Where can I apply for a payday loan online?
These are the options of credit institutions that operate in Spain, where you can apply for payday loans online. Compare all the credits and microcredits that are offered before choosing yours.
What is a payday loan ?: The origin of the credits
You may be surprised to learn that the origin of the payday loan goes back to ancient Rome, where there were already guarantors and usurers. You could say that the payday loan concept was born at the same time as the creation of the currency.
Christianity saw with bad eyes the issue of credits and it was the Jews who were responsible for making this type of loans to individuals. France was the first Christian country that, after the French Revolution, began to regularize this type of exchanges and loans of money.
Thanks to the passage of time and the creation of central banks, payday loans were regularized to become a banking product as such.
But what exactly is considered a payday loan? payday loans are those products that borrowers (people requesting credit) receive from a lender (financial or banking entity) and to which a series of interests are applied. The money borrowed must be returned within the deadlines marked together with interest, which is called installments.
It is important to know that in this type of loans the borrower responds to the credit with his present and future assets, in case of default. They are usually loans of money that will be used to buy an item or service, such as a car, studies, pay for a vacation or overcome a pothole, etc.
Now that we know the history of these types of loans, let’s see what types of loans exist in the market.
Characteristics of personal bank loans
payday loans offer more money than a small loan and, therefore, are usually intended to finance more expensive projects (do a minor work, hire an educational master, finance a wedding, buy a new car, etc).
Being higher amounts of money (from € 1,500 to € 15,000), the return terms usually range from one year to even 15 years. The refund is made through monthly installments where the money borrowed with their interests is paid.
These payday loans are requested through banks, either in person at the bank itself and in recent times it can also be made online with specific offers for this type of contract in most cases.
The waiting time until obtaining the money will depend on the procedures of each bank. Normally, in a couple of weeks you will be informed of the approval or denial of your money. Once the response is obtained, a contract must be signed with the bank stipulating and characteristics of the payday loan granted.
Types of payday loans online
There are numerous types of credits, depending on the amount of money you want to request, the type of interest or your particular economic situation. The good thing about this wide range of possibilities is that you have a lot to choose from and there is financing for each type of person, that is, to your needs.
We will see all the existing payday loans in Spain, so that you can clear up doubts and decide what is best for you.
Ready to know what credit is yours?
Microcredits: urgent loans of up to € 1000
Microcredits or mini loans are financial products designed to cover small contingencies such as an unexpected car repair, the extra expenses of going back to school for children, paying an extra from the dentist, an unexpected vacation, indulging or anything else that doesn’t you have planned and that does not allow you to reach the end of the month.
If you need an amount of money of up to € 1000, which you can consider as an advance on your payroll, mini-credits are your best ally. Of course, you should know that the interests of these products are higher than in payday loans, since they usually amount to 1% daily. On the contrary, the advantage is that since the return period is a maximum of 30 days, the cost that you will have to assume is not exorbitant. For example, if you ask for a € 100 loan you will have to pay approximately between 20-26 euros for interest. As we have commented, these types of loans are designed to cover an urgent unforeseen in a timely manner, not as a recurring form of financing.
The advantages of these consumer small loans lie in the ease and speed with which you can get that extra money you need directly in your bank account. Once you make the request and it is approved you will receive your money in a few hours or at most one day. Fast money without paperwork and with the advantage of getting an immediate response.
Quick credits: online loans for more than € 1000
If you need to get more than € 1000, there are fast credits. They work basically the same as microcredits, but differ in that the economic amount to request is of greater amount.
If you need to pay a Master, a loan to finance your wedding or any other situation that requires a greater economic investment, these types of loans are presented as the ideal alternative to payday loans granted by traditional banks.
The management to obtain the loan is quite fast and you can have the money in your bank in less than 24 hours. This is the basic difference with respect to banking products of a lifetime. The agility, simplicity and speed to get the money.
