Personal loan without proof: instructions for use – Installment loan.
Taking out a loan to finance a personal project is essential for a large number of households. For any natural person, the consumer loan proves to be THE essential solution, in particular to be able to contract a certain amount that can be used freely without being required to justify itself. The best known and most popular form of this type of financial loan remains the credit without proof.
What is a personal loan without proof?
The personal loan without proof is a consumer credit without allocation. The loan is granted by a financial institution or a bank to finance a personal project. The peculiarity of this type of credit is that it is accessible without the borrower being obliged to justify the use of the contracted amount. The consumer loan is repayable via the payment of monthly payments under a limited-term contract. In other words, it is a preferred financial solution to meet many types of financing needs, in addition to those relating to real estate.
A loan with multiple advantages
Like any type of credit, the loan without proof has many advantages, namely:
- Allow to finance a good or service at 100% without requiring a personal contribution
- Ease of negotiation in relation to a loan allocated to a specific purchase
- Take advantage of reduced formalities, ideal for quickly realizing a project as in an emergency
- High flexibility of the credit, with the possibility that the holder determines himself the amount, the repayment terms, the withdrawal date, the frequency of payments
- The contractor’s privacy completely preserved
Characteristics to remember
As attractive as the personal loan without proof, it is always recommended to know its characteristics well before any subscription. In general, the maximum amount granted for this type of personal loan is $ 75,000. However, it is common for the amount awarded to be capped at $ 21,300. As it is a limited term loan, it is granted for a few months in principle.
The loan can also be contracted for a few years, for a duration rarely exceeding five to seven years. It is according to the amount of the monthly payments that its duration is determined. Finally, the interest rate is kept fixed for the duration of the contract.
What project to finance with credit?
As this is an unrestricted consumer credit, the household or the individual borrower is entirely free to use the sum granted, excluding real estate. The personal loan can thus be used to improve daily life as well as to cope with the unexpected. Most often, the credit is suitable to meet a need for cash, in particular to pay unforeseen medical costs, taxes. The loan allows to realize a project of any kind, travel, marriage, studies, development work or renovation in the house or possibly finance the purchase of various items of equipment, a vehicle, a motorcycle, etc.