Principles for loans

Within the area of loan market we can meet some risks and dangers which we could be aware of. To reduce the risks of getting into trouble while closing or repaying a loan, it is advisable to follow some basic rules. Some of them are listed on this page.

• Consider carefully if a loan is the only solution for your financial situation. Would be there a risk of getting into even greater financial difficulties? Would it be better to deal with your situation in another way?
• Prefer bank loans or loans from certified and well-known non-bank companies. Certainly avoid the loans from moneylenders and so-called private investors.
• Do not pay any money in advance. Do not call on suspicious telephone numbers and avoid sending overpriced SMS.
• Do not take the first loan you see. Choose more loans that are suitable for you, compare their characteristics and parameters and choose the best one.
• Compare not only the interest rate, but also the value of the APR (the annual percentage rate of charge). This should be specified in every loan's terms and conditions. The higher the APR the less favorable is the loan.
• Always read carefully loan agreement and terms and conditions of the creditor company; even with loans where no signature of “paper agreement” is required.