What is a mini loan?

More and more mini loans are taken out every year. Mini loans are small loans that are taken out for a short period. These are amounts up to 800 US dollars for a term between 10 and 30 days. You do not have to pay interest for the mini loan . Instead of the interest, you pay administration and handling costs. These mini loans are usually taken out to be able to make the final payments just before the salary is paid back. A mini loan is therefore not intended to be taken for a longer period.

A mini loan is also quickly closed. It can be arranged within an hour. You only need a copy of your ID and some documents. In some cases it is even possible to take out this loan by text message if you are already a customer.

You must be sure that you can pay off the loan amount within the term. Failure to do so will result in a fine. Information about the fine can therefore be found in the penalty clause of the contract. The amount that you have to pay off can quickly increase. You can only take out the mini loan from the age of 21.

As many know, saving money is in most cases more sensible than borrowing. It is not without reason that the message “Beware! Borrowing money costs money ” . You always lose more with a loan. It is therefore important to have your finances in order and try to avoid taking out a loan. By keeping money in the bank every month you always have a pot for when you need the money immediately.