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What will prevent us from obtaining a Payday loan?

Getting a Payday loan these days seems very simple. However, we must remember that the failure to meet certain requirements may be an obstacle to obtaining the funds we need. What can cause that we will meet with a refusal to grant a Payday loan?

When we do not have enough savings, we can use easily available loans to finance our expenses. We borrow money for various purposes – for a holiday trip, for kitchen equipment, for renovation, for the purchase of a car, for an important event or for paying bills.

Banks and non-bank loan companies offering Payday loans tempt us with attractive offers in their advertisements – they promise convenient conditions and quick processing of applications as well as instant payment. Therefore, it may seem that everyone has a chance to get money. However, in reality, we can also be refused.

If you want to reduce the risk of rejection of your loan application or you have already received a refusal, but you did not know why, check our tips – you will learn more about the specificity of Payday loans and read what can really prevent you from getting a bank deposit or in a loan company.

Payday loan – basic information

Payday loan - basic information

Payday loans are one of the most frequently granted loans chosen by both individual and business customers.

Thanks to Payday loans, we can get money for any purpose – then we do not have to provide the lender with information about what we intend to spend the funds received. Therefore, we can finance virtually every expense.

The maximum amount of a Payday loan depending on the lender ranges from approximately PLN 3,000 to even over PLN 100,000. The repayment period is usually up to 10 years, but most of the Payday loans are loans up to 2-5 years. The group of Payday loans also includes payday loans – loans granted for up to about PLN 5,000 for a period of one month.

For a loan, we can ask both the bank and non-bank loan companies, for example Aasa. We can also get a loan from private individuals – friends and strangers.

The rules for granting loans can be found in the provisions of the Civil Code, specifically art. 720 – 724.

Why are Payday loans so popular?

Payday loans are currently being selected so often because they are easily available and allow for quick money acquisition. We take them for various purposes, both those related to private life, as well as running a business.

We do not have to present a number of documents necessary to obtain them – that is why many Payday loans are loans for evidence, i.e. we do not have to provide the lender with other documentation, for example certificates from the employer.

Not without significance is the fact that Payday loans can now also be obtained via the Internet – it is possible both in banks and non-bank loan companies. The application can then be submitted completely online, and the money after its positive consideration can be on the customer’s account in just one day – without the need to leave the house or office and go to the loan company facility.

Therefore, the popularity of Payday loans is determined by:

– a wide range of banking and non-bank offers

– the possibility of allocating funds for any purpose

– favorable loan terms

– the possibility of submitting an application via the Internet

No wonder then that Poles have so many Payday loans. Together with them we are able to finance practically every purchase – almost without any formalities!

This does not mean, however, that each of us can easily get a Payday loan. Banks and non-bank loan companies also have their specific requirements and if we do not meet them, we can get a refusal.

Other conditions in banks and non-bank loan companies

The terms of granting Payday loans vary depending on the lender. As we mentioned earlier, we can get a loan of this type in banks as well as in non-bank lending companies, for example in Aasa.

The lenders examine the creditworthiness of their clients in various ways – some do it very scrupulously, others in a looser way, which is why it is easier to get a loan.

In addition to creditworthiness, there may also be other requirements, such as the age of the borrower, with his place of residence. Therefore, it is difficult to clearly indicate what are all the conditions for granting Payday loans and which of them may lead to non-payment of funds.

It has come to be assumed that we will get a Payday loan more easily in non-bank loan companies than in banks. Indeed, we can get the required money more easily, but that does not mean that loan companies grant loans to anyone who applies to them.

It is therefore worth analyzing the main conditions in banks and loan companies, as well as the reasons why the customer’s request for a Payday loan may be rejected. As a result, you can reduce the risk of failure if you apply for funds – both at a fixed location and via the internet.

1. Identity card after deadline

The first and most important document that we will be asked to apply for a Payday loan, as well as for other loans and credits, is an ID card.

The personal ID card is the main identity document in Poland issued to adults. Therefore, the very nature of the evidence indicates that the loan can only be obtained by an adult who is over 18 years of age.

