from it whenever you want.

The credit is then repaid monthly until the debt is repaid. Signing up for an account credit without permanent employment is more difficult because the credit runs on until further notice, whereupon the lender wants you to always be able to repay it when you choose to withdraw money.

We, therefore, recommend that you primarily look at alternatives other than bank credit without permanent employment if you want to borrow money without permanent employment. In addition, if you do not have permanent employment, it is generally a bad idea to debt yourself and cover up the loss of income by borrowing money.

Private Loans – Small Loans

By private loan we usually mean a loan taken by a private person without having to put anything as collateral for the loan. A mortgage with the home as collateral is thus not a private loan. The fact that the private loan is a loan with no collateral means that it is a loan with a loan , and the loan with a loan tends to have higher effective interest rates than loans with collateral. In Sweden, you can borrow a lot of money without collateral, provided that you meet the lender’s requirements in the credit assessment. There are plenty of banks and other lending institutions that lend up to USD 350,000 in private loans if you have a sufficiently high income and organized personal finances. Criticism at medicamentspot.com

Compared to a mortgage loan, the private loan often has a short repayment period. There is no statutory mortgage repayment requirement, but it is very uncommon for lenders to offer mortgage-free private mortgages. On the contrary, it is usually required to repay the loan at a comparatively rapid rate. This should be taken into account before applying for a private loan. How tight is your monthly budget at present? Will you be able to make a payment every month – even if there is an unexpected dentist bill, there is a mistake on the car or you suffer several unpaid waiting days during the month?

 

Apply for a private loan

Apply for a private loan

Today, there is a very large collection of lenders in the Swedish market that offer private loans. It is a good idea to be a critical consumer and compare the various terms offered, so that you can find the best loan. Do not assume that the bank you are a customer of automatically will be best for you – especially if you do not negotiate the loan. Sometimes it pays to be “unfaithful” to their bank and have their private loan with another lender.

 

Trade union loan

Trade union loan

Trade union loan is a private loan whose terms a trade union has negotiated for its members. If you are a member of a trade union and need a private loan, it may be an idea to check which or which lenders the trade union cooperates with, and what terms are offered for a private loan through the union.

The vast majority of Swedish unions cooperate with at least one lender who offers union member loans in the range USD 20,000 – USD 350,000. The exact limits vary between the different loans, for example, with some unions, the lowest limit is USD 25,000 instead of USD 20,000.

You must undergo the usual credit assessment even for union member loans and there is no guarantee that you will be granted your loan application. Credit information is made and the request information is registered.