The modern online credits have only advantages. A quick and effective comparison of all offers on the net, immediate credit approval via online check, best conditions – and all completely free. The current TOP TEN is composed as follows: In addition, it is generally about the consumer cheap loans with good terms. But how does an online loan work and what sets it apart from other types of credit?
Significant interest rate differentials
In the installment loan business, the Sparkasse took first place. The deciding factor was the good general conditions. In some countries, the annual fee rate was up to 5 percentage points lower than that of the more expensive providers. In addition, the Sparkasse offers many loans with interest-free interest rates.
However, the service offered by the nine audited providers was criticized. The most expensive provider calculated an interest rate of 9.34 percentage points. For more than 60% of audited transactions, the best interest offered was not dependent on the creditworthiness of the debtor. Three of the nine audited institutions offer interest rates irrespective of their creditworthiness.
But not only the interest should be considered when comparing. This applies in particular to the flexible repayment option. A comprehensive reconciliation can be found under Loans24, and the company has given only a moderate certificate of service to online banks. Finally, there was a “satisfactory” telephone service.
To make a non-binding offer, all banks provide an online calculator on their website. The Sparkasse ranks first in the quality rating “good”. In terms of product analysis, the most favorable interest rate provider, regardless of creditworthiness, achieved a very good result.
Borrow online here the best online loans
This has been checked by the business newspaper E. am Sonntag: Geldhütten have the cheapest installment loans on the net and can keep up with the best service. Online loans can be requested quickly and easily via the Web. Money on Tick is cheaper than ever, according to today’s number of USD on Sunday. The loan interest rate has fallen continuously in recent years.
However, the fact that credit institutions demand other interest payments, ie consumers sometimes pay more, sometimes pay less interest, has not changed. Here, the interest is not the sole difference between the individual banks – there is the customer service, the repayment ability of the house bank or the loan amounts offered.
Therefore, it is worthwhile, even in periods of low interest rates, to take a critical look at credit conditions before borrowing and comparing different offers. That’s what the Eurozone did on Sunday night. On behalf of the weekly magazine, the Federal Institute for Customers (DKI) is looking for the best online credit provider. Based on ten case studies, the Danish Banking Federation has obtained an overview of the interest rates of the various credit institutions – 13 in number.
These include five credit institutions, which require a single interest rate from all borrowers (non-interest-bearing interest rates) and eight, which depend on the credit rating of the respective borrower (interest-rate-dependent interest rate). “Hardly any of our unknown test customers received a loan offer with an interest rate of more than five percentage points,” says the current issue.
Although they are much lower in the network than in the industry (see box) – in most cases, only a few per thousand lie between the cheapest and most expensive online offerings of the test – but even these small differences can be with larger loan amounts and longer term. The final interest expenses of the individual loans therefore differed by up to USD 1,437.45 (see table).
A loan comparison can help you cut costs. In a first part of the installment loan test, the bank compared terms and conditions for various branch loans, all of which issued at credit rating-dependent interest rates. Although some of the subjects received an offer with an interest rate of less than three percentage points, they were offset by loans with an effective interest rate of up to 8.95 percentage points per year.
For a loan of 40,000 USD with a maturity of 84 months, the cheapest house bank calculated 4,071.30 USD interest, the most expensive 13.383,00 USD – a difference of 9.311,70 USD. In the competition for credit-independent loans, the German Credither prevailed. In all ten model cases, it offers the best interest rate and the best rating “very good”.
The test persons rated their non-credit-standing interest rates as “good”. According to the auditors, two of the eight credit institutions that lend at interest-bearing interest rates have lent on very favorable terms. These were the Norwegian Bank, which offered the lowest interest rates for half of the loans requested and thus took the lead, and the second bank, which ranked second.
The net bank ranks third in terms of fixed interest rates. For her offer, she was awarded the rating “good”. First and foremost is the tariff bank for loans with credit-based interest. Among all 13 audited institutes it achieved the highest rating in the offer and got the rating “very good” – among other things, because it grants its debtors once a year a free installment.
As a result, the two companies Norweger and Megor Bank followed with only a few percentage points, which were rated very well by the auditors due to their range of loan amounts and their flexibility in repayment. A bond is a long-term thing – often lasting several years. Anonymous examiners of the Megor Bank contacted the respective credit institutions by phone, e-mail and also over the Internet and were asked to give pleasant results.
The vast majority of financial institutions have received a good rating for their customer service. The council was also very well received by two banks. On average, it took so long for a loan officer from Credither to pick up the call. Not only the largest German house bank answered inquiries quickly, but also “friendly, knowledgeable and helpful”, so the comment of E. on Sunday and the German bank – a good reason to give them the first rank with the customer care.
In the rankings of credit institutions, where the creditworthiness of the respective borrower is decisive for the interest rate, the tariff bank ranks first. Although the Norwegian National Bank hardly missed the first rank, but was still far ahead of the third position of the Swiss savings banks.