Full Online and Personal Loan Guide
“Where there is smoke there is fire,” this saying makes all sense, just as there are people with financial crisis, there is always a fraudster or stalker trying to get along. Needing cash is normal, be attracted to personal loan offerings as well. However, think like this, “When the alms are too much, the saint distrusts.” Stay alert with loan sites, especially with loan for negative salary, loan with restriction on name, loan without consultation to IT consulting company..
Do not want to fall into easy loan scams offered via phone, email or in pamphlets delivered on the street note:
- Interest is not compatible with what the market is offering
- Personal loan requires little or no red tape
- The release is quick and easy even anywhere in Brazil
- Require money, fees or deposit before releasing the loan
- They do not have their own CNPJ, they use some bank
- The phones are Voip’s and not fixed, do not have 0800
If you find a loan company that advises you to make advance deposit between 3% to 10% of the amount requested, in third party account, beware! Asked for cash advance, give up is blow. Be smart, avoid all or any loan offer too easy, let alone bureaucracy more likely to be fraudulent.
Types of Personal Loans
In Brazil we have numerous types of loans, the most requested in banks and financial is personal loan for individuals. To have access to credit, the applicant has to go through the policies and terms of each institution. Hiring is usually stress-free, usually quick and easy. Currently the institutions in much facilitated the internet access for request, approval and release of money automatically. But stay tuned! It is necessary to look at the interest rates charged on each type of transaction – they can be very high – the very long payment terms increase the amount of the outstanding balance.
There are two main types of personal loans: secured and unsecured (in addition to payroll deductible loans and unsecured loans). Each type comes with its own list of pros and cons, but it is important that you, if you are a potential borrower, understand what each type requires to make sure your choice for the best personal loan is right.
# 1 – Secured loans
Secured loans are essentially when the applicant offers a good (something like a home or a vehicle) giving it as collateral to receive the required amount in the form of a loan. The easiest way to think about a secured loan is to know that you will have to give a valuable asset to the lender. In this type of credit operation, the good that you have offered as collateral ensures that the lender will be able to legally repay the money or part you have lent to the debtor if he can not make the installments payable on time.
# 2 – Unsecured Loans
If you do not have assets, home or vehicles to offer as collateral, you may consider the option of an unsecured loan, in general this type of credit is the first option of choice when it comes to borrowing money.
To qualify for this type of loan, you have to provide the lender with proof of income to prove that you are able to repay the installments of the personal loan. While unsecured loans are a great option for borrowers without properties. They are not the best option especially if the person has the name denied in the SPC and Serasa and credit protection agencies.
Lenders on average charge higher rates and interest rates than their counterpart secured loans. These loans are also known for their high rates of late payments. Lenders can continue to take legal action if you end up defaulting on the loan.
# 3 – Personal Banking Loan
The bank loan also known as (bank credit) consists of the bank making available a sum of money to a customer that fits into the credit policies. The applicant undertakes by contract to repay in full the amount received, plus interest rates within the contracted term.
A bank customer can use the bank loans that the institution puts at his disposal, in general it is possible to request to buy real estate, vehicles, make capital and cash flow in the company or consolidate more expensive debt. Without the bank loan, many people would not have enough money to spend the month or purchase goods or services with high costs, this transaction eliminates the borrower having to save for many months or even years to have the money in hand.
# 4 – Open Personal Loan
It may sound strange to say “personal loan in the open” but this is a way of calling the famous “revolving credit on the card”, or simply “revolving credit.” They are loans that you use over and over again using a credit limit already pre-approved by the financial institution or card administrator. The idea is not to use the credit, but when you go beyond your monthly income and can not pay the full amount of the invoice, using this revolving credit may give you a momentum but the next invoice debits without much more high.
Make use of the “open personal loan” only when you have no choice or cheaper credit option. Always pay your card bills on time to avoid stratospheric interest.
Some types of loans
No one goes without a loan due to lack of money in banks, much less because of lack of credit due to their dirty and negative name, personal loans can be requested by almost every type of person and financial profile, from the high can economic to those who are having bad credit. For each type of loan interest rates are different, so when deciding to take out a loan, list all of your possibilities.
Continue reading, below list some modalities most used by citizens and borrowers.
Student funding or student student credit, whatever it’s like to call it, it’s interesting for college students studying in Brazil or abroad. The modality allows students to apply for credit to maintain their undergraduate, postgraduate, doctorate and masters courses as well. The student loan is designed by private banks, some government financial institutions and even direct in universities.
The FIES (Student Financing Program) is a student credit program developed by the Ministry of Education. It is intended for the funding of higher education courses for students who are enrolled in non-free universities.
