In terms of online financing, the offer is very extensive, today we will discover the liquidity loan, one of the non-finalized lines of credit. What are the pros and cons, who is it for and why can it be convenient? Here is the information you will need to make the right choice.
How to obtain liquidity without usage restrictions
The liquidity loan allows you to receive credit without having to buy a particular asset or use a specific service. It is a loan especially indicated for those who have to sustain one or more unexpected events.
In fact, the customer is not called to the bank to indicate how the money received through the loan will be spent. As far as the advantages presented are concerned, we must note very small times on the preliminary investigation front.
The sums covered by the credit line are usually not very high. The smaller the amount, the simpler the process leading to the disbursement of money.
To understand whether or not it is a convenient proposal, it is important to carefully evaluate the incidence of costs as well as the interest rate.
Loan disbursement criteria
What are the criteria for the disbursement of the loan considered relevant by the bank? There are several decisive elements, first of all, it will evaluate the applicant’s income profile.
And what is the relationship between the monthly income and the incidence of the installment? Clearly the customer must be able to enjoy a sustainable overall picture.
The bank will then consider the consumer profile in terms of reliability. It will verify the presence of any previous repayment problems, which significantly increase the risk taken by the bank in relation to the customer.
It is therefore advisable not to appear in the category of so-called bad payers. The approval of the request is in any case bound by the other parameters set by the credit institution.
The main guarantee to be able to receive the liquidity loan is usually the income aspects that can be the expression of a salary or a pension treatment.
Liquidity financing and early repayment
However, the beneficiary of the loan has the opportunity to proceed with the early repayment of the loan. This eventuality provides, together with the restitution of the residual capital, the payment of a penalty.
The penalty, based on the current regulatory framework, cannot exceed the 1% threshold in relation to the loan capital. To know more details about it, we advise you to carefully consult the contract.
Before taking out any liquidity loan, our advice is to evaluate a large number of proposals. Simulate the repayment plan and carefully evaluate whether it is a sustainable loan.