Best Loans in Spain: The Ultimate Guide

This article will explore the best loans in Spain (including the top 3 options), explain the application process, and offer tips to improve your chances of obtaining the ideal loan.

Or, to make things easy for you, we’ve created our Loanfinder tool to help find the ideal loan in Spain for your needs.

Further Below: Our Guide To Loans in Spain, Everything you need to know.

Try Our Loanfinder

✔️ From 1,000€ to 50,000€
✔️ Available for almost any purpose
✔️ Free and unbiased platform
✔️ Fast process, get the best offers

Fundgecko Loanfinder

Top 3 Loan Providers In Spain

Our Rating: 9.5/10

1) Best Fast Loan, within 10 minutes

✔️ Microloan up to 1,000€
✔️ Excellent conditions for up to 4 months
✔️ Signup & recieve money within 10-15 mins
✔️ Low fees, just avoid late payment


Our Rating: 9.2/10

2) Best Spanish Loan Provider Overall

✔️ From 1,000€ to 50,000€
✔️ Available for almost any purpose
✔️ Great for clients with a stable income
✔️ Fast process, money in 2-3 days
✔️ Website not in english, but with english support

Younited Credit

Our Rating: 9.1/10

3) Best for Small & Quick Loans

✔️ Borrow up to 300€ quickly
✔️ With account history, up to 1000€
✔️ Very transparent and user friendly
✔️ Great loan conditions, without much small print


Best Loans in Spain by Category

What Is a Loan and How does it work?

A loan is a financial arrangement where a lender provides a specific amount of money to a borrower, who agrees to repay the loan with interest over a predetermined period. 

Loans can be either secured, backed by collateral like property or assets, or unsecured, based solely on the borrower’s creditworthiness.

What are the Different Types of Loans in Spain?

Here are some of the most common types of loans in Spain:

  • Personal Loan (Préstamo Personal): A versatile unsecured loan allowing borrowers to access funds for various personal needs without providing collateral. Borrowers receive a lump sum and repay it through fixed monthly installments. 
  • Mortgage Loan (PréstamoHipotecario): A long-term loan secured by real estate, commonly used for property purchases. Borrowers make regular payments over the loan term, and the property serves as collateral. 
  • Auto Loan (Préstamo de Automóvil or Préstamo Coche): Specifically for vehicle purchases, this loan provides borrowers with the necessary funds to buy a car, motorcycle, or other vehicles. 
  • Student Loan (PréstamoEstudiantil or Préstamo para Estudios): A loan designed to cover education-related expenses, including tuition, books, and living costs. Repayment terms may vary, and some student loans offer grace periods post-graduation before payments begin.
  • Business Loan (PréstamoEmpresarial): Geared toward business owners and entrepreneurs, this loan supports business operations, expansions, and equipment purchases. The terms depend on factors like the business’s financials and the purpose of the loan.
  • Credit Line (Línea de Crédito): A flexible credit arrangement where a lender provides a predetermined credit limit. Borrowers can access funds as needed and only pay interest on the amount used. It’s a useful option for managing fluctuating expenses.
  • Credit Card Loan (Préstamo de Tarjeta de Crédito): Utilizing a credit card’s line of credit, users make purchases and repay them over time. The card’s terms and interest rates apply, with the option to pay the minimum or the full balance.
  • Microloan (Micropréstamo): A small, short-term loan ideal for individuals or small businesses with immediate financial needs. These loans provide quick access to modest amounts of funds, often with a simplified application process.
  • Consolidation Loan (Préstamo de Consolidación): Consolidates numerous debts into a solitary loan, streamlining the repayment process. It may lower the interest rate and offer a structured repayment plan to help borrowers manage their debt more effectively.
  • Renovation Loan (Préstamo para Renovación): Specifically for home improvements, this loan covers costs related to renovations and upgrades. It can be secured or unsecured, and the interest rates may vary based on factors like credit history and loan amount.
  • Emergency Loan (Préstamo de Emergencia): Designed for unexpected financial crises, this short-term loan provides quick access to funds to cover urgent expenses. Interest rates might be higher due to the convenience and speed of approval.
  • Green Loan (Préstamo Verde): Aimed at financing eco-friendly projects, this type supports initiatives like energy-efficient home upgrades, renewable energy installations, and sustainable practices. Interest rates and terms may reflect the environmental impact of the project.
  • Payday Loan (Préstamo de Día de Pago): A short-term loan intended to cover immediate expenses until the borrower’s next paycheck. Payday loans are known for their high-interest rates and should be used cautiously due to their potential to lead to a debt cycle.

When should I or should I not get a Loan?