If you want to check all the quick credits that exist, enter here and find out
Interest-free loans: fast money at 0%
Sporadic economic contingencies are a burden, especially when you know that it has been due to lack of foresight. You need help getting to the end of the month but you don’t want to mortgage your account or pay exorbitant interest. You want a loan quickly, as if you were asking a friend or family member. Is this possible? Are there interest-free loans? The answer is yes.
There is an interest-free credit model where you will not have to pay any extra costs and you will only have to return the requested money. That is, if you ask 200 euros at the expiration of the loan you return 200 euros. It’s that simple and without trap or cardboard.
Surely you will be wondering how you can get one of these credits without interest. You should know that, in general, they are usually offers to launch financial institutions to attract new clients, which do not usually exceed € 300 and that the return period is 30 days. They really are a great opportunity that is worth taking advantage of, especially to overcome a small punctual bump.
Free loan without paying interest. It is certainly the best option among all payday loan models, provided you do not need a large amount of money and considering that it is a timely offer. From that first loan of the launch offer, the conditions will logically vary and will include interest. But, if we need extra money and we have that opportunity to enjoy a free loan, why not take advantage of it?
Quick loans without payroll or collateral
Are you unemployed? You only have one pension but currently you don’t have a job? There is also a financial product for you.
Financial institutions that operate online have designed urgent loans without payroll as an option to bank loans with stricter conditions. In this type of loans you will not need to present payrolls or guarantees, but you will need to justify recurring monthly income. This income will be sufficient guarantee to grant you the requested money.
The amounts they usually lend do not exceed 900 euros and the repayment terms range between 22 days or one month. If you need extra money quickly and without complications, but you don’t have anyone who can guarantee you even a payroll, your choice is this.
Credit cards: fast financing for purchases
Credit cards are also a form of payday loan in that they allow you to have money quickly when you need it, without having to ask for loans and that you can pay back in convenient monthly installments or installments.
The interests of credit cards are usually higher than those of traditional loans, but their greatest advantage is the availability of money immediately. Depending on the type of card, you can have an amount of between € 2000 and up to € 15,000. The amount granted will depend on your financial situation and your level of risk.
The form of loan repayment will vary depending on the payment method you choose:
Payment due month: Payments due month do not accrue interest, and allow you to have an extra amount of money for contingencies and reimburse it 30 days later without any extraordinary cost.
Monthly installments: In this payment method, interest may fluctuate between 12% and 27% APR (Annual Equivalent Rate). This percentage will vary depending on the amount and the monthly payments you choose.
Loans with Financial credit institution: loans for people in delinquent listings
Appearing on a delinquent list is like a stigma when applying for a payday loan at a bank. One of the requirements that are usually requested is not to appear in a register of this type. But if this is your case there are alternative solutions and you can apply for an online loan with Financial credit institution without problems, provided you meet the following requirements:
- That the debt for which you have been incorporated into the file does not exceed € 1000 (in some cases € 2000) and does not correspond to a default related to credit cards or payday loans with financial institutions.
- Have a minimum income that will serve as a guarantee to the credit company that you will return the money borrowed.
As you will see, there is a financial product designed for each profile or financial situation. Being on a delinquent list for a specific situation does not leave you directly without possibilities to get a loan.
What documentation do I need to apply for a payday loan?
The paperwork and documentation to present when you ask for a fast credit online is usually not very tedious. It will depend on the lender and the amount requested, but as a general rule this will be the documentation you will need to make your online money request:
An essential requirement to prove that you are of legal age and resident in Spain is the presentation of a photocopy of your National Identity Document. Remember that you can also send it scanned, provided it is clearly readable.
Bank receipt of your income: In your bank you must request a document showing your monthly income. This is essential, as credit institutions need to make sure that your loan will be repaid.
Document with your bank account number: In order to verify that you are the owner of an account, you will need to present a bank receipt showing the 20 digits of your account and your name as the holder. It will be valid with a bank statement, where this information appears.
