A private loan is a loan that you can take, which goes around the bank. This means that instead of taking out a classic loan from the bank, as has always been done, a new type of loan has emerged in recent years. In this relatively new private loan scheme, you borrow the money from a private institution or company rather than a bank.
This can provide benefits, but at the same time, one must be vigilant about which private companies or institutions from which you borrow the money. Some of these companies may have soaring interest rates, which means that you have to repay an inhuman amount, which can eventually end up ruining your finances.
How to take out a private loan?
When you need to take out a private loan, you must have examined which loan provider best suits your finances and needs. It might be a good idea to go around the bank and talk to an independent advisor about taking out a private loan. Independent advisors are not affiliated with any bank and therefore you can rest assured that they will not receive a commission to sell you a specific product.
When you are on the desired loan provider’s website, you enter the amount, the desired term and then you sign with Easy ID, typically the loan provider responds in either a few minutes or 1-2 business days, depending on the loan provider. Typically, it is stated on their website how long it will take for them to return on your loan application.
How much money can you borrow through a private loan?
It all depends on which loan provider you have chosen, but typically the price is between 10,000 and 500,000 kroner. Your individual financial situation is taken into account, so if you for example.
If you have loans elsewhere or are considered poorly paid, there may be drawbacks to this. It can also be a problem if you are registered in the RKI or the debtor register, this means that you are rated as a poor payer, which limits how much you can borrow.
What conditions and criteria must be met in order to take out a private loan?
In order to take out a private loan, you must typically be 18-21 years old, you must have your national register address registered in Denmark, so you must be a resident of Denmark. You typically must not be registered in the RKI or the debtor register, so your finances should not be completely in ruins, otherwise, it is difficult to borrow. But always try to contact the loan provider, so you can typically get a unique agreement.
How is the money paid?
The money is typically paid out the first morning after you have been approved in the application process. Which is reasonably quick, considering there is a lot of money involved.
When is the money paid?
This also depends on who the specific loan provider is, but sometimes a few minutes, other times it is a few business days, try. to contact your loan provider and inquire, or look at their FAQ on their website.