It’s tempting: Instead of applying for a loan from the bank as usual, you can borrow money from your own home. Thanks to the internet, it is now possible to find a suitable lender. Both interest rates and credit requirements are often lower than at the bank. But are such offers serious? This question can not be answered generally. The fact is that there are good offers on the subject of “private credit”. The art here is to separate the wheat from the chaff.
Borrow money privately – Tips for a successful transaction
If you are looking for a loan from home, you benefit from following your own advice. So that the loan does not later turn out to be a cost trap, it is important to look at each offer in peace. The following tips will help you to find the ideal loan without a bank:
Tip 1: Collect information
In the search for a cheap loan from private one encounters many offers. To find the right lender, it makes sense to get some background information. The lender should be prepared to answer important questions and communicate with the prospective borrower either in writing or by telephone. Trust is the key to personal loans.
Tip 2: Reduce the interest rate
The interest rate varies very widely in personal loans. While some offer low interest rates, others demand a correspondingly attractive return because of the higher risk. In order to borrow cheap money from home, it is worthwhile to offer the lender as much collateral as possible. Whether salary statements, savings bonds or guarantees – who can prove a high credit rating to the private lender has the chance of a particularly low interest rate. Although there are also private loans without interest, for example from relatives, but here is caution.
3rd tip: contract
For personal loans, the contract is very important – it protects both the lender and the borrower. Anyone who is unsure or hesitant about the terms of the contract should consult a lawyer and seek advice. This is especially true when the loan amount is in higher spheres.
Tip 4: Make a comparison
Who wants to borrow money from private, that is exactly right in the portal of Urizen. We offer our visitors not only a quick, non-binding credit comparison, but also free consultation by credit experts.