Consumer loans are, of course, a basic element of banks’ offer in the entire spectrum of credit services. It is true that the profit from a single loan that the bank achieves is much higher in the case of, for example, mortgage loans, but for obvious reasons cash loans are a solution that banks grant customers much more often.
Register of Loan Institutions
It is worth being aware of the fact that in recent years the Polish banking sector has changed quite significantly, which in this aspect means above all a clear reformulation of the offer presented to clients. Banks are now forced not only to compete with each other, but also to compete with the growing loan sector. It is enough to mention that the Register of Loan Institutions kept by the Polish Financial Supervision Authority already associates almost 100 different entities.
Some loan companies attract even hundreds of thousands of clients on a scale, presenting their borrowers not only with an increasingly attractive and diversified basic offer, but also with an increasingly broad spectrum of various types of additional solutions.
In this context, it is not surprising that quite a few banks felt “take gloves” in competition with lending institutions and introduced in their offers quite significant changes, both in terms of the availability of solutions offered by them, as well as the presence of various types of promotional conditions.
Contemporary cash loans at banks
Perhaps the most important changes that can be seen in the structure of the offer of today’s banking sector are the introduction by some entities of online loans available on the statement as well as the resignation from the client’s requirement to present a statement of earnings. Of course, these changes do not apply to all banks present on the domestic market. Moreover, the process of verifying creditworthiness will largely depend on the individual financial profile of the individual client.
Online cash loans are currently offered by several major banks. In this case, the entire procedure of applying for a loan and offering is entirely online. The basic condition is, of course, access to electronic banking at a given bank. It should also be added that obtaining consumer credit online will be much easier for those customers who have a current account at a given bank for a long time.
In this situation, the lender (bank) has not only an insight into our credit history (BIK and BIG Credit Monitor databases), but also the state of our current finances. In this way, the data on our income and monthly expenses can be easily verified by the lender simply by quickly analyzing the history of our current account.
Credit application process
As a result, the entire consumer credit application process can really be done entirely online:
- First, we submit an application stating the expected loan amount, data on our earnings, employment and so on
- The bank’s electronic system verifies the information we provide and also checks our history in the databases
- We receive a decision to grant a loan
- We sign the contract online using the authorization tool
- The loan amount goes to our account
As a rule, the situation will be slightly more complicated when it comes to cash loans for customers who do not have a current account in a given bank. In this situation, you will probably need to contact the bank’s consultant by phone, as well as send specific documents to the bank, e.g. a salary certificate or account statement for the last months. It is only on this basis that the decision to grant us a loan will be made.
Importantly, the loan can be paid to us online, or we may also have to visit a stationary bank branch to sign the contract and pay the loan amount. In this way, it is easy to see that the solutions advertised by banks as online loans often turn into just standard cash loans , but the first stages of application and bidding take place remotely.
Cash loans at APR 0%
In addition to the simplified procedure for applying for a cash loan, currently there are also other significant similarities between the banks’ offer and solutions specific to the loan sector. As is well known, one of the “flagship” products of many loan institutions is the offer of loans at the APRC reduced to 0%.
Currently, however, quite similar solutions can also be found in the banks’ offer. Most often, however, they are of a periodic nature, i.e. they are available to the customer only for a limited time. A cash loan of 0 percent in the bank will most often refer to installment purchase offers or possibly a renewable limit. Much less often we will meet with this kind of promotion when it comes to proper consumer loans.