Best Personal Loans For Debt Consolidation With Good Credit -Lawtraining.Co.In Sun, 01 Mar 2020 16:56:41 +0000 en-US hourly 1 How to get a Loan for debt restructuring? Sun, 01 Mar 2020 16:56:41 +0000

The current low-interest-rate phase offers the ideal opportunity to get rid of expensive loans and thus give yourself more financial scope. Below you will learn how such a debt restructuring works, what advantages it offers and when it is worthwhile. for clarification

What does debt restructuring mean?


When a debt is rescheduled, a new loan is taken out in order to use this money to pay off one or more other loans.

For example, expensive loans from the past can be converted into cheaper loans or many individual loans can be combined into one. This will reduce your financial burden from the loan and give you more financial leeway.

When can rescheduling make sense?

Debt restructuring serves to improve one’s own financial situation. This can be particularly useful in the following cases:

  1. You want to pay off an expensive loan.

    Did you take out a loan when market interest rates were far higher? With a current loan at a cheaper interest rate, you can reduce the cost of your loan and thus improve your own finances.

  2. You need an additional financial scope for further purchases.

    If you want to take out a new loan for necessary purchases, for example, a car, new furniture or a vacation, it can make sense to use this new loan to replace old existing loans at the same time.

  3. You want to balance your overdraft facility.

    Do you regularly use the overdraft facility in your checking account or may it not come out of it at all? The interest rate on an overdraft facility is significantly higher than that of a classic installment loan at almost all banks. By taking out a loan to reschedule the overdraft facility, you can save several hundred euros a year.

  4. You want to combine multiple loans and financing into one installment.

    Often, consumers have multiple loans or goods financing to run at the same time. These individual repayments can be combined with a debt rescheduling loan in order to improve the clarity of your own finances.

A debt rescheduling always makes sense if the new loan can save costs or improve the clarity of your own finances.

What are the benefits of debt restructuring?

What are the benefits of debt restructuring?

You can benefit from the following advantages in the course of debt restructuring:

  1. Your credit score can be improved.

    The credit rating indicates your creditworthiness. It is not only decisive for whether you get a loan or financing, but also for which conditions are offered to you. The Schufa and other credit agencies rate it in the calculation of the credit rating quite positive if only data on one instead of several active loans are stored.

  2. You get an overview of your own financial situation.

    Especially if you have several loans and financing to run, the overview of the monthly charges can quickly be lost. As part of a debt rescheduling process, you can combine these different installments into one repayment rate, which means you know the exact financial burden for all loans.

  3. You can give yourself more financial leeway.

    As part of the debt restructuring, you can set the monthly rate for the new loan. This can be significantly lower than all previous credit installments combined, which gives you significantly more freedom in the financial structuring every month.

  4. You can get rid of your debts faster.

    With the debt rescheduling, you will receive a loan agreement. In the course of this, it is also possible to agree on a shorter term than before, for example, if the situation of your earnings has improved significantly. In this way, you can pay off the newly taken out debt rescheduling loan faster and you are therefore debt-free more quickly. A shorter-term generally also leads to a decrease in the total amount of interest.

  5. You save cash.

    Debt restructuring is particularly worthwhile if you use it to replace an older loan. While a few years ago the loan interest rate was 4 – 6 percent, installment loans are nowadays sometimes available for an effective annual interest rate of 1 – 3 percent. This is clear from the following example calculation:

For whom is debt restructuring worthwhile?


The debt rescheduling of one or more loans is always worthwhile when there are loan offers on the market at significantly more favorable terms. To find out whether debt restructuring is worthwhile for you personally, you should proceed as follows:

  1. Determine the outstanding debt of all of your current loans and financings.
  2. Calculate the total cost of your current loans.
  3. Use our loan comparison and enter the outstanding debt of all your loans as the loan amount.
  4. Compare the total costs of the offers from the loan comparison with those of your previous loans.

If the total cost of the new loan is lower, debt rescheduling is definitely worthwhile. It is important that you pay attention to the fine print of your existing loans to see whether a prepayment penalty is due to the bank for early repayment.

Conclusion on the loan for a debt restructuring

With a debt rescheduling loan, you can save costs and expand your monthly financial scope. Debt rescheduling is particularly worthwhile for loans that have been in existence for a long time since interest rates on installment loans have dropped significantly in recent years.

