What Are the Pros and Cons of a Demand Loan?

Unsecured loans, also known as unsecured loans, or credit loans. No collateral is required, only identity proof, income proof, address proof and other materials, loans applied to the bank, the bank issues loans based on personal credit conditions, and interest rates are generally slightly higher than mortgages, and customers can Choose the term of the loan for specific circumstances, and then sign a contract with the bank, which is guaranteed.

Unsecured loan

Unsecured loans, also known as unsecured loans, or

An unsecured loan is a form of borrowing debt that is not guaranteed by a specific asset, that is, a loan that is not issued by a borrower or a third party to provide guarantees in accordance with the law. Unsecured loans are also called unsecured loans, or credit loans. An unsecured loan does not require any collateral. It only needs identity proof, income proof, address proof and other information (the specific proof depends on the bank and the type of unsecured loan application). It is the credit situation of individuals to issue loans, and the interest rate is generally slightly higher than that of secured loans. Customers can choose the loan period according to the specific circumstances of the individual, and then sign a contract with the bank.

1. Unsecured-no mortgage on any property;

2. Convenient application-The application process is simple and fast, and the application hotline, website, designated reception point and fax can be easily applied;

3. Long cycle-arbitrarily choose your loan period, the loan period can be up to 36 months;

4. High credit limit-Comprehensive assessment of your income and credit status, the maximum loan limit can reach RMB 500,000;

5. Fixed interest rate-This loan is a fixed interest rate, which is protected from fluctuations in market interest rates, reduces interest rate risk, and enjoys concessions.

Applicants are generally Chinese citizens who are 18-60 years of age, are in good health, have a local hukou, or have lived in the locality for one year and have a certain normal income.

Salary Loan-You only need to provide a bank passbook or statement, identification, proof of address, etc. to apply for a personal loan.

Owner's Loan-A loan product specially arranged for property owners. As long as they own the real estate in the city or the real estate in the mortgage, they can easily obtain the loan.

Education loan-a loan product specially designed for people with a bachelor degree or above, and then the final loan amount is determined according to income and other conditions.

Private Owner Loan-If you are a private owner, what hesitation, loan?-No more worry!

1. Business license, organization code, tax registration certificate of the loan applicant. Legal representative ID

2. An account opening permit for the loan applicant's basic account;

3. The loan applicant's flow of corporate accounts in the past year and the flow of personal banks that can reflect the business of the enterprise;

4. Lease contract for office land or own property right certificate;

5. The loan applicant's rent invoice for the business place in the most recent month. Water and electricity bills. Property fee bills (any one can be);

6, the loan applicant's recent personal residence rent payment receipt or utility bill;

7. Loan applicant's tax payment certificate in the last 3 months (provide tax payment certificate issued by the tax bureau. Or tax account details, or business tax, value-added tax invoices);

8. Special place operating permit (industries that require franchise must provide, such as; health permits, road transport operating permits, special industry operating permits);

9. Recent business contracts, orders.

Conditions to prepare for unsecured loans

Loan preparation procedures

With the development of the times and the prosperity of the financial market, many non-bank channels have also launched unsecured loan business, of which private lending accounts for a large proportion.

In the private lending market, small loan companies and P2P online lending platforms account for most of unsecured loans, and P2P online lending has become the newest and most popular channel for unsecured loans. Since 2009, P2P has been in China. Since its rise, P2P has gradually become familiar and recognized by the general public.

Peer to peer lending is an abbreviation of peer to peer lending. Peer means personal. P2P lending is both personal to personal lending. In the process of borrowing, materials and funds, contracts, procedures, etc. are all realized through the Internet. It is a new financial model developed with the development of the Internet and the rise of private lending, which is also the development trend of future financial services.

With the development and progress of the entire P2P industry, various domestic P2P companies have gradually shown different development directions and trends. For those who have borrowing needs, they also need to identify the authenticity of them and not be deceived. When looking for related companies, pay attention to the following issues:

1. Years of establishment of the enterprise: Whether the period of establishment of the enterprise is within half a year or even less than one year, the reliability of the enterprise has not been reflected due to its short establishment period;

2. Whether there are upfront charges: if you charge before you have borrowed money, then it must be irregular;

3. Whether the interest rate meets the standard: According to relevant requirements, the interest rate of private loans cannot exceed four times the bank interest rate during the same period, and it cannot be protected by law.

Business applies for loan at bank

(The company makes a pre-assessment of the collateral)

After approval by the bank, the company signs the relevant contract with the guarantee company and the bank

(For mortgage insurance and mortgage registration)

Bank loan

Corporate repayment of loan on schedule

High loan amount autonomous repayment method

Provide enterprises with unsecured loans with revolving liquidity within half a year to 3 years, or mortgages with 1 to 10 years

Acceptable collateral: housing, commercial premises and industrial plants (title)

Loan amount can be selected according to needs

There are a lot of so-called nationwide Internet, unsecured personal unsecured loan information on the Internet today. These so-called "

With the development of the information age, applications for personal unsecured loans can also be applied online. There are many formal personal credit loan application platforms on the website, such as Rongdao.com, whether it is an unsecured loan, unsecured loan, or personal credit loan, you can apply for an online loan through Rongdao.com, like

1. The company's name is relatively exaggerated. The so-called "so-and-so loan group", etc., even some also provide copies of business licenses, the traces of fraud are obvious;

2. Generally only provide mobile phone number, contact person and QQ, no fixed phone, no specific office address;

3. It is generally stated that the company has branches in major and medium cities across the country, and can handle business conveniently everywhere;

4. Lending conditions are very loose and the procedures are simple. Only basic information is required and no mortgage is required.

5. The interest rate is so attractive that the monthly interest rate is only 1% -3%;

6. When the borrower is contacted, the scammers will find various reasons to ask for the upfront fee (such as prepaid interest).

Judging from the existence of unsecured property, unsecured loans do not need to be mortgaged in kind. Mortgage loans require mortgaged real estate, and require that the real estate is purchased in full or the loan is settled;

In terms of loan amount, unsecured loans can generally be loaned to 10-15 times the proof of flow, the highest is generally 300,000 to 400,000, and the amount of mortgage loans is generally 70% of the appraised value of the mortgaged property, up to tens of millions. The advantages of mortgage loans are obvious;

In terms of loan interest rates, the interest rate for unsecured loans is generally 7.9% -9.9%, and the interest rate for mortgage loans is generally 5.94%, which is lower than unsecured loans;

In terms of loan life, unsecured loans can be loaned up to 4 years, mortgage loans can be loaned up to 20 years, and the mortgage loan wins;

From the perspective of the loan time, after the unsecured loan review is successful, the loan can be released on the same day. The mortgage loan generally takes 10 working days, and the unsecured loan wins;

Judging from the strictness of the borrower's review, because there is no collateral for unsecured loans, the qualification of the borrower is very strict. Compared with unsecured loans, the mortgage loan is slightly looser than the unsecured loan;

From the point of view of the need for a use certificate, unsecured loans do not require the borrower to provide a use certificate, and the mortgage loan requires the borrower to provide a use certificate, and only the bank can provide housing, car purchase, study abroad, decoration and other certifications. Mortgage funds are more widely used;

From the perspective of operable banks, unsecured loans can only be operated by individual foreign banks and domestic banks, while mortgage loans are relatively common, and both domestic and foreign banks can operate.