Ethics and Principles Important in Getting Payday Loans from Individuals

In some emergencies, we may need help from others such as payday loans from individuals to get additional funds. Although borrowing money from other people may be a lot of things to avoid, there are a number of conditions where financial conditions are difficult and it turns out we are faced with problems that require additional finance so getting a loan from someone else can be one of the quick solutions to get cash. When we do not have the preparation or reserve of funds for some unforeseen conditions, maybe we will really need financial assistance from other people when we suddenly get a disaster like a sick child and need treatment in a hospital, or other emergency conditions. See megaera.org for an observation

At this time, you might find several financial solutions from various financial institutions that provide loan facilities. However, most of these facilities require several requirements and processes to be able to get the loans we need. Given this, many people choose to get payday loans from individuals because in addition to the faster process it also provides its own convenience. Of course, when you want to borrow money from others whether from friends or family, you should not forget some of the ethics or principles in borrowing the borrower.

Lifestyle check when borrowing money

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The first thing that is important to consider when going to borrow money is to check how your lifestyle is. Even though you are a reliable financial manager in the company, this cannot be a guarantee that you are among those who are good at managing your personal finances whether to plan a regular budget, unexpected budget, or others. When you are among those who can not pay attention to the budget and often spend money without accompanied by planning, then you should take a firm and disciplined attitude if you take a payday loan from someone else.

Except in emergency and forced conditions, as much as possible you should not make debt or borrow money from others as a habit. Although you may be able to pay the debt on time every time you borrow money, it is not best to be in debt as a habit except in really forced and emergency conditions. If you have other non-money assets such as gold or other valuable objects, you can sell it to get money or make the property as a guarantee when you borrow money from others because this can be a form of your responsibility for what you borrow .

Make payday loans from other individuals to friends or family

Make personal loans from other individuals to friends or family

You should ask for proof of borrowing. When lending and borrowing money with friends or family, many people often do it without black and white proof because they think that it is not important and only based on trust. To provide comfort and security for both parties, you can arrange a loan letter and ask the person who will lend you money to review and examine the loan document. By making proof of the loan, this can show that you have good faith in the loan and can return the loan as soon as possible.

Another ethics that should be considered in borrowing money is to repay the loan in accordance with the promised time and it will be even better when you can return the loan as soon as possible. If you are dealing with a condition where you cannot repay the loan within the promised time, you should inform the lender. This can be one way to maintain your integrity and reputation in the eyes of those who provide loans. When you can return a loan, you should also add a little of the loan principal. Of course, you should express your gratitude to those who have helped and provided loans to you.

Getting a loan from someone else from someone close to us or not is not wrong

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Especially when we are in a desperate condition and need money as soon as possible. When you get help and loans from other people, you should also prepare yourself and open your heart when there are other people who want to borrow money from you, especially when you are in a field condition. By maintaining trust when you get a payday loan from an individual , this will certainly make other people who lend you still feel safe and comfortable.

How to apply for a loan?

If you have the need and need to apply for a loan , you must proceed carefully point by point.

Here’s how to apply for a loan, step by step


First of all, it is necessary to understand which type of financing is the most suitable, based mainly on personal characteristics (amount needed, working situation, possible availability of guarantees, etc.), both in relation to the intended use. do it (purchase of a car, home renovation, furniture, need for liquidity, health care, etc.).

After that, you need to start making a selection of finance companies that offer the type of loan you are interested in and then apply for funding. The application usually takes place by filling out a request form, to which the documents listed on the same must be attached. Among the various documents to be submitted for requests for this type of loan, in addition to the identity document and tax code, the following are generally required:

  • the paycheck;
  • the cud model;
  • tax return;
  • a copy of the latest bills paid.

Upon receipt of the documentation, the credit institution will proceed to a careful evaluation of the loan request , therefore, deciding whether the applicant is eligible or not. Afterwards, we will evaluate what is the maximum amount of the installments, which the subscriber can afford to pay.

