If the costs of payday loans, as well as other financial products consisting of borrowing money, would consist only of interest, then calculating the costs incurred by the customer would be fabulously simple. Unfortunately, we have to reckon with the fact that these costs are definitely more. And sometimes, with their attempt to calculate, we grab our heads, unable to comprehend how many of them. http://istitutogentile.com has examples
If we get into payday just because of the high costs we have to incur, then it is worth getting free loans. Namely, then we will not be charged with any additional fees. But as soon as we start to be late with payment, or expect to postpone the date, we can actually add additional fees to the borrowed amount.
Additional costs added to payday loans include:
Most often we are dealing here with a very small sum. The lowest registration fee is one cent. The maximum fee is currently collected by Wonga.com and this fee is PLN 10.
If we use a free loan, then we are completely uninterested in this fee. But when we return again as old clients, sometimes the costs are proportional depending on the amount borrowed. The commission is usually calculated as a percentage.
Postponing the loan payment date
Virtually every company offers a postponement of the repayment date. Certainly, a disadvantage is that you have to pay this amount at the time of submitting the application. It is therefore not added to the outstanding amount. However, thanks to this we avoid other charges, for example related to penal interest or debt collection. Usually, we can postpone the loan payment period by 7.14 or 30 days.
Reminders are needed to warn the customer against the consequences of not repaying the loan. However, for each reminder sent to the client will have to settle from it. Sometimes it is an amount of just a few zlotys, and another time a loan company for sending a registered letter, or for a home visit, wishes to pay 100 zlotys.
Paying a loan in installments
This is a privilege that is not accepted by every loan company. If it actually gives you the chance to spread your overdue finances into installments, you have to take into account the application fee. This is usually a cost of around 20% of the amount borrowed. Therefore, if someone borrows 1000 zlotys, he will pay 200 zlotys for the application.
I do not think anyone would like to have a debt collector on. But unfortunately, if we still do not pay our loan on time, then the non-bank institution pays its debt to an external company. Unfortunately, the borrower again bears the fees associated with the commission for the debt collection company. So if you have this unpleasantness, you have to add 10 to 30 percent of the total amount to your debt.
Fees related to the legal process
It seems to be a last resort. But if in fact the anti-usury law will include new provisions on limits imposed on costs related to postponing the payment of a payday, then more and more people will be brought to court. And this, unfortunately, is associated with really high costs. Not including the expenses related to commuting to the court.
Anyone interested in a short stay should really think about whether he is able to repay the loan on time. As you can see, the most costs are incurred when we start to be late with payments. The more we delay, unfortunately we must be prepared for our debt to take on enormous proportions. In the end, we will not be able to deal with it.