A consumer loan does not cover a specific type of loan, which is a standard installment loan that is paid out for no purpose. The consumer credit is aimed at private borrowers who want to cover all sorts of costs from their private lives. An example of this may be the purchase of new electrical appliances, a new car or simply a planned vacation.
Anyone who specifically informs about consumer credit is usually looking for fresh money for “fun investments”. At this point, we would like to point out that vacations, electrical appliances, big parties, etc. do not offer any equivalent, which can be triggered again in an emergency.
Do not burden yourself unnecessarily with a financial obligation that ultimately affects the quality of life.
- Installment loan without earmarking for the fulfillment of consumer wishes
- No material security is required
- The loan terms range between 12 and 94 months
- The loan amount is between 500 and 50,000 USD
Can anyone apply for a consumer loan?
To apply for a consumer credit you have to be of legal age and have a residence in Germany. In addition, a checking account is required. In order to guarantee the bank that the loan amount can be repaid, a current income must be proven. Often it is not enough to prove income as a self-employed or freelancer, banks prefer income from permanent employment.
What interest must be expected in the consumer loan?
There is no lump-sum interest rate for consumer credit, which always applies. The interest rates on consumer credit depend, as with all types of credit, on the current credit situation. If you take the credit in a low-interest phase, in the banks even come cheap money, interest rates are lower than in high phases.
Apart from the current situation, the interest rate also depends on the situation of the borrower. What about the creditworthiness, what collateral can be offered and what income is available. These factors ensure that each borrower ultimately receives a different interest rate.
Anyone who wonders how a credit calculator on the Internet can achieve comparability at first sight is right at first sight. However, there is the representative interest rate for this purpose, which is used for advertising purposes and loan comparisons.