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Lenders who give micro loans a bad reputation Wed, 18 Dec 2019 14:31:11 +0000 I have always defended that there are micro loans on the market as I do not think the loan itself should be banned. Just because I myself think it is too expensive does not necessarily mean that others do too. But there are lenders that I don’t think have anything in the market to do.

I have stated several times in the past that I do not like this with an application code. To pay to apply for a loan and then only get rid of the money if the loan application would not go through, I do not like at all. Although this is only about USD 25 or something, I do not like it at all.

But unfortunately there are companies that are significantly worse than that. is one such site that one should stay away from. Cashking is not the company behind it, but it is Capital Adventure KB. You can do a search on Google yourself and you will find what others have written about this company, you will of course get your own opinion about them but I guess you will not be positive immediately. Here I will only talk about what they say on their own page.

Sweden’s largest intermediary


They say that they themselves are Sweden’s largest intermediary of SMS loans and that may be true since I do not come across someone who works directly in this way. Then I guess they mean they are some kind of Lendo fixed for micro loans.

If you look carefully at it all, we here at Alltomlå could also be counted as an intermediary of SMS loans when we actually have links to such sites. If you count in this way, I would guess that Cashking is no longer the largest in Sweden on this, even though we are not the broker of more loans. Definitely think that there are other sites here on the net that convey more loans than they do. But that’s just a guess on my part. If I do a search on SMS loans, SMS loans or micro loans in Google, I will not find them on any of the first pages of the search results, which indicates that they have no huge amounts of traffic. But they may get traffic from keywords other than the most common.

Brokerage fee / Organization fee

Brokerage fee / Organization fee

This is by far the worst thing about this loan broker. Lendo and other loan brokers do not pay at all by the borrower because they are lending a loan. Instead, they get paid by the lenders because they have acquired a customer for them. In exactly the same way it works on all websites where you can find loan comparisons etc. Our site is no exception.

However, cashking charges USD 495 in a mediation fee. This is similar to what many lenders charge if they lend money in the form of a private loan. They then call it a set-up fee and should cover costs that lenders have in the form of work, etc. for a loan to be created. Usually, this fee can be negotiated off or they simply do not charge any setup fee.

However, Cashking has taken this a bunch of steps further as they charge USD 495 in Mediation fee / Posting fee, regardless of whether an application is then approved or not. So it is quite possible that a person who wants to borrow money has to pay USD 495 for having submitted an application which is then denied. This if something screams to me that you should avoid this lender.

Effective interest rate


Effective interest rate is the interest rate you get if you combine all the costs incurred with a loan and then knock it out on an annual basis. Because micro loans are short, the interest rate here is very high. This was the brief explanation of what effective interest rates are. Now why I find them a little interesting.

They say that the effective interest rate for a loan of USD 1,000 is 1,410.33% since the cost is USD 250 for the loan and the money is borrowed for 30 days. Certainly that sum I also get when I enter these numbers into such a calculator.

What they then chose not to include is their brokerage fee. In purely legal terms, they may not have to count it, since it is actually not those who lend money without someone else where it certainly costs USD 250 to borrow this amount. However, a person who borrows via Cashking can really pay this so the total amount for this person will be higher and if you put on their 495 USD on the calculation you get an effective interest rate of 87 367%. Which just sounds “a bit” high in my opinion.

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SMS loan with payment note – Info and prices Sun, 15 Dec 2019 14:08:33 +0000

One of the more well-known forms of fast loans is SMS loans. An SMS loan is simply a loan that you take with the help of your mobile phone. On this page you can read a bit about how to get an SMS loan with payment note.

If you want to read more about what an SMS loan is, we recommend that you visit our page where we have described exactly what an SMS loan / Micro loan really is. Because if one is to be careful, there is actually little difference between an SMS loan and a micro loan, even if it is only in the way you apply for the loan.

Payment Note Loans – How Does It Work?

Payment Note Loans - How Does It Work?

If you have a payment note, there is a great risk that it will affect your ability to borrow money. In the past, lenders basically always said no to the contrary when they discovered that an applicant had a payment note. Nowadays, however, there are a number of lenders who offer SMS loans with payment note.

What sets these lenders apart from those who do not lend money on a note is their way of doing credit checks. A loan institution that does not lend SMS loans with a payment note says that as previously written blank no when they discover that there is a note.

An institution that approves these types of applications

An institution that approves these types of applications

Does not say no directly, but they look up the entire economy for the applicant. This means that things like income and other gadgets that show a good economy give plus, payment remarks and other negative things give minus in the grade.

