A revolving loan in a bank account
This financial instrument (also a loan on account or a credit line) is called one of the cheapest (next to the credit card repaid in the interest-free period) loans. And it really is. The essence of a revolving overdraft facility is to increase the account balance by a certain amount. Money can be spent paying by debit card or withdrawing cash at an ATM. The limit used is topped up, e.g. when we receive a salary on the account. This will renew the limit. Unlike cash loans, we don’t pay interest on the entire amount, only the sum we used. For example, if our limit is PLN 8,000 and we paid PLN 4,000 in a month, then interest will be calculated on these PLN 4,000. To this should be added one-off fees, e.g. for examining an application for a limit or incurred once a year, e.g. for maintaining a line.
Revolving loan limit
This is an alternative solution offered by non-bank companies, which combines the advantages of a credit line with an installment loan. It cares for slightly lower amounts than its bank counterpart – in Saldo.pl from 300 to 5000 PLN, in Euroloan from 50 to 5000 PLN, and in Vaxinore up to 12,000 PLN. It is characterized by great flexibility – money can be withdrawn at any time, for what we want and in what amount. It is important to watch over the repayment deadline. We can pay the entire amount we spent, only part of it, or pay the minimum amount. The revolving loan limit can be increased or decreased at any time. Access to higher amounts (up to PLN 21,000 at Vaxinore) opens us a timely repayment of liabilities, building a positive credit history.
What to choose?
If it is enough for a calm head to have on hand an amount of no more than several thousand zlotys, and for this we care about the small number of formalities, then a better solution will be a renewable loan limit from a non-bank institution. Otherwise, if we also have a good credit history in BIK, we can use the revolving loan offer in the bank account. Regardless of which product you choose, remember to pay back at least the minimum required amount on time. This will allow you to have constant access to additional cash.