Payday loans: basic terminology to understand them

What is the difference between a quick credit and a mini credit, are they the same as an instant bank loan? Which one suits me the most? There are many doubts that exist regarding the basic terms of financial credit products instantly. Understanding what similarities they share and how different personal loans are different fast is essential to opt for one type or another, and thus be able to get the best conditions according to our needs and our profile.

What types of quick personal loans are there

Due to the great offer of loans that exist in the market, especially in relation to credit instantly, it may happen that we do not distinguish exactly the border between what is and what is not a product of this type. We present the main characteristics of the payday loans at PurplePayday home

Private quick credits

They are only granted by private capital companies through two types of products:

  • Mini-credits of up to € 900: approved in just a few minutes. They are usually used when unforeseen events arise and we do not have sufficient liquidity to face them (some fine, breakdowns …). They are usually contracted over the internet (also by phone, mobile or apps), through a form and with very few paperwork. One of the most attractive offers is offered by the Minicrédito Québueno with which we can get our money in less than 15 minutes, and a 50% discount if we use the promotional code HMC0815.

I’m interested

  • Fast credits of more than 900 €: they offer us a financing that can reach up to € 15,000. Like the rest of the quick credits, they are requested through the web with a registry, although in this case (unlike the mini credits) we will have to deliver more paperwork. They are often used as personal loans granted by banks, but with a much shorter lease time.

Bank fast loans

Linked directly with traditional banking, we can distinguish between:

  • Payroll Advances: allow us to get an advance of our payroll and even multiply it. They are usually granted quickly, although to be able to access them we must be clients of a bank account that has the option of payroll advance and a minimum of seniority in the entity. One of the most advantageous offers is offered by the Bankinter payroll advance, with which we can get up to € 6,000 at 0% APR to return in 20 days (as long as we have contracted the Bankinter payroll account.
  • Pre-granted loans: they are fast bank loans that compete with private companies (we can request them through the internet, in an office or at an ATM of the entity). As it is necessary to be a client of the bank, the management of our request will be very fast and we will receive the money in minutes. We must bear in mind that depending on our financial profile, the bank will determine in advance the maximum amount that we can obtain.

Loans of greater amount faster than usual

Currently, new online banks and other private credit facilities allow us to get more money and in a more agile way than traditional banks. The amounts that we can get vary a lot between each lender although usually, they will be between € 500 and € 100,000, making the request without moving from home and getting a preapproval response in minutes. An example would be the ING Orange Loan, to get up to € 40,000 in financing at 7.18% APR, with no commissions and no need to pay the payroll.