Selection of microloans: what to look for...

payday loans online California from MFIs for the short term are a popular and convenient financial service. We will tell you what conditions to pay attention to when choosing a loan so as not to overpay.

Microloans in the amount of 2,000 to 30,000 rubles are intended to solve temporary financial difficulties. It happens that money is needed urgently, and the borrower does not compare the offers of different MFIs. Such a rash approach can lead to delays or unnecessary expenses on loan servicing. Therefore, it is important to carefully consider the choice of microcredit.

Commissions and fees

The total overpayment mainly depends on the size of the interest rate. As a rule, the lender sets a daily commission for the use of borrowed funds. You can calculate the daily interest by knowing the full cost of the loan. Companies always indicate this parameter on their website. Don't be frightened by numbers like 600% per annum, because you take a microloan for more than a year, which means that the overpayment will be proportional to the number of days, and usually amounts to several hundred rubles.

Many companies have a calculator on their website that will help you immediately estimate the amount of future overpayment.

In addition, many MFIs provide the first day of borrowing free of charge and also offer good discounts to regular borrowers.

Getting a loan

Another important factor when choosing an MFI is the speed of receiving money. payday loans no credit check California For many, it is key. As a rule, it takes no more than 20 minutes from submitting an application online to transferring funds to the card. But before you believe the advertising promises, look for reviews of real borrowers - some companies actually consider the application for several hours. 

Therefore, when money is needed urgently, the most reliable way is to get it at the MFO office or in one of the branches of money transfer systems (for example, Contact or Zolotaya Korona).

Amortization

By law, the borrower must be able to make a payment without commissions in at least one way. In practice, there are usually more of them, and you need to immediately familiarize yourself with them and compare the options.

For example, one MFI provides loans at 1.7%, but repayment using a third-party online service will cost 1.6% of the payment amount. Another company issues funds at 1.8% per day, while repayment is free. With a loan term of 10 days, the second company is preferable, because the overpayment will eventually be 0.6% less.

In addition, be sure to check the timing of crediting money for each of the repayment options. Money can be credited to the MFI's account instantly or in a couple of business days, so it is important to immediately choose the most suitable transfer method for yourself.

Borrower requirements

MFIs usually, have softer requirements for potential clients than banks:

• California payday loans can be issued only with a passport, without guarantors and certificates from work.
• Oftentimes, microfinance organizations lend money to people with bad credit history.
• Any person who has reached the age of 18 can get a microloan.
• Many companies provide preferential terms for certain categories of the population. For example, in the MFC "Do Zarplata" there is a special tariff of 55+ with an interest rate of 0.44% per day: it is available to people aged 55 and older and is issued only with a passport.