Even if the ID card is overdue by one day, the requesting system of the bank or loan company will detect this and will not allow you to submit a loan application.

Therefore, before submitting the application, both stationary and online, it is worth checking if the ID card is still valid. If not, you should apply for a new identity card to the local office – the waiting time for its preparation lasts usually up to a month.

2. Place of residence outside of Poland

Banks and non-bank companies want their clients to live in Poland and it was here that they had their permanent address. This is due to the fact that granting loans to a person living outside the country is more risky – if the obligation is not paid, reaching such a person and recovering money from it will be very difficult, and sometimes even impossible.

Therefore, if we want to apply for a Payday loan, we must provide the Polish address of residence. We will also receive the necessary loan documents if we conclude a contract via the Internet.

Of course, it is possible to obtain a loan when we work seasonally abroad, but we live permanently in Poland and it is here that we have our permanent address of residence, which we can provide in the application.

3. Inadequate age

We have already mentioned that it is necessary to be an adult to obtain a Payday loan. Therefore, a potential borrower under 18 years of age will not be able to receive money from a bank or non-banking loan company.

However, it is worth pointing out that some banks and loan companies apply additional age limits for their clients, so even after reaching the age of majority we can meet with refusal to grant a loan.

Age requirements are aimed at reducing the risk for the lender – both too young a client, as well as the elderly, create a risk of non-payment, which is why loan companies and banks introduce special limits.

Depending on the lender, we can meet minimum limits from the age of 20, 21, 22 or even 23 years of age. In turn, in the case of the maximum age of the borrower, he can be 70 years, 75 years or sometimes even 80 years.

It is worth getting acquainted with the loan requirements so that it does not turn out to be rejected due to the unfulfilled condition of the appropriate age.

4. Insufficient creditworthiness

Most often, however, loan applications are rejected because the client does not have sufficient creditworthiness.

Creditworthiness is defined as the ability to repay a liability, i.e. capital together with costs at a given time. This ability is calculated based on a number of different factors and each lender has slightly different requirements in this respect.

It happens, therefore, that in one bank we may face a refusal to provide a Payday loan due to low creditworthiness, while in another bank or in a non-banking loan company, we will get permission.

So what makes creditworthiness? What could be an obstacle in getting financing? Below we present the main elements that make up this requirement.

The amount of earnings

The main factor shaping creditworthiness is the appropriate amount of earnings. The more we earn, the more our creditworthiness grows.

However, it is worth pointing out that we do not have to earn a lot to get a loan – often only the minimum wage or even lower is enough, but depending on how much and for how long we want to take out a loan.

Source of earnings

The source of earnings, that is where we get it, is also very important. Banks and non-bank loan companies prefer permanent sources of income such as an employment contract of indefinite duration, a pension, and a pension.

Of course, we can also get a Payday loan with earnings achieved through civil law contracts – a contract of mandate and a contract for a specific work, when we have our own business. Banks and loan companies, however, treat such sources of income differently, so we can have a reduced creditworthiness.

The amount of expenses

The amount of earnings earned is also related to the amount of expenses – when we earn a lot, but also spend a lot, then our ability will not be so high.

When determining the expenses in the loan application, we firstly point to the overall monthly amount of our invoices, maintenance costs, fees, for example those resulting from other loans and credits, insurance, and maintenance. Therefore, the less regular expenses we have, the higher the creditworthiness.

Family situation

It is also important in which family situation we are. That’s why you often need to enter information about the marital status and the number of people in the family in loan applications.

People who are married, with children, have lower creditworthiness than those who are singles and have no offspring. The more people to maintain, the lower the ability will be.

Education and occupied position

In addition, in loan applications we often find a request to enter your education and position.

This information is also important for determining creditworthiness. It is higher for more educated people and those in higher positions. The lower the education, the lower the ability, but this does not mean that people with primary or secondary education who work physically can not count on a good loan – a lot depends on other factors, including earnings.

Attention! It is possible to get a loan without BIK or BIG, i.e. without having sufficient creditworthiness, but we must remember that loans of this kind are very expensive. Borrowing costs are then much higher than for other offers.

