Comparing small loans is definitely worth it. Because here, too, the credit institutions offer different conditions such as term, rates and interest. Anyone who needs such a mini loan can apply for it relatively quickly and easily with an online credit bank. You can use small loans completely freely, for example to bridge short-term shortages or for smaller purchases. The small loan calculator helps you to find the right financing through a free small loan comparison.
Take up requirements for small loans
An important prerequisite for granting small loans is that the applicant has a permanent job (not during a probationary period) and a regular and steady income. In addition, the small loan applicant must be of legal age and reside in Germany. A German bank account is also required for the payment. Even if it is a small sum of money, a credit check is carried out. The creditworthiness is checked by credit agencies such as credit bureau. If there is a negative credit bureau entry, it will be difficult for the loan seeker. Many small loan providers have credit-related interest rates. Your credit rating therefore has an impact on the annual percentage rate. Since the self-employed and freelancers assume a higher default risk, the credit institutions often charge higher interest rates. To increase the creditworthiness, you can also use guarantors or real assets as security. When applying, it is important that you always provide truthful information.
What documents are required for a small loan application?
The applicant’s creditworthiness is determined on the basis of the documents. The financial institution wants to hedge against a possible credit default risk. Which documents are required for borrowing depends on your professional status. Employees have to provide other forms of proof than the self-employed and freelancers. After submitting your application, you will be prompted to send certain documents. The scope of the required documents depends on the professional situation and the type and duration of the loan.
Checklist small loan documents
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The following documents are usually required:
- Account statements from the past few months
- current pay slips
- Copy of the employment contract
- Proof of pension payments (for pensioners)
- Income from secondary employment (if available)
- Copy of the valid identity card
- Copies of credit agreements that have already been concluded (documents on possible guarantees, leasing contracts)
- other financial obligations
Self-employed and freelancers in addition
- Income tax assessments
- business evaluation (BWA)
- Information about company assets
- Business start-ups for start-ups
Small credit without credit bureau – borrow money with free processing
In order to get a small loan without credit bureau , you can apply for a Swiss loan. Some online direct banks offer the loan form: “Small loan despite credit bureau” as a loan broker. The processing of the credit business is anonymous if requested. To distinguish a reputable credit broker from a reputable credit broker, you should consider the following:
- The online small loan application is free of charge
- The processing of the loan application is free of charge, only if the small loan is actually granted will there be a processing fee
- In addition to the small loan, no other contracts may be concluded
- In order to hedge against default risk, banks require special collateral