How many years can I take a loan? Requirements for young borrowers

One of the main activities of most domestic banks is the issuance of loans. Today almost every financial institution provides loans to both legal entities and individuals. After reading this article, you will find out how many years you can borrow.

Classification of existing loans

To date, most banks offer short-term, medium-term and long-term loans to their potential customers. The first is issued for no more than twelve months, the last can be issued for a minimum of three years.

Before you get a loan, you need to deal with one more classification. Depending on the purpose of the loan, it can be:

• Consumer. This kind is directly related to the needs of customers. More often people make out the loan for repair or purchase of home appliances. As a rule, these are not too large amounts of bail.
• Automotive. From the very title it is clear that this type of loan is intended for the purchase of a vehicle.
• Mortgage. This loan is allocated for the purchase of housing. Usually we are talking about quite large sums, issued for a long period.

In addition, there are loans for education or other urgent needs.

How many years can I take a loan?

Those who are worried about this issue should understand that, in accordance with current legislation, domestic banks can lend to citizens who have reached the age of eighteen. However, in fact, financial institutions prefer to cooperate with people no younger than 21 years. And then only on very harsh conditions.

A young borrower must necessarily be officially employed and must have a stable income. Eighteen-year-old customers usually get small amounts. In this case, many banks require a guarantor. In addition, young men wishing to obtain a loan must present a military ticket along with the main package of documents.

On what conditions do banks cooperate with young borrowers?

Citizens who are under the age of 21 can receive a loan in the amount of three hundred thousand rubles for a period of up to two years. At the same time, they do not need to provide collateral and guarantors. But without this, one should not expect acceptable conditions with a low interest rate.

Having figured out how many years you can take a loan, you can not say how to increase the loan amount and the terms of its return. This can be done only if you have a guarantor or a deposit. As the last one you can use deposits, real estate or a car. In addition to banks, young borrowers have the right to use the services of organizations specializing in the issuance of microloans. At the same time, we should not forget that pawnshops and credit unions lend money at a higher interest rate.

Basic rules for lending to individuals

To obtain a loan, a potential borrower must meet all the requirements that the bank has chosen. Among the mandatory conditions imposed by all domestic financial institutions, one can attribute the age and the presence of a permanent place of work. Persons who are not less than 18 and not older than 65 can apply for the loan.

In addition, the creditor and the borrower pre-stipulate the list of necessary documents, which the latter must collect. As a rule, among other papers, a certificate of income is required. Also, many domestic banks are asking for a document confirming that the potential borrower has a permanent residence permit.

Conclusion

Now you know how many years you can take a loan and what required documents are needed for this. Based on all the above facts, we can conclude: the younger the potential borrower, the less favorable the conditions offered to him. Thus, banks are trying to protect themselves against a possible default of the borrowed loan, since many young people do not yet have a permanent job and a stable income.

In addition, citizens who have not reached the age of twenty-five should not be expected to receive a mortgage loan. Since domestic financial institutions do not make such large sums for young clients on any terms.