Everyone Wants A Tasman-Series Uncategorized Consumer credit or long term loan?

Consumer credit or long term loan?



Each of us may need additional funds over time. The need may be both planned and sudden, but it is not always the case that we have made timely provisions for such cases. What to do? One of the most popular solutions that people use today is to apply for a loan online. Their offer is wide and varied, so in this article we will find out who to prefer – classic consumer credit or D’Cashpersonal long term loan?

Loan amount and repayment term

money cash

Currently, various types of loans are available in Latvia and consumer loans are mentioned more and more frequently. At the same time, D’Cashpersonal’s long-term loan is not quite the same as a consumer loan because they have several differences. First, the amounts available vary. While consumer loans can range from a few hundred to several thousand euros, other conditions apply to long-term credit. When you first borrow, you have € 425 available, and you have to repay exactly the same amount you borrowed. If you repay this loan successfully, the second time you will have access to up to 750 euros, but you will also have to bear interest in future repayments. And for the third time, up to € 1,000 is available. This principle allows the client not to be surprised by the overpayment and also thinks more carefully about how to repay the loan.

In terms of maturities, consumer loans can take various forms, ranging from a few months to several years. D’Cashpersonal’s long-term loan, on the other hand, is available with a repayment term of 3 to 12 months, which is longer than the standard 30-day short-term loans, but not too long as is usually the case with consumer loans. This is the so-called “golden mean” for easy credit repayment.

Loan processing

money cash

Different loans have different processes for obtaining them. To qualify for the D’Cashpersonal Long Term Loan, you must be between 20 and 70 years old with an active bank account, telephone number, and no late payments or breach of contract. This means that special care must be taken to maintain a positive credit history. You do not have to pay for a long-term loan, except that you will have to pay a registration fee of 0.01 Euro when you apply. The application is processed within 15 minutes and in case of a positive answer you will receive money in your bank account within 10-15 minutes if your account is in a standard bank.

In turn, the conditions for obtaining a consumer loan tend to be similar to the above, but much stricter. Since these loans are granted by both bank and non-bank credit institutions , the terms may differ. Please note that it may be necessary to submit an account statement for the last six months, there must be a sufficient amount of official income, and in some cases even utility bills may be required to confirm that you are staying in Latvia. It should also be borne in mind that most consumer credit is charged at the conclusion of the contract and the loan administration fee. In addition, the first consumer credit is usually not given for free, or on a “give back as much as you borrow” principle. Application speeds vary for different lenders, but can take up to several days. In some cases, if you are borrowing a larger amount of money, a credit institution may ask you to come to its branch personally to sign the documents before the money is credited to an account that takes a relatively long time to complete.

As you can see, getting a long-term loan from D’Cashpersonal is much quicker and easier, so it’s for those in urgent need of cash, and there’s no time to wait for the lender to evaluate the application and complete the paperwork for several days.

Loan repayment

money cash

The repayment principle for both consumer credit and long-term loan is similar – based on the loan amount and maturity, as well as interest, a chart is drawn showing the amount due each month by the due date. Of course, when applying for a consumer loan for several years, it is more difficult to plan your financial situation, which involves certain risks if, for example, you lose your job or have other problems that make it difficult to make payments. D’Cashpersonal’s long-term loan, on the other hand, has a maximum repayment term of one year, which is enough time for the client to rethink their ability to successfully plan their personal budget for timely loan repayment. In addition, you can repay your loan in full, if you wish, by contacting your credit institution beforehand.

Purposes of using the loan

Both consumer credit and long-term loan have similar uses. Unlike quick loans , long-term loans are used for larger purchases, planned treatment, and in emergencies where larger amounts of cash are urgently needed, such as home or car repairs, new home appliances, or medical care.

Despite the fact that a long-term loan and a consumer loan share several characteristics, they also have significant differences that make D’Cashpersonal’s offer not only easier to access but also easier and more cost-effective to repay, creating an extra sense of security for the customer.