It is useful to remember that the methods for selecting the probable customers differ from one financial to another. For example, if for a financial or credit institution the evaluation is positive, for another it could be the opposite. This happens for the different evaluation parameters used. In many financials, credit scoring is considered, that is, the punctuality of payment of the applicant , recorded up to that moment, and its possible indebtedness with other institutions.



In other cases, other factors such as income level and creditworthiness can be considered. For this reason, it is advisable to send the loan request to multiple credit agencies, in order to have more opportunities for success.

Then you have to check the conditions and rates applied that can differ between the different entities, therefore with more offers you have a greater choice that allows you to establish which are the best conditions.

What is the age limits for a loan?

What is the maximum age to apply for a loan?

What is the maximum age to apply for a loan?

For some time, when it comes to loans, many have been wondering if there is actually an age limit or not.

Looking at the regulations envisaged by the main credit institutions present in Italy, we can say that the limit is up to 75 years of age. These do not have to be done when paying the last installment.

Obviously there is a reason why this age was chosen since many banks consider it fundamental to have a certain guarantee of returning the money in advance.

And if we take into account that life expectancy tends to drop beyond 75 years of age, we understand why many banks have set this type of limit. A very important aspect that should be considered is that it is not the maximum age in which to apply for the loan, but the age that is reached for the payment of the installments foreseen for the repayment of the amount of money to the bank. Some notable exceptions for loans

The limit universally recognized by the main banks is that of 75 years

The limit universally recognized by the main banks is that of 75 years

For a loan. Yet it is worth mentioning some particular cases: there are certain lenders that guarantee loans even to people over 80 years of age, even though it is therefore a rather low life expectancy.

However, there are fundamental conditions that cannot be ignored, such as guarantees including good life insurance and also the possibility of paying a debt repayment in the event of death.

In addition to remembering that among the conditions there are also the pension, which must be high enough to allow the payment of the installments foreseen for that loan. And without forgetting an accurate assessment of the state of health which thus allows you to have a sort of natural guarantee as regards the person who receives the loan at 80 or even 90 years.

It should be noted that among the conditions provided for loans over 75 years there are also quite high interest rates based on increasing age: so a 90-year-old person will have higher rates than a 75-year-old.

The conclusions: what to know about loans beyond a certain age

The conclusions: what to know about loans beyond a certain age

When it comes to loans for people of advanced age it is good to remember that many lenders provide guarantees of a certain level. So this is certainly not an easy possibility, but that some banks still provide. It is important to know that the loan term is calculated taking into account the future age of the person requesting it.

To understand this, one can think of a 70-year-old person applying for a loan : obviously a division of the installments will be studied in such a way that it does not reach an excessively high age and that it could be a problem not only for the person, but even for the same bank.

The maximum duration that is usually accepted is five years so that those who request it do not risk leaving a debt to be paid to their heirs and that there is a certain guarantee for the bank.


Budget and credit calculation: how is solvency calculated?

Whoever intends to apply for a loan must first be aware of the fact that this decision means making a long-term financial commitment. Therefore, it is extremely important that future creditors receive a loan, which corresponds to their income. How can you calculate your budget for a future loan and who to ask for an offer? Find out our expert opinion on this new article


Budget calculation is always required

Budget calculation is always required

Banks in Switzerland are required by law to calculate the applicant’s budget for each loan application (see LCC). This is called the so-called solvency check, the purpose of which is to protect the client from over-indebtedness. However, the law does not explicitly establish which elements are to be included in the calculation of the financial statements. But in principle:

  • The borrower is considered eligible for credit provided that he can repay the loan without getting into debt
  • This part of the budget is calculated differently depending on the canton.
  • A consumer must be able to repay his credit within 36 months, even if the contract may be longer.
  • It should be noted that these are basic requirements. Generally banks can also apply stricter criteria regarding the bugdet.