If the sum is late enough, you will be able to take an SMS loan with payment note. However, there are no guarantees whatsoever that these lenders also agree to lend money. Statistics say that clearly more people with comments are denied than among those who have none.

Where to find an SMS loan with payment note


A number of loan institutions that you can investigate if you want to take an SMS loan and have a note can be found a little further down on this page. It should be said that most of these lenders are not the ones where you can take out the loan using only your mobile phone, but most are ones where you instead search the loan directly on their website which is also very smooth, even probably smoother. Thus, it is purely a technical issue of micro-loans, but it is only how the application goes that differentiates that we wrote before.

The lenders that you find link to on this page we also compared what they have for some prices on their micro loans. This comparison can be found on our micro loan comparison page despite payment note.

Should you not then find someone who suits you there is the tip to simply search further eg Google for an SMS loan with payment note. Maybe you’ll find it then. We do not have all the lenders on the market, although we have many of the options.

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Credit without a job Fri, 13 Dec 2019 03:14:11 +0000

If you are looking for a jobless loan, you will quickly find that this is a relatively big expense. After all, finding a bank that can provide credit even when the borrower is unemployed is extremely difficult. A regular income is required by most banks, since otherwise it is hardly possible to service the monthly installments.

No credit without a job

No credit without a job

The only way to get a loan without a job from a bank is when the borrower has either a second borrower or a guarantor. Particular demands are placed on the second borrower or on the guarantor. In any case, this must have sufficient income to service the loan in the event of a default. In addition, there must be no negative entries in the credit. As with the first borrower, a co-applicant or guarantor will also be subject to a corresponding credit check. Those who provide themselves as guarantors should at all events bear in mind that consumer credit is always a direct guaranty. This means that as soon as the actual borrower is in arrears with his payment, the bank can claim the money from the guarantor. In addition, the banks consider such a guarantee as a contingent liability. As a result, the guarantor himself will have difficulties if he needs his own credit during his guarantee.

Beware of dubious loan offers

Beware of dubious loan offers

In many cases you can see advertisements in the internet where credit is offered even under the most difficult conditions. If you believe these offers, it is no problem at all to get a loan without a job. While there are a number of credit intermediaries specializing in such exchanges, there are some black sheep among them. These are recognized by the fact that a corresponding advance payment is required for the agency fee. Once this has been done, then only in the rarest of cases does an actual mediation occur.

A popular scam is also to ask the prospective borrower to take out insurance or a savings loan. For this, the intermediaries then collect appropriate commissions. Anyone who realistically thinks must realize that for every bank, it means too much risk to place a loan without a job. In case of doubt, the mediators’ offers can also be checked by the local consumer advice center so as not to fall into a trap.

Obtain a loan through the Employment Agency

Obtain a loan through the Employment Agency

In some cases it is also possible to apply for a jobless loan through the relevant Employment Agency. This is especially true when the money is needed for urgent purchases such as a new washing machine. The big advantage of this is that the employment agency usually does not charge interest on the loan. In addition, the rates are very moderate, so that the borrower can continue to make a living. However, to obtain such a loan, the borrower must prove that he has actually used the loan amount for the purchase concerned. For this purpose, he simply submits the corresponding proof of purchase to the Employment Agency. The monthly installments are then deducted directly from unemployment benefits so that the borrower is not in danger of being in arrears.

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Loan comparator: Mortgage loan Sat, 07 Dec 2019 02:59:32 +0000

Mortgage loan from 500 to 35.000 dollars without down payment . The repayment term is from 3 months to 6 years.

A car loan is used to buy a used car or get cash against a car collateral . Compared to car leasing, car loan is also available without down payment and GFIC insurance.

The most popular type of car loan is the loan against car collateral. The amount of a car loan is determined by the market value of the car. If a car valuation is required, such a service will cost an average of 20 to 50 dollars at a certified valuer.

Get a car loan fast and profitable!


To apply for a car loan, you must be at least 18 years of age with a valid Latvian citizen or non-citizen passport and permanent employment.

It is possible to get a car loan in one working day on average. You need to choose a credit company and fill out an application. If yes, sign the contract, transfer the money to the customer’s or seller’s bank account.

When applying for a car loan you have to take into account the additional expenses, the commission for drawing up the contract and, if necessary, purchase a GFIC policy.



