Applying for a loan is a complicated process.
Especially if you have benefits.
That is not without reason, providers do want certainty that their money will be paid back. You can't blame them.
But an AOW benefit, possibly supplemented with a pension, is a special case in which everything is possible.
We are happy to explain why this is so.
First as this: to 2000 US dollars you can always get a loan, a payday loan because. Given the small amount, the danger is relatively minimal for the lending party. They go so far as to require hardly any documents to be submitted with the application for these loans, just your ID! Your further situation or income does not matter for this product.
And a BKR assessment is also not necessary , so that you are eligible for this even with a negative BKR registration. This makes the application process very fast, already within 5 minutes. And after approval, the money will be in your bank account within 24 hours . This makes it a good solution in emergencies and financial emergencies.
In the Netherlands there are two providers for this: Money Now , the worldwide market leader, and the Dutch counterpart Saldodipje.nl . Incidentally, their conditions are exactly the same, so they are subject to exactly the same regulations and control by the AFM. There used to be many more parties, but due to many abuses, the AFM intervened here. So you can trust these two parties.
However, see these types of credits as bridging . The terms are short: 15 days to 4 months, depending on how much you borrow. But useful if, for example, you already want to buy a new camera for the holiday of your life, or if you really need to replace your car because your previous one can no longer be repaired. And so you can think of some situations.
But you must be so with probability bordering on certainty that you have about 15 to 124 days somewhere receives money to pay off again! For example an extra benefit, refund from your energy supplier or something like that ...
Do you realize that this short term also brings a big advantage, because this makes the absolute interest costs a lot lower. After all, you pay interest per unit of time! Two calculation examples:
Suppose you borrow 400 US dollars . Then you have to pay this off after 30 days, plus the interest, which is then 1.97 US dollars .
If you borrow 600 US dollars, you have to pay it back in two equal installments: half after 31 days and the rest after 62 days. The interest will then cost you a total of 7 US dollars .
If you need more than the 2000, there will be more hassle involved. There are a number of things that play a role in this:
Unlike many other benefits, your AOW and Pension are reasonably 'fixed'. They do not expire, you cannot just lose them and they are not simply adjusted downwards. The lenders know that too. That is why they often count your income from this as normal income for 100%, so that there is no difference with borrowing while you would still have worked.
However, only an AOW income is quite limited and will not give you much room to borrow. However, supplemented with a pension scheme, this can be much more. But then the banks are still not in line to just give you a bag of money ...
The problem in addition to security of income is also your age. The older you are, the more nervous lenders become. That is why a limit is often drawn to when you can apply for a loan, for example up to and including 74 years ... This limit has become increasingly higher in recent years, now that the retirement age is also shifting.
But that's not all. The terms of the loans also get shorter when you are older. So you have to pay back earlier and faster, so with larger monthly repayments . Do you realize that when you go for a loan. At the bottom of the line, you may pay less interest, but being able to meet the terms becomes more complicated.
Bottom line: you should not think that as a pensioner you are no longer eligible for a loan! There are still more than enough options . In addition, one institution applies different rules than the other organization. For example, many banks have special senior loans or similar products.
Anyway, we want to encourage you as much as possible to simply request quotes for loans… just have a conversation and see what is possible. Ultimately, it is just extra business for them if they can sell a loan. And certainly with an aging population, the older group is becoming an increasingly important market that people want to jump into.
Below you can see the best loan interest rates at the moment. This overview is continuously updated. You can go directly to the providers for a quote, or via “all loan rates” make a more extensive comparison for, for example, certain loan types such as personal loans or revolving loans .
Are you really unable to get a loan? Then a guarantor can always offer a solution. You often have to find it yourself. They must then pay off your loan if you unexpectedly fail. You usually approach family, friends or acquaintances for this. Unfortunately, not everyone has this option.
With a mini loan / flash loan via Money Now or Savings Hand you can also have a guarantor arrange for you. That costs something, but then you do have your loan! And then you don't have to ask someone in your area to help you financially, that can be quite complicated or maybe even a bit embarrassing. Although we think you should be able to ask!