Nowadays you can apply for a loan for consumption from several different operators. These various players include, for example, banks and various financial institutions. In addition to the above, it is also possible to apply for a consumer loan from various peer loan services.
So where is the consumer credit worth applying for? There is no completely unambiguous answer to this question, but in this article we try to open up the consumer’s various possibilities to apply for a loan for consumption.
Applying for a consumer credit from a bank
Almost all banks operating in Finland grant consumer loans to their customers. In all cases, banks do not call consumer loans as consumer loans. Usually, the word consumer credit is replaced by one of the following words: Flex credit, one-time credit, boat loan, car loan. overdraft, overdraft, overdraft or other loan. All of the above mentioned loans are basically consumer loans.
Applying for a consumer loan at a bank is as successful as applying for a loan in general. You fill out a loan application on the bank’s website or book an appointment with the bank for loan negotiations. For example, here you will find Good Finance Bank’s website for applying for consumer credit. After completing the application, the bank either offers the loan in the form of a loan offer or does not offer the loan to the customer.
Applying for a loan from a bank is thus relatively easy and quick. However, it is worth remembering that bidding for an unsecured consumer loan is also very profitable. There are considerable differences in interest rates and costs between banks and financial institutions.
One of the benefits of a consumer credit drawn from a bank is that, for example, OP says on its website that consumer loans also accrue OP bonuses. In addition to possible bonuses, banks generally reward their customers with lower interest rates and other benefits in banking.
Applying for a consumer credit from a financial institution
Applying for a loan from a financial institution is nowadays very easy and fast. There are several financial institutions offering consumer loans and their activities are subject to financial supervision by the Financial Supervisory Authority. In other words, their operation is monitored very closely and thus their use is always safe for the Finnish consumer.
Filling out a loan application on a financial institution’s website takes just a few minutes and usually the response to the loan application is immediate. Applying for a loan has been made extremely easy and fast for consumers. In addition to quick processing, the loan will usually be credited within the same day.
How does a consumer loan from a financial institution differ from a consumer loan from a bank? The answer to this is very easy. They make practically no difference. Both loans are usually always unsecured and have a maturity of between 1 and 15 years. Actually the only thing where differences can arise is the loan interest and other expenses. I recommend anyone seeking a consumer loan to check the real annual interest rate very carefully and compare carefully obtained loan offers.
Consumer credit comparison: financial institution vs. bank
Before raising a consumer loan, it is always worth comparing different options. As with other loans, consumer credit should be competitive. Only by bidding on a loan can you get the best possible loan offer. The easiest way to bid is by using the consumer loan tender service available on the Internet. These services operate in such a way that the customer or the consumer fills in only one loan application and the tender service takes care of the rest. In practice, this means that a consumer can obtain several loan offers from several banks and financial institutions in a single loan application quickly and easily.
The customer is always free to choose whether or not to take out the loan offered. And, of course, also where he borrows if he decides to take the loan offered. Bidding websites are almost invariably free for consumers to use and as I said earlier they do not bind the customer to borrowing. This means that you can easily check what interest rate you would get for a loan, for example, before going to your bank.
It is impossible to say which loan provider is the cheaper option for the consumer as both banks and financial institutions always make their loan offer based on the personal information of the borrower.