Budget surplus

Budget surplus

Different elements determine the loan capacity for a customer. The most important key figure is the budget surplus. It is the part of the budget that remains when several expenses are deducted from net income; a consumer must therefore have a positive balance to obtain a loan. The elements of the balance sheet calculation are:

This legislative regulation can be put into practice for individuals but also for married couples with or without children. In addition, banks set an estimate for costs that cannot be documented (e.g. basic expenses). However, all elements of the balance sheet calculation must be listed in the credit agreement.


Revenue, budget and credit: non-binding example

credit loans

The exact budget surplus depends heavily on the individual situation. We have created an example for you that corresponds to an average family * who would like to take out a loan in Switzerland:

Mr and Mrs. Valentino are married and have a son. They live in a rented apartment, he works 80%, she 20%. Overall, they have a net income of USD 8,000 per month. Their budget looks like this:

  • Monthly entry of USD 8,000
  • Monthly expenses of USD 6,500
  • Budget surplus: 1,500 USD

The maximum loan amount is calculated by multiplying the monthly surplus by 36. The Valentino family was thus able to obtain a maximum credit of USD 54,000.


Where can I get the best loan based on my budget?

Where can I get the best loan based on my budget?

As already mentioned, it is very difficult for non-professionals to calculate their credit budget exactly. The latter, in fact, depends on various factors. To get an accurate overview of your income and expenses and the maximum credit limit to be obtained, it is always advisable to contact an expert. Lite Lender has been operating in the credit sector for private individuals since 1999 and can explain all the details on credit limits and budget surpluses thanks to free and non-binding advice. Furthermore, through an independent credit intermediary, you benefit from its know-how in the processing of dossiers and its negotiating skills with banks, which often allow you to get better offers.

Revolving and dynamic credit: discover these solutions for SMEs

The credit market is constantly evolving. Not only do the credit conditions, interest rates, long-term maturities, etc. change, but the products themselves are constantly evolving. In our article we present two new SME financing products offered by Loanfix that meet specific needs.

Evolution of PMI credits

credit loan

The form of credit most frequently used by companies is “classic” SME credit. It is a loan paid in one go, the sum of which must be repaid at an agreed maturity in the form of monthly payments including amortization and interest. Companies can obtain such a loan from a bank or go directly to a specialized intermediary.

In terms of development, peer-to-peer has grown strongly in recent years due to the slow decline in banks’ dominance in the credit market. If you are interested in a simple corporate credit with or without a bank, Loanfix offers solutions for “classic” SME credits.

New types of credit: dynamic credit and revolving credit

New types of credit: dynamic credit and revolving credit

Thanks to constant innovation in the credit market, new solutions have emerged. These products differ from traditional loans in the way they operate while maintaining the same starting objective, namely the ability for a company to obtain liquidity.

Dynamic credit

Dynamic credit

Dynamic credit is a particular type of credit that can be viewed as an alternative to factoring. The company has a flexible credit limit to finance its needs. Dynamic credit thus eliminates the need to wait for customers to pay. This service is a specialized financial product that differs from conventional credit in several respects:

  • The amount granted directly depends on the annual turnover and the expected revenue.
  • Receivables from customers act as a guarantee for the amount received

Dynamic credit differs from other types of credit in that it is a product designed to accelerate cash flow and improve equity. Liquidity is not immediate, but the company receives a portion of the loan every time it makes a sale. Here are some advantages:

  • This service allows to obtain liquidity without waiting on the payment of its customers
  • It is a real alternative to factoring for example
  • Improve your cash flow

Renewable credit

Renewable credit

Revolving credit is a type of credit that works similarly to a mortgage: the borrower receives a certain amount paid directly, of which he pays only interest. There is therefore no amortization during the term of the contract. At the end of the contract, the borrowed amount can be repaid in full, or the contract can be renewed (which is why it is called renewable or revolving credit ). In the second case, the firm continues to take advantage of the borrowed amount and pays interest on it. However, it is possible to convert the product into a conventional loan once the contract is finished. With this product:

  • Monthly expenses are particularly low because only interest is billed
  • The sum can be loaned in the short term (at least 6 months)
  • The repayment can be converted into an SME loan

These two new types of credit have only recently appeared on the Swiss market – inquire with a specialist with Loanfix, who offers revolving credits as well as specialized advice for companies seeking liquidity.

