Compare the best options on the market and choose the one which best adapts to your day to day needs.
Further Below: Our Guide To Loans in Finland, Everything You Need to know.
1. Nordic bank
- Offer loans of up to 70,000 euros
- Flexible interest rates
- Unsecured loan
- Fast payout
- Laxer application procedures
- Excellent repayment period of up to 15 years
- Loans available for any purpose
- Offers free application
2. OP (osuuspankki)- cooperative bank
- Flexible loan limit of up to 15,000 euros
- Annual interest of 7.9% plus a Euribor of 3 months
- Offers a grace month once a year
- Lenient application procedures
- Loan purpose is diverse
- Fast approval
- Limited to OP customers
- Customized repayment terms
3. Saldo loan
- Offer loans of up to 50,000 euros
- Friendly interest rates of 13.99% p.a
- Fast approval within 5 minutes
- Hassle-free online application
- Long repayment terms of up to 88 months
- Simpler eligibility criteria
- Applicants with stable income are preferred
- Available for various purposes
Loans in Finland, All You Need To Know:
Read on to learn how to use a loan that is best appropriate for your financial condition. At FUNDGECKO, we put more effort into gathering the most trustworthy news and information that is relevant to guiding your financial decisions. Your loan application process will be efficient and time-conscious in this way.
To find out how to hire a financial product in Finland and what to think about before doing so, scroll down.
- Have a fast online application process hence applied at the comfort of the borrower’s home
- Grants loans of up to 500 Euros for first-time applicants
- Are purposed to settle small emerging financial needs
- Their small amount is reimbursed in a single ent within one month
- Fast payout as approval is done in 15 minutes
- Are expensive loans with high-interest rates and shorter repayment periods
- Always confirm your loan repayment ability before taking out the loan
What are loans and how do they work?
A loan is a resource or a specific sum of money that is provided to a borrower with the understanding that they would repay it later. The lending and borrowing of loans are subject to a set of rules and regulations that vary by country and, to some extent, per lender. The qualifying requirements for loans might vary depending on several things. These elements include the loan’s size, cost, conditions of repayment, and additional costs.
Therefore, the lender will provide you with documentation outlining the loan’s terms and conditions before you take out a loan. To be prepared for any upcoming charges, be sure to take careful note of even the smallest things. Different loan types are available in various loan sizes. Online mini loans, for instance, offer tiny loans that are repaid after a month. On the other hand, secured loans typically grant large sums and have lengthy payment terms.
Finland has a more stable economic environment which has led to a continuous decline of the best loan interest rates from 1.72% in 2021 to 1.59% in 2022.
You should, therefore, familiarize yourself with the loan terms and conditions to ensure you apply the most suitable option for your needs.
What we should know before taking out a loan in Finland
- To engage in any legal business in Finland, you must first obtain a tax file number (NIF). This number is significant for doing legal transactions, regardless of residence in Finland or nationality. As a result, the loan application process is failed if it is missing.
- In terms of banking, Finland does better than other wealthy nations both inside and outside the EU. The majority of Finnish banks offer online loan application services, which facilitate funding. Many banks provide English-language websites to assist applicants from abroad. On a worldwide basis, Finland’s top banks also do well.
- Over 120,000 ATMs have been created under the nation’s establishment of the interbank payment system. About 90 different services are supported by the long-standing multi-banking network, including settling monthly bills, paying taxes, and purchasing airline tickets.
- Banks in Finland are regulated by the European Central Bank (ECB) and The Finland Republic.
When is it advisable to apply for loans?
When faced with a financial emergency, online mini-credits are our go-to solution. The loans provide us with rapid cash in a simple, hassle-free, and practical manner. But only under specific circumstances will you benefit from this kind of credit. Therefore, it’s crucial to have a complete understanding of loans and when you need them before making any decisions.
We apply for online loans when?
- We need an argent financial injection
- The need is not recurrent
- We understand how the loan terms and how it works
- We can repay the loan amount with all additional interest comfortably
- We do not solicit regularly
- We know the actual amount of money to be repaid together with additional interest and other fees
When should we not apply for online loans?
- The financial need is recurrent
- There are other alternative sources of funding
- We do not understand how the loan works
- We have no surety of our ability to repay the loan within the required time
- There is no clarity on the amount of money to be paid
- We want to take the loan regularly
The above aspects will quickly help us understand and assess our financial needs to determine why we need a loan and for which purpose.
