16.03.2023
HOW CAN WE PAY OFF A QUICK LOAN EARLY
Fast loans are becoming an increasingly significant source of funds for Bulgarians. From the online platform "We, the users " give valuable advice for people taking out such loans.
"If the user had an urgent need for money, but already has free funds, he should know that at any time he can repay the loan ahead of schedule - in full or in part. In this case, the creditor has no right to demand the interest and expenses for the remaining part of the term of the contract", explains Gabriela Rumenova from "We, the users".
"The borrower does not owe compensation or a penalty in the following cases - when the loan is repaid in a period during which the interest rate under the loan agreement is not fixed, the repayment is made on the basis of a payment under an insurance contract aimed at guaranteeing the return of the loan, or the contract is in the form of an overdraft," Rumenova points out.
In all other cases of early repayment, the creditor is entitled to compensation. However, it cannot exceed 1% of the early repaid loan amount - with a remaining contract period of more than one year, and 0.5% - with a remaining contract period of less than one year.
Another right of the consumer is to withdraw from the credit agreement within 14 days of its conclusion or from the day on which he received the conditions under it. In this case, he does not owe penalties and compensation to the creditor, with the exception of the costs incurred by him to public administrative bodies, which are not subject to reimbursement.
Important!
"When exercising the right to withdraw from the contract, the consumer must send a notification to the creditor before the expiry of the deadline in which he has the right to withdraw (14 days). Then, within a period of up to 30 days, he must return to the creditor the amount withdrawn plus the interest for the days from the granting of the loan to the return of the principal, applying the interest rate specified in the contract. And another important thing - the right of refusal applies to loans over BGN 400, "We, the users" explain.
