Cash loan costs How much does the loan cost

What distinguishes a cash loan from other banking products is the purpose of the loan. Pursuant to the statutory definition, each loan agreement must have a specific purpose for which funds transferred by the bank to the borrower’s disposal will be spent.

Cash loan


However, by entering into the loan agreement, he agrees to spend the money transferred to him by the bank for the purpose specified in the loan agreement. However, it is different in the case of a cash loan, which does not contain the purpose of the contract.

The bank gives us cash, which we can freely use. Cash loan is granted for any purpose. Therefore, the bank cannot control the borrower for what he spent the money transferred to him, because he has complete freedom.

Cash loan price

Cash loan price

A cash loan is one of the most expensive loans, despite the fact that it does not amount to the highest possible amounts. Due to the type of security, which is usually only our income and the fact that it is granted to us very often only on the basis of the information contained in the application and information from BIK, it is for the bank, despite the fact that low is a rather risky product.

Cash loan costs

Cash loan costs

Bank loan costs are the same as for other loans. First of all, we have to return the loan capital, i.e. the amount that the bank has given us to use. Another cost of credit is interest on the loan capital, the upper limit of which was set by the legislator. Another cost of the loan is the commission for the bank for granting it. This issue is not regulated by legislation, thus giving the bank freedom and full freedom. Therefore, the cost of credit can be radically different. A low interest rate will not mean a cheap loan, because the bank can earn primarily on commission. In addition, we also have additional credit costs, which in this case are primarily insurance costs, which we can use or not. However, banks often make the granting of credit conditional upon taking insurance. In such a situation, we can cancel the loan in this bank or voluntarily join the loan insurance.


If all this information still does not appeal to you, in the case of a cash loan of small amounts, you must first of all know what the APRC is. Namely, it is the actual annual interest rate. The lower the ratio, the lower the loan, as a rule, the cheaper it is. When comparing cash loans, you must be guided primarily by this parameter, and you will certainly find a loan for yourself.

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