The essential conditions to know for a loan from the bank

Today to start the realization of a personal project, for a real estate purchase or to face financial contingencies, the use of bank credit is an effective solution. However, be aware that it is not always easy to get a loan from the bank. Indeed, today, banking establishments are more and more demanding. So, to help you better prepare your loan, let’s see in this article the different conditions for borrowing from the bank. Read for a critique

Present a considerable personal contribution

Present a considerable personal contribution

Most banking institutions require a personal contribution from the borrower among the conditions for obtaining a loan. Most often, this contribution is essential especially in the context of mortgage. Generally, it should represent between 15 to 20% of the sum borrowed. However, not all banks always require the presentation of a personal contribution. For example, on the fast online credit list in Belgium you can find loans without down payment.

Have fixed and regular income

Have fixed and regular income

Among the bank’s first concerns, the financial situation is a priority. To assess this situation, it will then take into account your income. Your borrowing profile will be convincing if you have fixed and regular income. Also, the bank will take into account your different expenses and your repayment capacity. In fact, if you have too many monthly expenses, your remaining living will be low and you will no longer be able to easily repay your loan.

Be professionally stable

Be professionally stable

Also, professional stability is also considered by the bank to grant a loan. Indeed, an open-ended contract will be more reassuring for the bank compared to a fixed-term contract or an interim contract. In fact, many banks will refuse to grant credit to an employee on a fixed-term contract. Except in the case where you plan to borrow as a couple and your spouse presents a reassuring contract for the bank such as the official contract established.

Have a low debt ratio

Have a low debt ratio

The debt ratio is a condition for granting credit. However, there is no specific maximum prescribed by law. Thus, it will be up to the credit organization to specify the debt ratio acceptable to the borrower. Most often, the bank will also calculate your debt capacity based on your other credits. So, to be sure to get your loan easily, it is better to end your previous credits or consider making a loan repurchase.

Be young and healthy

Be young and healthy

Theoretically, the health of the borrower is not really a condition for obtaining the bank loan. However, a young and healthy borrower is most likely to get credit because they have the capacity to repay. Also, this is the reason why borrower insurance is required by the bank. It is a guarantee of repayment even in the face of possible unforeseen events such as dismissal, illness resulting in incapacity or also the death of the borrower.

Works loan: renovation credit to renovate your house

The work loan is a personal loan that is perfectly suited to the renovation and transformation of your home.

There are 2 types of credit allowing you to carry out your work:

  • Either, you finance your work through a mortgage loan while knowing that this type of credit generates a multitude of costs, a certain length to obtain the decision and the provision of funds (a notarial act is required)
  • Either you contract your works loan via an installment loan at preferential rate. Being much faster, the decision is obtained during the day and we only need quotes to carry out this one. The funds are generally made available within 24 hours of signing your credit contract and the entire amount is paid into your bank account.

How to apply for a work loan?

How to apply for a work loan?

We strongly recommend that you take out your credit in the form of an installment loan for real estate. Not only do you get a quick response, usually within an hour, but the funds are immediately available to you once your credit is signed.

To submit your work loan request, you just need to:

  • apply for a loan online
  • Gather the necessary quotes
  • Prepare a front / back copy of your identity card
  • Prepare the last original salary slips received (those for the 3 months preceding the request)
  • Prepare the last 3 bank statements proving the income found on the original salary slip
  • Prepare the last warning extract from the roll received from the property tax (the cadastre)

You must not send us any documents after submitting your request. If there is agreement, we will ask for them during our meeting.

How much can I borrow without owning?

How much can I borrow without owning?

Unfortunately, you cannot borrow for a work loan if you do not own your home. If you nevertheless wish to carry out some renovation work on the property you are renting, you can always take out a personal loan.

However, before carrying out the work and even before starting any procedure, you are advised to send an authorization request to your owner by registered letter. Without the agreement of the latter, you are formally advised against starting work because the owner may require, at the end of your lease, that everything be returned to the state in which you have rented the property.

Ready work does not rhyme with personal work

Ready work does not rhyme with personal work

If you want to carry out your renovation work without going through a contractor, it is possible but not via a renovation credit. In this case, you must go through the personal loan. You can carry out a simulation on this page: personal loan simulation.

Renovation loan: representative example

Renovation loan: representative example

Below, you will find a concrete example of the renovation credit that we offer. If you wish to carry out personalized simulations, we refer you to our simulator dedicated to the renovation loan, click on the following link: simulation ready works.

