The definition of minicredit is often confused with microcredit, which instead originates as a result of the predominantly social microfinance (which has remained unchanged today in the case of the Baritas Loan of Hope, or where it is provided by the Regions such as the Future Fund renewed by the Lazio Region).
Instead, the mini-credit indicates a loan that offers significantly lower amounts than the “micro” type and is granted by banks or financial companies that have wanted to diversify their section of loans or personal loans, so as to touch targets of more specific customers .
We also remind you that in the case of microcredit, you must possess fundamental requirements, and that it is a form of financing aimed at achieving a goal (for example, starting a business which is the solution for which it is most used).
The mini credit, on the other hand, is part of the personal loan and therefore does not provide for the obligation to report the type of use. So in general it has no access limitation, for those who have a demonstrable income considered sufficient and are of age, whether you choose the traditional channel (bank or financial agency) or online. In this second case, we must logically refer to the financial institutions that foresee it, which, however, are still not very numerous to date.
What main features to make a mini and smart loan?
Can a small sum be obtained in a very short time or in any case reduced compared to a higher sum? The answer can only be affirmative, but always on the condition of showing up with all the credentials, which means:
- a good and already formed tradition or history of credit (for example with the ownership of a credit card which can also be in balance and not necessarily revolving);
- demonstrable income (if, for example, you go to a bank where you are credited with your salary, normally no others are required
- documents proving repayment capacity);
- not have an already committed debt exposure to apply for other loans.
If these three conditions are met, in many cases, within a few hours (maximum 24 for the resolution and 48 to obtain the sum credited to your bank account), the result of the preliminary investigation phase will be reached.
For some time the formula of the pre-granted loan has spread: it is a sort of free way to be able to use a certain predefined sum, to the economic conditions that will be applied when the sum itself is used in full or a part of it (therefore the amount of the installments and interest are already known).
Main characteristics and economic conditions
Also from this point of view there are three recurring elements namely:
- duration (hardly exceeding 36 months and in any case no more than 48);
- the amount (generally remains within 3000 dollars, beyond which we speak of a small loan);
- the type of loan (revolving with reinstatement of reserves, or actual loan).