How much money can I get with mini-credits?
Mini loans are helpful in small financial difficulties because of their speed and laxer qualifying requirements. New borrowers will almost always receive small loans initially since they have little confidence in the lender.
Up to 500 euros
Up to 10,000 euros
Older customers of online micro loans may benefit from larger loans with lower rates since the lender already has faith in their capacity to repay the loan. These borrowers have previously borrowed money and repaid it without incident and following the terms and conditions set out.
Requirements to access loans in Finland
If the applicant just complies with a few predetermined standards, the loan application procedure is always successful. Although they might not be as stringent for online small loans, each of these standards must be met by the borrower. The standards for other loan kinds are stricter because they have higher loan amounts and longer repayment terms.
So, what requirements must you meet to access a loan in Finland?
- Be of legal age. The legal age preferred in Finland is 18 years though some lenders will require you to be 21 years and above.
- Good credit history. Credit lenders will always be concerned about your previous credit history due to the insecurity of losing money and for eligibility purposes.
- Have a stable source of income. The lender must establish your ability to repay the loan. Therefore, having a reliable source of income ensures that you will have money left over to pay back the loan. However, some lenders will only finance you if your wage isn’t meager, while others don’t mind funding you if you don’t have a steady source of income.
- Have a Finnish residence permit. For easier eligibility for a loan, you should be a Finnish citizen or a resident within the country’s borders.
These requirements differ from one organization to the other hence you should ensure you meet all the requirements to earn competence.
Documents to be submitted when requesting a loan
To be eligible for loans in Finland, you must meet more criteria than just the perception that you do. Proof that you are genuinely eligible for the loan will be required by your lender as the documentation plays a role in this. These documents are uploaded, sent by email, or scanned before being submitted online for the online option. Lenders will ask you to drop the paperwork off at their offices or send it via courier for the physical application.
- Prove of identity either ID or Passport
- Bank or postal statement showing the account number
- Payslips to show income received for the last months
- Residence permit card
- Tax compliance certificate or approval
- Credit clearance certificate
The most typical requirements in Finland are those listed above. Nevertheless, depending on the loan type and other variables, some entities tend to have additional criteria. Most lenders offer online application platforms for borrowers to use. As a result, the procedure is quick and simple.
How to take out loans online step by step?
Steps to contract a mini loan:
- Choose the amount and terms of repayment
- Fill in the form
- Send the documentation
- Read and sign the contract
Since every step of the application procedure in Finland is completed online, including signing the contract, the funds are processed quickly, usually in less than 15 minutes.
Below are steps to follow:
- Select the loan amount and the period for repayment that you want. The borrower will need to make a prudent decision at this stage, taking into account their capacity to repay the loan and the repayment period. Repayment terms for small loans are shorter than those for large loans.
- Once you receive the application form online, fill it out completely and honestly. There will be vacant spaces on the form that you must fill out with your name and last name, date of birth, ID number or passport number, etc. Fill out every blank field, please. There must be no discrepancy between the information you supply here and your documents.
- Verification. The lender will take their time to evaluate how your information stacks up against that of the supporting documents and bank records. At this point, most applications are turned down. The lender will approve your application and provide the necessary legal documentation if everything is in order.
- When you receive the contract forms, read them carefully to understand all the terms and conditions. To be confident of what you’re signing up for, make a note of any potential modifications, fees, or costs.
Funds will be disbursed into your account within the agreed time
About this page, our methodology
What this page is for: Our focus is to assist you select a financial solution that best fits your economic needs. For you to choose the most appealing product at the time, we, marshal the best information that is currently available regarding consumer credits and what criteria to take into account as you compare the possibilities.
Source: the information regarding the main characteristics of loans in Finland and their current regulation comes from the Finnish Consumer Credit Act, Government portals, and financial institutions such as banks among other reliable sources.
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 us: FUNDGECKO is a comparison website that assists customers who are unsure about personal loans or which service to choose. We assist our users in comparing the possibilities like pros by giving them all the knowledge they require about consumer credits and how to choose the option that best fits their needs.Note: the services we offer are totally free for the user, as FUNDGECKO obtains its income from advertising and its featured products.