Loan between individuals

The loans that are made between individuals, are becoming a very good financial option, this is due to the fact that the interests on the loans that are offered by the banks are increasingly higher and not to mention the quick credits. There are fewer and fewer good options to get ideal financing and a good option to achieve them is to turn to a family member or friend to lend you the amount you need, in this way, both can win, both the lender and the borrower.

When a compensation is established, the lender could obtain a profitability for your money and the borrower you could get the amount with a lower than average interest rate. Although the disadvantage is the risk, because loans between individuals are based on trust, it is best to leave a record of this through a contract for loans between individuals, and with this, avoid many problems.

Advantages of loans between individuals

Some main advantages of loans Between individuals, they are the simplicity to obtain them, as well as the speed, this is because they are found through the internet and just by filling out an online application form and once the form is sent, it is a matter of minutes for you to receive a answer.

In addition, it is also possible to get some good condition in these types of loans, being able to obtain relatively large amounts of money with the possibility of repaying it in several years, with interest rates that are very competitive, starting at 7% although the most normal thing is to find interest around 15% .

It is also possible get loans between individuals that are given to both people and companies, being a very interesting financing alternative for anyone, both self-employed and SMEs.

It should be taken into account that, through loans between individuals You could get money without the need for financial or banking entities involved, so you will not have to hire other products or become a client of any entity to get the money. You can also have the best ways to get quick and easy money without having to leave your home, this is because the application, as we discussed before, is done entirely online.

If there is no contract, what problems can there be?

According to the tax law on Income of IndividualsWhen there is a loan between individuals, the lender can be forced to declare the interest, whether there is any or not. The legal interest of the money will be applied, which is 3%. If a contract is established between the two parties, the interest will not be applied and the lender will not have to pay such interest.

Another problem that we can face is that the Treasury considers that the loan is not a loan between individuals, and it is a disguised donation, this in order not to pay interest. Any such gift is subject to gift tax, so as long as the loans are subject to the transfer tax, they are exempt under the private loan agreement.
In addition to the fact that, as they are long-term operations, it may happen that the borrower or the lender dies and as the debts are not extinguished by death and pass to the heirs, a series of situations occur.

If he dies the lender, the debt will be a right in the inheritance and one or more heirs will be the ones who receive the payment.

If the borrower is the one who dies, the debt will be incorporated into the inheritance and the heirs will be the ones who have to pay the debt.

When is a loan between relatives, the child who received the money will become a debtor and heir, for this reason the debt is extinguished, unless there are more heirs who want to claim the part of the money that corresponds to them.

Loan agreement between individuals

Make a contract to support this type of loan It is the best option, since it is a very useful formalization in the agreement of both parties, and you will have to register with the hacienda for it to take effect. Depending on whether or not the loan between individuals will produce interest, the contract model will be one or the other. The most relevant aspects that the contract must mention for a loan between individuals are:

Place and date, personal data of both the lender and the borrower, amount to be lent, the duration of the loan, whether or not interest will be applied and what type.

Loans between individuals They are also known as p2p and they are a new way to obtain a very fast money and thanks to the platforms that are offered on the internet, much simpler than ever thought, because you avoid the annoying bureaucratic processes of paperwork by getting your money from much more practical way.

Through the loans between individuals It is possible to get money in a simple and fast way, doing all the management of it online and without having to physically resort to the facilities of a bank or any financial institution, for this reason it is possible to get good and lower rates of interest. Now we will know where to get these loans and how they work more precisely, so that you find out about the conditions that can be obtained.

Where to apply for loans between individuals?

Loans between individuals They are requested through p2p loan platforms, which are in charge of contacting the lenders with the borrowers anonymously and where the request can be made in just a few minutes through their website. The main online loan platforms are private loans.

To make the loan applicationYou only have to choose the platform that is of your preference, the main criteria that you should consider is that the platform is the most adaptable to your financial needs, then press the request button. Later you will have before you a form in which you must indicate the amount you want to request, as well as the term of return of the money in which you consider to be able to pay it.

They may request other information such as your economic and employment data, as well as the purpose for which you will use the loan to show them anonymously to the lenders and they dare to invest in your loan.

Within just a few minutes after submitting the form, lenders will be able to contact you to let you know how viable the loan you requested is, as well as the conditions under which they can be obtained, which will be the results of the same analysis. .

How is the operation of loans between individuals?

The loans between individuals appeared in other countries several years ago and today they have strongly entered Spain thanks to the credit crisis, this is because there is enormous difficulty in accessing it in traditional banking entities and this is a very interesting option to obtain a good financing in a simple way and with the latest advances in technology.

Its operation is based on communication between borrower and lenders efficiently, confidentially and securely with a specific protocol.

The borrower Enter the platform for loans between individuals, make a loan request in which you may be asked for a specific amount to request, the term to be repaid, the purpose of the loan, employment data, economic data, among others.

The loan platform proceeds to make a study of the loan that has been requested and associates it with a risk statistic. Within just a few minutes, the company will contact the borrower to be able to indicate whether or not the loan proceeds, as well as the conditions under which they can obtain the benefit on the platform.

If the borrower agrees with all the terms and conditions that the peer-to-peer loan platform has communicated, the loan will appear visible on it for lenders to invest in. All the loan data will appear anonymously and if it is possible that communication between the lender and the borrower is given through messages on the platform, it is better, in this way if there is any doubt it can be solved.

When the lenders have completed the loan 100 percent, it will disappear from the list of loans where it can be invested and the loan contract will be signed, at which point the platform will send the money immediately directly to the borrower.

Requirements to apply for loans between individuals

To request a loan between individuals, You must show that you are capable of having the liquidity to repay the loan within the term in which you established at the beginning of the process so that the lenders have more confidence that their investment will be with less risk.

To request the loans between individuals It is important to have as stable an economic source as possible of income, so having a pension, payroll, proof of income or benefit would be the most ideal. Another factor that will influence the lenders' decision to invest in your loan or not is that you do not have debts in delinquent files. In addition to the fact that your level of indebtedness has not been very high, so your chances of obtaining your loan between individuals will also improve.