The fact of requesting your credit online will allow you to speed up the process and obtain your loan in just a few hours or at most in two days without endless paperwork.
Payday loans online What requirements must I meet?
The requirements when requesting a payday loan online may vary depending on the company where you are requesting the loan, the amount of money requested and the type of credit. As a general rule, the conditions of this type of credit are usually more lax than in banks.
Although as we have indicated the conditions may vary, the general requirements are usually the following:
Reside in Spain: It is not necessary to have been born in Spain, but to have a Spanish residence. This is a basic requirement to apply for a payday loan in Spain. To do this, you must prove it with your National Identity Document or NIE.
Be of legal age: The minimum age limit is set by each company, but the norm is to be of legal age or be at least 21 years old. There are also maximum age limits, which are usually between 65 and 75 years depending on each case.
Have recurring monthly income: Some companies make it essential to have a payroll, but they are usually the least. The important thing is to be able to demonstrate that the loan applicant has a monthly income to be able to pay the money borrowed. This income may come from a pension, scholarship, unemployment benefit, retirement, pension plan or similar. The higher the amount of credit requested, the higher that monthly income must be so that they can be a guarantee. In the case of small loans, these revenues must be a minimum of € 500 per month.
Be the owner of a Spanish bank account and a mobile phone: Two other requirements that all loan entities usually ask for are to be the owner of an account and a mobile phone number. The bank account will be necessary both to make the income of the money and to be able to charge the payment. The mobile phone line is required to be able to carry out the relevant communications and confirm that you are the same requesting person.
Not appearing on a list of delinquents for a debt with another financial institution or for credit cards: Appearing in Financial credit institution does not have to be a problem directly, depending on the credit company. What is essential is that this debt, for which you appear in the delinquent registry, does not exceed 2,000 euros and, in the same way, is not for having left money due to some other loan or a credit card.
As you can see, these requirements are quite basic compared to those required by any traditional banking entity to grant a payday loan. What these credit granting companies basically need is to confirm that you can effectively assume the payment of the money borrowed with these basic requirements.
What happens if you don’t pay payday loans online?
What happens if you leave an establishment without paying something? You have to think that exactly the same happens in this online loan. At the moment you take out a payday loan you are assuming obligations and you are committing to return the money that you have been lent in the previously stipulated terms. If you do not fulfill this commitment, you will have to pay delay costs and other series of derivative expenses.
Therefore, from Top Credits we recommend that before applying for a payday loan online, do a reflection exercise and evaluate if you can really pay it on the indicated date. If the answer is no, it is better that you do not embark on more expenses that in the end will entail a greater debt.
In case you do not pay your payday loan, these are the expenses that you will have to assume:
Delay expenses: These expenses are specific to each loan company. Although by law they can never be twice the initial interest of the loan.
Management expenses: The expenses derived from contact management to claim non-payment must also be paid by you. Costs of telephone communications, burofax, letters etc … This amount is usually about 30 or 40 euros. In the end, everything adds up.
Also, depending on the case, you will have to assume other consequences, which is important for you to know:
Registration of your name in delinquent files: In case the payment of the borrowed money is not paid once claimed, these companies may enroll you in any list of delinquents. This means that you will not be able to reapply for any such loan in the future.
Claim of payment by recovery companies: In the same way, they can also resort to companies specialized in debt collection, which will try to communicate with you by all means with the inconvenience that all this will cause you. Of course, it is not a dish of good taste.
Judicial route: The judicial route is also another way by which they can claim the payment of your payday loan. You already know that this will also entail associated expenses of attorney, lawyer, etc. and, in case you lose your mind, you will have to bear all the costs derived from the judicial procedure.
The good thing is that all these consequences can be avoided perfectly.
After reading these points, surely before asking for your payday loan, you will ask yourself if you can really assume the payment of the debt before making your application. Obviously it is not worth requesting an online credit to solve an economic problem and then find yourself with a higher debt for not being on time to make the return. Don’t you think