Currently it is not very complicated to get a student loan, but the student will have to go through the requirements of each lender, it is clear that the policies are different for each type of loan provider, so before choosing whether to apply in private banks, institutions such as the Apobank or direct from the universities. Do a wide search to find out which one fits you and which will be cheaper at the end of your course.
Loans for buying property
The dream of almost every working citizen is one day to get out of the rent and own his own home. Fortunately this dream is achievable and the financial market for housing has many possibilities being offered by federal lenders and private banks. Thanks to low salaries and few prospects. In Brazil, being able to buy a house is linked to real estate financing, that is, few are able to buy their own property. But you find different financing for this mode of credit:
- My Home My Life Program
- Apobank Property Financing
- Financing of property of private banks
- Financing Construcard Apobank
- Housing programs and multidimensions
In another article we will talk about each of these modalities for home buying.
Loans for vehicle purchase
Car loans are one of the most common types of personal loans that borrowers seek and apply for, it is currently possible to finance vehicles up to 72 installments (plus interest, fees and taxes) over time. With car loans, the good is put as fiduciary guarantee on new and used cars. Another way to borrow money is when you already have a car cleared and you refinance by offering it as a credit guarantee, operation known as secured loan and vehicle.
Before signing anything, it is critical that you understand what your loan terms are. Make sure you have the answers to questions like:
- What is the price of the vehicle today?
- What is the interest rate?
- How much will I end up paying in total?
- How long is the loan?
- What is the down payment?
- What are the monthly payments?
- Are there any additional fees I should know?
- Debt Consolidation Loans
Loans for medical expenses
Accidents happen.. and when that happens medical procedures can become a millionaire cost for an average person to have to pay, especially when the insurance does not cover medical expenses. You will need help at this time. So to avoid ending medical debt, you can choose to find a fast personal loan that works for you.
The good news about loans for medical expenses is that they are usually not secured, which means you do not have to offer anything as collateral. As long as your credit is good (over 650), you are likely to qualify for a personal loan to cover the costs of doctors.
What is the best, personal loan or credit card?
As we mentioned, personal loans as well as free credit and bank credit cards are generally not secured, this means that the lender has no guarantee of tangible good if you can not repay the debt. For this reason, most personal loans generate higher interest rates than loans that use some form of fiduciary alienation a property or asset of the borrower as collateral.
A cases where credit card can be better than a personal loan? Yes. When you have a smaller expense, do you pay with loan, money or card? Ex: as a dentist’s account for $ 500, transferring that debt to the credit card is quicker and easier. With credit cards charging 0% interest in the first 30 or 40 days of your purchase, the more you can pay with it, the lower your total cost – the invoice has to be paid on the due date, other than the personal loan, you start paying interest on the first day after borrowing money.
The interesting thing is that you can find on the internet credit card without consulting serasa and also a variety of card with restriction on the name, in addition to vast banners that offer credit cards without annuity. Do a little research. Ask for yours.
Below are some additional information about some types of lenders.
Personal loan in cooperatives
Credit unions : Cooperatives are non-profit financial institutions run by their members and often offer interest rates on personal loans unmatched to their members compared to bank rates. Because credit unions are community based, you do not necessarily have to work in a segment or organization to qualify as a member or associate. This type of lender in general offer excellent interest rates.
Find out how to join a cooperative.
Peet-to-peer collective loan
Peer-to-peer : Startups, Fintechs and peer-to-peer lending companies, a financial model that has grown exponentially in recent years, in Brazil many lending platforms between people (social lending) such as Biva, Nexoos and EasyCrédtio, has emerged as viable alternative in relation to the high rates of banks, financial and credit cooperatives. They typically offer low-interest, pre-fixed rate loans, with investor financing of up to $ 100,000 or more with short to long maturities.
To get money from peer-to-peer loan sites, just register and apply for the amount you want, if everything is ok, you will be contacted to close the deal.
1 – Always have an undistorted loan impression that you want. Be sure to sign up for a personal loan agreement, carefully read all the clauses and make sure you understand what they are and why they are charging you such extra fees and interest rates, plus the deadline and conditions for early or partial settlement of the loan. loan.
2 – If you have questions or concerns, do not hesitate to ask the credit broker, company clerk or institution that is negotiating with you for further clarification and have no problems after signing.
3 – Seek out the most appropriate and inexpensive kind of personal loan for your pocket, in addition, research credit offers on the many lender willing to lend you the money you need.
4 – Ideally in the first instance, you decide what your needs are and only after through site tool searches to compare loan, choose the best opportunity. By finding and negotiating your loan, you will be one step closer to getting the money you need.
To know more about personal loan offers, check out our articles on loans that includes addition to credit market issues, many appraisals, loan calculators and exclusive session to compare all types of loans.
We have everything you need to know about the best credit companies, all in one place. Good luck!