Online creditby Admin | May 3, 2021
Banking is digital, online loans are becoming increasingly popular: 75% of Internet users conduct their banking transactions online, according to the SCHUFA Credit Compass. Thanks to the Internet, you have the uncomplicated option of applying for a loan online. This saves you a trip to the local bank and allows you to conveniently compare the offers and conditions of different banks.
But what are the advantages of online loans? Are the conditions more favorable? How long does a loan application usually take online? What about data protection and can an online loan be worthwhile for you? You can find answers to these and other questions here!
You need money? Stay flexible with an online loan
If you apply for a loan at the bank, for example to fulfill your dream of a new car, the loan you receive may be earmarked. This means that you may use the money paid out from your car loan exclusively for the purchase of the car. If you need money at the same time for other purchases or, for example, the next vacation, you may not use the loan for this. Or you will have to apply for another loan, which could be time-consuming and more expensive. The advantage for you with the typical online loan is that it is usually not earmarked.
This means that you could apply for a loan to finance multiple purchases with it. Staying with the example above, with the online loan you could finance the new car as well as the other purchases and the planned vacation with just one loan. So you don't have to provide any evidence of the intended use.
By the way, the typical online personal loan is a classic installment loan, which can be concluded with terms of up to 84 months, sometimes up to 120 months.
The most important information about the online loan
- More favorable conditions are possible
Compared to the branch bank in your area, lower interest rates may be possible with an online loan. The reason for this may be that the offering banks have different cost structures. This is due to the fact that with the online loan mostly no branch is necessary. The providers then pass on these and other cost advantages to you as the customer.
- Loan calculator enables direct comparison
Online you can directly compare several loan offers and banks with each other. You can differentiate according to the desired loan amount, the type of loan, the term and other details. This will give you a comparison between several offers and ideally get faster to your goal and the desired loan.
- Compare credit neutral
If you make a preselection via our comparison, then this is schufaneutral for you. So initially no SCHUFA query is performed. You can make the comparison several times and thus play through several scenarios for yourself.
- Benefit from fast disbursement
Applying for the online loan is usually quick and convenient from home. Approval and disbursement are usually not long in coming: disbursement can take place within a few days in the case of immediate approval, and in some cases within 24 hours.
- A 14-day right of withdrawal applies
After concluding an online loan, you can remain completely relaxed. This is because a 14-day right of cancellation also applies to loan agreements concluded via the Internet. You can even use this right if the money has already been paid out during this period or if you have already paid interest.
Favorable online credit thanks to standardized procedures
With an online loan, you often benefit from more favorable conditions. In addition, there is usually a non-binding instant approval for loan offers. Your financing request is checked directly online and usually approved within 24 hours. Whether it's a personal loan, a modernization loan or a loan for another purpose. But how is this possible and why is the process so fast and cost-efficient for you?
If you go to a branch bank, customers are serviced there, costs are incurred for traditional banking business and the processing of loan applications may well take longer. The costs incurred in this way are often passed on to you as the customer via the loan conditions.
Automated application processing
But what if practically the majority of this application processing were automated? Like with your online loan application: all information from the loan application is forwarded directly to the bank and automatically checked. The fast and simple process allows the bank to pass on the cost savings directly to you, the customer, in the form of more favorable terms. This is the principle of the so-called direct banks. These offer their services largely through online business and you can benefit from more advantageous annual interest rates.
With the streamlined online loan process, you also save valuable time. Step-by-step, you are guided through the different areas.
Uncomplicated comparison and fast disbursement of the loan amount
You can use the loan calculator to compare a variety of attractive and reputable online loans from different banks based on the information you provide. If you are approved, the desired instant loan or other type of loan will be paid out quickly, sometimes by lightning transfer. The advantage can be that you benefit from lower interest rates over the entire term. This allows you to reach your goal in a timely manner and fulfill your wishes even faster.
The specification of the interest rate for online loans is regulated by law
As a borrower, you have the advantage with online loans that due to legal regulations (PAngV - Price Indication Ordinance) the following applies: In credit offers, the interest rates presented must be stated in such a way that 2/3 of all customers actually receive these conditions.
Missing requirements for an online loan? You can do this:
Banks are required by law to check your creditworthiness. If you lack the requirements for an online loan, it may still be possible to get a loan approval. When applying for your online loan, you can specify a second borrower. This would usually be a person who lives with you in the same household. The highlight: This can increase the household income and creditworthiness and you could thereby possibly yet get the approval for your loan.
Compare loan conditions
In the search for your dream loan helps a loan comparison. offers a credit comparison calculator for this purpose, free of charge and without obligation.
So that you can use this optimally for the comparison of the credit offers, the consideration of the so-called effective annual interest rate is recommended. This allows you to compare the various offers in a truly transparent manner. Make sure to compare loans with the same term. This is because the interest rate can vary depending on the term. The APR is made up of the nominal interest rate and the other costs incurred during the term of the loan. These can include processing fees, for example.
The APR does not include the cost of residual debt insurance, unless this is a prerequisite for granting the online loan.
With the comparison calculator from , you can compare the conditions of numerous banks. You can choose a loan amount of 1,000 to 100,000 dollar and terms of 12 to 120 months. If you click on "Rate details", you can find out whether unscheduled repayments are possible. This can be an advantage for you if, for example, you want to pay off the loan more quickly or aim for an early redemption.