When considering various loan options, being vigilant and informed is essential. Here are critical factors to look out for.

When you would get a LoanWhen you should not get a Loan
✔️ Home purchase or renovation.Unaffordable Repayments: Applying for a loan with monthly repayments beyond your means risks financial strain.
✔️ Debt consolidation to streamline multiple debts into one.❌ No Clear Purpose: Borrowing without a defined purpose can lead to unnecessary debt.
✔️ Education expenses for yourself or your family members.❌ High Debt Burden: If your current debts are substantial, adding more loans can escalate your debt burden.
✔️ Vehicle purchase or repairs.❌ Speculative Ventures: Borrowing for speculative or high-risk ventures exposes you to potential losses that could be challenging to repay.
✔️ Funding business expansion or start-up ventures. Luxury Purchases: Using loans for non-essential, luxury items can lead to regret when the initial thrill fades.
✔️ Medical emergencies or healthcare expenses.Short-Term Needs: Loans might not be suitable for short-term needs.
✔️ Travel and vacations. Incomplete Research: Lack of understanding of loan terms, hidden fees, or repayment expectations can lead to financial surprises.
✔️ Special occasions such as weddings.Temporary Financial Setbacks: Focusing on budgeting and expense reduction is wiser than taking on additional debt during temporary financial hardships.
Unstable Employment: Applying for loans when your job is unstable raises the risk of default if your income diminishes unexpectedly.
Unreliable Lenders: Opting for unregulated or untrustworthy lenders exposes you to scams or unfair terms.
Minimal Financial Benefit: If the loan’s potential benefits don’t significantly outweigh the costs, like small interest savings, it might not be worth taking on the debt.

What to look out for when picking a loan in Spain

  • Interest Rates: Interest rates significantly influence your loan’s cost. Low rates translate to lower overall payments.
  • APR (Annual Percentage Rate): APR encompasses all loan costs, including fees, providing a comprehensive view of the loan’s expense.
  • Fees and Charges:  Examine associated fees, like origination and processing charges. 
  • Loan Term: Loan duration impacts monthly payments and total interest paid.
  • Repayment Structure: Understand the structure—fixed installments or flexible payments. 
  • Collateral (if applicable): Secured loans involve collateral. Weigh the risk of using assets as security and potential consequences of defaulting.
  • Credit Score Impact: Loan applications and repayments affect your credit.
  • Customer Reviews: Research lender reputation via customer feedback. Avoid lenders with poor service or questionable practices.
  • Debt-to-Income Ratio: Evaluate if loan payments fit your monthly budget without straining your finances or increasing your debt burden.
  • Total Repayment Amount: Calculate the overall repayment, including interest and fees. This reveals the true cost of the loan.
  • Regulatory Compliance: Confirm the lender’s license and adherence to regulations. This safeguards you from potential scams and unethical practices.

How to qualify for a loan in Spain?

Here are key steps to help you qualify for a loan in Spain:

  • Maintain a Good Credit Score: When assessing loan applications, lenders attach significant importance to your credit score. A higher credit score indicates a history of responsible borrowing and repayment. 
  • Demonstrate a Stable Source of Income: Lenders want assurance that you have a stable source of income to meet the loan repayments. Provide proof of regular employment, self-employment income, or any other verifiable income sources. 
  • Meet the Minimum Age Requirement: The legal age to apply for a loan in Spain is typically 18 years or older. Ensure you meet the minimum age requirement before considering a loan application.
  • Have a Low Debt-to-Income (DTI) Ratio: Your debt-to-income ratio assesses the relationship between your gross monthly income and your total monthly debt payments. A lower DTI ratio indicates a healthier financial situation, making you a more attractive borrower.
  • Choose an Appropriate Loan Type: Select a loan that aligns with your financial profile and needs. For example, if you have valuable assets to use as collateral, a secured loan may increase your chances of approval.
  • Provide Accurate Information: Submit accurate and up-to-date information in your loan application. Inaccurate details may raise red flags and delay or even lead to rejection.
  • Avoid Multiple Loan Applications at Once: Applying for multiple loans simultaneously can negatively impact your credit score and may make you appear desperate to lenders. Be selective and apply for loans that best match your requirements.
  • Establish Residency: Lenders typically require borrowers to be legal residents of Spain. Make sure you have the necessary documents to prove your residency status.
  • Pay Off Existing Debts: Reducing your existing debt burden can enhance your loan eligibility. If possible, pay off smaller debts before applying for a new loan.
  • Provide Collateral (For Secured Loans): Offering collateral can increase the likelihood of loan approval, especially for secured loans like a mortgage or auto loan. Collateral provides lenders with added security in case of default.
  • Consider a Co-Signer or Guarantor: If your credit history is not strong enough to qualify for a loan on your own, having a co-signer or guarantor with a solid credit score may bolster your application.
  • Work with Reputable Lenders: Choose established and reputable lenders with a track record of fair lending practices. Working with well-known lenders may increase your chances of approval.

