If you are considering taking out a mini-loan, you of course want to know first what such a mini-loan will cost you.
First of all, it is good to know that the financial institutions that offer a mini-loan since the end of May 2011 are all under the supervision of the AFM (Netherlands Authority for the Financial Markets).
What costs when taking out a mini-loan
Because the mini-loan providers are supervised by the AFM, the costs of a mini-loan have become much lower. When the minilening or flash credit just came in, there were quite a few lenders who tried to save a salad, minibikes were offered with abnormally high costs. Nowadays the cost of the mini-loan can be called acceptable.
Maximum interest rate of mini loan
For example, a mini-loan provider may not charge more interest than the maximum interest rate, at the moment the interest rate is 15% over the loan amount, every financial institution that offers mini-loans must also apply for a license for this, the lender must adhere to the rules which have been drawn up by the AFM. The license is only required for credits that are entered into for a period shorter than 3 months and where few costs (also: insignificant costs) are charged, these loans are subject to the permit requirement.
AFM and the mini-loan
The AFM has researched 17 mini-loan providers since 2011, 14 of these providers violated the law and have now stopped their activities or have adjusted their working methods to be positively approved by the AFM. The reason for which they received a warning from the AFM is that these providers charged too high a fee.
If a financial institution wants to offer a mini loan, they will have to comply with all obligations stated in the Financial Supervision Act (Wft). So you know as a consumer that you borrow money from a lender who adheres to the rules for borrowing small amounts.
When applying for a mini loan, you must take into account that a BKR check is being carried out.
Mini-loan what it costs
Below are the costs that one of the mini-loan providers will pass on to you on an annual basis:
€ 100 15 days € 0.58 € 100.58 15%
€ 100 30 days € 1.17 € 101.17 15%
€ 200 15 days € 1.17 € 201.17 15%
€ 200 30 days € 2.33 € 202.33 15%
€ 300 30 days € 3.50 € 303.50 15%
€ 400 30 days € 4.67 € 404.67 15%
€ 500 30 days € 5.83 € 505.83 15%
€ 600 30 days € 7.00 € 607.00 15%
You will see that the costs for taking out a mini loan are not too high and especially if you consider that you will have the money in your account quickly, but you must read the general terms and conditions of the provider carefully as extra costs have been calculated. if you want to receive the money urgently. And by rush we mean within a few hours, you need to order special bundles. With the benefit bundles you can indicate how fast you want to receive the money, the sooner you want to receive the money, the more expensive the bundle is which you have to request for this. The amount of these additional costs are stated in the general terms and conditions on the website of the mini-loan providers, so always read them carefully.