Sweden ranks among the best countries worth visiting for anybody looking to tour Scandinavia. Also, Sweden welcomes people who want to work, study and live in the country for longer period. You will rarely read or hear about cases of racism or discrimination in Sweden because it is a community that believes in the connectedness of humanity. But, I don't mean to say that subtle racism and discrimination is non existent, only that they are rare. Enough of the brief about Sweden...lets shift to tips for escaping financial mess in the country.

One thing that is a guarantee is that anyone gets a living wage and with proper plan can afford whatever stuff. However, once in a while things go awry and the budget can't just add up. Or better still, you have this nice item on discount but lacks enough money to buy it at the money. If you wait until the salary date, the discount shall have ended. So what is the option? Payday loan. Payday loans in Sweden saves you the embarrassment of having to bother friends or relatives to lend you money. Its the safest and easiest way out of the small shortfalls in your budget.

Getting started with Payday loans in Sweden

Payday loans, also known as SMS loans have recently gained popularity in Sweden. You stand a chance to get a short-term loan through a simple application. Paper works or phone calls are not required as the application is done online. The payday loans in Sweden have brought financial relief for many people since emergencies can be easily sorted out fast. You just have to work on the budget before borrowing.

SMS loans are given to people living in Sweden with a permanent address. Most lenders require you to be at least 18 years. Also, a monthly income is a must but the amount varies from different lending platforms. For some loan providers, the loans are automatically deducted from your next salary in installments.

The payday loans in Sweden don’t take your valuable property as security for loans as it is in Luxembourg. Upplysningscentralen is the main agency mandated to do credit ratings in Sweden. It determines if you are able to repay the loan you are about to take.

Things to Consider Before Applying for Payday Loans in Sweden

First, you need to ensure that you only borrow what you require. For instance, if you just need 2000 Swedish Krona, there is no need of borrowing 3000 kr. This is because you might find it challenging to repay the money. Even when the sum offered is appealing, you do not need to take it if you do not need it. Remember, they also have high repayments.

Secondly, you need to take time and shop around. Different lenders have varied terms and conditions as well as interest. Because of this, you need to consider the one with good product features, a flexible repayment plan, and cost charges.

Lastly, you need to pick your lender carefully. Even though most of the lenders do adhere to regulations set by Swedish Financial Supervisory Authority (Finansinspektionen), some do not. Therefore, you need to ensure that the lender you have chosen is regulated by Finansinspektionen.

The Top Payday Lenders in Sweden

Flexkontot

Through a flex account, you can borrow from SEK 3000 to SEK 30000. The repaying duration is flexible. The interest rate per month is 3.29%, but the effective interest rate depends on how long you repay the loan. They use Bisnode instead of UC for credit ratings. The minimum amount to be repaid monthly is 8% of the loan balance. However, remember that late or no loan repayments subjects you to extra charges. Besides, the firm offers loan protection due to health-related issues that can lead to unemployment or sudden death.

CAPACREDIT

A minute application can earn you a loan from SEK 1,000 to SEK 600,000. Funds are deposited directly to major banks in Sweden. The interest rate is 39.48 p.a. Also, effective interest depends on the amount of loan taken. For instance, a loan of SEK 10,000 will amount to a 69.3% effective interest over a period of 12 months. You can get money anytime during the day once approved. Even though there are no application fees for loans,late repayment can lead to penalties.

Saldo Loans

Saldo offers you loans without Upplysningscentralen. SMS loans are between 1000 to 5000 kr, to be repaid within 11 months. It takes 3 minutes to complete the application process. You get money directly into your bank account a few minutes after approval. If you want to withdraw again just send an SMS to Saldo. Remember, you can only withdraw within your credit limits. The company conducts your credit check via bisnode.

Northmill

Borrow from SEK 1,000 to SEK 50,000 and get funds instantly. You can withdraw anytime round the clock. Members of Swedbank, Nordea, SEB, and Handelsbanken receive money the very day they are approved. You get individual interest rates according to your credit ratings during your application. The interest rates range from 4.9% to 20.9%.

Furthermore, there is a free buffer connected to your accounts that lets you borrow anytime you need. Northmill allows you to secure your credit at a monthly cost of 6.4% of the current balance. How you repay your loan is your choice but it should be at least SEK 200 whatsoever. Northmill is determined to help you make excellent financial choices through its relevant product and services.

Advisa

At Advisa, you can get private loans here with low-interest rates. Advisa acts as a mediator between you and more than 40 private lenders. You can apply for loans between SEK5,000 and SEK 600,000. Unfortunately, you cannot borrow more than 80% of your annual income. Apply for loans easily and get money directly into your account within the first or second day.

You can combine several loans into one large loan to reduce the interest rates. Once you submit your application, it is sent to all the 40 partners and they reply by sending you, their bids. You, therefore, choose the one with the best deal. If you encounter difficulties in borrowing, use a co-borrower. Generally, Advisa is a loan broker between borrowers and lenders.

SMSPengar

SMSPengar IS among the oldest payday lenders in Sweden that uses modern technology in lending. Their products contain SMS loans and flexible credits. You can easily create an account credit on their website in no time without paperwork. After creating the credit account, you can withdraw within your limits of up to SEK 30,000.

The good thing with SMSPengar is that they can give you a 2 months payment break if you apply for it. If you have major bank accounts in Sweden you get the money directly in no time. No hidden extra fees for SMS loans such as applications or annual fees. Besides, withdrawal charges are SEK 95 each time you transact. However, delaying repayment can attract reminder fees and further penalties.

Payday Loans Precautions in Sweden

You should always come up with a budget before engaging in a loan. Make sure you come up with a good repayment strategy. Ensure the company you want to borrow from is licensed and supervised by the Swedish Financial Supervisory Authority. Do thorough research about many different lenders and choose the one with cheaper rates and good terms and conditions. Always repay loans in time to avoid penalties.

Advantages of Payday Loans in Sweden

The main advantage of taking a payday loan in Sweden is that they are easy to access. Basically, after an application, you will receive your money within 1 hour. For some, it reflects in 15 minutes. Thus, it saves time as compared to asking friends and relatives who may promise to give after days or weeks. Basically, they are the best for emergencies since they take less time to process. Besides, they are available 24/7.

Anyone can get a loan from SMS lenders regardless of their credit rating. When comparing these kinds of loans to the traditional lenders they are better as they do not need a good credit history in being approved. Also, even those with poor credit history are usually approved. This also means that they do not help in building your credit history.

The application process is easy and fast. It just takes about five minutes for you to fill out the forms. You can also opt for credit cards. With credit accounts, you can withdraw anytime within your limits just like debit cards. Moreover, the requirements are friendly. For instance, they will need your address, name, phone number, account number, email, and others.

Disadvantages of Payday Loans in Sweden

You can easily find yourself in a long-term debt circle. They attract high-interest rates which become expensive in the long run. They can ruin your credit ratings in case you fail to repay within the given period.