  • Type of credit : installment loan
  • Duration : 84 months
  • APR : 2.85%
  • Monthly payment: 420.14 dollars
  • FIXED debtor rate: 2.85%
  • Amount: 32,000 dollars
  • Total cost: 35,291.78 dollars

Find a bank that offers a loan despite parental leave

If a salary is lost during parental leave, it is often more difficult to obtain a loan. The parent who applies for parental leave only receives 67 percent of the previous net income for a period of 12 months. In addition, due to the newborn child, of course, expenditure increases accordingly.

Of course, it can also happen during this time that a loan is required despite parental leave due to an urgent purchase or an additional payment for the additional costs. In this case, it is important to carefully examine the available loan offers to find a bank that offers a loan despite parental leave.

Why banks often refuse a loan despite parental leave

Why banks often refuse a loan despite parental leave

Since parental allowance is limited in time, many banks do not count this as actual income. This is especially true if the term of the loan is longer than the promise of parental benefit. Since the mother applies for parental allowance in most cases, many credit institutions fear that she will not return to her previous job after the twelve months. This would drastically reduce the income available to the family after parental leave, which means a significantly higher risk for the bank.

Who gets a loan despite parental leave?

Who gets a loan despite parental leave?

In the event that the term ends within the time limit for the parental allowance, the bank will in any case also recognize it as income. If the amount of the parental allowance is sufficient, the bank will usually also approve the requested loan. Of course, there is also the option of including the spouse as a second borrower in the loan agreement. Its income is then also taken into account. Single parents, on the other hand, find it much more difficult to get a loan despite parental leave.

In order for the loan to be approved, the payment of the parental allowance must be proven in any case by submitting appropriate bank statements. Evidence must also be provided of the period for which the parental allowance was approved. If the recipient of parental benefit then resumes his previous work, an additional certificate from the employer stating that the employment relationship has continued after the parental benefit ends.e now

Renovation work loan: all you need to know

Every owner must from time to time do work in his home. Subscribe a work loan can be a good solution to help you finance these renovations. This article explains the essentials to know on the subject.

What loan for renovation work?

What loan for renovation work?

There are several ways to finance work.

There are two types of credits:

  • Mortgage credit : relatively long to obtain, it will require your patience and will incur a certain number of costs before releasing the funds. For example, a notarial act is required. It is generally used to buy housing rather than a simple renovation
  • The work loan : more suitable for the work of the house, the “work loan” or “renovation credit” can be obtained within 24 hours. You will be asked for a simple proof (quote) for its installation. Funds are released very quickly (24 hours after signing the credit contract)

A work credit can be set up as part of a future resale of a property, an extension of your accommodation or as part of a loan for energy renovation works. Think about it!

Conditions for acquiring a loan for renovation work

Conditions for acquiring a loan for renovation work

Acquiring a work loan requires you to own the property to be renovated. However, if you wish to plan work (or an extension) as a tenant, this is possible by means of a personal loan.

Please always obtain written authorization from the owner of the premises by means of a registered letter. This written confirmation is very important because it protects you. In the absence of this, the owner can end your rental contract and ask you to return the accommodation as it is (before work).

The work loan requires you to go through a building professional. If you feel like a do-it-yourselfer and looking to acquire equipment to do the work yourself in your home, then you will have to go through a personal loan.

What documents must be provided for a work loan?

What documents must be provided for a work loan?

Building a file for the request for a renovation credit will require the following supporting documents:

  • The identity card (s) of the borrower (s)
  • The bank card where the funds will be paid
  • Detailed quotes for planned work
  • The last 3 pay slips for employees
  • The last warning extract from the tax roll received for the self-employed
  • The last bank statement received for the following income: unemployment benefits, work accident pension, mutual fund income,…
  • The warning extracted from the roll received from the property tax ( source )

Amount and duration of credit

Amount and duration of credit

It is imperative to have the amounts validated by your institution before starting work. You must bring the invoices or quotes issued by the contractor (or the architect) in order to agree on a loan amount.

Each bank has its prerogatives regarding the amount of the renovation credit and the repayment period (ranging from 6 to 120 months).

Do not hesitate to consult our work ready simulator to make a request quickly.

Types of work for my renovation

Types of work for my renovation

Whether it is minor work such as renovating your toilet, changing a bathtub or a more substantial development such as adding living rooms, work loan is undoubtedly the best way to borrow money. money in Belgium.

Renovation loan: discover our practical guide


The renovation loan guide is there to help you! You will discover everything you need to know to make a work loan or an energy credit in the best conditions. We will explain the whole procedure to you. Ready? Let’s go!

Works loan or renovation credit?

Works loan or renovation credit?

You are probably wondering what is the difference between these two types of loan?

