Quite a few lenders offer new customers to borrow for free and borrowing money from them is thus obviously cheap. However, it is only possible to borrow this way once, so it is like nothing to count on in a somewhat longer perspective. The question then is how expensive it is to actually borrow money in the form of a micro loan. More commentary at saintmychal.com
Looking at our list here is the cheapest loan
What one can see fairly quickly is that it varies a lot in terms of cost charged by the different lenders. Looking at our list here is the cheapest loan of USD 3,000 at the moment USD 198 and the most expensive is at USD 750. This is for 30 day loans. Extremely large difference is to be said.
This shows how important it is to really compare the different lenders before submitting an application for a loan. Because there is no reason to pay extra when it is the same product.
As there are still a large number of lenders dealing with micro loans
We do not currently have the opportunity to compare all of them, so there is a risk that we have missed some lenders. I did a small check and then found for example Paxo. There you can borrow a Paxo 3000 USD loan which we do not for example include in our comparison.
Also, keep in mind that rates change so that a lender who was the cheapest when you last wanted to borrow money doesn’t have to be this at all if you now want to borrow money again. Therefore, always check the different options if you are going to borrow.
Does it really have to be expensive?
If you look at the cheapest alternative, which is at USD 198, I cannot think that it is so dangerously expensive to borrow USD 3000. If a borrower needs to pay USD 750 instead, it is very expensive all of a sudden. Then of course it is better to use saved money so that the fee does not have to be paid no matter how big it is. But the short answer is that it doesn’t have to be so expensive to take a micro loan. However, it may be that if a more expensive lender is selected.