Consumer lending is currently the most common program in the vast majority of banking organizations in the Russian Federation. It is represented by a number of variants and can be implemented under different conditions. For those who apply for consumer credit, these services are very important. After all, for different amounts and goals there are different interest rates. Credit conditions also vary. Today, this type of program can be organized in a wide range of interest rates: from 12 to 70% per year.
Consumer credit: types
Overall, these programs can be divided into two categories:
- Target loans are loans issued by banks to achieve a specific target agreed and specified in the contract. It can be a major repair, education, planned rest and so on. At the same time, the financial organization is entitled to control where the funds are spent. In some cases, you may not even see cash, as the bank will immediately send them to the account of the company providing the service: clinic, college, hotel, etc. If you manage to get the target consumer loan, the interest rate will be low and the payment terms will be very soft.
- Independent loans are undefined. These are express loans, which can only be obtained in the presence of only two documents. Interest on this type of loan is always high and can reach 70%. The maximum period for issuing an express loan is usually 6 months, although by law a year and a half can be taken. In case of accepting an unsuitable loan, the Bank does not participate in the client’s future life, but requires timely payment of the content of the loan program.
Package of documents for acceptance
You need to collect a certain set of officials paper for registering these services as a consumer loan. The types of loans and their diversity allow you to choose a program that fully meets the borrower’s capabilities and expectations. To conclude a contract, you will need to provide the following:
- a passport of a citizen of the Russian Federation with a valid registration in the immediate vicinity of one of the Bank’s branches;
- a second document that can help identify the debtor’s identity;
- the guarantor’s signature;
- mortgage object.
You can get a loan if you have only the first two points, but the more documents and guarantees, the greater the amount of money, the longer the time and the milder conditions. If collateral and guarantee are provided, it is very easy to obtain a consumer loan. The percentages in this case will be the lowest: from 12 to 15%. If the property is a pledge: house, apartment or land – the amount that can be borrowed is limited to 10 million dollars.
If you want to repair or buy an autoto took a large amount of money, then consumer credit can always help. The types of this service allow it to solve a huge range of different life situations: from buying things you like to recreation abroad.