We gives an all-round overview: in the search for an attractive credit, many consumers despair quickly. Too many offers, too little background knowledge. Which loan should it be in the end? Which loan suits best individually? Who advises without ulterior motive? Which online provider is reputable?
We brings order to the chaos and clarifies. A guide and guide for the best online personal loan!
The special features of our company:
- Different providers in the check
- Reviews and guides in understandable language
- Consumer-oriented and guaranteed independent
- Comparisons and tests of all major banks
- Top Guide to Online Credit
How does our online personal loan comparison work?
To be able to find a cheap online personal loan using our comparison, as a prospective borrower, you only need to provide three details:
- A desired loan amount
- Term of the loan
- Purpose: Personal loan
For a personal loan, the lenders are not commercial, but act as private individuals. Attention! Sometimes the term is used with a different meaning and is easily confused with it: now and then, installment loans are also referred to as personal loans, as they are a form of financing for private clients. Our comparison helps you to make a good choice and keep track of everything important to find a serious and affordable personal loan.
Our checklist: How do you recognize a reputable personal loan provider?
The risk of a personal loan lies primarily with the lender, who should hedge well. Because it is difficult to check the creditworthiness of a borrower as a private individual. Therefore, personal loans are often awarded to friends and acquaintances. However, our private loan comparison has shown that there are now also good credit platforms that provide a secure offer.
- no usurious interest rates but reasonable interest.
- Compare online loans with current bank interest, if necessary, get information from banks!
- On established online loan portals like moneyor or creditend usually reputable offers.
- Interest and term are realistically affordable for the borrower.
- Trusted credit providers expect a sound financing plan.
- Seriously requires a contractual agreement with security for both parties!
The risk for personal loans is higher for lenders, as borrowers were frequently rejected by banks.
A good idea: if you have money, you can lend it!
The basic idea of a personal loan is plausible: if you have money, you can lend it! Not only banks can do business, private individuals make good profits through cheap personal loans. In addition, there is an ideal value: Investors can support projects that they find convincing and perhaps in the right place give the necessary financial impetus to pursue even unusual ideas.
Especially in periods of low interest rates, it may even be more profitable for investors to lend money to a private individual. It is usually even possible to support even with small sums. The online personal loans in the test were at a sum of 50, – €.
The loan comparison: Which personal loan is suitable for whom?
With regard to the distinction between private and commercial lending, the legislator stipulates that a personal loan is characterized by the following points:
- The operation is not created for a certain duration.
- The operator does not pursue profit-making intentions.
- There is no long-term business activity.
- There is no sustainable and planned, with the apparent intention of continuing activity.
- The scope of business does not matter.
There are various types of online credit cards on which private individuals can lend money to each other. Online personal loans are an alternative to a bank for many. Maybe different credit institutions have been requested, but have rejected the loan application due to their creditworthiness. For loan seekers with an irregular income, there is now the problem of how they can still realize their financing project.
The following questions should help you to get a clear picture of your personal loan. Answer the questions honestly – then you get closer to your individual credit profile.
- You have already requested a loan from banks and have been rejected?
- You want to realize a special project or make an important repair that you can not realize financially on your own?
- You are self-employed or freelance and therefore can not get credit from a bank?
- You know that a repayment of the loan is realistic?
- The agreed rate is to be paid by you? You have set up a good financing plan?
- You can estimate the burden of the loan over the term? The costs are compatible with your plans?
- Not only did you allow yourself to be blinded by a cheap online personal loan, you also understood and checked all conditions?
- You have compared the conditions between banks and personal loans, and found a cheap online personal loan that has better conditions than a bank loan?
If you answered “yes” to all or most questions: A personal loan seems to make sense to you. If you answered “no” to all or most of the questions, a personal loan is not recommended. If your answers balance each other, seek independent advice to consolidate your decision.
5 important questions on the way to private credit
If you are interested in a personal loan, you must keep a close eye on security. Our personal loan comparison shows that there are quite serious offers on the market. However, a cheap online personal loan often lurks dangers that you should prepare for. Only complete an online personal loan well informed. Be aware of the risk that you might take on it.
1. What interest do you have to expect?
Of course, it is a risk for the lender to grant private individuals cheap personal loans whose requests have been rejected by banks so far. This risk can often pay the providers back by high interest rates. However, do not allow your situation to be exploited. Otherwise you quickly get into repayment obligations that are not in proportion to the payout. In general, the usual conditions, which also have banks, should serve as a guide for the interest rate on a personal loan. The good news is that there are always reputable and risk-taking lenders who know they can also make a good return on personal loans.
2. Term – Differences to other forms of credit?
The term is freely agreed between the credit parties. There is usually no difference to other forms of credit here. All arrangements should be adapted to the reality, ie take into account the financial situation of the borrower, so that the installments can actually be serviced regularly. Too long a term should be avoided from the point of view of the borrower, in order to keep interest rates and thus the overall burden as low as possible. Ideally, both lenders and borrowers find the agreed terms satisfactory.
3. What collateral is required for an online personal loan?
Since this is a private business, initially there are no strict legal framework conditions as to how the personal loan should be secured. But of course all bank-standard securities such as guarantee or salary certificate can also be agreed by private individuals. Personal loans can also be closed informally without collateral.
