Consumer loan in Finland
Consumer credit in Finland is a solution for everyone, who needs additional injection of cash. It doesn’t matter, if you are dreaming about renovating your kitchen, having a new car, or you don’t have enough funds to organize a wedding. Cash credit is a credit for any purpose, which you don’t have to indicate at the bank. How much and for how long can you borrow? What terms do you have to fulfil? You can find answers to these and other questions in this article.
Consumer loan in a nutshell
Consumer loan is just a consumer credit (cash credit), which you can take in Finland for any purpose. Banks, in general, don’t ask about your borrowed money destination. The maximum repayment period in Finland is 15 years. Sum, which you can get without collateral, is in the range of 1000 – 50 000 €. Its amount depends on your needs, but also on the period of employment with one employer, salary and how long have you stayed in Finland. We know from experience that banks reward stable employment, and the chance of taking a loan increases, when you have been living for a long time in Finland.
Who can get a cash credit in Finland?
There are some basic requirements, which you have to fulfil to get a cash credit. Without meeting them, your application will be automatically rejected. Fundamental terms are:
- having a permanent address registrated to Finland,
- Finnish social security code,
- minimum age 20 years,
- steady annual income at least 12 000 € gross,
- documented by veroilmoitus (preliminary tax return).
You can get a loan even though you are receiving unemployment allowance or rehabilitation benefit. Much depends on the requirements of individual facilities, so it is always worth asking for verification, whether you have a chance to obtain a positive decision.
Remember, that if you do not have a permanent address registered in Finland your application for a cash loan in Finland will be automatically rejected. Having a permanent address registered is a prerequisite for receiving consumer loan.
Necessary documents
Among the documents you need to prepare during applying for a consumer loan, there is the veroilmoitus mentioned above, in other words tax decision. The letter contains information about the income earned in the previous tax year and about other obligations of the applicant. Thanks to it, the bank checks whether a client has sufficient financial capacity to take out a loan.
In addition to veroilmoitus, you will also need payslip, which is the current salary slip that certifies the amount of gross income you have earned.
Could we extend the consumer loan repayment period?
Let us remind you that the consumer loan itself is granted for a maximum of 15 years. With refinancing you can try to get the loan in better terms but the maximum repayment period stays 15 years. Refinancing is nothing else but a consolidation loan that is taken out to pay off debts on more favorable terms. First of all, when you refinance your liabilities, you pay off one loan instead of several, so your home budget becomes more transparent, and you regain control over your expenses. In addition, refinancing is usually associated with a lower interest rate.
Advantages of consumer credit in Finland
The big advantage of this type of loans is the fact that their interest rate is more attractive than in the case of credit cards. If you need additional funds quickly, it will certainly be more advantageous for your wallet, to use the consumer loan offer than indebt to a credit card.
Two heads are better than one
An additional convenience for people interested in a consumer loan in Finland is the possibility of applying e.g. with a spouse or relative. Applying for a loan in this case, the earnings of each applicant must be presented. The conditions for granting consumer loan remain unchanged – both persons must have a permanent address registered, have Finnish social security number and have at least 12 000 € gross annual income.
Another option, if not a consumer credit?
The loan you choose depends mainly on the purpose for which you need additional funds. Finnish banks offer a wide range of financial products, including:
- car loan,
- home-improvement loan,
- credit card,
- mortgage
- consolidation loan refinancing.
Apply for a cash credit without collateral with Motty - It´s for free!
Free support in the loan application process in Finland? It's possible with Motty! With our mediation you will easily apply for consumer loan in the amount of 1000 - 50 000 € for any purpose without additional collateral. We will send it to 18 banks, and they will prepare an offer for you. You choose the option that will be best for your finances. You can also count on our support and advice from the most experienced specialists. The entire process usually takes 1 to 3 business days. After this time, the funds are safely transferred to your account.
You gain:
- free assistance in the entire process,
- support from English-speaking advisor,
- quick response to a loan application,
- consumer loan without collateral,
- flexible installment system.