5. The amount of the loan requested and its repayment period

It is also worth noting that the client’s Payday loan application is also important when it comes to the amount he is requesting and what repayment period he chose.

The amount of loan requested and its repayment date are directly related to our creditworthiness. If we apply for a loan for a higher amount and with a short repayment period, then we must also present ourselves with a high credit rating, because the monthly installments will then have a large amount.

Of particular importance is the repayment period in this case, because it determines the amount of installments. With the same sum, a shorter repayment period means that the installment is higher, while if it is longer, the installment decreases. So if we earn less, it is worth thinking about extending the repayment period – then there is a greater chance of granting a loan.

It is also worth noting that the longer the repayment period, the more expensive the loan will be – we will give the bank or non-banking loan company a larger sum in the form of interest and other payments.

6. Other loans held in the same loan company

Although most often having other loans and credits is not an obstacle to getting more, unless we have very low creditworthiness, it happens that in some loan companies we can only have one loan at a time.

Therefore, we can not apply for another loan in the same company until we repay the current one.

7. Errors in the loan application

Quite often the reason for rejecting a loan application is also an incorrectly completed loan application. It happens that we make simple errors in it that go beyond the omission, for example, we forget about filling in a column, we give the wrong address, we make typos.

These errors in the loan application may cause a delay in the processing of the application or its complete rejection – then we will have to submit it again.

What will prevent us from getting a Payday loan via the internet?

The above reasons for the rejection of loan applications concern both Payday loans granted on a fixed basis as well as via the Internet. It is worth mentioning, however, about several other requirements that concern on-line loans provided by banks and by non-bank loan companies.

First of all, to obtain a non-bank loan via the Internet, we will need a bank account – preferably with online access, because then we can conveniently make transfers from it. This account must belong to us! It can not be an account of someone close to us, for example a partner or partner, because then it is founded on other data. This is especially important when making a special online confirmation procedure – it consists in making a transfer from your own account to the account of the loan company. When the data from the transfer match the data entered in the loan application, the identity is confirmed positively. Otherwise, the application will be rejected.

It is also worth remembering that in the case of on-line loans, it is often a necessity to have a mobile phone – it is also used to confirm the identity, usually by an SMS.

Summary

Although it is not difficult to obtain a Payday loan at the moment – both in banks and non-banking loan companies – there are still cases when the lender refuses to transfer money.

Most often, the refusal to provide a Payday loan results from the client’s insufficient creditworthiness, which may also not be a credible borrower due to problems with repayment of debt in the past. It happens, however, that the reasons are different, for example, outdated ID card, inappropriate age, lack of permanent residence in Poland or errors that crept into the loan application.

Most often, banks and loan companies do not indicate exactly what is the reason for refusal to grant a Payday loan. Therefore, we have to figure out what happened to be the main reason. Let’s check all the issues listed above, let’s also think about improving your creditworthiness, for example by paying off debts, increasing revenues, lowering regular costs.

It is also worth remembering that different banks and loan companies have different requirements, so it may turn out that we will receive a refusal in one institution, while in another one, a Payday loan will be granted without any problems.

It is common that sometimes there are bad times, such as moments of life in which financial tightening occurs. So when things are not going well, we get into debt or we need extra money to do something urgently, the first option we think of is a loan.

But there may be many questions, such as the monthly amount paid, the amount you can borrow, the fees charged, and knowing how to make a Payday loan simulation on the internet will ease the process and help make the money needed to be released faster . To learn more about Payday Loan, read:

How It Works and How to Make a Payday Loan Simulation on the Internet

How It Works and How to Make a <a href=Payday Loan Simulation on the Internet” />

The simulation process is simple. Simply access a website of some institution of your interest as a financial or bank that make the online simulation available, fill in the amount you want to lend, inform how often you can pay and after confirming the data, it is already possible to know the correct value of the parcels and monthly interest rates.

Remember that this process takes a few minutes. Ideally, search all the sites you can to compare the rates offered so that you can choose the one that will look best in your pocket. And watch out for scams!