4. Should a contract be concluded?
We strongly recommend that you make a written agreement. So both parties protect themselves and you do not move in a vacuum. If there are difficulties in payment or if the lender makes sudden claims for immediate repayment, the contract can be invoked. The contract was intended to secure both parties and to specify the duration, the terms of payment such as the amount of the installments and the interest due.
5. Is it possible to suspend rates?
In principle, the possibility of suspending a rate in the event of short-term insolvency must have been previously granted by contract. The scheme is recommended – if the lender agrees. If you are unable to pay a rate, inform the lender in good time to prevent misunderstandings. The term of the loan is extended accordingly.
The personal loan today: The online platforms as an intermediary
Now you have an overview of what you know about online personal loans and what you should consider before signing a contract. If you want to refrain from doing business with your favorite aunts, the question remains: Which providers are currently on the market?
Unusual projects, private finance
For some years, online platforms have been offering cheap personal loans. Most of the target group are the self-employed and freelancers who want to tackle unusual projects but do not have the necessary collateral to get a bank loan. Or, when comparing a cheap online personal loan, they find that they expect better terms when they get the loan privately.
The leading online platforms for cheap personal loans
The leading platforms in this area are creditend and moneyor. In our personal loan comparison, the two providers are doing very well. We introduce the platforms:
creditend: platform since 2007
So far, over creditend, according to the provider loans for more than 100 million euros mediated, including since 2011, loans from banks. At creditend cheap personal loans are brokered. The two-pronged offer has an advantage: you can compare directly whether a personal loan in your case may be more worthwhile than a bank loan.
Quickly done: The loan application at creditend
- Registration: With creditend, all data must be provided which is also requested by a bank for a loan application, such as personal data (name, date of birth and address), income situation or account details.
- Costs: Crucial to creditend is the duration of the contract. The fees are between 2.5 and 3.0 percent of the loan amount (but at least € 40).
- Interest: The amount of interest is agreed between the two sides regardless of the platform. The average effective rate, according to creditend, is currently 6.7 percent.
- Additional fees: Four bank statements cost creditend € 16, – per year, but the customer is free to use them. There is a monthly service fee of 2.50 euros.
- Private credit amount: The maximum amount of a personal loan is 75,000, – Euro.
- Security: The question of adequate coverage goes to the lenders. If a loan is not repaid as agreed, a collection agency will be used.
moneyor: experience for over eight years
The same year as the rival creditend and similar conditions: moneyor is also recommended as a platform for cheap personal loans. Based in Dusseldorf, the company has so far launched around 11,000 loans and has a volume of 50 million euros. The offers at moneyor are exclusively in the area of personal loans. moneyor works with Bank.
Easy registration at moneyor
- Registration: At moneyor, personal information (name, date of birth, address, nationality, telephone number, e-mail address) and the wording of the private loan request are sufficient. However, the chances are better if you voluntarily give Private credit information or submit a statement of income.
- Costs: An agency fee is charged on a concluded loan agreement. Calculated 2.95 percent of the loan amount.
- Interest rates: The average effective interest rate is currently around 10 percent. The two partners agree on the interest rates themselves, the loan seeker indicates his desired interest already at the registration.
- Further fees: The Bank charges a fee for account statements of 17.50 euros per year and a monthly service fee of 2.50 euros.
- Amount of the personal loan: The maximum amount of a private loan at moneyor is 20,000, – Euro.
- Security: Again, of course, that in the absence of repayment debt collection company on the plan occurs.
In the private loan comparison, the two leading platforms were creditend and moneyor, both of which can score with a fair fee model and good brokerage. Slight differences arise in interest rates and costs. Overall, creditend is a bit cheaper and, at € 75,000, enables the higher loan sums as moneyor with € 20,000 maximum loan amount. Both providers are recommended because they give freelancers and the self-employed a chance!
5 tricks and tips for personal loans
As you can see, there are some things to keep in mind when making a personal loan.
1. Never without a written contract!
Even if you want to complete a deal with your favorite aunts, a written contract is advisable. He relieves both parties and prevents misunderstandings. A contract is not a sign of mistrust, but of seriousness.
2. No horrendous interest in purchase!
Do not blame yourself on a height that can ruin you. If you have doubts as to whether it is a reasonable interest rate, compare with the offers of the banks or get professional advice.
3. Create a realistic financing plan!
Before you complete the loan, you should have a good overview of your financial situation and develop a financing plan that you can serve. Here, too, the advice of professionals, for example, helps the consumer centers.
4. Allow installment breaks!
Play it safe and avoid any payment difficulties by having the option of installment pauses included in the contract. Assuming the lender agrees, one can thus bridge a financial emergency despite credit.
5. Use loan comparisons!
Stay on the ball and get online credit comparisons. You benefit from the expert opinion of the experts who help you to find cheap loans and ultimately choose the best provider.
Our personal loan comparison shows that a cheap loan between individuals can be a good alternative to a bank loan. Especially for self-employed with an unusual project, there are offers that are worthwhile and safe.