Major difference

  • If – 50% of the amount borrowed for renovation work is work to save energy we call it work loan
  • If more than 50% of the amount borrowed for renovation work is work to save energy, we call it energy credit


Imagine that you borrow 20,000 dollars, you plan 9,000 dollars to place photovoltaic panels and 11,000 dollars to place a fence around your garden. As – 50% of the planned works are works to save energy, we are talking about a work loan.

Conversely, if 11,000 dollars are planned to place the photovoltaic panels and 9,000 dollars to complete your fence, in this case, you can benefit from an energy credit.

What about personal work?

What about personal work?

Unfortunately, you cannot take out a renovation loan to carry out the work yourself. You must go through contractors. If you still want to do the work, you will need to take out a personal loan.

Renovation loan with or without mortgage?

Renovation loan with or without mortgage?

Without hesitation, we advise you to take out a renovation loan in the form of an installment loan.


  • You do not pay notary fees
  • No booking fees
  • You receive the total amount borrowed from your account


  • You must have the work done by contractors

However, you might consider doing some personal work with the amount requested. Indeed, 20% of the amount requested must not be justified. This percentage can be used, among other things, for personal work. The percentage accepted depends on each organization, read the conditions of each organization consulted.

You no longer have any interest in taking out a renovation loan in the form of a mortgage because it is no longer tax deductible.

Loans for foreigners – foreigners

An increasing number of foreigners live in our country. Some of them come for a short time for work, while others live in Poland permanently. No wonder that loans for foreigners are an increasingly popular topic that we hear about almost everywhere. Can emigrants from other countries take our payday pay with us? What documents are necessary to get loans for foreigners?

Payday loans for foreigners – what are they?

Payday loans for foreigners - what are they?

Each of us has heard about payday loans, and an increasing number of people use this type of loan. We can obtain them thanks to non-bank companies that allow borrowing even for indebted persons. To get the payday loan, all you need to do is present basic documents (e.g. ID) and go through a short verification process.

Often, parabanks meet the expectations of customers and do not even check the BIK or KRD database. Thanks to this, even people with bailiffs can take out loans. While the matter is uncomplicated in the case of Poles, payday loans for foreigners are still a great unknown. Can a person from abroad get a loan while in our country?

Is it possible to take a loan for a foreigner in Poland?

Is it possible to take a loan for a foreigner in Poland?

Obtaining payday pay in Poland is associated with the need to meet several basic conditions. Among other things, you must be an adult and have Polish citizenship. It is also necessary to live in the country. According to the internal regulations of parabanks, a foreigner who has the status of a foreigner but is not a Polish citizen will not be able to apply for payday pay.

Very often, to get loans online, you must have a bank account in one of the Polish banks. This type of issue definitely makes it easier for companies to verify the applicant’s identity. Parabanks also require a PESEL number, which identifies the person and is only valid in our country.

What conditions must be met to get payday pay?

What conditions must be met to get payday pay?

To be able to apply for a loan in Poland, you must:

  • Be of legal age;
  • Have Polish citizenship;
  • Living in Poland;
  • Be a person fully capable of civil law actions;
  • Have a bank account with a Polish bank (this issue can be bypassed, for example, by taking a loan for a GIRO check);
  • Being creditworthy – loan companies used to pay attention to the creditworthiness of applicants. Currently, more and more parabanks are moving away from checking credit history databases and the debtors register. Thanks to this, loans are possible for people in debt. Loan companies propose, for example, payday loans for people with bailiffs, which is a great alternative to bank loans that people who are not indebted will not receive.

Payday loans for foreigners – when possible?

Foreigners who permanently settle in Poland and have citizenship may apply for payday pay. To get loans for foreigners, several criteria must be met. First of all, the applicant must have a valid passport. It is also necessary to have permanent employment in the country and documents proving stable income.

Getting a long-term resident status is also very important here. Having this status gives foreigners the opportunity to stay permanently in Poland and take up employment here. If a foreigner has already applied for a permanent residence card but has not yet received it, he may present a temporary residence card.

It is also necessary to obtain a PESEL number, which is assigned to every Polish citizen. People who want to apply for payday payers for foreigners and have Polish citizenship but have not received a PESEL number must submit a special application for issuing it to the commune office.

Some loan companies also pay attention to credit standing and credit profile. To this end, foreign bases from the country of origin of the applicant are checked. Thanks to this, it is possible to minimize the risk of non-repayment by a foreigner.

How to get a permanent residence card?

How to get a permanent residence card?

To use the services of companies offering payday loans for foreigners, it is necessary to have long-term resident status. This is a person treated equally with Polish citizens. She has the right to work, education, social assistance and social advantages. However, it is forbidden to work in another country.

