Online credit - Smart or not?
The most important facts about online credit
- An online loan is an installment loan that you can apply for and take out conveniently from home or on the go via the Internet.
- Online loans are usually granted at significantly lower interest rates than in the branch.
- With a fully digital online loan with instant approval and instant payment, you will find out within seconds whether the bank approves your application and at what interest rate you can take out your online loan. Often you will receive the loan amount on the same day.
An online loan is basically a simple installment loan, also known as a consumer loan, which you pay back to the lending bank in monthly installments that remain constant over the entire term. The special feature lies in the distribution channel, because as the term implies, the conclusion of an online loan takes place via the Internet instead of in a branch.
Direct banks in particular have recognized the Internet as a favorable alternative to branch business. The fact that the costs of maintaining a branch network are eliminated certainly pleases not only the credit institution, but also you as the borrower. As a rule, the lower expenses on the part of the direct bank result in more favorable interest rates. However, attractive conditions are by no means all that online loans have to offer.
4 advantages of online credit:
Many plus points
Advantage 1: Quick & easy
When you request your loan online, you save yourself a trip to the branch. Not only is this extremely convenient, but it also saves you time - after all, you don't have to wait for an appointment. And thanks to online loan closing, you even save yourself the hassle of paperwork.
Advantage 2: Around the clock
With an online loan, you don't have to stick to the usual opening hours of a bank branch. Online, a loan request is practically always possible, so even after work and on weekends - an advantage for all employees who often find it difficult to make an appointment during the week.
Advantage 3: Particularly low interest rates
Compared to a branch bank, a direct bank saves the costs of a branch network and can usually offer its loans online at particularly favorable conditions. And branch banks also often offer their loans at lower interest rates online than on site due to the leaner processes. This is also shown by the average savings of borrowers who concluded their 2020 loan online via CHECK24: They saved 38 percent on interest compared to the national average.
Advantage 4: Better comparability
By making all relevant loan information available on the Internet, you can easily compare the loan offers of different banks. This is particularly easy with a online loan comparison, which lists the loans from numerous banks and loan brokers and also provides many exclusive offers with particularly favorable interest rates.
From cars to dentures:
You can use your online loan for this
Financing a vehicle
Used car or new vehicle, family car or sports car: No matter what the personal dream car should look like and what purpose it should serve, the right online car loan provides the necessary small change. Incidentally, this doesn't just apply to a car. The new motorcycle or the long-awaited motor home also fall under such financing.
Rescheduling old loans
Loan interest rates change over time. This can be advantageous for you: If you are paying off one or more old loans with high interest rates, you can quickly save several hundred or even thousands of euros by rescheduling your liabilities to a new loan - especially if you opt for a low-cost online loan.
Time and again, consumer advocates criticize the interest rates of an overdraft facility, which are usually significantly higher than those of a classic installment loan. If your checking account is overdrawn for a long period of time, you should take action and balance your overdraft, for example, with the help of a cheaper online loan. This way, you can avoid unnecessarily high interest costs.
Fulfilling living wishes
Sprucing up the home - this is also easily possible with an online loan for free use. From a spacious fitted kitchen with a high-gloss finish to a modern tile backsplash in the bathroom to improved thermal insulation for the attic: the right online loan provides the necessary budget and thus more living comfort.
Realize your plans
Whether it's a wedding, further education or dentures: sometimes your own savings are not enough for certain life events, wishes or unexpected expenses. Even in such cases, a favorable online loan can provide relief. With the right loan, there's nothing standing in the way of financing the wedding of your dreams, the next step in your career, or a new smile.
Find & apply for an online loan:
This is how it works
Compare online loans
Using the CHECK24 loan comparison, you can find the right online loan for your project in no time at all. Simply enter the desired loan amount, the loan term and the intended use. Based on this data, the online loan comparison determines a number of loan proposals from numerous CHECK24 partners - including offers that you can obtain exclusively via the CHECK24 online loan comparison at particularly favorable conditions. In addition, the CHECK24 Kredite Günstiger geht's Garantie guarantees that you will always receive the most favorable interest rate on the market.
