One of the main activities of most domestic banks is the issuance of loans. Today, almost every financial institution provides loans to both legal entities and individuals. After reading this article, you will learn how many years you can take a loan.
Classification of existing loans
Today, most banks offer their potential customers short-term, medium-term and long-term loans. The former are issued for no more than twelve months; the latter can be issued for a minimum of three years.
Before you get a loan, you need to deal with another classification. Depending on the purpose of the loan, it can be:
- Consumer. This view is directly related to customer needs. Most often, people apply for a loan to repair or purchase household appliances. As a rule, these are not too large amounts issued on bail.
- Automotive. Already from the name itself it is clear that this type of loan is intended to purchase a vehicle.
- Mortgage. This loan is allocated for the purchase of housing. Usually we are talking about quite large sums issued for a long period.
In addition, there are loans for education or other urgent needs.
How many years can I get a loan?
Those who care about this issue should understand that, in accordance with the current legislation, domestic banks can issue loans to citizens who have reached the age of eighteen. However, in fact, financial institutions prefer to work with people no younger than 21 years old. And even then, only under very harsh conditions.
A young borrower must be officially employed and must have a stable income. Eighteen year old customers are usually given small amounts. However, many banks require a guarantor. In addition, young people who want to get a loan must present a military ID along with the main package of documents.
On what conditions do banks cooperate with young borrowers?
Citizens who are under 21 years old can get a loan in the amount of three hundred thousand rubles for a period of up to two years. However, they do not have to provide collateral and guarantors. But without this, one should not count on acceptable conditions with a low interest rate.
Having figured out how many years you can take a loan, you can not say how to increase the amount of the loan and the timing of its repayment. This can only be done if you have a surety or security deposit. As the latter, you can use deposits, real estate or a car. In addition to banks, young borrowers have the right to use the services of organizations specializing in the issuance of microloans. At the same time, do not forget that pawnshops and credit unions lend money at higher interest rates.
Basic rules for lending to individuals
To obtain a loan, a potential borrower must meet all the requirements that his bank selects. Among the prerequisites for all domestic financial institutions include age and a permanent job. Persons not younger than 18 and not older than 65 years can apply for a loan.
In addition, the lender and the borrower stipulate in advance a list of necessary documents that the latter must collect. As a rule, among other securities, a certificate of income is required. Also, many domestic banks are asked to provide a document confirming that the potential borrower has a permanent residence permit.
Conclusion
Now you know how many years you can take a loan and what binding documents are needed for this. Based on all the above facts, we can conclude: the younger the potential borrower, the less favorable the conditions offered to him. Thus, banks are trying to protect themselves from the possible non-repayment of a loan, since many young people do not yet have a permanent job and a stable income.
In addition, citizens under the age of twenty-five should not expect to receive a mortgage. Since domestic financial institutions under no circumstances make such large amounts to young customers.