You can apply for a loan quickly and easily. However, the question always remains what the conditions are, which is not entirely unimportant when you take out a loan. What can you borrow, when do you have to pay back and what are the consequences if you cannot pay on time?
What does Good Finance offer?
Good Finance is therefore a website for loans, mini loans to be precise. It involves borrowing amounts between 100 and 800 euros. This amount can of course only be borrowed if you fall within a certain age category (19 to 70 years to be precise) and you are in good financial condition or at least have not opened too many other loans and have a poor credit score. According to Good Finance it is a perfect and simple solution for a money problem, it should be a bill or a luxury problem.
The first loan with Good Finance can only go up to 400 euros, this is purely to see if you as a customer can pay off within a certain time. This amount can always be lower, your credit will be evaluated first. This is of course purely to ensure that you do not get into trouble.
The conditions of a mini loan
As with almost any lending company, there are also a number of conditions to borrowing. The first has already been mentioned briefly: checking your credit. They check with the credit information agency if you have not encountered problems before and of course to see if it fits your budget.
If you borrow from Good Finance you can also choose to arrange the guarantee with Global Guarantee. This of course costs a little extra but at Good Finance they indicate that this is the quickest and easiest way to take out a loan with them. If you are not interested in this, you can also propose a family member or friend as a guarantor. Here you have the credit check again, so the person you present must also be in good financial shape. You must choose one of the two options, so you do not have the option to take out a loan without a guarantee.
To complete the loan you must sign an agreement, in which all conditions are well described. This concerns, for example, costs, cancellation and other important matters. It is highly recommended to read this carefully before you draw it.
Mini credit on installment
You specify the speed of payment when applying for the loan. You have the choice to have it inside
15, 30 or 45 days to pay off. The longer the date, the more the loan will cost of course. If you have taken out a loan you will receive an email from Good Finance with an invoice, which states the latest payment date. If you have opted for Global Guarantee as the guarantor, you will receive two invoices, one for Ferratum (the lending company) for the loan amount and one for Global Guarantee, for the reimbursement of the guarantee. The payment dates of these invoices can differ, so pay attention to that. If you decide to pay earlier, you still have to pay the entire agreed amount.
If you cannot pay the invoice before the deadline, Good Finance will send an email with a reminder for the payment . This happens 3 days after the end date of the payment. If the amount has not yet been paid after 11 days, the guarantor is also held liable. After 14 and 21 days summons are sent and it is reported to a collection agency. If you have not paid after 21 days you will receive a bill of 40 euros. If you have opted for Global Guarantee as guarantor, you must pay the amount before the end date on the invoice.
In addition to reporting to the collection agency and the extra bill of 40 euros, you also get a negative credit score which influences whether you can borrow later.