The annual percentage rate of charge, or GPL, is the total cost of the auto loan, expressed as a percentage, excluding the costs of defaulting on the contract. More information is available in the Special Provisions of the Cabinet of Ministers of the Republic of Latvia “Consumer Credit Regulations” or on the website of the respective credit company.

Example: Credit amount: $ 5,000, Commission fee: $ 250, Monthly payment: $ 119.76, Maturity: 6 years, GPL 24.54%. The total amount to be paid is $ 8872.72


In the event of late payment of the loan, the credit company may charge you a penalty for the total amount of overdue payments for each day of delay. In addition to the penalty fee, you may be charged for the reminder letter and / or a one-off penalty.

Failure to make payments can cause serious problems and affect your credit history, so if you have trouble repaying, contact your credit company.

WHAT IT’S ABOUT Good Finance

If you are between 18 and 75 and want to buy a car loan : use car loan comparison.

We borrow more profitable, we do not hide anything and explain the terms of cooperation in an understandable way, we keep you informed about promotions and discounts. Our regular customers receive updates via email.

Remember that in case of late payments the credit company is entitled to a penalty interest. Borrow responsibly! Borrow money only if you are confident that you will be able to repay it on time. Overdue credit loans can ruin your credit history and can make it difficult to borrow new credit or companies can offer loans on unfavorable terms.



The annual percentage rate of charge or APRC is the total cost of the loan expressed as a percentage, including all costs up to the date of receipt of the loan, calculated in accordance with the Cabinet of Ministers Regulation of the Republic of Latvia on 28.12.2010. Regulation No. 1219. GPL does not include any charges payable for defaulting on a credit agreement. More information is available in the Special Provisions of the Cabinet of Ministers of the Republic of Latvia “Consumer Credit Regulations” or on the Lender’s Website.

Example: When borrowing $ 300 for 90 days with a credit extension, the commission is $ 71.41, the APR is 269%, the total repayment is $ 371.41.

The minimum APR is 8.9% and the maximum APR is 429.46%. Loans from $ 50 to $ 15,000 for a period of 61 days to 72 months.

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Plan your debts: How to use your credit card effectively Thu, 28 Nov 2019 02:46:56 +0000

What should I use my credit card for? This question has different answers and it is difficult to explain a unique answer when many of us have different lives, and for each one we use the different credit card. The reality is that the credit card is a double-edged sword, and if we don’t know how to use them properly we can end up in a situation in which we may not want to see each other. I hope these tips help you identify how to improve the use of your card and leave a comment at the end about your suggestions or reactions:


If you are going to use it, have a plan to pay for them

If you are going to use it, have a plan to pay for them

As Ricardo Arjona says, the problem is not that you use it … The problem we have is that we use the credit card regardless of how or when we are going to pay them. Before making a purchase, just think about how long you want to last to pay the bill. A card is very timely to buy flights on offer, gifts for parties, etc. If you can pay them with a plan, this does not have to be a problem.

An example: If you spend $ 600 dollars on a new computer and pay with your card, think about how to pay for the computer before buying it. You can tell yourself: I want to pay it in a year! Divide the $ 600 for the 12 months, and you will have the amount you need to pay each month. It is true that this does not take interest into account, but this is not the problem, but the person ends up paying the minimum ($ 20 dollars) without thinking how much he will take to pay them.

Do not buy your needs or monthly expenses with the card

Do not buy your needs or monthly expenses with the card

If you buy something with your card that you should be paying with your salary, you may be in trouble. You should not pay your cell phone, cable, food, rent, etc. with borrowed money (the credit card is borrowed money) because this should be covered with your monthly income. If you had a temporary emergency, and you’ve already used up your emergency fund, you could use the card to get you out under a truck. But if your income has decreased and you can’t recover it for two months, you should think about your priorities and start canceling services that you can’t really afford anymore.

This has an exception: Points card. If you have a miles, rewards, etc. card You can use the card to pay all your monthly expenses and thus accumulate points, but this only works if you have the full money to settle the account at the end of the month. If this is not your situation, read the first paragraph again.


If it is a temptation, close it

credit loan

It is true that a closed card can lower your credit score. But if this has become a temptation to spend, you should cancel it so you don’t have this odyssey. Your score may decrease now, but in the long run it will help you keep your score high and your debts to a minimum.


