Assumption of a consolidation loan
The main assumption of the consolidation loan is support for people who currently pay off some financial obligations.
Thanks to the new credit agreement, they have a longer period of time for a refund and the need to pay only one installment per month.
Although the combination of all debts does not absolve the client from the obligation to return them, he gives a sense of security and the opportunity to apply for additional cash.
A consolidation loan is generally a product of banks. As in the case of traditional financial liabilities, the future borrower must be able to demonstrate the appropriate ability to meet the newly concluded loan agreement.
Therefore, people interested in combining their loans and credits should necessarily submit documents confirming income. The exception are consolidation loans in the non-bank area. There you can apply for it without any additional documents.
A consolidation loan via the internet
In the non-banking sector, such products are found which correspond to financial liabilities provided by banks. Rates and loans in installments are an analogy of loans and cash loans, mortgage loans in some cases replace mortgage loans and a consolidation loan, although usually reaching small amounts, works in the same way as consolidation in a banking institution.
The only difference is that banks are not likely to offer us consolidation of payday loans, while companies specializing in granting non-bank loans may give such commitments. What’s more, many of them do not request income-supporting documents and the loan application, which includes information on earnings and place of employment, is a statement of income.
A consolidation loan for a statement is often confused with a debt loan. Although the mechanism of their operation is similar, often this drift is completely unprofitable.
Its interest rate, due to high credit risk borne by a given lender, is very high. On the other hand, a consolidation loan in the non-bank area can be quite an attractive offer addressed to those who want to combine the loans and payday loans into one financial commitment.
Istitutions provides consolidation of payday loans up to PLN 40,000, the second up to PLN 16,000. Customers only have to fill out the loan application without having to submit any additional documents.