To obtain a resident card, you must have been in Poland for a minimum of 5 years, in which you regularly receive legal income for at least 3 years. It is also necessary to have the right to residential property in any form.

It is also worth knowing that a foreigner applying for a permanent residence card must know Polish at a good level, and this issue should be documented, e.g. with a school-leaving certificate in Poland or a course diploma.

Will a foreigner get a loan in Poland?

Will a foreigner get a loan in Poland?

People who came from other countries who think that in Poland they can only count on receiving payday pay are very mistaken. Banks meet the expectations of foreign customers and direct their credit offer to them. However, in this case, the financial loan situation is the same as for payday loans.

For a foreigner to receive a cash loan, he must have a permanent residence card. This type of permit may take the form of long-term and tolerated stay, refugee status or subsidiary protection.

A foreigner may also be granted long-term resident status in the European Union. Thanks to the permanent residence card, banks have the ability to verify the applicant’s identity and receive information about their legal stay in the country.

How the borrower requires a certain amount of a loan

Loans are the common way to successfully bridge financial shortages in the short or long term. As a result, every person is also entitled to a loan from the bank of their choice, provided the necessary conditions can be met. Similar to how the borrower requires a certain amount of a loan, the bank also has claims against the borrower.

So he has to repay the borrowed amount including the accrued interest on time and in the agreed installments, otherwise dunning costs may arise and even a garnishment procedure can be initiated. The candidate must also provide the bank with a number of guarantees before borrowing. Specifically, this is the bank’s creditworthiness evaluation, which the potential borrower must successfully pass.

Take out a loan despite Credit Bureau

Take out a loan despite Credit Bureau

During the evaluation, the current income situation with the regular costs incurred by the borrower and other collateral, such as checking the Credit Bureau entry, is adequately checked. Overall, an internal formula of the bank is used to determine whether the borrower is even able to repay the loan.

In addition, a credit line is defined, which is used to define the maximum number of loans a person can have. It is therefore difficult to take out a loan despite Credit Bureau and as an apprentice, because trainees have an income that is far too low and the bad Credit Bureau further reduces their creditworthiness.

Borrowing money as an apprentice – just how?

Borrowing money as an apprentice - just how?

Despite Credit Bureau and as an apprentice, the loan can only be taken out through a regular bank if the borrower can provide additional security. The most well-known security, and certainly also the one that is used most frequently by trainees, is the presentation of a guarantee. With this guarantee, trainees can significantly increase their own liquidity, since the guarantor’s income is now added to the loan.

Parents or grandparents generally act as guarantors for trainees and other young people. However, this guarantee is only possible if the guarantor himself has at least average creditworthiness or an average high credit line.

In spite of Credit Bureau and as an apprentice, a loan is usually simply rejected in advance without bringing up another person for the loan, so that the respective person never gets paid the sum. The reason is simply the bad creditworthiness of the borrower / trainee.

Due to the fact that the apprentice’s income is very low, the bank sees no scope that a borrower can use to actually repay the installments to the lender in due time and in full.

What is a cash loan?


The banks’ loan offer usually includes cash loans , which can also be referred to as cash loans and consumer loans. It is a financial product provided by banking institutions that allows you to pursue any credit purposes, although it happens that banks ask a potential borrower to specify for what purposes he would like to spend the amount of money incurred.

Pursuant to the Banking Law, a cash loan is granted on the basis of a written agreement, if it is contracted for an amount of at least $ 1,000. It is an agreement in which the bank undertakes to make available to the borrower for the period of time specified in the agreement the amount of cash intended for a specified purpose, and the borrower undertakes to use the loan under the conditions specified in the agreement. He must reimburse the amount of credit used, together with interest, within the previously agreed period (Article 69 of the Banking Law).

If a cash loan is granted in the amount of up to $ 255,550 to natural persons who do not run a business, for purposes not related to such activity, they will be also considered a consumer loan.

The Act of May 12, 2011 on consumer credit specifies in art. 3, that such a loan will be a credit agreement regarding a liability in an amount not exceeding $ 255 550 or equivalent to this amount in a currency other than the Polish currency. The loan is granted by the lender to the customer who is a consumer within the meaning of the Polish Civil Code. In particular, the consumer credit agreement is considered to include bank loan agreement.

The characteristics of a cash loan include:

  • any purpose of lending,
  • simplified credit procedure,
  • loan amount in the range from several hundred dollars to even several hundred thousand dollars,
  • relatively short loan period – from several months to 6-10 years.

