A mini loan is ideal for people who need money urgently. Most mini-loan providers are able to transfer the loan amount to you within a few minutes after taking out the loan. The mini-loan has become such a well-known form of loan in the Netherlands, because most providers of these loans are not affiliated with the Netherlands Authority for the Financial Markets (AFM).
As a result, these lenders cannot perform BKR checks for their customers. You can also take out a mini loan with a negative BKR score. Most providers of mini-loans are based abroad.
Term of a mini loan
The mini loan is characterized by the short term (often a maximum of 15 to 30 days), the high interest rate (can be as high as 25%) and the fast payment (often the money is in your account within 10 minutes). The maximum loan amount for a mini loan is often $ 600.
When do I take out a mini loan?
Most people who take out a mini loan do this because they need money in the short term. The mini loan is ideal, for example, if one of your household appliances breaks and you will only receive your salary in a few days. In that case, the mini loan can bridge the period between the purchase and the income. It is not advisable to take out a mini loan if your current financial situation is bad. Due to the high interest rate, the mini loan is one of the more expensive loans you can have. There are often huge fines for non-payment. Because the lenders are often not established in the Netherlands, you are therefore dealing with foreign conditions.
How does taking out a mini loan work?
First of all, you must fill in the application form completely on the website of the lender, you will be asked for your personal information. When taking out a mini loan, in almost all cases no BKR check will be done, so you can also take out a mini loan with a negative BKR assessment. After completing the form, you will immediately see what amount of interest you are going to pay and within what term the loan must be repaid. It is important to realize that not repaying a mini loan on time can lead to hefty fines, so you must take this into account.
Payment of the mini loan
After sending the application form, it will in most cases be immediately approved or rejected. If your application for the mini loan is approved, you will receive the loan amount in your account within a few minutes with most lenders. After receipt of the loan amount, the contract takes effect, you must then repay the loan within 15 to 30 days (including interest).
No BKR check or credit assessment
When taking out a mini loan, the lender does not look at your creditworthiness in most cases. You must therefore see for yourself whether you can ultimately repay the loan, you are responsible for this yourself. In addition, we also recommend that you read the conditions of the lender carefully before you take out a mini loan, so that you know exactly where you stand.
In the overview below you can see with which lenders you can currently take out a mini loan the cheapest. The maximum loan amount is in most cases $ 600.