For many young people getting a first loan is a challenge, so you have to be prepared for it.
Before we discuss specific proposals, it is worth mentioning what is the biggest obstacle before getting the first loan. This is a lack of credit score, i.e. scoring. It is directly related to the credit history, because its calculation is possible after 6 months of repayment of a given liability. Young people who are usually affected by this problem – find themselves in a vicious circle. They are without a credit score, which is difficult for them to earn, since they are refused credit for this reason. Adding to this their young age, often short work experience and employment on the basis of a mandate / business contract – we have a ready recipe for refusing a loan. It is a situation in which the system assesses the client so poorly that he will not offer him any form of credit. The circle begins to close. “If the bank does not want to give me a loan, how do I get a credit history?” – this is usually a question asked by irritated customers.
Therefore, below are some tips to increase your chances of getting your first loan.
It’s best to apply for the first loan at the bank where our salary is received. The bank looks much more favorably at its customers than at “on the street” customers. The bank already collects some information about the potential customer through the payment receipts and the use of a payment card. At the stage of choosing a bank, with which we will tie up at the beginning of a professional path – it is good to do some research. We are often guided by convenience, proximity of facilities to the place of residence, opinions of friends. It is worth looking more broadly and decide on a bank that directs its products to young people who is not afraid to grant the first loan to such people. There is no single recipe as to which bank you should associate with. From the point of view of the subject of the blog, 4 banks are worth recommending: GG Bank, ENG Bank and Earn Million Bank, i.e. the current Sanbuwan. Each of them has simplified offers without documenting income, based solely on account receipts, fully automated and not requiring a site visit. Most importantly, however, these banks do not bang the doors of young people who have just reached the age of majority.
Just choosing the right bank is not yet a recipe for success. Make the most of your account. If you are paid remuneration – ask your employer to start transferring money to your account. If for some reason this is not possible, by far the best step will be to deposit this money into your account. It is worth noting that seemingly as insignificant matter as the title of the transfer – it may, however, be helpful when obtaining a loan. Very often the system, capturing the word “remuneration” – generates a simplified loan offer. It is worth remembering. Even if you know that the money from the salary will have to go to the bills of a mobile operator, housing association or electricity or gas supplier – you should first deposit it into your personal account and then let them go further.
BUILDING A CREDIT HISTORY WITH ONLINE PAYDAY LOAN
HISTORY WITH ONLINE PAYDAY LOAN” />
No, no, not again. Non-bank products, including payday loans – are the products most easily available on the market. Of course, easily accessible money must go hand in hand with the high cost of obtaining it. A lot of young people experiment with payday loans which hit the Polish market by storm. This is a topic for a separate article, so in this part we will focus only on the aspect of credit history. This is not a way to achieve scoring, and what’s more – the trace of the ages in our BIK report puts us in a bad light. Even paying off them on time does not build our position in talks with banks. It is worth remembering.
CAN BE INSTALLED?
Taking a installment loan is a very good idea to build a credit history. Banks serving the majority of large home appliances stores (William Credit, Allio Bank, Sanbuwan Consumer Bank) are much more favorably looking at a customer who comes for a specific product than they are applying for a loan without a specific purpose. One should be aware that it will be much easier to get a loan for the purchase of inexpensive equipment than for a 65-inch TV set worth several thousand zlotys. Therefore, it is worth considering buying in installments even when we have cash in our wallet. 0% installment promotions regularly appear in store offers and it is worth using them to build your score.
WHEN IS THE FIRST SCORING FOR BIK?
Getting a loan is not enough. You also have to pay it back long enough. The credit history is not created immediately. Only after six months of repayment of installments, BIK will calculate the first score. Overpaying, paying off several installments at once etc. unfortunately will not help. You have to be patient.
Getting the first loan in your life is not as difficult as many people might think, but it’s good to be aware of the rules that govern the banking market. This knowledge should protect you from unnecessary nerves when you urgently need cash for unexpected expenses. So let’s remember these rules and start building your credit history today. Even if you do not plan to use bank financing in the coming months, you never know when such a need may arise. It is better to be ready for it.