What is the Difference Between the Installment Loan and the Payday Loan?

Are you already fully aware of the fact that you are not going to borrow money at the bank? You probably want to find out in which centers you can apply for a financial injection. It turns out that the possibilities are really many. Among them, it is mentioned, among other things, to take advantage of the offers of non-bank companies.

In this case, we deal with very popular breaks. But not only. In addition, installment loans joined them. It’s worth finding out the differences between these non-bank products. Because it may turn out that in your financial situation a loan installment will work better than a payday loan, and in another moment, it will be better to set just for a break.

Payday loan

Payday loan

Moment is a non-bank loan that is already well known to us. First and foremost, it is distinguished by the fact that it is proposed by the loan services themselves. More precisely, by non-bank companies. In fact, the company does not have to offer this minute on the Internet, but it is actually accepted that this type of financial support is most often provided.
Among such recognition features of the weekend, there is also one that shows that you can borrow money almost from the hand. In that case, we can wait for a surge of cash for 15 minutes, of course, under all favorable circumstances. It is also good to note that the payday is distinguished by the fact that we borrow rather small amounts, with short repayment dates. This means, first of all, that we can borrow from 3 to 5 thousand. PLN for a period of 30 to 60 days.

In that case, one should answer the question exactly whether we are really able to give such an amount in a short period of time. Because for each day of delay, the costs of late payment will be added to our account. It is certainly extremely important if we want to avoid major financial problems.

In this case, it is still good to answer the question whether we care about any question, or whether we are looking for Wardo’s promotional offer, that very often we can find so-called free moments, which are only offered to new customers. Then in fact our costs remain at the level of zero zlotys. However, we must repay the loan within the prescribed period. Otherwise, in addition to the costs of late payment, standard fees will be added to our account.

Installment loan

Installment loan

It is a product that is increasingly appearing in the non-banking sector. It even happens that we can take such a loan exactly on the same site in which we applied for a break. However, as a rule, installment loans are proposed by completely different websites, more precisely by completely other Lenders.

The installment loan is mainly distinguished by the fact that it can be incurred for a longer period of time. By the way, you can also incur a much larger amount. Speech is about sums ranging from a few to even a dozen or so thousand zlotys. If these are Lenders, who offer rather lower amounts, then we do not have to worry about the fact that we will have to take care of any sureties or collateral. Because installment loans, as in the case of payday loans, are also provided for a statement of earnings. However, the repayment period usually ranges from 3 to 36 months.

Of course, there is not the slightest problem with the breakdown of the loan for the number of installments with which we can deal with it without any problems. Thanks to helpful tools, such as calculators, we will not only know exactly how much a particular installment will cost us, but also at what level all costs will be maintained.

Which loan to choose?

Which loan to choose?

If you are still wondering what loan to choose for yourself, whether it should be an installment loan, or a payday loan, it is certainly worth answering some important questions. First of all, pay attention to what amount you really need.
It turns out that although the companies providing payday loans have a maximum amount of several thousand zlotys in their offer, we should not under any circumstances forget that often this limit is available only to regular customers. Therefore, if you need to borrow a large sum, it is better to look for an installment loan. You should also decide on this financial product if it turns out that you will not be able to repay all debt in such a short period.

Waterpumps are of course proven products, because thanks to them you can borrow small amounts, as well as with a very short repayment date. Therefore, under no circumstances are you compelled to spread out the monthly installments of the amount of 200 or 300 zlotys, if you are able to give the whole commitment within a few days. This way you not only quickly get rid of the whole commitment, but also by the way, you do not have to worry about any additional fees. It is only natural that the longer we pay off our commitment, the more costs we have to pay for it.

With all these tips in mind, you’ll be able to easily match the right financial products to your needs. In the end, the most important thing is to make you satisfied with the offer and under no circumstances expose yourself to unnecessary costs.