You don’t have to use them to keep them open

credit loan

Many people believe that you have to use your credit card every month, or that you should have a balance to pay to keep them open, and this is not true. You can have an open credit card without using it. It is true that it can be closed, but will not stop using it for three months. To keep it open and no balance, you should buy something small, and before the monthly cycle is completed you should close it.


Not all card offers are good

Not all card offers are good

Do not take credit cards just by having them, having many open also damages your score. You should have no more than 4 or 5 cards, and even that amount is a lot.

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Bad paying debts consolidation – The alternatives Sun, 10 Nov 2019 03:04:28 +0000

Debt consolidation or disposal: what solutions for bad payers?

Debt consolidation or disposal: what solutions for bad payers?

Is the consolidation of debts for bad payers a real possibility to get back on track with the repayment of the loans? Are there any limitations? We analyze these aspects and try to answer the questions exhaustively.

When it is possible?

When it is possible?

We have to make a first distinction: protesters are much more limited in access to credit than bad payers. When you are registered in the appropriate lists of protested subjects an official procedure is dealt with by the authorities in charge, which also leads to a series of inhibitions provided for by law ( for example the impossibility of using checks ).

The bad payers are such for a ‘simple’ registration in the black lists of the banks and the financial companies which in turn are based on specific databases including the Crif note. These are people who, due to problems, lack of regularity or inability to repay all the loan installments or a mortgage, are ‘reported’ because they are not reliable. This distinction highlights an important aspect: if you are a bad payer you can return to a normal situation more easily than the protesters.

If you have the opportunity to be removed from the list of bad payers, before asking for a debt consolidation, you should proceed with this path, and only then rearrange your loans by combining them into a single loan. If instead the situation is not yet close to a solution then you might encounter some limitations.

What are the possible solutions?

What are the possible solutions?

Now let’s see what alternatives the market offers and how to overcome some typical debt consolidation limits.

Employee loans

Employee loans

The least complicated way to go is the sale of the fifth. It should be noted, however, that this is not a true debt consolidation loan, but simply a loan that can also be used for this purpose. Obviously it is not accessible to all workers, as the self-employed are excluded. In the case of pensioners, there are limitations:

  • at the age;
  • to the transferable quota;
  • to the type of pension received (disability, disability and social benefits, for example).

With the assignment of the fifth of the salary or pension it will be the applicant himself who will have to use the sum obtained, or at least a part of it, to extinguish the existing loans.

Consolidation loan proper

Consolidation loan proper

In the ‘real’ consolidation loan, the lending bank (Unicredit, Findomestic, etc.) will take care of the full repayment of the loans to be consolidated once the loan has been disbursed. In the specific case of a debt consolidation request, bad payers need to pay much more attention to the finance company or bank they are targeting. First of all, you need to find out if the chosen bank has tolerance with respect to the status of a bad payer. In the case of an affirmative answer, it is necessary to ascertain the tolerance level used.

This information is not difficult to find online, but only by contacting the personnel responsible for providing the loans who are familiar with the credit scoring and evaluation policies adopted. Some banks and financial institutions may be more tolerant of bad payers. However, the number of reports can cause this tolerance to be lost. For example, a bank can tolerate up to 3 reports, but from the fourth on it will no longer accept to finance the same bad payer. Therefore it is important not to accumulate too many delays, especially on the same financing contract.

If on the one hand these observations on debt consolidation limit the freedom of choice, on the other hand they do not preclude the possibility of access to self-employed workers and employees who are not ‘often’ financed with a classic salary assignment (such as employees of a cooperative that may encounter serious difficulties).

How to proceed with debt consolidation?

How to proceed with debt consolidation?

When you have numerous loans in progress but do not want to merge them all into a single loan, it is preferable to ‘consolidate’ especially those with whom you already have repayment difficulties. This solution allows you to immediately regularize your debt situation and get out as soon as possible from the list of bad payers.


Unfortunately it is not possible to obtain general information on a widespread but also ‘particular’ condition such as that of bad payers. If you have difficulty in repaying a loan, the first thing to do is talk to your bank that, knowing the vicissitudes that led to the deterioration of the credit reputation, may be more willing to grant a debt consolidation loan than a bank ‘ alien ‘.

It is however a good practice to request various estimates also referring to salary-backed loans, so as to evaluate the economic conditions of the proposed alternatives.

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Loan and Credit offers flexible loans with technology in focus Tue, 05 Nov 2019 14:34:16 +0000

Loan and Credit is a player in the so-called fintech industry whose focus is to offer loans with all the function and service that people may want to get out of their regular bank, but perhaps rarely get in the current situation.

