13 Feb

Apply for loans online – Here’s how to do it right

 

Loans can now be applied for from various sources. On the one hand, there is the classic route that leads those interested to a local bank in order to be able to present the request for financial support. On the other hand, you can also apply for loans online. There are many providers on the Internet who either act directly as a credit institution or various Internet platforms that only act as intermediaries. But in one thing, all internet offers around the topic of credit are the same.

Apply for loans online

Apply for loans online

Technology does not alone decide on the granting of a loan. One receives immediate information as to whether a loan is possible at all. However, this information is only based on a query from Credit Bureau, and the final decision is still made by an employee of the bank who personally checks and evaluates all the information.

The preliminary decision that the computer makes after a very short time is therefore not a firm commitment, but only a preliminary result.

The sequence

The sequence

If you want to apply for credit online, this step requires just as many documents as for an application in a local bank branch. So you have to be able to identify yourself in the first step. For the identity check not only a copy of the ID card must be attached to the application, but an additional identity check is carried out by PostIdent in a post office. In addition, all income and expenditure must be broken down and, if necessary, documented. Proof of earnings are required as well as the address of the employer.

If you want to apply for a loan online as a self-employed person, you must also submit tax certificates and a sales forecast. In such a case it is also good to be able to name a guarantor who, if possible, is not self-employed and has a regular income. Depending on the amount of the loan, it may be possible that the bank asks for additional collateral when applying online. Real estate, vehicles or valuables are welcome here.

Once you have completed the online questionnaire and attached all the required documents, the application can be submitted to either bank. For some online banks it is sufficient if this is done online. Others, however, wish to be sent by post. You should clarify in advance which path the chosen online bank will take. The exact process can be found in the contract conditions accompanying the corresponding online offer. The processing fee can vary between one day and two weeks and depends on the respective offer.