The September slump is a time of economic instability for many families. This year, the dreaded return to school, which, it is estimated, will mean an outlay of 400 euros per child, is accompanied by the general increase in prices and the rise in interest rates of 1.25% by the European Central Bank ( ECB).
This return to routine in a context of excessive inflation and uncertainty in the face of a possible recession has triggered loan applications by 80%, according to a digital portal. The average amount of the credits amounts to 4,600 euros.
From the financial comparator HelpMyCash.com they assure that it is very common for requests for financing to increase after the end of the summer: “families disburse more during the holidays and September is a month in which they have to face many expenses at once. It is not always due to lack of planning, but because there are unpredictable situations that destabilize the family economy, such as the sharp increase in the cost of living that we are experiencing.
The Spanish credit market currently has a good number of loans that can be obtained quickly, each with its own characteristics. Requesting one or the other will be more convenient depending on what the financing is going to be used for and the urgency with which the money is needed.
The analysts of the comparator emphasize that, in any case, the client must value the decision well, because what he is going to incur is a debt, and make sure that he can repay it without endangering his personal finances.
Let's say that the person needs the money to finance a very specific project for which a significant amount of money is required, for example, buying a new car because the old one has fallen into disuse or carrying out a major work at home. For this type of purpose, the most advisable option is to contract personal loans offered by banks and finance companies, the latter online entities supervised by the Bank of Spain.
And why are they the most convenient? Because they are the loans with the most adjusted interest, around 6% TIN. They allow requesting high amounts, normally up to 60,000 euros, to be repaid in terms of up to 10 years. In addition, if the application process does not require the submission of additional documents to validate the client's solvency, they can receive the money in just 48 hours from the approval.
One of the most competitive credits of the moment is the Bank Norwegian Personal Loan.
Lines of credit, although they are not a loan as such, are a good quick financing alternative to face a one-time expense. With them, you can access a certain amount of money that the person conveniently withdraws as needed. Of course, you cannot exceed the maximum available, which varies according to each entity.
The big difference between these products and a loan to use is that the interest generated is calculated from the amount that is used, not on the total available. As for the conditions, they usually have interest around 20% APR. The entity compensates for this increase in price with greater speed when it comes to making urgent money available to the client: normally, in less than 24 hours from the application process.
Mini-credits are a type of loan offered by private, non-bank lenders for small amounts that can range between 50 and 1,600 euros. The mini-credits are designed to guarantee immediate liquidity in times of need or urgency, for example, to pay a bill that was not planned or solve a problem in the home, such as a broken pipe, which requires an immediate response. Normally they are returned in a single installment and within a maximum period of one month.
They are products that allow you to have money in just 15 minutes. For the entity, this implies a greater risk of non-payment, because it implies dispensing with a rigorous study process of the applications. As they explain from HelpMyCash, “in exchange for this immediacy, the interest on mini-credits shoots up to 1% daily TIN. Therefore, they should never be used as a regular method of financing. Our recommendation is to only go to them if there is no other choice and if the person is sure of being able to return it. Otherwise, default interest skyrockets, as do the chances of over-indebtedness”, they conclude.
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