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Personal Loans – Get information, compare personal loans and save.

Do you know that too? Suddenly you need money, but there is a gaping void in the account. Whether emergency or bargain, special event or catastrophe – there are moments when a financial injection is necessary. Many simply take out a loan. Alternatively, you could also pump on family or friends.

Why be screened by a bank when Auntie has already stashed the money in the badly paying bank account? Clever, some think, difficult, others. Because even with a personal loan from friends or relatives, there are certain rules to be followed in order not to destroy the relationship of trust. It is not for nothing that there is a widespread statement: “Friendship ends with money.”

Nothing works without a contract

Nothing works without a contract

In order for you not to be in a difficult situation to argue with your friendly lender, you should draw up a private loan agreement. Even if you have a close relationship with the person who grants you a personal loan, you should make a written agreement for your own and the lender’s safety. In the event of a dispute, you have something that you can submit to the court, if necessary. In addition, all important agreements on repayment, period and any interest payments are fixed. This way you can prevent misunderstandings and evasions.

Contract better from the expert

Contract better from the expert

There are numerous sample contracts for private loans online. However, these are sometimes incomplete or legally binding. If you want to make sure that everything is correct and there are no loopholes or gross mistakes, you should consult a notary or a lawyer. In the case of larger amounts in particular, it makes sense to have the loan contract checked by specialist staff. If you use a freely available contract for a personal loan or even want to set one up yourself, you should make sure that the following points are included:

  • Name and valid address of the borrower
  • Name and valid address of lender
  • Amount of loan and, if relevant, purpose
  • Repayment modalities (how, when, how often, by when?)
  • Any interest and its structure
  • Type of payment (cash, transfer, in installments)
  • Termination options for both parties
  • Regulation in the event of late payment or default
  • Separate agreements
  • Collateral and its realization
  • Signature of both parties

Personal loan from strangers – easy with P2P

Personal loan from strangers - easy with P2P

Not everyone has wealthy acquaintances and relatives from whom they can easily borrow smaller and larger amounts of money. If – for whatever reason – you do not want to take out a classic bank loan, you can also use a so-called peer-2-peer loan (P2P). With this special form of credit, banks do not grant a loan, but private individuals anonymously to private borrowers. For lenders, this is a form of investment because, of course, they receive interest on the money lent.

This is made possible with the help of P2P platforms, such as lendico, which manage these credit transactions and also act as intermediaries. They take care of everything organizational and also the legal questions. Anyone who sees his chance to get cheap money without a bank check or KSV questions is wrong. A credit rating is also made for P2P personal loans. It is also a binding contract.

If you fail to meet your obligations, you have to bear the legal consequences, similar to a bank. However, a P2P loan can be an opportunity for exceptional projects. Such platforms often offer the opportunity to present projects so that potential lenders can see what their money would be used for and can assess whether an investment is worthwhile. In this way, projects can be realized that may be too vague for a bank, but which private lenders like.

Personal loan, P2P or would you rather go to the bank? The advantages and disadvantages of loan types

Personal loan, P2P or would you rather go to the bank? The advantages and disadvantages of loan types

Those who have no particular restrictions can draw on the full range of loans. But are all types of credit really useful? This depends very much on the individual financial and personal situation of the borrower. Which loan is suitable for you is ultimately always up to you. As a small decision-making aid, here is a brief summary of the three loans mentioned and their advantages and disadvantages:

Installment loan from the bank

+ Interest is based on the current interest level
+ easy comparability
+ professional support
+ standardized and simple loan application
+ often possible to complete online

– Bank specific lending guidelines
– Strict credit standards
– Little space for individual arrangements Personal loan

+ Customizable
+ Creditworthiness little or not relevant at all
+ Unbureaucratic and flexible

– The relationship of trust between those involved can be disrupted
– The credit line is based on the lender’s assets
– Legal protection only with a contract P2P

+ professional handling of credit transactions
+ Possibility to present your own project
+ More diverse interest and lending structure

– Large interest margins, sometimes high effective interest rates
– No funding guarantees
– Different contract structures or extra fees possible

 

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