They place great focus on agility. For example, it should be easy and easy to apply for loans and that it should also be possible to manage and change their loan through the app. There is a high focus on user-friendliness, technology and offering the best possible features.

What sets Loan and Credit apart from most other lenders is that technology is at the center. Instead of being a traditional finance company that builds technology, Loan and Credit is a technology company that builds finance. Something that is also clearly visible in their app where the customer can manage their loan and everything around.

What does Loan and Credit offer for loans?

What does Loan and Credit offer for loans?

Of course, it is interesting to know what kind of loans Loan and Credit offers and what their terms look like, and we will look at that a little quickly:

You can get a private loan between USD 10,000 – 300,000 with a maturity which is governed by how much monthly cost you want, which means a repayment period of between 3 and 12 years. If you extra-pay or change your maturity afterwards (read more about changing your monthly cost downwards), you can pay off at a faster rate.

Loan and Credit always takes a credit report when you make an application, like all lenders, to see how your payment options look. Loan and Credit then gives you a so-called Loan and Credit rating, which is a rating of your financial strength. This determines how much you can borrow and what interest you receive. The interest rate range is between 3.95 and 19.95 percent.

You can fix the application directly in their app or on the website. You use mobile BankID to identify you and sign the loan. In most cases, once you have been approved, the payment is made quickly. The setup fee is USD 398 and otherwise there are no other fees such as newspaper fees or recurring administration fees.

You can do this yourself with your loan


Loan and Credit is investing in technical solutions to make it easy to manage its loan, mainly through Loan and Creditappen. There you can manage your loan and do several different things, such as changing monthly costs, paying extra on the loan, pausing their payments or extending the loan if needed.

Change your monthly cost

In most cases, lenders usually let you choose the maturity (how many years you want to pay off the loan) when you submit the application. You do this at Loan and Credit as well, but here you simplify by giving you the choice to decide how much you want to pay per month for your loan. The longer the maturity you have, the less you pay each month, so you can choose to have a small monthly cost (if you have a little less margins in your finances) and longer maturity, or vice versa.

It is an interesting arrangement when you focus on letting the borrower choose a monthly cost that suits his finances. However, it is good to remember that the loan becomes more expensive the longer you choose to have it, as you pay interest on the loan for a longer period. If there is a possibility, it is always good to repay a loan as quickly as possible, but this is not always a reasonable solution.

What I like is that it is possible to change the monthly cost (and in practice the maturity) of the app afterwards. If you want to pay off the loan a little faster or need a little longer on you, this is a good feature. This type of flexibility is exciting for a lender as it gives the borrower a chance to shape the loan according to his needs.

Extend your loan

Another of Loan and Credit’s features is that you can easily extend your loan if you need more money. The maximum amount is still USD 300,000 in total and it is possible that there are limitations based on your Loan and Credit rating. But if the grade allows, it should be good to add a little more if the need arises.

Of course, Loan and Credit also offers the opportunity to make extra payments on its loan at no extra cost if you instead get some extra money over a month. However, this is something that can be done on all private loans, with all lenders, but being able to make these extra payments in a quick and smooth way is always welcome.

Pause the payment on the loan

A somewhat interesting feature is that it is possible to pause the payments on the loan for a full four months a year. This means that you do not have to repay / pay on the loan in those months. Of course, this also means that the loan will not be reduced during this time and that the debt will be saved until later. This has to be paid enough time, so you get nothing for free in that way. What you get is the opportunity to avoid spending certain months if needed.

The advantage of this is that you have the opportunity to control your loan in a better way and that you can actually take a break if for some reason you need to prioritize in your finances and it becomes difficult to afford the payments for a certain month. Waiting for payments makes the loan more expensive overall, which is worth knowing and this is of course something you should only do in emergency situations.

Everyone can get better


A little over a year ago, we wrote another blog post about Loan and Credit where we criticized, among other things, that their then special offer with a lower interest rate for new customers felt a little misleading. That you could believe that they offered this interest rate right through to all customers and that it was not just a two-month interest rate rebate (which is a big difference).

This offer has been gone for a long time now and it is therefore no longer unclear what interest rates can be obtained from them. This makes me happy, as I appreciate clarity and straightforwardness when it comes to loans and financial services. If a company can accept criticism and do better then you have to be able to give them another chance. Especially when the company otherwise has an interesting business concept.

