Are you thinking of hiring a quick mini credit ? With these things you have to be careful, because we are talking about money. So our recommendation is that you take a look at this guide… This way you will avoid being deceived because you will be well informed!
What exactly is a quick mini credit?
As its name suggests, a quick mini loan is a small amount of credit that is given quickly, without the need to wait a long time or carry out too much paperwork. In addition, in recent times, these mini credits are offered easily online.
In fact, you just have to do a brief search on Google to verify that there are many pages that talk about them, and many financial institutions that offer them. It is normal, it is a very useful solution for everyone involved in the transaction.
You have to bear in mind, however, that these mini credits are not credits of thousands of euros. Generally, they range from a few tens of euros to € 1000, no more. It is true that sometimes they can reach € 3,000 or similar amounts, but it is not usual.
In fact, this type of credit had its origin in underdeveloped countries, where lenders offered this type of credit to people with few resources. Therefore, the amounts could not be very high.
However, these small amounts could make a real difference in developing countries, because they allowed starting small businesses or investing in health or education. So much so that the development of the mini credits earned its creator the Nobel Peace Prize.
Of course, this is its origin, but the mini-credits offered in Western countries are not exactly the same. The mini quick credits in developed countries, although they are designed for the same type of person (people with low resources), have small differences.
For example, the interests are usually higher than in the original mini credits for African countries, because the objectives are different: In those mini credits the objective was almost humanitarian, while in the western countries it is still a business model.
However, the fact that the interests are somewhat higher than in traditional loans does not mean that they are not a good opportunity . We are going to talk about it throughout the following sections, and you will surely end up sharing our opinion.
Who are the quick mini credits intended for?
Here we get to the heart of the matter. Who are the quick mini credits intended for? Because, obviously, if they were designed for the same people as a normal loan, it would not be necessary for them to exist. So… who are they for?
The answer is simple: For anyone who is in a timely and urgent liquidity problem, and of a not too high amount. Unlike other loans, a quick mini loan seeks to solve a pressing problem.
For example, suppose your refrigerator has broken down and you had no money saved. Obviously, it is a problem that you have to solve. You can't be without a fridge!
It is reasonable to go to a quick mini credit, buy the new refrigerator, and in the coming months you will allocate a part of your salary to pay that mini credit. You are solving a liquidity problem in exchange for small payments in the next few months . That's fine.
Another option is to use these credits not for consumption, but to invest. For example, suppose you are unemployed, but you have a small portfolio of clients to whom you could do some tinkering at home (plumbing, painting, gardening…).
The problem? That you don't have the tools. That is, the only thing that separates you from having a constant income is the fact that you do not have the tools, but, if you did, you could have a reasonably good income without major difficulties.
In that case, going to a quick mini-loan may be a good idea, because, with it, you can buy those tools, and gradually pay off the credit with what you generate with that new job.
Examples like these two there are a thousand more, and in all of them it is a good idea to contract a mini loan, because in all these cases you will end up repaying the loan after a short time. That is, you will not get your fingers caught, which is the risk of any credit.
Of course, in addition to all the above, it will be important that you take into account the same thing that must be taken into account in any other credit: If you are in a bad financial situation, you should not hire it . We will talk a little more about that in the next subsection.
Should you ask for a quick mini credit to pay other debts?
Now, let's talk about when you shouldn't ask for a quick mini-credit (or any other type of credit, really). And here, mainly, we have to talk about the problem of contracting a loan to pay debts.
This is obviously bad practice , because basically it's like you're in a well and you start digging, sinking deeper. Debt is not bad as long as it is manageable, but it can become a real danger when it is no longer manageable.
That is why, if you have debts, before contracting another mini-loan, you should pay them off.
In addition, there is another second situation in which you should not contract a mini credit, and that is when you will not be able to return it. This, which may seem obvious, should always be emphasized, because sometimes people, seeking to solve problems in the short term, end up getting into bigger problems in the long term.
Therefore, these two points are what you should take into account when contracting a quick mini loan. If you are not in either of these two cases, you could contract your mini-loan without major difficulties.
What are the characteristics of urgent mini credits usually?
Now that we have seen who the urgent mini credits are intended for, we can go on to talk about what characteristics they usually have . They are the following (usually):
- Ease of hiring : This is a very relevant point when talking about quick mini credits. These types of credits are very easy to contract and, in general, they can be obtained entirely online. You only need ten minutes of your time and fill out a couple of online forms, and you will have your money.