How can Fundgecko help you get The Best Loan in Spain?

Fundgecko can play a pivotal role in helping individuals secure the best loan tailored to their specific needs. 

We offer a platform to compare various loan options from different lenders and select the most appropriate one for your needs. 

Fundgecko generates personalized loan recommendations that align with your unique situation, ensuring you’re presented with the most relevant options. 

Click here to get started with our Loanfinder!

What documents should I have ready to present?

Different types of loans and lenders may require slightly different documentation, but the following are commonly required documents:

  • Valid Identification (ID or Passport): National Id or Passport.
  • Proof of Income: This may include recent payslips, employment contracts, or tax returns for self-employed individuals.
  • Bank Statements: Furnish recent bank statements to demonstrate your financial stability and track record of managing finances. 
  • Proof of Residence: This can be demonstrated through utility bills, rental agreements, or other official documents with your address.
  • Employment Verification: A letter from your employer confirming your employment status, tenure, and salary may be requested as part of the application process.
  • Tax Identification Number (NIF): Non-residents may need to provide their tax identification number from their home country.
  • Proof of Collateral (For Secured Loans): If you are applying for a secured loan, you will need to provide documents verifying the ownership and value of the collateral, such as property deeds or vehicle registration documents.
  • Credit Report: Lenders frequently review your credit report to evaluate your creditworthiness. Requesting a copy of your credit report beforehand is a good idea to review its accuracy and address any discrepancies.
  • Loan Application Form: Ensure the loan application form is filled out with precise and current details. Before submission, carefully review for any errors or omissions.
  • Additional Documentation (Depending on Loan Type): For example, you might be required to provide property-related documents for a mortgage loan, while a student loan may require proof of enrollment.

How can I improve my chances of getting a Loan in Spain?

Here are some effective strategies to increase your likelihood of loan approval:

  • Maintain a Good Credit Score: A good credit score is crucial in loan approval. Make timely payments on existing debts, keep credit card balances low, and avoid defaulting on loans. 
  • Reduce Existing Debts: By reducing your current debt burden, you can enhance your debt-to-income ratio (DTI), making you a more appealing borrower. 
  • Establish a Stable Source of Income: Lenders prefer borrowers with stable and verifiable sources of income. Ensure you have steady employment or a reliable income stream before applying for a loan.
  • Save for a Down Payment (For Mortgage Loans): If you plan to apply for a mortgage loan, having a substantial down payment can improve your chances of approval. 
  • Consider a Co-Signer or Guarantor: If your credit score is not strong enough, having a co-signer or guarantor with a good credit history can bolster your application and provide added assurance to the lender.
  • Choose the Right Loan Type: Select a loan type that aligns with your financial situation and purpose. For example, a secured loan might be a more viable option if you have valuable assets to offer as collateral.
  • Review Your Budget: Evaluate your financial condition and establish a practical budget. Understanding your cash flow and financial capabilities helps you determine an appropriate loan amount and repayment plan.
  • Gather Required Documentation: Be prepared with all the necessary documents when applying for a loan. Complete the loan application accurately and provide any supporting paperwork promptly to avoid delays.
  • Work with Reputable Lenders: Choose established and reputable lenders known for fair lending practices. Examine customer reviews and ratings to gauge their performance history.
  • Avoid Multiple Loan Applications: Simultaneously applying for multiple loans can have a negative impact on your credit score and create the impression of desperation to lenders. 
  • Address Any Past Delinquencies: If you have past delinquencies on your credit report, work on resolving them and establishing a positive payment history.

A step-by-step guide on how to get the Best Loan in Spain

Getting the best loan in Spain requires careful research, preparation, and understanding of your financial needs. Here’s a step-by-step guide to help you secure the best loan:

  • Step 1: Assess Your Loan Purpose and Budget: Identify the specific purpose of the loan and determine how much you need to borrow. 
  • Step 2: Research Lenders and Loan Options: Explore various lenders, including banks, credit unions, and online lending platforms. Compare the types of loans they offer, interest rates, repayment terms, and additional fees. 
  • Step 3: Check Eligibility Criteria: Review the eligibility requirements of potential lenders to ensure you meet their criteria. Pay attention to factors such as age, income, credit score, and residency status.
  • Step 4: Gather Necessary Documentation: Prepare all required documents, including valid identification, proof of income, bank statements, and proof of residence. 
  • Step 5: Request Loan Quotes: Contact the lenders you are interested in and request loan quotes based on your borrowing needs. 
  • Step 6: Apply for Pre-Approval (Optional): Consider applying for pre-approval to get an estimate of the loan amount you are eligible for. 
  • Step 7: Apply for the Loan: Complete the loan application with accurate and truthful information. 
  • Step 8: Await Loan Approval: Wait for the lender to review your application and assess your creditworthiness. This process may involve a credit check and verification of the provided information.
  • Step 9: Review Loan Terms: If your loan is approved, carefully review the loan terms and conditions provided by the lender. 
  • Step 10: Accept the Loan Offer: Once you are content with the loan terms, proceed to acknowledge the loan offer presented by the lender formally. 
  • Step 11: Disbursement of Funds: After accepting the loan offer, the lender will disburse the approved loan amount to your bank account or, in the case of secured loans, to the relevant party (e.g., seller, educational institution).
  • Step 12: Repay the Loan: Start making timely loan repayments as per the agreed-upon schedule. Set up automatic payments if possible to avoid missing due dates.

Where to Get Loans in Spain?

In Spain, you can obtain loans from various sources, including:

  • Banks: Major Spanish banks, such as Banco Santander, BBVA, and CaixaBank, are reliable sources for loans. 
  • Credit Unions: Cooperativas de crédito, or credit unions, are member-owned financial cooperatives that provide competitive loan products. 
  • Online Lenders: Online lenders provide personal loans, short-term loans, and sometimes even specialized loans with simplified application processes.
  • Specialized Lending Institutions: Some institutions focus on specific loan types, such as education loans for students or microloans for small businesses and startups. 
  • Private Lenders: Private lenders, including peer-to-peer lending platforms, operate outside traditional banking channels. 
  • Mortgage Brokers: For individuals seeking mortgage loans, mortgage brokers act as intermediaries between borrowers and lenders. They assist in finding the best mortgage deals and handle the paperwork and negotiations on behalf of the borrower.
  • Credit Card Companies: Credit card issuers in Spain often provide personal loans to their existing cardholders. 
  • Financial Advisers: Seeking guidance from financial advisers can be beneficial when selecting the right loan. 

Loan cost calculation example for a Loan in Spain

Let’s walk through a simple loan cost calculation example in Spain using a hypothetical scenario with personal loan:

Loan Type: Personal Loan

Loan Amount: €10,000

Loan Term: 3 years (36 months)

Interest Rate: 8% per annum (APR)

Monthly Installment Calculation:

To calculate the monthly installment, we’ll use the formula for a fixed-rate loan:

Monthly Installment = (Loan Amount + (Loan Amount * Interest Rate * Loan Term in years)) / (Loan Term in months)

Monthly Installment = (€10,000 + (€10,000 * 0.08 * 3)) / 36

Monthly Installment = (€10,000 + €2,400) / 36

Monthly Installment = €12,400 / 36

Monthly Installment ≈ €344.44

Total Interest Paid:

To calculate the total interest paid over the loan term:

Total Interest = (Monthly Installment * Loan Term in months) – Loan Amount

Total Interest = (€344.44 * 36) – €10,000

Total Interest = €12,398.64 – €10,000

Total Interest ≈ €2,398.64

Total Repayment Amount:

To calculate the total amount repaid over the loan term:

Total Repayment = Monthly Installment * Loan Term in months

Total Repayment = €344.44 * 36

Total Repayment ≈ €12,398.64

Annual Percentage Rate (APR):

The APR represents the total cost of the loan, including interest and fees, expressed as an annual percentage rate. It allows you to compare the cost of loans with different terms and interest rates.

APR = (Total Interest Paid / Loan Amount) * (12 / Loan Term in months) * 100

APR = (€2,398.64 / €10,000) * (12 / 36) * 100

APR = (0.239864) * (0.333333) * 100

APR ≈ 7.996%


Obtaining the best loan in Spain requires understanding the various types of loans available and knowing the qualifications and documents required. Whether you need funds for personal, business, or educational purposes, the right loan can be a valuable financial tool.

By researching lenders, comparing loan options, and presenting a solid application, you can increase your chances of securing the ideal loan tailored to your needs and budget.

Remember to consider interest rates, repayment terms, and fees and maintain good financial health to qualify for the best loan offers.

Frequently Asked Questions:

Typically, loan approval in Spain can take a few days to a couple of weeks, depending on the lender and the complexity of your application. 

Online lenders might offer faster approval processes compared to traditional banks. Factors like the completeness of your documentation, credit history, and loan type can also influence the approval timeline.

