Loan what you need to know
What are the types of documents we will come across as a borrower? What is a loan application? What does a professional loan agreement contain? What other documents should the lender provide?
Loan – application form
The loan application form is a very important document – the first one we will come across as potential borrowers. Based on it, we apply for funds. On its basis, the lender will consider our application. Concepts should be sorted out here. The application form consists of two parts.
The first is the registration form. It can be in an electronic form if you are applying for an online loan. If we do it in the loan company’s branch office, it will be made available to us by a broker. The electronic version of the form is used to register the individual profile of the borrower.
In the case of Felodars, we can divide the commitment into installments, so we will receive an installment loan form. With its help, we can apply for a loan.
It is important to remember the important principle of safe borrowing: do not apply until you have read the Framework Loan Agreement. If there are any doubts about the content of the contract or specific wording, it should always be clarified. We will do it via the contact form, by e-mail or phone contacting the borrower.
Professional loan agreement
The loan agreement is of course the most important document. We will receive it after the loan application has been approved. It contains individual terms and conditions for the award of funds, including the total loan amount, the total cost of the loan and the total amount to be paid.
Repayment in installments requires a loan repayment schedule, which specifies the amount of individual monthly commitments and the deadlines for their settlement. In the case of loans with a one-off repayment, this is the deadline for settling the total liability.
The loan agreement also specifies the form of debt repayment (e.g. bank transfer) with all necessary data and formal requirements related to the verification of the borrower’s data (e.g. verification transfer).
PCC declaration or tax on loans
The PCC application is a declaration on civil law transactions. On its basis, we pay the tax due on these activities, and it applies to many transactions that we conclude on a daily basis. It mainly covers sales contracts as well as exchanges of goods and property rights, donations, establishing a mortgage, establishing payable use. In our case, the most important thing is that the tax on civil law transactions also covers loan agreements.
This may seem surprising, because in none of the offers of loan institutions, and even less in the Framework Loan Agreement, we will not find information about the need to pay this tax. Why? The Act on tax on civil law transactions specifies what types of transactions are covered by it. It is also a loan, and more specifically, loan agreements. But, the legislator also specifies what kind of loans are at stake.