What do the Danes borrow? -Loans
Maybe we are not as different to you and me as we just go and believe. And the same goes for loans. You are probably not the only one curious about what we Danes actually lend money to. In this blog post we have looked at some of the things that Danish loans are used for.
There is a difference between what we lend to the bank and what we borrow when it comes to quick loans and consumer loans. That goes without saying, because with a quick loan, you can’t afford a big apartment or a nice house with a garden. And not for a new car, but here it can be done with a consumer loan as well as with a classic bank loan.
Moreover, the Danes are borrowing more and more
Even outside the banks. It makes good sense – you only need so many homes and cars, but everyone deserves luxury in their everyday lives. This is also what this post is all about, because loans that translate into all your dreams are just more exciting than a mortgage ever becomes. Even though villa, sausages and Volvo are many people’s dreams, most people’s dreams do not stop there.
Loans online are more exciting as neither you nor I have to tell you what the money is going to be used for. But they are used, after all, because no one borrows money just to keep them in the account. It’s money being spent. Precisely because no one has to disclose what the loans are for, it is more difficult to investigate than traditional bank loans. The banks are completely in control of what you spend your money on, but there is no online lender in this country who asks as much as a single person what the loan is used for.
Common to these loans is that they can fulfill their dreams and stop a sudden crisis. That’s what they are for, but no two dreams are the same and neither are crises.
There are many different types of loans you can take. Each loan suits different situations. Therefore, it is different what the various loans are generally used for, and it is also different what they are intended for. If you need to take out a loan, take one that suits what you want and you will get the best loan for the apartment.
The very small loans
The very small quick loans and SMS loans are used for a need here and now. The loans are super fast to borrow, the amounts are small, the money comes really fast and they have to be repaid similarly fast. By very small loans is meant loans of up to DKK 10,000.
It is a type of loan that will typically be used for a sudden bill or repair that cannot wait, a trip to the dentist that cannot be postponed, a party you will not miss, or an offer on electronics or equivalent, which is just too good to say no to.
It is a loan that is absolutely perfect for these situations, but not for anything else. They can be more expensive than other loans on the Internet, and it is recommended that such loans be used only in emergencies.
The advantage is that you can find free mini loans – also on mobile – as a first-time customer. For example, if you spend $ 3,000 on a plumber or at the dentist, this is an option you can consider. If you borrow 3,000 kroner, you will only pay back 3,000 for the first time you borrow. There are no interest or fees.
Installment is also really popular. Here, the focus is electronics and home appliances, because it is something that few can live without nowadays. In many stores you can buy these kinds of goods on installment, and these businesses have usually partnered with an Internet bank that makes it possible for you.
There are also several places on the web where you can borrow money, but at the same time can find this kind of goods on installment. The advantage of the web is that you get it all delivered and installed, and it can be an advantage, whether it is a new television or a freezer.
If you have something to change here and now, most people would definitely choose this solution rather than a mini-loan or SMS loan. This solution is cheaper and there is also the advantage that you do not have to pay for the item as quickly as with the other type of loan. But each person has their own taste, and it is up to you what you choose.
You can create a cash credit both through your regular bank or online. Common is that you can spend more money on your Dankort or credit card, such as Visa or MasterCard, than is on the account. You need to have an agreement on this in advance, and of course there will be a ceiling on how much more you can spend. You only pay for a cash credit if you use it, otherwise it is completely free to have.
Cash credit is typically used for ongoing expenses, for extra bills, Christmas and birthday gifts and the like. It’s something that is part of regular consumption when needed, and the advantage is that you don’t have to borrow every single time you need money.
The downside seems to be that you will easily spend too much running – just because you can. Are you in control of your finances, but know that some months will come in sometimes when things are not going so easily, then this is a really good way. Depending on your finances, you can get some tolerable interest on a cash credit, but each deal is individual.
