Payday loans have nowadays become the most used solution for financial emergencies in Greece. Online lenders give loans regardless of bad credit scores. After successful application, funds are deposited directly in your bank account within two days or even 15 minutes in some cases. With the loan, you may use it to pay for emergencies such as an internet subscription that you forgot or fixing your car.
The application process for payday loans in Greece is simple with no visits or collaterals. The loans provided are short term though the interest rates are a bit high compared to other lenders such as banks. One of the requirements of getting this type of loan is for the borrower to have a regular source of income as the lender relies on it for repayment.
The Payday Lenders in Greece
In case you need quick cash in Greece, you need to opt for payday loans as the application process only takes 5 minutes. Besides, everything is done online. The following are some of the payday lenders in Greece:
e-loan is a lending platform provided by Winbank. The application process is done and can be submitted on Winbank web banking. The bank evaluates your application and sends you a contract to sign if the loan is approved. You then receive funds in your account directly. Borrow from £500 to £15000 and repay it between 6 to 84 months. The company’s loan approval fee is £200.
ALPHA Bank provides you with the opportunity of borrowing up to £5000 and repaying within 60 months. However, to get a loan, you must have an Alpha Bank account and your personal and financial details should be up to date.
In making an application, you can use the myAlpha mobile app on your phone or myAlpha web on your computer to apply. The bank will assess your application and approve it then disburse the amount within no time. The company’s interest rates are fixed (13.5%p.a.). Besides, there is a £60 application fee that is automatically deducted as soon as you get funds.
Express Personal Loans
EXPRESS Personal Loans gives you the opportunity to acquire a loan instantly through an online application to cater to your small needs. You can get a maximum amount of £6000 and a 65% discount if you apply through a mobile app or the internet. As a borrower, you can register on i-bank statements to receive statements via email each time you transact. The good thing about this company is that you can start paying using installments 30 days after borrowing at a floating interest rate.
Qualifications for Getting a Payday Loan in Greece
First, to qualify for a payday loan in Greece, you should be in a position to access the internet or a mobile phone. This is because the application is made online. Secondly, all the lenders require you to be at least 18 years of age.
Apart from the above two, you should have a regular and steady monthly income just like in the Netherlands. However, the minimum amount varies from different lenders. Also, a permanent residential address is needed. This is because the lenders also need a valid identification document to approve your loan. Lastly, one should have an active bank account. It is the bank account that
What to Consider Before Taking a Payday Loan
Payday loans are expensive due to their short-term nature. Because of this, you should always work on a budget prior to applying for the loan. You have to be sure if you are capable of repaying the amount you want to borrow. Besides, ensure you understand the terms and conditions before signing the agreement.
Furthermore, before taking payday loans, ensure that you only borrow from licensed lenders. You may also try other options with lenient terms such as cash advance before rushing to payday loans. In short, avoid them if you are already struggling with debts. This is because they will just put you in more debt. Lastly, compare several lenders and choose the best one.
What to Do After Taking a Payday Loan
To avoid being trapped in a payday loan cycle, be extra careful about what you do with the money when you already got it. Always work within the intended budget. In addition, keep a record and a reminder of when the loan is due to avoid penalties. Moreover, canceling a payday loan in case you get funds immediately after taking it can save you on interest.
Authorization of Payday Lenders in Greece
The Bank of Greece has the mandate to authorize all banks established and operating in Greece according to the law. Lenders and creditors that fail to meet the qualifications required are denied a chance to operate. A license application is presented to the BoG which determines the content through the Banking and Credit Committee Decision. BoG also regulates the operation of the finance firms after authorization
Risks Accompanied by Payday Loans and how Escape Payday Loans
Payday loans can ruin your credit score in case you don’t pay them back. Besides, some lenders use unpleasant collection methods. As a Greek, payday loans can make you fall into a long-time debt trap. The reason is that the loan duration is minimal.
In escaping payday loans, try saving money every month for possible emergencies to reduce the need for payday loans. Besides, you may try creating a monthly budget and use it strictly. Lastly, have the financial discipline and live within your means.
Alternatives to Payday Loans
Consider taking a salary advance instead of rushing to payday loans. Just like payday loans, you can get cash advances you get fast access to cash. You do not have to visit the banks for you to get one or even wait for the long approval processes. Basically, with a cash advance, you get immediate cash as well as an immediate response.
Another alternative is to borrow money from family members or close allies. Also, you may try making an application for a bad credit loan because you might qualify to get one. You can discuss with your creditor a good payment plan that can allow you to pay small amounts over a long period. Lastly, you may seek assistance from a voluntary credit counselor or even get a side hustle in your free time to earn an extra coin.
What Happens if You Don’t Repay a Payday Loan
Failure to repay a payday loan may incur further charges like reminder fees and rollovers. Apart from that, payday lenders have access to your bank account and can drain all your wages without your consent. In some cases, you may receive bad threats from lenders. This is because they can forward your name to debt collection agencies. Also, you should remember that payday loan default can affect your credit score negatively. However, the good thing is that you can renegotiate a repayment method and reduce your loan to zero.