Many borrowers are interested in whether it is possible to get a bank loan or loan online without guarantors. Of course you can. Do not trust those financial institutions that are trying to convince you of the opposite, requiring guarantees of the return of borrowed funds as a guarantor. Let’s find out why lenders resort to a guarantee, and where to find a loan without such collateral, when money is urgently needed.
Who are the guarantors?
A surety is literally a person who vouches (bails) for another person to fulfill his obligations under a contract or transaction. In a credit relationship, the guarantor assumes responsibility for the obligation to repay the debt in case of impossibility / unwillingness of the borrower to do this on his own. From the moment the guarantor put his signature in the loan agreement, he becomes the same borrower for the bank as the recipient of the loan. The guarantor can fulfill the loan requirements in full or in part.
If the debtor evades liability, and his property and income are insufficient to cover the debt, the financial institution has the right to collect the debt from the guarantor.
Agree that not every relative or friend wants to become a guarantor of your relationship with financial companies.
How to avoid a guarantee?
The good news is that it is possible to take money on credit without guarantors both at banks and non-bank microfinance organizations (MFIs). Financial institutions also use other money back guarantees:
– income statements for the last 3-6 months;
– pledge (used mainly for mortgage or car loans);
– Experience in interacting with the bank (open accounts, credit cards, deposits).
In the case of obtaining a loan online on an MFI card, it usually looks at the client’s credit history and regularity of income. So, in the financial company, the borrower does not need to look for guarantors and confirm their solvency in other ways. There is enough passport data, TIN and positive credit experience in the company.
What is needed to get an online loan?
If you opted for the microfinance sector, back up with the necessary information on obtaining a quick loan. Unlike banking, a credit on a card in an MFI is a short-term loan, when a person borrows a small amount for a short period (up to USD 15,000, 30 days). The registration process is significantly reduced, in connection with which you can get money without leaving home or work. Here with us, taking a loan online is as easy as making a purchase in an online store. At the same time, you will not have to attract guarantors to financial liability!