As far as understanding what Payday loan is, it works as a credit that will be available to the contractor and that will have to be returned within the contract term, however, without many requirements as it is usually in other types of loans.

And that’s why rates are higher. But the facility helps a lot, because if the request is approved, the money will be made available within 24 hours in the account of the applicant; and the deadline for payment may be up to 48 months.

What are loan simulators?

Simulators are internet tools that have come to benefit and facilitate people’s lives by offering various forms of credit and bringing comfort so that the consumer who has the day to day running can know all the information that is necessary.

Thus, it is possible to easily obtain information for the loan through the mobile phone, computer, tablet, in short, any device that accesses the internet. It is also possible to know about the result of the research at the same time, besides in many cases to have an online consultant ready to answer all your questions.

A good example of a loan simulations portal is the Low Interest Rate itself, which compares loan rates at various financial institutions in the market.

How To Get A Payday Loan On The Internet

How To Get A Payday Loan On The Internet

To get the Payday loan is necessary to have no restriction in the CPF, although some banks and financiers lend even if there are restrictions. But in that case, some collateral will be required, such as a guarantor or even a check on the amount borrowed. In addition, in these cases, rates are usually higher.

If you choose to apply for the Payday loan by the bank, you need to have a checking account, but if you choose the financial, you must do the proof of income. Another detail is that it is also possible to make more than one loan if the reported income allows.

After doing the simulation, see if it is in agreement with the total amount and the installments, and then sign the contract online. Then just send the requested documentation to receive the credit. It is important then, to know how to make a Payday loan simulation on the internet, to ensure that you get the desired approval.

Who can apply for a Payday loan

All persons between the ages of 18 and 70 may apply for a Payday loan, such as:

  • Self-employed worker and legal entity;
  • Retired;
  • Pensioners;
  • Public workers;
  • Employees of private companies agreed (for these, a lower rate will be offered, precisely because it is automatically discounted in the current account).

Advantages of Making a Payday Loan on the Internet

Advantages of <a href=Making a Payday Loan on the Internet” width=”348″ height=”240″ />

The advantages of borrowing on the internet are:

  • Loan made 100% by internet, offering convenience;
  • Loans of varying amounts (from R $ 1000 to R $ 50,000);
  • Payment on 12, 18, 24, 30, 36 and 48 months;
  • Agility and speed in approval.

Where the Payday loan can help you

You need to know how to make a Payday loan simulation on the internet because this feature can help you in many situations, such as:

  • Remove credit card debt or overdraft;
  • Make a special trip;
  • Buy a car;
  • To enter a property;
  • Invest in a business of your own.

The loan can help you according to your need, but rather it is important to have a plan, not to be left with a debt that you can not pay.

Care When Applying for a Loan

Some care is essential when applying for a loan because when it comes to money you need to redouble your attention:

  • Inquire very well about the financial institution in which you intend to apply for your loan. Prefer the known institutions and avoid very easy or very advantageous conditions, as these cases usually conceal blows;
  • Search among some financial institutions you trust before closing the loan. For it is necessary to go in search of the interest rate more attractive and that impacts less in your pocket;
  • When you need a loan, review the case and try simulations as soon as possible. Sometimes, in the hour of despair, we can end up signing a contract without realizing that we are doing a bad deal. Therefore, avoid closing any negotiation when under pressure;
  • Avoid the temptation to pay for a larger installment due to the ease that this installment can offer. The less installments you apply for, the lower the amount of interest you will have to pay. Opt for a number of installments that you will be able to pay off with ease and that will make the loan finish faster;
  • Apply for loans only in extremely necessary cases. Well, with the ease we have today, to solicit them even on the internet, many people end up applying for a loan for anything. Always remember that you will have to pay (and usually, a lot!) For borrowing money.

Choose the financial institution and apply now for your loan online!

Now that you have all the information on how to make a Payday loan simulation on the internet, it is easier to count the money in your account, because because achieving your goals should be a priority in your life.

But before applying for the loan, analyze your Payday accounts and expenses to see if the installment value will not affect the maintenance of your current accounts. If you have any questions, leave your comment or suggestion here. And do not forget your safety!