Where is it more profitable to take out a loan in cash? Types of consumer credit

When there is an urgent need for money, and relatives and friends can not help, the question arises immediately where it is more profitable to take out a loan in cash. Which institution to choose: bank or PDA, pawnshop or MFI? The future borrower must soberly assess their strengths and advantages, because in the end, it is these criteria that will make it clear where to take a lucrative loan in cash.

What is consumer credit

A consumer loan is money that a bank or other credit institution issues to a borrower. The given sum should be returned in monthly installments, with payment of compulsory interest for the use of other people's money.

Consumer loans are divided into several categories. Now we will consider them.

By type of lender

Asking where it is more profitable to take a loan in cash - at a bank or in a credit and consumer co-operative, we will try to find an answer. That is, the creditor can be not only a bank.

By type of target orientation

Bank loans are divided into receiving money, to purchase a specific product or service. This is a special-purpose loan, which is characterized by more favorable conditions: a reduced annual rate, flexible terms for its repayment, as well as an opportunity to get a state subsidy (use a targeted loan for education with state support). The borrower, when making out a targeted loan, does not receive cash in cash, they are transferred directly to the supplier of the goods or services in a non-cash form.

An untargeted credit, on the other hand, involves the receipt of cash that can be used at its discretion and not provide the credit organization with a report on the loan funds issued to the borrower.

By type of security

The loans issued can be backed by collateral, for example, by a pledge, or by a bail bond agreement. As a pledge, property (movable and immovable) can act. In the event that the borrower has financial circumstances for which he can not repay the loan, the bank will take his property in pledge. If there is a contract of bail, then when the borrower can not pay the loan, this obligation will be assigned to its guarantor. When providing security, the annual percentage is lower than without it.

Unsecured loans, or, in other words, blank, are issued by the bank only to that category of borrowers who have a constant income and authority in credit history. The amount of issued funds in this case is within the existing own means of the bank, but with a higher annual rate.

By type of borrower

This category, in turn, is divided into several groups. For example, families of young people whose age does not exceed the 30-year mark receive a consumer loan with state support. Such a loan can be targeted (mortgage, car loan) or universal (non-earmarked).

When considering the next group of the population, we get an answer to the question of where it is more profitable to take a credit in cash to pensioners. Consumer loans issued by the bank to pensioners are based on a stable source of income in the form of a pension. To be able to use this type of loan, it is necessary to observe the obligatory condition - a pensioner-borrower should work. Getting a pension and having a job will allow a pensioner to get cash on more attractive credit terms.

Trust type of credit - is applicable to borrowers having a positive credit history and applying again to a creditor bank. In case of repeated treatment, the borrower will only have to undergo a minimal formal procedure, after which he will immediately receive borrowed funds.

By type of repayment

You can pay the loan in two ways.

Standard - installment payment. It is a uniform payment amount that is paid monthly or quarterly. The amount of payment can be fixed or variable.

One-time - is to make a lump sum of money for a certain date specified in the loan agreement.

Under the conditions of granting

A lump sum payment is issued to each capable borrower. This type of loan is the most popular. The Bank considers the application of each borrower individually, and the amount of money given out is calculated on the basis of solvency.

Renewable payment, which is also a revolving one, consists in issuing to the borrower not the entire loan amount at once, but in a gradual transfer within a specified period of time. The positive aspect in this case is that the borrower can be sure of receiving the amount of money that he indicated in the application.

By type of terms

Where is it more profitable to take a cash loan in Russia, considering the economically unstable situation? Today, Russian banks, providing loans to the population, conditionally divide them into short-term ones, where the repayment period is less than a year, and long-term, above this mark. Short-term loans are issued for a certain period (usually not exceeding 12 months) or on demand. Then, in the absence of a fixed period for the repayment of the loan, the bank has the right to demand from the borrower the repayment of the debt at any time.

Receiving consumer credit in a bank

People who have reached the age of 18 (or at age 21, this threshold is established by a banking institution) and who do not exceed the threshold of 70 years can apply for obtaining credit.

Each bank independently establishes the requirements applied to those wishing to receive credit funds. But there is a universal requirement for all banks - the borrower has a stable source of income. The source of income is understood as wages. Also, the borrower can inform the bank about the availability of alternative sources of income, for example, income from leasing property (apartment, garage or other area) or dividends from securities. Such sources will need to be documented.

As the documents provided, a civil passport and mandatory permanent registration in the region of the bank's presence. A certificate informing the borrower's salary and a copy of his work record will also be necessary documents for obtaining money. In order to receive a non-earmarked loan, the bank may ask the borrower to provide in addition documents: a military ticket, a certificate of marriage / termination / divorce, and documents for collateral.

