The mini-loan is a loan for which only micro-amounts can be considered as the disbursement sum. On the one hand, this has its disadvantages, as you cannot make any big financial leaps with the money, but it also has numerous advantages. We will go into these as well as the aspects that you absolutely have to consider when applying for a heating system. Beforehand: it is usually relatively uncomplicated to apply for a mini-loan and, moreover, to get it confirmed. Therefore, it is a so-called easy-to-apply loan.
There are some aspects that set this loan apart from the short-term loan, for example – even though both forms of loan have in common that it is usually a microsum that is paid out when the loan is approved. While the next paragraph will go into more detail about the specifics of a microloan, it is worth emphasizing up front that this is a very unique loan model. One reason for this is that this loan has only a limited disbursement sum.
The specifics of a microloan
The mini-loan – also known as a micro-loan – has some special features that we would like to share with you here. Therefore, these are also listed below clearly for you:
- The maximum disbursement amount is usually 20.000 euros
- Perfect loan for entrepreneurs with a migration background
- An optimal alternative to the classic loan from banks
- Short maturities and early redemptions are possible
- Effective annual interest rate is relatively favorable at around 8 percent
These are the most relevant features that make the mini-loan stand out from other loans, though not all of them. Depending on the lender, there are often still some special clauses around the repayment and the purpose of use.
Requirements for applying for a mini-loan
There are various requirements to be met in order to obtain a mini-loan. You can clearly understand what these are in the list provided for you below:
- Permanent residence in Germany – with or without a migration background
- Constant monthly income due to a permanent employment contract
- No high special expenses due to contracts or alimony payments
- Collateral in the form of life or risk capital insurances
- In rarer cases: The position of one or more guarantors
As you can see, there are some basic conditions that must be met in order to qualify for a mini-loan. In the following paragraphs we will go into more detail about the individual requirements.
Permanent residence in Germany – with or without a migration background
You should show your permanent residence in the Federal Republic of Germany and at the same time be able to prove that you are liable to pay taxes in this country. Although the obligation to pay taxes to the German tax authorities plays only a limited role for many lenders, they nevertheless consider themselves legally secure in this way. Since the court of jurisdiction selected in the event of conflicts arising is also located in Germany, the lender benefits from a double security right away.
However, these are not the only reasons why you should prove a primary residence in Germany. It is also important to many potential creditors that you are not an emigrant, digital nomad or freelancer based outside the EU. Even if it is only a small payment amount, banks in particular try to bind such borrowers to them permanently. This is more difficult for potential borrowers who no longer have a residence in Germany than for those who show their center of life here.
However, do not confuse your primary residence with your citizenship. If you are from a non-EU country and are an immigrant living in Germany, your primary residence must still be in Germany – and not in India or Mexico, for example. If you have your center of life in the Federal Republic of Germany, you are liable to pay taxes here, but at the same time you are entitled to start a business or open a bank account. Alone these rights are sufficient, in order to be able to request a mini loan.
Constant monthly income due to a permanent employment contract
The most important indication of a high credit score for reputable lenders who can provide you with a mini-loan is your financial situation. Do you have a permanent job? There are good opportunities for advancement? Be employed in an industry with a secure order book? How long have you been working for your current employer? These are the most common questions asked by potential lenders where you can take out a mini-loan.
Therefore, in advance of applying for such a loan, you should print out or at least digitally prepare proofs of your fixed monthly income. From this evidence – in the form of bank statements, for example – the lender takes the financial situation in which you find yourself. He can also better assess your creditworthiness without having to obtain a credit report, which is always associated with costs. Incidentally, this also shortens the application process.
No high special expenses due to contracts or maintenance payments
You should avoid being burdened with high special expenses – such as mortgage repayments or financing household appliances and a vehicle – per month. Your lender otherwise thinks that you may not be able to make repayments on your mini-loan during some periods of time. It is therefore best to only apply for a mini-loan if you are paying off special expenses with lenders who do not have a good credit rating, or if you do not have any extra expenses that will burden your financial situation over a longer period of time.
Collateral in the form of life or risk capital insurances
In numerous cases, lenders expect you – even if it should only be a micro amount that is paid out – to provide collateral. In question here are above all insurances of all kinds, which concern above all your future. In addition to life insurance, this can be risk capital policies or private pension policies. Since you have already paid into it and can therefore get the money back at any time – albeit at a loss – many lenders like to see such collateral, which is why in such cases you also often waive a credit report.
As further collateral can serve in the case of benefits in kind such as the own vehicle or even residential property. Although not many interested parties have the opportunity to buy a property. Who, however, recently just inherited an apartment or even a house, can bring this without any problems with as security. This also significantly improves the interest rate conditions. Other possible collateral – depending on the amount of the loan to be paid out – is electronic equipment such as laptops and consoles as well as household appliances. However, these should be in good or optimal condition to be recognized by the lender as a security deposit.
