Should you ask for a mini-credit because you need money urgently?

In the current loan market, we have the possibility to access a payday loan at GADCapital that gives us the money we need in a matter of a few minutes. It seems a tempting offer because in less than a quarter of an hour we would have in our account an amount of money that could be up to 1,000 euros. Without having to move from home and any day of the year. However, like any financial product, we must not forget that we are contracting a debt with its corresponding commitment to pay. Therefore, in the face of the enormous ease that lenders allow us to access mini-credits, we must be careful, so we will see in what situations it is advisable to ask for them and in what situations.

Mini-credits must be returned in a very short time

We all feel great that our bank account receives some extra funds, it is always appreciated. However, the money that comes from the mini-credits is not ours, it is from an entity that lends it to you in exchange for some interest. So you always have to return it. So, if we spend the money from the mini-loan, we must be sure that we can have it again on the date that the reimbursement period ends. In the case of mini loans, the interest is of the highest (in comparison with other financial products), since the risk of default is higher than in other loans.

The ideal situation to request a mini credit is when we need a small amount of money right now that we do not have at this moment, but we are going to have a few days later or next month. Therefore, whenever we are going to request a mini loan we must stop to think if in the time that the term ends (30 days as a general rule) we will be able to return the amount that they granted us. If the answer is a resounding yes, there should be no problem when requesting it because we will have the capacity to return them. On the other hand, if we are not very sure that we can face the payment, it is better not to do this type of financing.

This is an example of situations where urgent mini-credits can come in handy: We are going to keep the account in the red and our bank charges us enormous commissions for this fact. With a mini-credit, we avoid banking discovery. In this way, at the time we receive our income again (payroll or pension, for example) we can cope with the reimbursement of the mini-credit.

Yes to a mini-credit? Compare among several

As we have seen, these small loans are for money emergencies that we know we will be able to repay in a short period of time. At the moment we understand that a mini-credit is the most appropriate option for our circumstances, we have to know that the market is full of companies that offer it. So we can compare several options and get more advantages with us. For example, we can find free minicréditos with which we will only have to return the money we request, without paying any interest. If we ask 300 euros, we return 300 euros.

Get installment loans from these 3 entities

Due to the great competition that exists in the financial market, lenders offer their loans at increasingly lower prices to attract new customers. Following this trend, some entities have decided to get on the car of interest-free loans. Now it is possible to obtain financing and return only the borrowed amount, not another euro. installment loans For Bad Credit Are A Smart Financial Move.

The best loans at 0% APR in the market

If we request one of the products that we will see next we will only have to return the borrowed money, nor one more euro. Of course, to enjoy the following offers we must comply with the lender’s conditions.

Vivus: free money for new customers

Vivus, a Spanish company specialized in the granting of mini-loans, offers interest-free loans of up to 300 euros to its new clients. Through its website, we can get the free money in a matter of minutes and return it within a maximum period of 30 days. To be granted these mini loans we must meet these requirements:

  • Be between 21 and 75 years old.
  • Reside in Spain
  • Have a sufficient level of income to be able to return the borrowed money.
  • Not be registered in any list of debtors such as Asnef, RAI, etc.

PepeDinero: mini interest-free loans of up to € 250

Another entity that offers mini loans without interest is PepeDinero. Thanks to the Godfather Program, if we go to this lender on the recommendation of a friend we can request up to € 250 to return in a maximum of 7 days without paying a single euro in commissions or interest.

Barclaycard credit cards: payment of purchases at 0% APR

Barclaycard credit cards allow us to return the total of our monthly purchases up to 59 days at 0% APR. That is, we can use the credit card and return all the money without interest after two months.

What happens if I do not repay the interest-free loans?

When we ask for money without interest we must return it within the term indicated in the contract. Otherwise, everything we have been able to save on commissions and interests will end up paying penalties for delay. In the face of default, entities usually apply these sanctions:

  • Commissions for claiming debtor positions. It is a fixed amount charged by the entity for informing us that we owe money.
  • Interest in delay. They are applied to the amount owed. By law, they can not exceed the normal loan interest by more than two points
  • Registration in a register of defaulters. If the default is prolonged, the lender could register our data in one or more lists of defaulters, with all the inconveniences that entail.
  • Judicial claim. It is the last resort for us to pay our debts. If we lose the trial, we will have to reimburse the credit and pay the penalties for delay and the costs of the judicial process.

Caution: not all interest-free loans are free

Free money is money that is returned without paying interest, commissions or any other additional expense. The interest-free loans that we have seen meet all these requirements, but there are others that are not really free. To distinguish between each other we must carefully read the contract to know if they will charge us for any concept (linked products, notary fees etc.). In addition, we should look at the APR and not the TIN: if the APR is 0%, we will not be charged interest or commissions.