- Without paperwork : Another fundamental point. No paperwork is needed as in traditional loans. You will simply have your contract online, use a digital signature, and voila. At most, they will ask you to send a photo of a receipt or your ID. Nothing else!
- Higher interests : Another frequent characteristic in this type of credit is that the interests tend to be somewhat high. This, if you stop to think about it, is very logical: We are talking about credits with a high risk of non-payment, because they do not require guarantees, or much documentation, etc. That is why banks are cured in health and charge higher interest than usual.
- Few terms : Another common characteristic in quick mini credits is that the number of monthly payments to return the credit are few. While a regular loan can be repaid in several years, a mini loan does not usually exceed a year.
- Not very large amounts : As we said previously, this type of credit is not designed for large amounts of money, but for rather modest amounts. Therefore, if you need several thousand euros, this is not your best option (and, even if you found a quick mini credit for an amount like that, it would not be your best option, because you have other options with more attractive conditions).
- Quick to obtain : Finally, as the name suggests, quick mini credits are credits that can be obtained in record time. In this way, if you have a pressing need, after a maximum of two days (the time it takes to make the transfer), you will have your money. The approval or not of the mini credit is usually instantaneous.
What are the requirements for quick mini credits?
Having seen the features that these quick mini credits have, let's take a look at the requirements . Keep in mind that these may vary slightly depending on the entity you go to. This is only an approximation and some general lines that are usually fulfilled:
- Be of legal age : First of all, these mini credits require that the person taking them be of legal age. In some cases, in order to avoid possible defaults, the minimum age is increased to 21 years (although this is not entirely usual).
- Have a mobile phone in your name : On the other hand, it is also very common for entities to demand that the borrower have a mobile phone in their name. This is to be able to have a more fluid communication and to be able to contact you in the event that there is a problem when returning the credit.
- Have a bank account : Of course, you must have a bank account to which they will send the money when the process has been completed and you have been approved as a candidate to obtain the credit.
- Reside in Spain : Another important point is to reside in Spain. The mini credits cannot be requested if you are residing in another country (in this case, you should look for a financial institution that offers mini credits in your country). Of course, it is only necessary to reside in Spain, it is not necessary to be Spanish. Immigrants can also use these types of financial services.
- Demonstrate minimum income : Although the quick mini loans are designed for all types of people and it is not always necessary to have a minimum income, it is something that is seen with some frequency. In addition, it is something that will greatly facilitate access to credit. If you can demonstrate a minimum income (be it through a payroll, a pension, income or anything else), it will be easier for them to give you the quick mini credit.
- Particularities according to entity : Finally, there are some requirements that each entity can put and that, although they are not usual, you will see them occasionally. For example, not being in ASNEF or having an endorsement. As we say, it is not something that all entities require, but some do.
What is the process of obtaining a quick mini credit online?
And finally, let's take a look at the process of obtaining these quick mini credits online. As you can see, it is a process that does not take any difficulty and that allows you to obtain the money in record time:
- Go to the entity's website : The first thing you will have to do is go to the website of the financial entity with which you want to contract the quick mini loan, since most of the time these processes are carried out 100% online.
- Indicate amount and terms : These websites usually have a small simulator where you can indicate how much you need and in what terms you want to return it.
- Check the conditions : When you have completed the steps of the simulator, you will be shown the conditions that you would have in the credit if it were granted. Here you can see the monthly payments, how many they will be, the interest rate, etc. If you agree, you should go to the next step.
- Fill in the form : Once you agree with the conditions, you just have to fill in the form to officially request the loan (the above was just a simulation to see what conditions you will have).
- Approval : Once you have submitted the form, the system will analyze whether or not they grant you the credit. Sometimes this is totally automatic and they respond to you instantly. At other times, it may require a manual evaluation, and in that case it may take a day or so.
- Receiving the money : Finally, if your request has been approved, you will receive the money. This can take a couple of days, which is the time it takes for a bank transfer.
As you can see, hiring a quick mini loan is a good idea, but only if you take into account everything that we have mentioned in this guide. Otherwise, you may run into problems (either because they cheat you or because you have gotten into a debt that you cannot repay).