In rarer cases: The provision of one or more guarantors
Quite rarely, providers of a mini loan require the position and signature of one or more guarantors. However, this is the exception rather than the rule, since the loan amount to be disbursed is small, for example, compared to a lightning loan. Not least because of this, in this context is also spoken of a microloan. Especially if you have an account with the lender and can therefore receive the money directly, this is accommodating. Finally, he knows their financial or. economic situation and has stored all relevant data from you in its system.
The most common variants of mini loans at a glance
You will find a variety of mini loans on the market, all of which have different conditions. We of Kredit-Vergleich24.com offer you the option of using our loan calculator to take a closer look at the conditions of the individual loan variants. These include the mini loan …:
- without Schufa
- immediately without Schufa
- Immediately on the account
The most popular is the mini loan, which can be applied for without a credit report. This is due u. a. to the fact that your application data are not stored with the protection community and your data collection with the Schufa is not increased. The mini-credit instant is also very popular, because you get the money immediately transferred to your account.
Mini-credits at Kredit-Vergleich24.com find cheap
Especially at Kredit-Vergleich24.com you will find an excellent opportunity to obtain favorable offers for a loan of this type. Simply use the loan calculator, which we provide free of charge and without any obligation to you. This comes with many advantages and some filter settings. The advantages of the loan calculator on our portal include ease of use and coverage of offers for mini loans from all major providers on the German market. On the filter settings we go in the following subsection in more detail.
This is how the loan calculator of Kredit-Vergleich24 works.com
With us at Kredit-Vergleich24.com you will find a credit calculator, which has it in the truest sense of the word in itself. The sophisticated system by which this is distinguished, ensures that you quickly find exactly the loan with lightning disbursement that you are looking for. Just set the filter options optimally and you can't go wrong. As filters are the disbursement sum and credit term as well as the intended purpose available, which you can adjust all three according to your requirements. If something should go wrong, you can always contact the respective lender.
Answers to the most important questions about mini loans
Which providers make a mini loan available?
You will find a variety of lenders who specialize in the disbursement of mini-loans. With the large banks and other credit institutions you will find as a rule rather rarely, but numerous reputable loan brokers fill their gap. To be mentioned here are u. a. Maxda, Smava and Auxmoney represent. Also Ferratum, Cashper and Cashcape as niche providers, SWK Bank as a large credit institution and foreign investors who do not take risk capital in hand, but still want to make a return – such as SchweizerKredit24.net – are to be mentioned here.
For which target group is a mini-loan intended at all?
The great thing about the mini loan, which like the short-term loan can be considered a bridging loan, is that many different target groups are addressed with this financing model. This includes middle-income workers as well as retirees who receive a fixed monthly pension and thus have a stable income as well. Since the disbursement amount is kept within limits, borrowers in the upper age have particularly good chances to draw a mini loan.
In addition to the above target groups, consumers described by lenders as high-risk borrowers also have a chance to get a mini loan. These include dependent employees, freelancers and self-employed, as well as students or. Apprentices – even if they are better off with a student loan – and the riskiest group around job seekers. However, since the mini loan usually comes with a low disbursement amount and high return for the lender, even consumers who receive unemployment benefits may be able to find one with a little luck.
How do I get a mini loan (immediately) without Schufa?
A mini loan without Schufa, as with many other forms of loans, you can only get if you have reliably repaid other loan repayments in the past. If this is not the case, or if this is your first application for a mini-loan, you can also refer to potential lenders or. resort to investors from abroad. However, in this case, you should note that the interest rate conditions are often higher for lenders who are not based in Germany, due to risk surcharges charged.
To get a mini-loan immediately and without Schufa, you need to meet a few more requirements. First and foremost, collateral plays an important role, just as with other forms of loans. If you can provide them through guarantors or life insurance, then a quick payout within 24 hours is possible. Since 2019, you will benefit from the fact that thanks to the SEPA Instant Payment procedure, you can even receive payments on weekend days within a few seconds – provided that you really meet all the requirements.
Can I get a mini loan without proof of income?
It depends on how high the disbursement sum should be. At your own bank, you usually have a good chance of getting an amount equal to the average account flow even without proof of income. The lender is usually no matter where the money comes from. However, in this case it is important that you have been maintaining your account with the lending bank for several years and thus prove that you receive money at regular intervals – for example, from your family.
How to apply for a mini loan for the unemployed?
The borrower group around the unemployed is considered particularly risky for lenders, which means they have little chance of getting a microloan paid out. However, if you are a job seeker, you have the opportunity to provide collateral – z. B. in the form of a guarantor from your family – then you can significantly increase your chances of finding open ears at the lender of your choice. Otherwise, you should try it with a short-term or express loan.
Is a mini loan worth it in terms of conditions?
Another important question that many consumers ask themselves when it comes to deciding between a mini-loan or an express loan or an express loan. a short-term or lightning loan to decide, refers to the conditions. These look good with the mini loan – at least in comparison with the short-term loan. This is also due to the fact that not all banks charge a flat fee, but charge on an interest basis. Thanks to the fairly short maturities, this results in only comparatively low interest charges that the borrower has to bear.