Certain lenders specialize in offering loans to individuals with less-than-perfect credit. However, such loans often entail higher interest rates and stricter terms. 

To enhance your approval chances and secure more favorable loan terms, it is recommended to focus on improving your credit score before applying for a loan.

The maximum loan amount you can get in Spain depends on various factors, such as your income, creditworthiness, and the type of loan you’re applying for. Different lenders have different lending policies and may have varying maximum loan limits. 

For example, personal loans may have lower maximum amounts compared to mortgage or business loans. Discuss your requirements with the lender to understand the maximum loan amount available to you.

You can generally prepay or pay off your loan early in Spain. However, some lenders may charge prepayment penalties or fees for early repayment. Reviewing the loan agreement and checking for any prepayment terms is essential. 

If possible, opt for loans that offer the flexibility of early repayment without additional charges, as it can save you money on interest in the long run.

Yes, non-residents and foreigners can get a loan in Spain. However, the process and requirements may differ from those applicable to residents. 

Non-residents might need additional documentation, such as proof of income and residency status in their home country. Working with international banks or lenders familiar with lending to non-residents can simplify the process and increase the likelihood of loan approval.

Find out how to get money fast in 15 minutes with this type of credit. We help you to easily find out how they work, the best current offers of mini-credits and what to take into account to hire them.

Glossary for Spain loan terminology

Spanish TermEnglish translation
Calificación crediticiaCredit history, financial standing
Condiciones generalesStandard business terms, the conditions of a contract
Contrato firmadoSigned contract
Datos bancariosBank account, bank details
Datos personalesPersonal data
Datos profesionalesProfessional/Job Data
DesempleoUnemployment, job loss
DuraciónTenure of the loan
Duración del empleoDuration of employment
Fallecimiento, accidente, incapacidad laboral, desempleo (periodo de carencia de 3 meses, (salvo fallecimiento por accidente))Death, accident, incapacity for work, unemployment (waiting period of 3 months (except death due to accident))
GaranteA guarantor is someone who promises to make sure you repay the loan completely. Lenders ask for guarantors when your credit history isn’t good enough. If this happens, the guarantor is legally responsible for paying back the loan
Impago, demora, recargo por demoraNon-payment, late payment, late payment surcharge
Impago, morosidadNon-payment, delinquency
Importe del préstamoLoan amount
Incapacidad laboralSick leave, disability
Ingresos netosNet income
Interés variableFloating interest rate
Línea de créditoLine of credit, official document that shows the rules for a personal loan
Línea de descubiertoOverdraft line
Número de niños con derecho a prestaciones familiarsNumber of children entitled to child benefits
Obligación de aportar pruebasObligation to provide evidence
Obligaciones de terceros que desea rescatarReplacement of old debt by new debt
Opción de coberturaOption on Payment protection/ insurance
Pago a plazosPayment in installments
Pago automático de facturesAutomatic bill payment
Pequeño préstamoSmall loan
Plazo deseadoLife/period of a loan
Préstamo collateral, Garantías, GarantíaCollateral loan, asset that backs your loan
Préstamo deseadoLoan desired
Préstamo garantizadoA loan that requires the borrower to pledge assets as security or collateral
Préstamo personal, Préstamo sin garantíaPersonal Loan, unsecured loan
Primer plazo pagadero elFirst installment payable on
Reescalonamiento de la deudaRescheduling of debt
Relación professionalProfessional relationship
Seguridad DepósitoSecurity Deposit
Seguro de protección de pagosPayment protection insurance
Sistema de seguridad socialSocial security system
Solicitud de créditoBorrowing request
SolvenciaSolvency, a credit score is an individual’s valuation and ability to repay a loan
Tasa de solicitud, tasa de adquisiciónApplication fee: the fee charged by a lender to cover costs associated with processing the loan
Tasas de créditoCredit rates
Tipo de interésInterest rate
Tipo de interés efectivo annualEffective annual interest rate
Tipo de residenciaResidence type
Tipo deudor fijoFixed debit rate

About this page, our methodology

What this page is for: Our goal is to help you get the best financing for your needs. Therefore, here we explain you what credits with payday guarantee are, how you can compare them to know which one suits you and which offers are the most attractive right now.

Source: The information regarding the main characteristics of payday loans and their current regulation comes from Law 16/2011 on consumer credit contracts among other reference portals.

Methodology: The data relating to the conditions of these products (amount, term, interest, etc.) have been obtained through online research and consultation of the official statistics of the aforementioned reference sources.

About Fundgecko: We are an online comparison site specialized in personal finance and home economics products. Here you can, in addition to comparing the conditions of all offers, find quality information that will help you identify the payday loans that best suit your needs.

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