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Apply for a loan: how does taking out a loan work?

Borrowing money, how does it work?

Borrowing money, how does it work?

If you want to apply for a loan, we advise you to compare loans first. The interest rates that lenders charge vary widely. At Huckleberry Finn you can compare and apply for loans.

1. What should you pay attention to when applying for a loan?

1. What should you pay attention to when applying for a loan?

  • Can you borrow the desired or required amount?
  • Which loan suits you?
  • Acceptance criteria – when will you be accepted for a loan?
  • What is the interest rate?
  • Are you dealing with closing costs / advice costs / insurance with the loan in question?

Can you borrow the desired or required amount?

Before applying for a loan, it is wise to first calculate whether you can borrow the desired amount. This prevents you from being rejected after you have applied for a loan, for example because your income is insufficient. Click here to calculate your maximum loan.

Which loan suits you?

There are different forms of borrowing money, the difference being the interest rate, but also the flexibility to take back repaid amounts or to repay a loan early without penalty. Determine which loan suits you.

Acceptance criteria – when will you be accepted for a loan?

Not everyone is eligible for all loans offered. For example, lenders look at things like your type of employment, age, and living situation to determine if they want to provide you with a loan. At the top of our comparisons, you can first enter this type of personal data. Based on this information, we show loans for which you are eligible. This increases the chance that you will be accepted.

What is the interest rate?

When applying for a loan, you naturally look at the interest. It determines how expensive a loan is and how long you are attached to the loan. Do you opt for a revolving credit? Check annually by means of a loan comparison whether the interest you pay is still in line with the interest you should pay elsewhere. Is there a difference of more than 0.2%? Then switch.

Are you dealing with closing costs / advice costs / insurance?

Are you considering taking out a loan through an intermediary? In that case, make sure that they do not charge any consultancy, closing or brokerage costs for taking out the loan. This is prohibited by law. However, an intermediary may charge costs if you also take out insurance with the credit. Do not just put a signature under an offered insurance, but first ask yourself whether you need the insurance, what the payment is, when the payment is made and whether it is the best product.

2. How fast is applying for a loan?

2. How fast is applying for a loan?

If you apply for a loan via Huckleberry Finn, you usually receive a quote in your mailbox within 1 working day. The lender may have additional questions. In that case they will contact you by phone. This also usually happens the same day.

3. How quickly can you dispose of your money?

How quickly you have access to the money when you apply for a loan differs per lender, but you also have partial control over it. If you return the necessary papers as soon as possible after receipt of the loan offer or loan agreement, you can usually have the money within a week.

4. What documents do you need to provide when applying for a loan?

It differs per lender which documents you need when applying for a loan, but what you almost always have to provide are: income documents (pay slip for example), copy of your ID and bank statement (print of internet banking).

5. Can you request multiple loan quotes?

5. Can you request multiple loan quotes?

You can request multiple loan quotes. It is even wise to request two, for example, so that you can compare well. However, you can already do an important part of the comparison on our website. It doesn’t make much sense to request more than two quotes.