The medium-sized loans
A medium-term loan is typically defined as a loan of up to DKK 50,000. Most people think that there is a lot of money. But it is an amount where you can choose between both quick loans and consumer loans. In this section we take a look at quick loans, but there will be a description of consumer loans under the very large loans later, so don’t worry, you won’t be cheated.
Similar to the very small loans that can be both payday loans and SMS loans, you can borrow larger amounts as payday loans. What separates these kind of quick loans from the small, quick zips is that they do not have to be repaid as quickly. A maturity of no more than 45 days for 50,000 kroner would be completely impossible, and fortunately the companies look the same. Otherwise, it is done the same way with an easy and simple application, approval and signature.
Here too, electronics are at the forefront. Now it’s not just a new television, but a television with audio system or even a home theater that can get your hands on it. It’s also more than just a regular laptop, it’s just the top of the market or gamer PC that can come home.
This is also where travel begins on the program, because with money of this magnitude, there is more than just a pub stay or a week out of season down south.
The very big loans
You can borrow up to DKK 400,000 online. Yes, it’s not a typo – it’s certainly possible to borrow such large sums. With amounts of this magnitude, it is always a consumer loan and there are both advantages and disadvantages to them. The main advantage is that the interest rates are lower than for the other types of loans and that the maturity can be very long. The downside is that you don’t get the money right away. But a maximum of a few days and not weeks, as in the ordinary bank. It is also rare now that you need 400,000 right away.
For the very large loans, expect to document that you have an income that allows you to repay the loan. For example, you may need to submit your latest paychecks and your latest tax return from SKAT. There is still no collateral requirement or requirement that you disclose what you want to spend the money for.
Unfortunately, consumer loans do not start at the same low amounts as the other loans. Otherwise, one would only take consumer loans with those interest rates. But for the big things, it’s the “loan” to take, because here the biggest dreams are being realized.
With the big loans, it is a completely different kind of dream come true. It may be the purchase of a car for those who do not want to provide security in the car, or it may be improvements to the home such as new kitchen or bath, which is actually much more expensive to get replaced than most people just thought. It can also be an extension to the house so you get the extra room you need. Finally, it is the luxury travel to the most exclusive and exotic places in the world.
So while consumer loans may not be a name you associate with, these are the things that this type of loan is most often used for. Because you can borrow such large sums without security and without annoying questions about what you want to spend the money on – whether your current kitchen is not good enough or whether you really need 3 weeks in Brazil.
We are not that different again
If you have taken one or more of these loans and spent the money described here, you are like most others. It is nice to know that we have a common position and that it is the same things that appeal to us in our everyday lives.
It is also nice to know that there are people like me who needed an artisan, got an extra bill, had a fridge that stood off, a water pipe that broke, a couple of tough months where the checkout credit was my friend, bought a brand new laptop with the best of the best and got a new kitchen.
But maybe you stand out from the crowd because you bought a guitar or built a bar in the basement with pool. It is completely inferior, because even though most people dream about the same thing, what is common to our dreams is that it will give us joy and happiness in our everyday lives. And these are the dreams we all have to live, because otherwise we risk regretting it later in life.
If you choose to borrow to realize dreams – big or small – then choose the type of loan that fits the dream. You get the most out of it, and the dream shouldn’t end up as a nightmare instead. There are all types of loans available online and you will find your loan there as well. For banks is not there to fulfill your dreams, but the internet can help you instead.
You already know your dream, but you also need to know how much the dream costs so you can borrow the right amount and with the right type of loan. Even though dreams cannot be settled in money, it is still something you have to do, so you get borrowed just what it takes to live the dream and live in the present.
With online loans, you also get the easiest way to live your dream. It is safe, easy and fast and you will not regret when you finally get what you need or long for. Just fill out an application – and preferably at different companies – and get signed. Then you go ahead than you ever imagined, because it has never been as easy and quick to lend to what you want. What the money is going to be spent on, you can still keep it a secret for all of us – it’s your dreams, after all.