Most common conditions to request an unsecured loan

Request a loan from a financial institution is a process that takes time and, in addition, forces the applicant to give a few turns in the head to be sure of what you need. It is a contract and as such can not be taken lightly. The borrower must be aware that in a certain time he will have to return the requested money plus interest, commissions, and expenses. However, a loan is not a single thing and the bank that grants it has to look after their interests and assess whether the applicant has the ability to pay back the loan. To achieve this, there are a number of conditions to request an unsecured loan that you have to fulfill in order to be granted this financing. There is no Asset or Property Tied to Unsecured Payday Loans.

Conditions that the applicant of a loan must meet

At the time of granting a loan, whatever the type, each financial institution can establish different conditions. It will depend on the bank’s risk policy, the amount of money it lends, and the purpose. Despite this possible disparity, there are common requirements that all banks require from people who come to them in search of a loan. Among others, are the following:

  • Be of legal age: banks need to make sure that the borrowed money will be returned to them and that is only possible if the applicant has a stable credit history and regular income. Two difficult conditions to meet if you are underage.
  • Solvency and stable income: or in other words demonstrate that the borrowed money can be returned. To fulfill this, the person requesting the loan must show that he has a stable income and, in addition, superior to the obligations acquired with the bank. For example, if you remember that each month you will have to return € 300 of the loan, you will need the income that will allow you to do without that monthly amount.

Seeing these general requirements to request a loan, it is easy to guess that people with regular income or with an indefinite contract, with seniority in the same company, or if they are public officials or employees will have more facilities to access a loan.

What is the personal guarantee?

When applying for a loan, it is necessary to be aware of a general principle of our Law set forth in article 1911 of the Civil Code and which stipulates the following: “The debtor responds with all its assets, present, and future. “This means that the debtor has the obligation to face the amount agreed with the bank making use of all its current and future assets. When the operation involves more than one person as co-owners of the loan, two types of guarantees or personal responsibilities can be given:

  • Joint and several liabilities: the bank goes indistinctly against one of the debtors for 100% of the amount of the loan and then between holders can claim the agreed amounts for each one.
  • Joint liability: each debtor responds to the bank of a certain amount of the previously agreed loan, totaling 100% of the loan.

Necessary documentation and additional requirements to request a loan

Depending on the bank in which the loan is requested, more or less documentation will be required. The most usual thing is that the loan applicant must provide the bank with his / her NIF or NIE, the current account number where to deposit the money, the photocopy of several payrolls and any other regular income that he/she receives, his work history so that the bank get an idea of your relationship with the companies in which you have worked, the last income statement, the simple copies of the real estate and assets you own and the information relative to other loans in case you had them.

In addition to all this documentation, if the applicant of the loan is self-employed, he/she may be asked to include a photocopy of the self-registration document, the last annual VAT declaration and the last installments of the IRPF.

Five arrested for swindling € 200,000 in fraudulent online loans

Five arrested for swindling € 200,000 in fraudulent online loans

Valencia, Mar 23 (EFE) .- The National Police has dismantled a criminal group that defrauded more than 200,000 euros by contracting fraudulent loans online, with 228 affected throughout Spain and five detainees in Logroño, Vila-real (Castellón) and Palma de Mallorca.

According to a statement from the National Police, the five arrested for the commission of scams through the mass recruitment of fraudulent online loans, three women and two men, had been operating systematically and regularly for three years.

The Police has carried out two home searches in Logroño, where numerous physical documents and computer media have been directly related to the criminal acts.

The investigations began after the complaints filed in the last quarter of last year by citizens of Zaragoza who claimed that several financial credit institutions that operate over the Internet were demanding the non-payment of small loans illegally contracted months before with their personal data.

The principal investigator, for whom a judge from Zaragoza has decreed his immediate admission to prison, is a 44-year-old man with a degree in Economics and resident in La Rioja, although with close family ties in Zaragoza, and who has a police record. for facts of identical nature.

The ideologist of the group, according to the Police, conceived the plan of systematically contracting and prolonging fraudulent online loans over time using the personal data of third parties without their consent in a score of financial credit institutions.

This detainee obtained the photographs of the DNI of the injured after organizing job interviews for a supposed and never effective post offered in Zaragoza by his company.

The interviewees in search of a job, delivered their personal documentation for this purpose and then took several photographs, “being the reason for the interview really the simple obtaining of this documentation,” according to the statement.

With these photographs, he falsified additional documentation such as payrolls from the Public Administration, bank receipts or utility bills.

This documentation served to “appear as high as possible guarantee, based on the requirements of financial institutions, and requested consumer loans, usually of modest amount, on behalf of these people, supplanting their identity, submitting the necessary documentation and simulating be the legitimate owner of it. “

These requests were made through the Internet, “using the contracting facilities that this means and that the financial entities themselves grant”, according to the Police, and also used computerized masked connections in order to leave no identifying sign.

The majority of the loans contracted were “of modest amount” and normally three or four loans were contracted per affected party.

The affected credit establishments are twenty and the 200,000 euros scammed were credited to bank accounts of various entities open for this purpose.

These accounts were always in the name of the principal investigated or on behalf of persons of his full trust (the other four detainees, including his wife).

The money obtained was quickly arranged, when transferred to other accounts, reimbursed in cash at ATMs or used to recharge prepaid cards with which they made various purchases.

The names of the victims were included as debtors in the different unpaid files in Spain, “a fact that poses enormous difficulties when it comes to accessing any financing,” according to the Police.

Some of those affected were put on trial by the credit financial institutions damaged by these alleged defaults, “with time, money, loss of financial reputation and mental waste that this situation may entail,” the statement added.