Category: Loan

Savings banks loan and lending rates

No financial institution has more customers in the Federal Republic of Germany than the savings banks. Under the famous S logo, more than 400 different savings banks are gathered, which together manage more than 55 million accounts on German soil. For this reason, no bank has to process more loan applications than the savings banks. The applicants are most interested in the Intrasavings Bank lending rates to find out which loan offer best suits their own needs.

The type of offer determines the amount

The savings banks have numerous loan offers where the interest rates vary. In general, the financial institution differentiates between corporate and private customers. The savings banks offer a wide range of offers, particularly when it comes to lending to private customers. In addition to the conventional overdraft facility, the savings banks have loan offers for students, for the purchase of real estate, for building loan contracts, for timely construction projects, for converting your own property to a more climate-friendly energy supply and for non-dedicated use.

The Intrasavings Bank lending rates for these offers are based on the external requirements of the loan: This means that the Intrasavings Bank lending rates are based on the amount of the loan, the term of the loan, existing collateral and earmarkedness. For example, some regional savings banks lower their lending rates on construction projects when the construction contract is placed with companies that work with the savings bank.

The difference between online loans and branch loans

The savings banks now offer the option of ordering loans directly online. This greatly simplifies and speeds up the process of borrowing. The loan interest is guaranteed for the entire term. For most banks, these are cheaper if the loan contract is concluded online. This does not have to be the case at the savings banks.

The savings banks are organized decentrally. This means that all regional savings banks have a high degree of independence and are not bound by the requirements of the head office. There is also a closer personal relationship between the employees of the regional savings banks and their customers than at other financial institutions.

That is why it is possible to get a loan at a lower interest rate in a personal conversation with the employees of your own savings bank than online.

Online Loan Without Proof Of Payment

An online loan is a very good and cheap alternative compared to a normal loan from a local bank. Potential borrowers have a very wide and varied choice between numerous direct banks on the Internet. While you have to show various types of collateral at a branch, this is not the case with direct banks.

So you can easily get an online loan without having to show proof of salary. The professional situation or the financial situation of the borrowers is not as important to the lenders on the Internet as the local banks. Direct banks on the Internet only have to be convinced of an equivalent level of security and then issue a cheap online loan without proof of salary.

Online is not only faster, but also cheaper

The various Internet banks grant their loans much easier and faster than the normal banks in the cities. If you are looking for a cheap loan on the Internet, you can enjoy very good interest rates, easy applications and other advantages. With an online loan even without the proof of salary, it is therefore easily possible to convince the lender with a guarantor or with another equivalent security.

Once you have decided on a certain loan on the Internet, you only feel a quick and convenient online application. The direct banks are known for their very quick and free processing. Every online application is processed either on the same day or the next day and is awarded immediately if there is sufficient security. The online credit, even without proof of salary, can also be used with individual terms.

The borrowers save a lot of money and of course time

If an online loan is applied for and approved by a direct bank on the Internet even without proof of salary, borrowers can choose between different terms and amounts of money. Even without the classic collateral such as proof of wages or Credit Bureau exams, larger sums can be used without any problems. Online business is not only beneficial for banks, but also for customers.

Interest rates are in a very low range and are definitely significantly cheaper than at any other local bank. A potential borrower can currently expect an interest rate of around 3 to 6 percent. An online loan even without proof of salary can be used for example with a sum of 10,000 euros and paid off using a very cheap installment payment.

A flexible burden for every kind of need

If you have opted for an online loan even without proof of salary, you can largely choose the terms and conditions. The internet banks also enable a borrower to have a very long term of up to 120 months. As soon as you learn about the approval of the application, you can start planning with the future amount of money without any problems.

Another big advantage of an online loan even without proof of salary is the lack of a fixed purpose. Once the money is in your own account, you can use it for any purpose. The low interest rates and long terms keep the financial burden within limits.

Consumer loans – what has changed?

After the Second World War, credit in Germany was more of a negative term, because taking out a loan was considered untrustworthy and always had the smack of not being able to afford something on your own. At best, construction loans were the exception. In the meantime, however, the picture looks different, because financing has also become available in this country. In November 2017, for example, the Cream Bank specified the loan volume in Germany at around 8.216 billion dollars. But not only the willingness to borrow has changed in Germany, but also the type of borrowing. The most important innovations are briefly outlined below.

Consumer loans are increasingly being taken out online

A big change in borrowing is clearly attributable to the internet. More and more people prefer online loans to taking out loans in the bank branch. According to a GfK study commissioned by the banking association, behavior in this regard has changed continuously in recent years:

In the area of ​​online loans, it is currently instant loans that can be applied for quickly and easily. Credisure Finance’s instant loan, for example, can be paid out within 60 minutes and is also suitable for small amounts. Financing of this kind is very good for preferring consumer purchases and simply repaying the loan after 30-60 days with the next salary receipt.

Advantages of online loans over traditional loans

The reasons for the popularity of online loans are obvious, because there are some invaluable advantages that are popular today:

1. Better comparability

Online loans can now be easily compared in terms of their terms. Borrowers do not have to first visit several banks and inquire about the conditions, but can simply set their needs in comparison tools and carry out a comparison. On the basis of this information, better conditions can often be realized than without comparison.

2. Speed

The biggest advantage of loans on the internet, however, is the speed of processing. The instant commitment based on the information provided has already become a standard so that potential borrowers can plan straight away. In addition, however, consumer loans with fully digital degrees are increasingly being offered today, which means that there is no longer any need for mail and that disbursements can be made within 24-48 hours. In addition, there are the online loans described above, which sometimes pay out very small amounts in up to 60 minutes.

3. Time independence

Another advantage is that online loans can be applied for at any time of the day. Corresponding online forms are available 24 hours a day and can also be accessed on the go. This means that no borrower is dependent on the opening hours of his bank, which is usually within his own working hours anyway.

What else has changed with borrowing in Germany?

Another very significant change in borrowing in recent years has been revealed by credit report 2017 credit compass. Accordingly, the proportion of loans with a financing sum of over 10,000 dollars has increased from 25.4% to 36.6% of all loans since 2010. At the same time, very small amounts of financing up to USD 1,000 are gradually being requested less. One reason could be that part of the lending with the mini loan providers happens outside the banking sector and is therefore no longer included in the statistics. Overview of other trends:

  • More older borrowers: The proportion of borrowers over the age of 65 has increased steadily in recent years. Apparently, the willingness to take out loans also increases with this age group.
  • Longer terms: In recent years, the terms for loans have also increased on average. The average in 2011 was still 42.3 months, while the average term in 2016 was 48.6 months.

The conclusion

Potential borrowers use loan offers differently today than they did a few years ago. It can be observed that loan use via the Internet is becoming increasingly popular. Longer terms and larger amounts of credit are also among the consequences of this development. It remains to be seen what the credit market will look like in a few years and whether banks will still offer loans in the branch business.