We associate a free loan with something like a mermaid – everyone heard, hardly anyone sought, and as a result, no one knows if it’s even possible. We are increasingly suspicious of all kinds of promotions. It is enough to understand the mechanisms of advertising a little so as not to get caught up in empty slogans. We often consider such offers as “free” and we lose confidence in companies. It is worth knowing, however, that in the case of online loans the “free” slogan is not just a cheap marketing ploy. You do not believe? Check if online loans can really be free.
What does free loan mean?
Before answering the question, what does a free loan mean, let’s pay attention to the fees that the whole product consists of – a quick payday loan or long-term installment loan, all available on the Internet. The basis of each loan is the amount we apply for, to just repay it for a given contract. The loan usually includes an administrative fee, a preparation fee, interest on the loan, the total amount of the loan and the actual repayment amount. Lenders earn on the interest rate on the loan and on the preparatory and administrative fees. A free loan means no additional costs. We only pay back the amount of money we borrowed. Does such a solution even exist?
A free loan is not a joke
Many lenders offer completely free loans. This is usually an offer related to quick payday loans that we pay back within 30, 60 days or a maximum of four months. The so-called payday payout for zero zlotys is only the cost of the money obtained, which we must later give back. Let’s see an example:
If we borrow 1000 zlotys for 30 days, after the loan repayment date specified in the contract, we give back only the borrowed amount, i.e. 1000 zlotys. Impossible? There are no hidden fees for these types of free loan offers. No loan company would be able to cheat on its clients, caring for its own reputation. However, you must carefully review the details of the offer, because some lenders under the slogan free loan understand the lack of interest on the loan, but may add a commission. However, it is usually a very small amount of PLN 10. It also happens that the customer will have to make a transfer confirming the personal data declared in the application. However, these are symbolic amounts of one penny or one zloty.
Who is the loan for?
This is an important question. Who can take advantage of the free loan? In this respect, the loan is no longer as attractive as it was at the beginning. Why? Only new customers of a given company can take out a free loan. This means that if we have ever borrowed money in a particular company, we get the status of a regular customer, which means that we simply cannot take advantage of promotional conditions. Each subsequent payday loan already generates additional costs on which lenders earn. If we are satisfied with the service of a selected company, we trust it, let’s check whether it offers additional bonuses for regular customers. Often, loan companies use the following method – they offer the first loan to a new client in a small amount, say 1000 zlotys. If we want to borrow PLN 5,000, we must be loyal customers and, for example, we can borrow this amount only the first time.
Where’s the catch?
It seems that there must be a catch in free loans. It is simply not profitable for loan companies to give payday loans for free. Not completely. Free payday pay is just to be an incentive, it is to help get the customer, attract his attention. If the customer borrows money easily, he will be happy, and he will probably borrow another loan in the same company. Of course, you can always use a different loan company offer. However, one must be aware of the fact that by using this method we can never borrow a large sum without interest. Borrowing high amounts without interest would be simply unprofitable for lenders.
What to look for when choosing a loan company?
Where to find free loans?
There are many companies offering free online loans. How to choose the right payday pay for zero zloty? We can use various types of loan comparison services, where all offers available on the market are gathered in one place. Many comparison websites have a separate section on the website for specific free loan offers. What’s more, rankings of the best payday loans of a given month are conducted on such websites. Under each offer there is an opportunity to evaluate the lender and provide a comment. Customer feedback is very helpful in deciding which company to provide instant payday loans online.
It is also worth looking for current promotions offered by loan companies. In addition to the free payday pay, we have the chance to receive, for example, a shopping voucher, discount codes, or even discounts, e.g. in travel agencies, for trips worth PLN 500. It’s best to search for different promotions during upcoming holidays or different circumstances. Currently, some loan companies are offering promotions for ongoing holidays.