Analysis of offers of non-banking companies – how to do it properly?

Among the most popular ways to obtain financial support in emergencies, there is a traditional bank loan, a bank account limit, a credit card and a non-bank loan. Recently, this last solution is very popular. Introduction of the so-called the Anti-usury Act increased the security of incurring non-bank liabilities. Non-bank loans are divided into two basic groups: long-term loans and short-term loans, which are popular payday loans. Before we decide to commit to any non-bank company, it is worth analyzing the lenders’ offers. What elements should you pay special attention to? Advise.


Security of non-bank loans

bank loans

Some potential clients of loan companies are afraid of falling victim to a dishonest lender. We are talking here mainly about the fear of too high liability costs, unfavorable conditions or hidden fees. Many people still see the Internet as a source of danger, which is why online loans do not inspire trust in everyone. Elderly people, who have become accustomed to stationary service at loan companies’ branches, have the greatest concerns.

Younger people perfectly understand that the Internet is a communication channel between the seller and the buyer of services. Society becomes more comfortable, reduces the need to leave the house, makes online payments, communicates with friends via social media, which is simply – treats the Internet as part of your everyday life. All you have to do is follow the rules of safe web browsing and you won’t fall victim to any scams. It is therefore necessary to check the credibility of the loan company, e.g. in forums and to carefully analyze the offer.


Loan agreement – always read it carefully

Loan agreement - always read it carefully

The Anti-usury Act regulates the activities of companies in the non-banking sector. For this reason, the offers of most lenders are in accordance with Polish law. Unfortunately, in all branches of activity, you can meet a dishonest company that will apply “dirty” practices to its clients. Therefore, before we sign any document, let’s carefully analyze its entries. If any of us raise our concerns or doubts, let’s give up this particular offer and look for a reliable lender who does not contain any unclear provisions in the loan agreement.


Fees related to non-bank loans

non-bank loans

The cost of a non-bank loan is a basic issue to look out for when looking for the most attractive offer. The payday loan comparison tool can help. Among the basic fees are:

  • interest,
  • commission for granting the loan,
  • administrative fee,
  • preparation fee,
  • penalty interest for late payment,
  • costs related to extending the repayment period of the liability.

When selecting a loan offer, please refer to the APRC (Actual Annual Interest Rate). This indicator includes all costs related to taking out a non-bank loan.


Readability of the loan offer

money loan

When analyzing the offers of loan companies it is worth paying attention to their readability. They should be written in accessible and understandable language. Thanks to the terms of the loan agreement, we can quickly find out whether the lender is an honest and reliable entity. Our suspicions should arouse all small prints and star symbols at individual entries in the document. It is worth paying attention to whether basic information (e.g. costs, repayment conditions) are given in a clear and factual manner. Loan companies that hide such data on their website may have dishonest intentions regarding clients using their services.


Checking the credibility of the loan company

Checking the credibility of the loan company

Services such as the Central Register of Activities and Economic Information, the Association of Polish Companies, the National Court Register and the Polish Financial Supervision Authority can help check the credibility of a loan company. The above institutions provide information that allows each of us to check, among others the legality of the loan company. The opinions of existing borrowers using the services of a given entity are also helpful in assessing the credibility of lenders.


Loan company website security

Loan company website security

It is worth remembering that the basis of website security is encryption. If the page is encrypted, there is a green padlock symbol next to the web address. The absence of such a sign means that the connection is not encrypted, and thus the personal data entered in the loan application may not be properly protected. Particular caution is recommended for pages that are not encrypted.


Online loan application – how should the whole process go?

Online loan application - how should the whole process go?

To be able to apply for a loan online, you must create an account on the loan company’s website. The application should specify the amount and repayment date that interests us. In addition, lenders normally require providing personal data from an ID card and making a verification transfer of a symbolic amount (usually $ 0.01 or $ 1). If additional fields appear when applying for a loan, e.g. regarding paid services related to granting the loan, which were not mentioned before, we should be vigilant. Similarly, if the entity requests a disturbingly high verification transfer. Then we may not be dealing with a loan company, but an entity extorting money and personal data.


What to do when we have entered into an unfavorable loan agreement?

The above information should protect future borrowers from borrowing on unfavorable terms. However, if only after signing the document we realize that its provisions are unfavorable, we can withdraw from the contract. We have 14 days from the date of the loan agreement. Such a step has no consequences. The contract can be terminated within 14 days without giving a reason.