Trust a specialist

When an innovative product arrives on the market, the beneficiaries of the loan do not yet know the details and particularities. It is therefore important to obtain information from a competent consultant. Loanfix is a financial market expert who, in addition to loans, also offers new types of products such as dynamic credit or creditp revolving. We recommend anyone who wants to get a loan to request detailed information on the functionality of a new product and to analyze the situation of their company. You will find all this on Loanfix.

The customized loan for employees and retirees

Features and Requirements. Expenses in sight and little liquidity? If you are a permanent employee or a pensioner, you can easily obtain financing through the so-called assignment of the fifth. It is a form of personal loan which can only be accessed by public and private employees, and, in fact, by pensioners.

Loan application process

money loan

In particular, in order for a loan application to be accepted, it will be necessary to:

  • Do not exceed a certain age limit if you are retired
  • Prove that you have a permanent contract for at least 2 years if you are a private employee. In this case, some lenders also require that the employer company meet some requirements regarding the size and number of employees.
  • Have a permanent employment contract with at least 4 years of seniority for workers employed in public and state administrations.

As can be deduced from the name, loans with assignment of the fifth are repaid in installments of an amount corresponding to the fifth part of the net paycheck received monthly.

Loans with assignment of the fifth 

They are normally provided by banks through agents in financial activity.

If the above conditions are met, banks and finance companies tend to make these loans rather easily, as their level of risk is very low. The repayment installments are in fact withheld from the monthly income of the financed person and paid directly by the employer or by the social security or other social security institution if you are retired.

For the same reason, this type of financing also has many advantages for consumers. For example, the provision of particular guarantees is not required, apart from the obligatory stipulation of an insurance on life and employment risks, aimed at protecting the lender from the risk of premature death or loss of work of the financed subject.

Combined loans

Can also be obtained from protestors and bad payers, and can be combined with other loans or mortgages.

Can also be obtained from protestors and bad payers, and can be combined with other loans or mortgages.

To obtain a loan with a loan of the fifth, it is sufficient to present the paycheck and the CUD model, together with an identification document and the tax code or health card. You do not have to specify the purpose for which you intend to allocate the sum requested on loan, unlike what happens with mortgages, for example.

The expert agents of the Reliance Group will be able to answer all your questions on this type of loan and will help you find your way in the credit products market.

Loans in agreement with the sale

Advertising message for promotional purposes. By filling out the form, the parties have no contractual obligation. The loans are disbursed with the approval of Astro Finance, for which Lending Agency operates as a single-agent financial agent promoting the financial products made available to the lending institution towards its customers. The loan request is conditional on the estimate, obtaining insurance coverage due by law pursuant to Presidential Decree no. 180/50.

The service does not guarantee the effective disbursement of the loan requested.

money loan

The Consumer has the right to obtain, before being bound by a credit agreement, the document of “European basic information on consumer credit” (SECCI) and a complete copy of the contractual text suitable for the stipulation. For the conditions of the insurance services, consult the information files. For the quarterly recognition of the average effective effective interest rates in force pursuant to the usury law n.108 / 1996, please refer to the table published by Lite Lender quarterly.

For customer protection rights and tools, consult the ABF guide.

Pre-contractual information is available in the specific Transparency section, at our offices and on the website of the lender. All content is for example and not limited to. The site aims to provide a broad but not exhaustive overview.

We always urge the user to get as much information as possible before accessing credit.

Although reasonable care has been used in collecting and presenting the information contained on this site, obtained through sources deemed respectable and reliable by Lending Agency, these are to be considered merely indicative and subject to changes over time according to the regulations or parameters of the lender.