Many people have no desire to save money for the purchase of any goods or services for a long time. Credits save time and use the right thing at once. Thus, apartments, cars, household appliances are bought. Banking organizations can improve the standard of living of people by lending, but for this they require to pay interest. Today’s article will be devoted to how to get a bank loan for various needs.
Types of loans
The entire credit market for individuals can be divided into two types of loans: target and non-target. Target loans suggest a goal. This is buying an apartment, car, goods. These types of contracts for the bank are most convenient. The bank company knows what the money will be spent on, and is more loyal to such customers.
Non-earmarked loans include cash disbursements. In this case, the banks have a greater risk, since they do not know exactly how the borrower is going to dispose of the money. It is likely that the loan taker expects to invest these funds in any business in order to make a profit, and due to this pay monthly payments. Therefore, the degree of risk for the banking organization is unknown.
Documents for lending
Depending on the type and purpose of the loan, different documents may be required for processing. The amount of documents is also influenced by the loan amount. According to the methods of registration credit agreements can be divided into two types:
- without proof of income. It is issued on the passport and the second document, which would confirm the person;
- with proof of income. Additionally, certificates will be required in which information on current earnings for the past six months is reflected (2-NDFL, bank statement, certificate of the bank form, certificates of additional official sources of income).
You can take a loan and secured by real estate or a car. In this case, you will need documents describing and insuring the subject of the contract. Let’s take a closer look at each type of loan agreements separately, so that it is clear how to act in this or that case.
This is the easiest and most popular way of lending. Consumer lending in the banking sector is known as POS-loans. These are loans for goods. For registration of such contracts it is not necessary to contact the bank office. The loan itself is signed and issued directly at the point of sale by the representative of the banking organization.
Many borrowers even get the impression that they are given the goods in installments directly by the trading company. But it is not. Only companies that have licensed the Central Bank to engage in such activities can conduct credit and financial activities.
A installment called the type of loan, which has the amount of principal and interest rate. But due to the partnership between the bank and the outlet, goods purchased on credit will have the same value, or almost the same as buying this product for cash without a loan.
Otherwise, the case had to pay taxes. Since if the rate of the contract is less than 2/3 of the key rate, then the borrower has a material benefit. Therefore, neither the point of sale nor the bank can work in a minus. The goal of both companies is a commercial benefit.
A consumer loan is issued on just two documents: a passport and a second one that certifies identity. It may take no more than half an hour to sign and approve a contract. The client picks up the goods, the bank transfers the financing to the point of sale, the borrower pays the loan for the goods to the banking organization. The average interest rate varies between 20–30% per annum.
Car loans – this is a more serious type of contract. This type of lending is associated with a pledge agreement, proof of income and a client’s credit history. How to get a big bank loan? It is necessary that the banking organization trusted you. Therefore, take your first credit for the goods with a comfortable monthly payment and redeem the contract on time according to the schedule of monthly payments.
Car loans are in many ways similar to consumer loans: the car dealer issues the goods, the bank finances the transaction, the client pays the loan to the banking organization. The transaction can be made directly in the car showroom with a representative of the bank.
Of course, if the amount is small and the borrower agrees to a higher interest rate of 13–20% per annum, then you can sign an agreement on the basis of a passport plus a second document. But more often you will need to confirm your income, as well as conclude a comprehensive insurance agreement with the insurer:
- passport and other document. In this case, the age of 21 years, registration in the region where there is a bank;
- certificate of income (2-NDFL, an extract from the bank and others);
- a copy of the employment record with work experience at the current place for at least six months;
- copy of casco and payment receipts. The car remains pledged to the bank and must be insured for the entire period due to the risks of theft or damage. Insurers depend on the banking organization.
There is a state program of car loans, mutual discounts of salons and banking companies and other conditions that allow you to issue a car loan at 6-10%.
Cash in cash
This is a type of inappropriate credit. It is due to the high interest rates under the contract – from 20 to 40% per annum. The interest rate depends on the number of documents. You can arrange both with proof of income, and without. This is one of the ways to take the first loan for your credit history.
Lending is issued both at the bank office and you can form an online application on the website of banking organizations. Cash is issued at the box office or transferred to the details of an account opened with any commercial bank.
In order to avoid fraud, it should be borne in mind that a bank company should not require any fees or insurance contracts to be paid in advance for a contract. Any additional payments from the conditions of the contract are included in the amount of the principal debt and are distributed on monthly payments.
Another direction of misuse crediting. A credit card, unlike other types of lending, has a revolving limit. This means that you can use credit funds, to replenish the card for the amount of spending to continue to use bank money.
Credit cards have a grace period of an average of up to 50 days. The period when the purchases do not need to pay interest, if you pay all the debt on time. Interest rates range from 19 to 40% per annum.
You can draw up an agreement both at the offices of banking companies and by making an online application. There are personal and non-credit cards, and depending on this, as well as on the loan amount, documents may be required only for proof of identity or proof of income.
How can I get a credit card?
- You need to leave the online application form on the website or contact the office to prepare an application.
- Prepare a package of documents (passport, certificates of income, a copy of labor and other documents that can be found on the websites of banks).
- Sign a contract and expect delivery of the card.
- Then activate the product through the website or by calling the hotline.
The whole procedure takes from 3 days to 2 weeks.
Mortgage loans are characterized by high loan amounts, relatively small interest rates, as well as collateral agreements, insurance, and the ability to attract co-borrowers and guarantors. It is much more difficult to take a large loan from a bank than to issue a small consumer loan. The credit history of the client also influences approval by the banking company.
What you need to get a loan? First you need to find the most favorable conditions for yourself. Banks may cooperate with different developers, and depending on the region, offers of some banking organizations may be more profitable than others.
On the websites of companies are mortgage calculators that will help you determine the amount of the loan and monthly payments. Then you should contact the company to prepare an application and provide a full package of documents, which includes:
- the second document (military ID, passport, driver’s license);
- a copy of the employment record with the seal of the organization;
- certificate of income (2-NDFL, bank statement, certificate in the form of the bank, filled in the accounting department of the employer);
- additional income (certificates of pension accrual, rental agreements).
Within 3-5 days, the bank will make a decision and notify the borrower about the maximum available amount of the loan. After which you should look for an apartment or house, available in the mortgage. This can be either a new building or a second home, a dwelling house, or even a land plot for construction.
Based on the type and status of the property, you will need to provide the following set of documents:
- extract from Rosreestr;
- cadastral passport;
- prepare a contract of sale;
- the result of an independent appraiser about the value of the property;
- apartment plan;
- building permit;
- and other documents.
The exact kit can be specified in a particular bank. In any case, banks allocate two months to the preparation of real estate documents and the search for housing itself since the loan’s prior approval.
After that, together with the seller, borrower, guarantor and other parties to the contract, a sales contract and documents for the loan are signed. The property becomes the property of the client and remains pledged to the bank until the end of the loan agreement. And the client concludes compulsory real estate insurance with the insurer.