Internet has arrived to make people’s lives easier. On the web we can find any type of information that is needed and it is a very useful tool for everyone. We can say, without exaggeration, that the Internet is moving the world.
And we can not only find movies, series or books. Internet is also the place where we can get a solution to our economic problems. It is here that several websites specialize in offering consumer loans or online loans cohabit. The intention of this article is to detail – without saving anything – everything related to these financial products.
Online consumer credits
We will start this post talking about online consumer loans . We can define online consumer loans as a type of personal loan that can be requested in a credit institution online to be able to meet any unforeseen expenses.
It should be noted that there are several types of consumer loans online. Each variant has its own characteristics. The types are:
- Personal loans: These are used to finance large projects. For example, it can be used to buy a car or to make renovations in the house.
- Payroll or pension advances : These types of online consumer loans are small loans that work, as the name implies, as a payroll advance.
- Quick credits: They are designed to be requested in times of economic constraint. Its purpose is to help people solve unforeseen events that require a quick economic response.
- Credit lines: Also called credit cards, it is an option that allows us to have a certain amount of money to make purchases of greater amount and will only be paid for the money that the user uses.
- P2P Loans: This modality is very similar to personal loans. It is a type of financing that is contracted through platforms known as crowdlending. This means that those who lend the money are private investors and not a bank.
Before hiring consumer loans, it is important to consider some important aspects. For example, asking for one implies a debt. It may be that in most cases we ask for justified projects, but you still have to keep in mind some rules. These are:
- You have to be sure that you can pay the monthly installments for the entire duration of the loan.
- It is important to ask for consumer loans for a purpose that really deserves it. If it is required to finance a car, that’s fine.
- Before finalizing the loan, it is essential to calculate how much money will be paid in total and not just monthly.
- Do not take consumer loans without first comparing the different options that exist. This way you will be sure to choose one with the best conditions for you.
- Another recommendation that we want to give you, and which we believe you should take into account yes or yes is that it is preferable to carry out two or more simulations with different deadlines to be sure of which quota to choose.
Are you interested in knowing where consumer loans come from? These are not an invention of this era, although as they are conceived today it may seem so. The birth of consumer loans dates back to the second half of the fifteenth century. During that time, the first entities offering credit with a pledge guarantee began to be observed in some areas of northern Italy.
The objective was to stand up to the Jewish lenders, who before that date were those who granted small consumer credits in exchange for too high interests. Interest could range from 30% to 200%.
Bank loans are, as the name implies, those that are accessed through traditional banking entities. If we want to seek loans from banks, we have to be clients of that entity and not have a bad credit history.
The amount of requirements to get credit from banks will depend on the entity and its policies. However, the requirements are usually similar.
Each financial institution has its bank of credits to be able to satisfy the demand of its clients regarding these financial products.