Express loans are a quick way to get not a very small amount of money for urgent needs. This type of lending has become common in large online electronics stores. So you can get a loan in just 15 minutes having only a passport from the documents. This immediately entailed a wave of buyers. Often people are not experienced in credit relations. An express loan without cash inquiries is available to any citizen; he can borrow it at many banks.
This form of lending is convenient, express credit without information can be taken at any major store. Often people are tempted by attractive discounts and new equipment at a cheap price and do not even suspect that they are getting a pig in a poke. Many, of course, are more convenient to take immediately to buy a thing and then pay for it in small amounts, but they often do not think how difficult it is.
Express loan online is another common form of this type of loan. A person can immediately issue a thing on credit on the website of an online store. It is convenient, fast, but has its drawbacks as a simple purchase in a store.
Pros of express loans:
- You can get a loan immediately in the store within 20 - 120 minutes and go home with a TV or fridge you like.
- it is not required to collect a lot of documents, you only need a few documents that confirm your identity.
- the calculation is made by bank transfer immediately with the store.
The most important minus that scares off most potential customers is the interest rate, which can range from 30% to 130% of the loan amount.
Minus:
- A very large loan rate.
Taking an express loan in the amount of $ 3,000, then at a high loan rate you will repay $ 5 or even $ 6 thousand, the longer the boring period, the more you will overpay.
The bank gives out money at such high interest rates due to the number of risks that it takes upon itself. The Bank receives from you a minimum of information about your creditworthiness and it needs to be safe. Many borrowers are unscrupulous and do not fulfill their obligations; therefore, banks cover their losses with high interest for honest borrowers.
Very often, subway ads are posted: “Express cash loan” is often offered by organizations that are not entirely legal. Most likely, you will be asked to go to the store and get a loan. They will give you half the amount, and the second part will be counted as repayment of part of the debt. In the future, you will be required to return the full amount. Such equipment is illegal and will not be brought to good. No bank will use this scheme of work.