If the borrower falls under certain banking factors, it can significantly reduce the annual interest offered by the bank and speed up the clearance procedure:

1. The borrower falls in the age range from 25 to 45 years.
2. The monthly transfer of the borrower's salary is made to the card of the creditor bank.
3. The borrower has a great work experience.
4. The borrower has a crystal credit history.

Effective loan rate offered by the bank

In accordance with the current legislation, the bank is charged with disclosing the effective interest rate to the borrower. It represents the aggregate of the annual interest rate plus possible commissions of the bank. It is at this rate that the bank will calculate interest for the use of credit, so before signing the contract, it is necessary to familiarize with this point in more detail.

Commission charged by the bank

For any loan issued by the bank, a commission is imposed. Commissions may be one-off, which the borrower pays only once, for example, for reviewing a loan application, a commission for issuing a loan. If the borrower returns credit funds ahead of schedule, a commission may also be charged for this.

Regular commission fees are: annual maintenance of a credit card, the issuance of cash from a credit card. Given all the commissions, the borrower must decide where it is more profitable to take the loan in cash.

Repayment of consumer credit

There are two schemes by which you can repay the loan: differentiated and annuity. By default, many banks apply an annuity type of payment, which consists in making a fixed amount monthly. Annuity payment consists of two parts: the principal debt and interest. Monthly there is an increase in the amount in the payment, which is sent to repay the principal debt, and the amount of accrued interest, on the contrary, decreases. With this way of repaying a loan, interest for its servicing is accrued for the remaining principal amount.

A differentiated way of paying off a debt is to make a different monthly payment, starting with the biggest one, and gradually decreasing.

Any banking institution is not interested in the soon return of the loan, so banks set a certain temporary moratorium, during which the borrower has no right to repay the loan ahead of schedule. Usually it ranges from 1 to 6 months. Or, some banks allow repaying the loan ahead of time, but at the same time pay a commission in the amount of 1-12% of the amount that is paid ahead of schedule. Therefore, wondering about where to take the most advantageous loan in cash, it is worthwhile preparing for various commissions and interest rates.

Credit Consumer Cooperative (CCP)

If the borrower for any reason does not want to contact the bank, then you can apply to the CCP. Let's try to answer the question about where it is more profitable to take a cash loan in Yekaterinburg. In the CCP, which in the city more than 20 organizations. This is the "Union", "Golden Fund", "Assistance" and others.

The credit and consumer cooperative is a union, which includes individuals and legal entities united by a certain feature.

To qualify for cash, you need:

1. Become a member and pay membership fees.
2. Be an adult.
3. Have any registration in Russia.

The documents to be issued for the loan include:

1. Passport.
2. SnilS.
3. A certificate stating the amount of the borrower's labor payment (if a shareholder draws up a loan not for the first time, or his salary or pension is transferred to his account in a co-operative for a long time, a certificate is not required).

The maximum possible amount of money that the CCP can issue is not to exceed 10% of all loans issued as of the date of the decision to issue it.

The terms of repayment are calculated individually for each shareholder, and displayed in the payment schedule attached to the loan agreement.

After reviewing the requirements of the CCP for the borrower, each independently decides where it is more profitable to take a loan in cash.

MFIs

If the borrower can not boast of having a normal credit history, and there are fears that neither the bank nor the CCP will give him money, you should contact the microfinance organization (MFI). Where is it more profitable to take a cash loan in Omsk? Which MFI should I contact? Today in the city of Omsk there are more than 30 MFIs that are ready to cooperate with those who want to take out a loan in cash.

To issue a loan is simple: you must reach the age of majority and provide a civil document (passport). Each MFI has its minimum and maximum cash withdrawal amount. The timing of the return also varies. For example, Express Express is ready to issue up to 100,000 rubles at 0.4% per day and with a repayment period of up to 24 months. And "Before pay", on the contrary, they give out a maximum of 10,000 rubles, with payment of 1% per day and with a repayment period of 20 days.

Here the choice is for the borrower, where to take a lucrative loan in cash.

Pawnshop

If the borrower does not want to wait for the decision of the credit institution and fill out the necessary applications and questionnaires, he can apply to the pawnshop. Where is it advantageous to take a cash loan in Moscow? In the pawnshop.

There you can take jewelry made of gold, and cutlery made of silver, precious stones, watches. There is a category of pawnshops that take household appliances, cell phones and fur coats as collateral.

Having considered the proposed credit organizations, each of the borrowers chooses a place where it is more profitable to take a consumer loan in cash.

Today in Russia, a lot of credit offers for any category of borrowers. When reading, where it is advantageous to take a cash loan (reviews on the Internet), there is no clear answer to which credit institution should be treated. Each case is individual and everyone must find the best option for themselves.