The most important thing to remember is that Latvian law provides that any loan can be repaid early. You don’t have to wait until the last day. If you still have to repay your debt all the time, you may be spending your money to cover the loan and you will be forced to pay for the extension. In this situation, it can be relatively easy, because we know that unexpected spending also occurs in the most unattractive moments. Assuming you can repay the loan right away – do it immediately and, if it’s a loan for several months, you might save on interest. The money transfer must be made to the lender’s bank account, indicating all the information required by the contract itself.
What can I do if I can’t repay my quick loans right away?
In situations where the debt cannot be repaid immediately and there is no extension of the contract, negative ones occur consequences. Under the terms of the contract, in such a scenario, the creditor is entitled to impose a penalty on the client for each day of delay. In most cases, this is 0.75% of the outstanding amount per day (max. 100% of the loan amount).
The second option is an agreement with the lender on how to repay the fast loans gradually according to the payment schedule. Such an agreement can be reached with individual companies or with several creditors at the same time. If you have borrowed money only from the members of the Latvian Financial Services Association (formerly lnka), you can fill in the application lafpa.lv. Customers who meet the conditions set by the lafpa can claim a fast loan repayment gradually. This example is important and shows that active action can save you money. Those who are unable to cover the debt in one payment can save substantial money by agreeing to a gradual repayment of the loan. Once agreed, additional interest is no longer calculated, but it is important to follow the terms of the contract. Repeaters are no longer given the opportunity to break the treaty.
The third option is to merge or re- credit credits to another company. The possibility to refinance liabilities in Latvia is offered by both credit institutions and non-bank lenders.
Filling in the application is free and allows you to find out your options. If you decide to co-operate, you will have to pay a document fee (according to the price list), but you have to pay a commission according to the company’s price list when concluding the contract. The service is available for refinancing both quick loans and home loan re-crediting. In order for a contract to be concluded, the application form must be completed and additional documents may be required at a later date. There are situations where it is profitable, but it cannot be predicted in advance, because interest rates and commissions are calculated individually for each client.
Difficulties in life can occur at every step and it is good to have relatives or friends to rely on. Even in circumstances where you don’t know how to repay a quick loan, support from your loved ones can be helpful. In most cases, relatives are more understandable and responsive than they might think. It’s worth talking, because help can be a phone call or a friendly visit. Our suggestion would be to look for support right away, rather than wait until interest and fine levels double.
Selling movable property, valuables or other valuable items to cover debt is another solution. Getting rid of unnecessary items and being free from debt is tempting. 20 years ago, this would be the only option, now there are other breeders, but we do not have to forget the proven methods of the centuries.