With the development of the market for goods and services, loans have become a good help in our lives. Banks are increasingly willing to lend to consumers, developing new, more and more profitable and tempting conditions for them. Competition among banks is very high, and therefore there are more and more lending programs. It is easy to get lost in them: some offer low interest rates, others - more than the amount, still others - early repayment. To get a loan and avoid rash risks, it is important to understand this issue in detail.
First of all, you need to understand what a loan is and what types of it exist. The most popular targeted loans today are consumer (for the purchase of low-cost goods), automobile (for the purchase of a vehicle), mortgage (for the purchase of real estate). There are other varieties as well: credit cards, leasing, student loans, vacation loans, and so on. If you do not want to disclose the purpose for which you need borrowed funds, then the loan will be, respectively, inappropriate and in most cases on less favorable terms.
Terms and methods of repayment
The types of loans largely determine their cost. In terms of terms, they are short-term (up to a year), medium-term (up to 3 years) and long-term (from 3 years). According to the method of payment, they are divided into two main types: annuity and differentiated.
The annuity payment assumes equal monthly payments on the loan with the already accrued interest.
The differentiated payment splits the debt into equal shares, and interest is charged on the balance, so every month and year the loan debt decreases. Banks offer such a payment less often.
Bank requirements and the process of obtaining a loan
Read the entire contract carefully and remember to pay special attention to the small print footnotes. Ask your bank manager questions and do not hesitate to find out the nuances of your loan - after all, you will overpay with your money.
The process of obtaining a loan from banks looks about the same. Before contacting a bank, you should decide what kind of loan you need and check the offers of different banks. Having chosen some of the best, in your opinion, options, go to the bank managers. They will advise you in detail and make specific proposals. Having chosen the most suitable one, collect the entire package of documents.
The bank's authorization department deals with the application. After processing the request, he gives an answer: “Refusal”, “Approval” or “Refusal with alternatives”. The latter implies the approval of the loan, but with special conditions.
Reasons for refusal are usually related to the applicant's low income, bad credit history, lack of guarantors or collateral.
How to get a bank loan
To get a loan, you need:
- Collect all the documents necessary for the bank (the minimum set includes a passport, an additional identity document, a copy of a work book and a certificate of income).
- Have official earnings (sometimes not necessary for some types of loans).
- Show a positive credit history.
For large loans, you will additionally need:
- Find a guarantor
- Have collateral
Car loans and mortgages also require compulsory insurance of the car, real estate and the life of the borrower himself. However, life insurance is not required to receive a regular loan, you have the right to refuse it.
Banks willingly issue small loans with a minimum set of documents, without certificates of income and guarantors, however, interest rates for such programs will be higher.
What is credit history
In the process of considering an application for a loan, banks pay special attention to the applicant's credit history - it is this that determines your reliability. Accordingly, to find out if this story is bad or good for you, you can make a request to the BCH (Bureau of Credit Histories). This, among other things, will significantly save your time by reducing the list of banks to which you can apply for a loan.
Once a year, you can get your credit history from the CHB in one of the following ways:
- Personally go to the BCI with a passport or send a notarized request by mail.
- Make a request to the bank (if it provides such a service).
- On the BCI website in the "Services for borrowers" section. There you can also find a complete list of possible ways to obtain your credit history.
It is possible to get a loan with a bad credit history. In addition, credit history can be "wrongly" bad - this sometimes happens when money transfer services are delayed. If the story is really bad, it should be borne in mind that all banks treat this differently, and the likelihood of obtaining a loan remains, but, possibly, on different conditions.
Always remember that a loan is money that needs to be returned, so you should not aim at attractive amounts that the bank will kindly offer you. If you need 20 thousand rubles, do not take 50 - after all, you still have to overpay, only in this case for a large amount.
Be careful and always read the entire terms of the contract. Choose reliable banks and trusted credit organizations, bypassing small microfinance firms that offer incredibly favorable conditions. A rash risk can lead to trouble, and a balanced decision based on a detailed study of the issue will help you quickly deal with current problems and finally buy something that you and your family have long dreamed of.