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Sometimes you just get tired of the media when it comes to micro loans Sat, 02 Nov 2019 13:37:48 +0000


I know I have been on this topic before on a number of occasions but I find it daunting how the media writes about micro loans.

The first thing I should make clear is that I have never taken a micro loan myself and I have no plans to do this as I think it is too expensive in most cases. I also have such large margins in my economy that I have never been in need of this. However, I do not in any way think that this type of loan should be prohibited, since it is in my eyes up to the individual to decide for themselves whether it wants to borrow or not.

The Express gives way to the fight

The Express gives way to the fight

Expressen, which is part of the media and thus of course also works hard to counteract this type of loan, has been hooked on what everyone else has written about in recent days. This is because Loan and Credit has a loan with an effective interest rate of over 23,700%.

There is absolutely no talk that this is a very high interest rate but how interesting is it really to know what effective interest rate a micro loan has? Well it can be interesting to compare two different identical loans but otherwise it is an uninteresting figure. For it is calculated on an annual basis, which means that it is the same as saying that you would borrow money and then continue to borrow money to repay the borrowed money for a whole year. Which of course not reasonable.

When it comes to mortgages or private loans it can be good


However, it is not much smoother to say that a loan of USD 1,000 would cost USD 568. In my eyes, this is much easier to understand than the effective interest rate of 23 707%. Although maybe I am.

Furthermore, we must also remember that it is always the most expensive examples that are mentioned. There are actually lenders that are significantly cheaper. Loan and Credit itself has a cost of USD 193 for the new customer. Or 756% in interest as it is.

Imagine what a good day it would be for a normal review of this industry and not an attempt to throw everything away all the time. That is something I would like to achieve. The goal should, of course, be to reduce the number of people who end up at Kronofogden with debts that come from micro loans.

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Credit without problems Fri, 18 Oct 2019 02:07:45 +0000


Anyone who wants to take out a loan wants a loan without any problems. And often this all the more when your own financial situation is particularly tense. Also banks advertise with the words credit without problems. However, it is advisable to look at precisely these offers and to compare them with others.

Credit without problems

Credit without problems

Anyone who has ever applied for a loan and has received a refusal, or even several, often has a significant grudge against the banks. But even the banks have legitimate interests – and also want a loan without problems. If so, you might think everything should be easy.

To get to the bottom of the problem, it makes sense to take a quick look at the legal basis of credit – usually a installment loan. Because this is how it becomes possible to understand the interests of the bank: To know for yourself, what is important to the bank and to prepare accordingly.

A look at the legal situation

A look at the legal situation

The installment loan is legally based on a loan agreement: a so-called mutual contract: Two contracting parties undertake to provide on the one hand this loan amount – and on the other hand that benefit – installment. In the contract, all other conditions are fixed: The Amount of interest, possible additional costs and perhaps also the obligation to take out residual debt insurance.

While the bank meets its obligation / disbursement of the loan amount at short notice, the debtor has plenty of time to pay the installments – and during this time even the most reliable and solvent debtor can experience circumstances that make repayment of the loan impossible – then, in the worst case, the bank goes empty-handed.

Although this is a very condensed presentation, it becomes clear that the bank takes a high risk with each installment loan. And that is precisely what it tries to minimize – first through a comprehensive test procedure. If this results in a significant increase in risk, many banks are already rejecting the application. Others require additional collateral and offset the higher risk with appropriate terms / higher interest and / or other additional conditions.

Credit without problems – realistically assess your own situation

Credit without problems - realistically assess your own situation

For a loan without problems, it is of great importance to the bank, in addition to the usual requirements, to what extent the ratio of income and regular obligations / liabilities allows for installment payments at all. And if, at what altitude. And: In the context of this consideration, the data of credit entry, which enable an assessment of payment behavior, are also used.

It is often not disadvantageous to request a credit yourself in advance and to estimate quite realistically how much money you can spend on a monthly basis. And not because a circumstance lying in the future could ease the situation: “Could, would, would have …” banks are not interested. If the own credit debit bill is scarce, it should be thought about an additional security in advance.

Who owns / co-owns a property can offer it to the bank as additional security. The extent to which the registration of a mortgage is possible, the bank may be determined by an assessment of the property. Savings deposits or life insurance can also be used as collateral – however expert advice is indispensable here.
A sober assessment of one’s own financial situation and a good preparation are essential steps on the way to a loan without problems – which also does not burden afterwards.

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