Small loans have a maximum lending volume of 5,000 euros and are therefore well suited for many smaller acquisitions or debt restructuring of contaminated sites. Since the products are installment loans, they can be repaid in constant monthly installments. If you are interested in a loan, make a small loan comparison. So you will find a low-interest offer for your request.
How to correctly compare small loans
In a small credit comparison, the interest is mainly the interest. Here, the APR attracts the greatest attention: In addition to the debit interest, which indicates the costs for the net loan amount, it also includes the processing fee and the term. Explanation: Installment credits are usually always allocated on a term-dependent basis. Thus, the duration of the repayment has a significant impact on the total cost.
For some banks, the APR is also assigned on a credit rating basis. When you compare the microcredit, you can see offers that have an interest margin. Debtors with the best solvency receive the lowest lending rate . In principle, it is rather difficult to compare these small loans. Therefore, it is required by law that the two-thirds interest rate is listed in a representative example. This is the average expenditure incurred by at least two-thirds of the previous bank customers. On the other hand, more transparent terms offer you credit-independent loans. Here, only one interest rate is specified which is the same for all borrowers – provided you receive the microcredit. A corresponding credit rating is also required here.
What is still important in small loan comparison
In a credit comparison, however, not only the interest rates are relevant. Other factors such as the prepayment penalty may also play a significant role in the overall cost. This applies if you want to use this option. There are some banks where the remaining debt can be repaid prematurely without any fees or special payments are possible for free. Other issues such as late installment or maturity adjustments can be expensive. But with a small loan comparison you are on the safe side!