Cash loans are granted only by banking institutions – banks and cooperative savings and credit unions for private clients and entrepreneurs. The customer can only be an adult who has full legal capacity. In addition, such a person must have sufficient creditworthiness and a good credit history at the Credit Information Bureau (BIK).

Cash loan – three types of liabilities

Cash loan - three types of liabilities

Banks can offer clients cash loans in various forms. There are basically three main types of cash loans that can be found in bank offers. Those are:

  • consumer loan, intended for the current consumption of the borrower;
  • overdraft – granted as part of a savings and credit account, allowing the use of a credit limit (the so-called credit line) after the client’s own money has been used; it is a revolving loan which is repaid after each payment to the account and its amount is again available to the borrower;
  • credit card credit – the card allows you to make transactions in stores and service outlets, and, if necessary, will allow you to withdraw money from an ATM, each time using funds granted as part of a cash loan to the customer.

It is up to the customer what kind of cash loan they will try to get. He can choose a standard cash loan with a one-off withdrawal of funds – to his own hands or in a non-cash form, to the indicated bank account – which is repaid in monthly installments. However, if a revolving credit facility for a ROR (savings and settlement account) or a credit card seems to be more convenient for the customer, then if the bank meets the conditions set by the bank, it can also be borrowed in this way.

Currently, you can more often take out an online cash loan, i.e. without visiting the bank to get the commitment in the desired amount. An online cash loan without certificates is most often available to customers of banks in which they have their personal accounts, or people who have established cooperation with the bank on a different level. It is clear that a cash loan without certificates can be obtained in a very short time, like payday loans in a non-bank company.

Cash loan – what costs does the borrower bear?

Cash loan - what costs does the borrower bear?

Each time you take out a cash loan from a bank, you have to take into account certain costs. The borrowers who decide to use the cash credit card loan are the lowest borrowers. A cheap cash loan in this case results from the fact that banks grant customers over a 50-day interest-free period. It is intended for the settlement of a credit card and for repayment of debt. If the borrower pays the required payment within this period, then the interest on the cash loan will not be accrued.

On the other hand, when it comes to classic cash loans, costs such as:

  • commission for joining the loan,
  • credit interest,
  • credit insurance,
  • other fees related to any security for liability repayment.

Cash loans do not always require collateral. If the bank does not request it, you can reduce the cost of borrowing. Interest remains the most important cost. The cheapest cash loan will have a low nominal interest rate and at the same time a low commission for granting the liability, which will automatically translate into a low real annual interest rate.

Do you choose a cash loan? The calculator will help you make a decision

You can find numerous financial calculators on the network, including cash loan calculator, which allows you to calculate, based on the given criteria, what the loan installment will be and how much the final cost of the loan will be. Using calculators is very simple. Users usually only need to enter:

  • loan amount,
  • repayment period,
  • interest rate per annum.

After providing such criteria, you can check the amount of the probable capital and interest installment of the cash loan and review the loan repayment schedule.

How to take out cash loans – formalities at the bank

How to take out cash loans - formalities at the bank

The basis for applying for a cash loan in a bank is a loan application. It can be submitted more and more often via the Internet (an example is the mBank cash loan offer for existing customers). The application must be complete, and the banks also demand that their clients add attachments to it, such as employment certificates and the amount of income earned per month. On this basis creditworthiness is determined. A cash loan will not be granted if this ability is too low for the applicant.

Before the cash loan is granted, the bank will also check the client’s credit history in BIK. Negative entries in such a story will cause the lending institution to reject the client’s application and not grant a cash loan.

When accepting the loan application, the bank checks whether the applicant is the person he or she claims to be. To this end, a copy of the ID card should be submitted and an ID document presented to the bank employee for inspection.

Cash loan ranking – useful information

Cash loan ranking - useful information

Cash loan comparison, just like the ranking and loan calculator, are tools that facilitate the selection of bank loan offers. An interesting fact is that a loan with a low nominal interest rate will not always be the cheapest cash loan we can use. Banks may increase the financial benefits derived from the financial liabilities granted through a higher commission or additional repayment collateral.

A comparison of cash loans in terms of APRC and the total cost of lending allows you to decide what offer to decide on. If you take out a cash loan, the ranking of the offers currently available on the market will help you choose the one that will be the most attractive.

Cash loans at banks and cooperative savings and credit unions can be taken to finance current consumption, vacation and renovation plans for the purchase of a car or electronic equipment. In a word, for any purpose for which we have no savings to be able to achieve it. It is always worth checking in your credit offer how much your cash loan really costs. All costs will be reflected by the APRC of the loan, i.e. the percentage calculated annually from the amount of the loan capital and the total cost of the loan, given in numerical form for the entire loan period.