All results are pre-sorted by default according to the APR. However, you can just as easily sort the offers according to other criteria, including, for example, the speed of disbursement or customer ratings. Are you looking for an online loan for the self-employed or freelancers that allows unscheduled repayments free of charge and installment breaks? The more specific your ideas, the more useful the filter functions in the comparison are, which you can use to tailor the search results to your requirements.
Obtain offers & conditions without obligation
Once you have decided on an offer from the CHECK24 partners, you can request an individual online loan offer directly from the comparison - completely without obligation and without affecting your credit rating. To do this, simply fill out the connected online loan application, in which, in addition to personal data, your current employment relationship and your income in particular are also queried. The bank needs this information to check whether you can afford the desired loan. If you decide to apply for an instant loan, it is necessary that you provide the lending bank with an insight into your account turnover so that they can check your details immediately. After you have sent the loan application, you will receive a personal loan offer within seconds.
In any case, as part of our offer optimization, you will be presented with additional loan proposals that are tailored to your details. You can conveniently request additional offers with another mouse click and compare them afterwards.
Conclude online loan & receive money
Once you have found the right online loan, you are only a few steps away from your desired loan: Simply apply for your loan online by submitting the required documents online or by mail to the bank and have your identity confirmed online or by Postident. Finally, you sign the loan agreement - either digitally or by hand - and send it back to the bank. After successful conclusion of the loan and a possible second check, your loan will be paid out to you shortly.
Even faster & more convenient:
The online loan with completely digital closing
Compare loans online, but apply on paper: that was standard for a long time. Today, things look different thanks to online loan closing.
Digital account overview
The account statements from the last few months are one of the standard documents that banks use for their credit checks. Instead of painstakingly gathering them together and sending them to the bank as a copy, you can give the bank an insight into your account transactions as early as the loan application stage when you take out a loan online.
Thanks to online closing, you no longer have to send any other documents, such as your pay slips, to the bank by mail. Simply scan the documents or photograph them with your smartphone and upload them in the CHECK24 customer area.
When concluding an online loan, you must prove your identity to a third party. Thanks to online verification procedures, however, it is no longer necessary for you to leave your own four walls. With Videoident, for example, an employee of the provider uses video telephony to check in just a few minutes whether you match the details on your ID card and whether it is genuine.
Thanks to the digital signature, you no longer need to sign the credit agreement by hand. Following the identification procedure, you sign the electronic credit agreement you received from the bank with just a few clicks using a certified procedure.
Unbeaten in terms of speed: the online loan with instant approval & instant disbursement
The instant loan can also be applied for digitally - but unlike other online loans with fully digital conclusion, the loan with instant disbursement does not require a second check by the bank. Instead, the bank makes a final credit decision directly based on the information you provide in the online application and the account transactions you submit via the digital account view.
This immediate approval after the loan application speeds up the disbursement of your loan in the end. You don't need to upload any additional documents - all you need to do to conclude the loan is identify yourself online and then sign your loan agreement digitally. After successful completion, the bank will disburse the loan amount to your checking account on the same or, at the latest, the next banking day.
Do you have to cut back on online credit?
Apart from the individual advantages, online loans can also keep up with the classic installment loans of a branch bank in terms of the basic loan features. In terms of loan amount, term, monthly installments or intended use, online loans are in no way inferior to their offline competitors. It is therefore by no means necessary to compromise when taking out an online loan. This also and especially applies to the service if you want to apply for your loan online.
The classic prejudice:
"With online loans, service comes up short".
Even though the number of people applying for their loan online via the Internet has risen steadily in recent years, many consumers still remain skeptical about the service provided by a direct bank - and wrongly so.
Studies, including one by the German Institute for Service Quality (DISQ), have repeatedly shown that advice provided over the phone and Internet can certainly hold a candle to a bank branch. Even more than that: with a free personal consultation, your CHECK24 loan expert helps you find and apply for the best loan online for you and your plans - even after hours and on weekends when the branch is closed.
In addition, your personal loan expert can adapt your online loan to your personal needs based on his many years of experience and thus make it even more favorable for you. Your loan expert knows which banks and conditions your loan request best suits and which adjustment screws he has to turn. Can a second borrower help you improve your credit rating? Is it possible that a different purpose would be a better fit in order to reduce the cost of the loan? He supports you every step of the way, from selecting the right loan to disbursement, helps you find the optimum term and clarifies all the important issues with the bank for you.