Urgently looking for an extra amount of money but do you want to keep costs down? An interest-free loan is increasingly being chosen. Money in your account within 10 minutes.
For some time you can urgently get a small loan via the internet.
Think of amounts up to 750 USD. These so-called flash loans or mini loans have been on the Dutch market since 2007. This has filled up part of the market that was not served before. Just think: until now, as a private person, you could only go to banks for personal loans and revolving loans. And often this was only possible if you wanted to borrow at least a thousand USD.
Yet there appeared to be many people who wanted to borrow smaller amounts of money. Research has shown that since the introduction of flash loans, the average loan amount of this type of loan is around 230 USD. Approximately 25,000 flash loans were granted in 2007. This provides evidence that there is indeed a need in the Netherlands for these small loans.
Since the middle of this year, the Netherlands Authority for the Financial Markets has adjusted its rules for every provider of flash loans. The reason for these adjustments was complaints from the market of the high interest rates that had to be paid when taking out a mini-loan. Interest rates of 25% occurred regularly. The change in legislation means that the interest% may not exceed 15%. So if you want to borrow 100 USD, a flash credit provider may charge a maximum of 15 USD for borrowing costs.
What you have seen in the market since June is that various providers now offer interest-free loans. With Saldodipje – one of the best known providers – you do not pay interest on a short-term loan. You can borrow interest-free up to 500 USD at Saldodipje.
How does it work?
You must first register for free. Upon acceptance you will receive a pin code and customer card. After this you can use the mini loan service. With that pin code you can then have your account deposited via the internet at any time from 50 USD to 500 USD.
In short, interest-free borrowing has been possible since June this year.