By far the most dominant type of loan in Croatia is home and cash loans . Housing is a consequence of subsidizing the first government-promoted property, while cash is there for everything else. And the rest involves paying a down payment, furnishing a home, buying a car, extraordinary travel expenses, various celebrations and the like.
Cash loans owe their popularity precisely to the fact that they are not earmarked, that is, the financial institution from which the money is borrowed does not condition the purpose of their consumption. Nowadays, this is extremely important because most of our beautiful people earn significantly less than average, and the cost of living is more or less equally high everywhere.
What are cash loans?
Cash loans are based on smaller amounts and a short repayment period. The repayment period varies from 12 months to several years.
They are issued in kuna and in foreign currency, with borrowing in kunas much more popular in recent years. This is due to all the inconvenience with the loans in francs, so people prefer to turn to the local currency. The interest rate depends on the conditions of the financial institution, so it can be fixed or variable.
Cash loans in the online version are the most popular
The primacy in the market is certainly held by cash loans that can be accessed online. Such loans are available from credit institutions that operate exclusively online, while only partial online realization is possible with banks.
Credit houses have turned the whole process into an online process. From applying to signing a contract, everything is done without leaving the house. The bureaucracy is kept to a minimum which facilitates the processing and hence the payment of money.
How to get cash loans from banks and how to credit houses?
Banks rely on the creditworthiness of customers when processing cash loan applications, which has deprived many people from the get-go. Creditworthiness implies control over earnings, expenses, type of employment contract, employer verification and the like. All those who have a permanent contract are of great advantage, while many are definitely not given the opportunity because they pose too much risk to the bank.
Credit companies rely on financial orderliness rather than the type of employment contract that has attracted a large number of people who have already been qualified by banks at the outset. The most important thing is that the client has a regular income and regularly settles his debts.
In addition, credit institutions do not require a guarantor, a co-debtor or any other security instrument, as banks do to increase their creditworthiness. There is no additional cost of processing credit, notarization, administrative bans and the like. The whole procedure is maximally simplified and adapted to the client’s needs.