When browsing the banks’ offer, we can come across many different financial products. Of course, one of the most popular is a cash loan. It turns out that we should not focus solely on him. In the end we also have various other loans, from which we can spend the money on individual goals.
As we already know, cash loans are currently the most popular. Nothing unusual. In the end, they are available almost immediately. You do not have to leave your home at all to be able to apply for financial support in this form. At the same time, we do not have to completely explain what we will spend the money on.
Usually, if we already own a bank account in the same facility, we can expect a much smaller amount of formalities. The bank checks our creditworthiness on the basis of an account statement. And money is also transferred much faster. Cash loans stand out, of course, that we can borrow from a few hundred zlotys to even 200 thousand. PLN with a maximum repayment period of up to 10 years.
Car loans in terms of conditions are very similar to cash loans. Also their maximum amount can successfully exceed the sum of 100 thousand. PLN, while the repayment period can be as much as 120 months. However, as in the case of a cash loan, the bank is not interested in what we spend money, just in the case of a car loan, this expenditure is strictly defined.
Even the bank makes some decisions as to what specific vehicles can be borrowed and which unfortunately are not. Often there is a problem with used cars that are old-fashioned. Then the bank may refuse us such a loan.
It is necessary to watch monthly installments, because the lack of loan repayment means that the car may eventually become the property of the bank.
If you are already deciding to go your own way, we also choose a housing loan. It is intended not only for the purchase of an apartment, but also for its renovation, construction of a house or renovating a house. Here, the talk is about really large sums, starting from tens of thousands of zlotys. Everything will also depend on our creditworthiness as well as the value of the flat or house that is to become our property. Because in the case of this loan, we must also mention that it is pledged with real estate. Therefore, if the obligation is not repaid, the property becomes the property of the house.
Very often a mortgage loan is really confused with a cash loan. All because both loans are closely related to real estate. Indeed, in both cases, the property owned or purchased by us is pledged. But in the case of a housing loan, we are just borrowing money to get a specific property. However, in the case of a mortgage, this money can be used for a completely different purpose. In this case, only the security is mentioned.
Very often, someone wants to develop their business and sets up their property, such as a house or flat. The money is intended for a completely different purpose and we also deal with the possibility of borrowing a really substantial sum in such cases, but under the condition of pledging your mortgage. That is why such loans are called mortgages.
If we already have some problems with the repayment of our existing obligations, we should necessarily be interested in using the so-called consolidation loan. It is a loan that allows for so-called consolidation, i.e. a kind of merging all existing installments of loans, credits and other liabilities into one installment. Of course, consolidation loans are granted to people who have financial problems, but at the same time have adequate creditworthiness, as well as other predispositions to pay such a loan. Often, such people have a negative credit history, which means they have closed the possibility of taking loans elsewhere.
Consolidation loans are also distinguished by the advantage that the costs of such a commitment are usually much lower compared to previous debts.
Bearing in mind all these financial products, we can now successfully say that these are the most useful solutions. Everyone will certainly be in a life situation during which he will have to take advantage of the loan. Knowing what the different loans are, it will be easier to choose the right offer for yourself.