If you want to take out a loan , you are faced with different decisions and offers. Credit comparisons can provide first clarity about terms and costs. There remains the question of where to turn as a borrower’s best. Is the house bank really the best alternative for a cheap loan or are other providers, possibly even direct banks, more suitable?
While German consumers like to rely on the cheap alternatives offered by Internet banks when opening current accounts, they are much more skeptical when it comes to taking out loans . Many people miss direct customer contact, counseling sessions and trustworthy contact persons. And while these can be found at the house bank and branch banks, they often show themselves to be significantly less flexible in other areas. For example, when it comes to special repayments, interest agreements and terms of credit . And the overall costs are not least a decisive argument, on the basis of which consumers decide for or against borrowing.
The benefits of direct bank loans
It is true, of course, that the longtime consultant at the own house bank is trusted more than an unknown one at a rival bank. Even more skeptical is fast, if this personal contact is not even available, as is the case with direct banks for logistical reasons of course.
But direct banks can compensate for this apparent service shortage very well. For example, in the late autumn of 2017, the service site Chip.de tested the accessibility and quality of advice provided by direct banks. Not a few could score with customer-friendly accessibility, short waiting time and excellent consulting service. Anyone who is prepared to seek advice by telephone, rather than in personal conversation, has a chance of having comparable consulting quality with direct banks.
Branch banks often argue that setting their terms, interest rates and loan costs by investing more money in people, building management and infrastructure than direct banks. These additional expenses are passed on to consumers in the form of fees. That is why online bank lending offers are often much cheaper than branch banks.
Consumer testimonials also show that, even when armed with comparative offerings to represent themselves at the house bank, the long-standing chain store of trust seldom deviates from their own offerings. Whether this is due to the specifications or the reluctance of the credit counselor himself, is irrelevant for the customer. However, when it comes to deciding on borrowing on the basis of the costs involved, this inflexibility of some house banks and advisers gives a clear point deduction.
Direct banks are also better positioned than branches when it comes to adjusting repayments and interest rates. In addition, customers can manage many things themselves via apps or online banking portals, for which they would have to make appointments at branch banks.
Are direct banks trustworthy with credit?
Behind direct banks are usually established banks. That’s why loans from direct banks are no less secure than those from branch banks. More often, consumer computers are the biggest security trap, corrupted by phishing emails or viruses. If this is not the case, borrowers need not fear security vulnerabilities. Encryption is also used to verify data so that customer data remains private and transmission is secure. In addition, video-ident procedures are often faster, so loans can be granted faster, especially in urgent matters. However, it is important to choose a trustworthy direct bank.
Advertise banks with schufa-free loans , caution is required. Likewise, if no references or customer experiences can be found about a direct bank – or these evaluations fail inadequately. Otherwise, however, direct bank loans are as safe and trustworthy as branch bank loans. Just simply often much cheaper.