The loan simulator at the bank is nothing else but calculating the estimated loan installments with the credit parameters set.
Very often the loan simulator is called a calculator, a search engine or a credit comparator.
Regardless of what the financial tool is called, it is primarily used to search for banks, learn about loan offers and their basic parameters, and simulate loan installments. We will emphasize this once more: to simulate installments, not to calculate them exactly. The most common, and thus the most popular simulator is:
Bank loan simulator
Simulation of a bank loan, or actually credit installments, can be made on the website. The assumption is very simple: estimate the amount of the loan installment. Enter the amount of the loan and specify the loan period. You can also select several other search parameters, but these two are enough to check how much (more or less) will be the credit installment.
In the case of cash loans, the lending period is given in months, and in the case of mortgage loans in the years. Why is it just a loan simulator, not an Exact Ratio Calculator? The exact installments can only be calculated by the bank. The amount of the installment depends not only on the amount and duration of the loan, but also on the client’s scoring. The more scoring points a customer gets, the better and more advantageous offer.
Credit simulation and what’s next
If we have already prepared a list of banks from the simulator, then now you should only choose those with whom we will contact you regarding the loan. The very process of applying for a cash loan, contrary to popular opinions, is not at all long or complicated.
Banks require a personal ID and a certificate of earnings. The ID card will of course confirm our identity, age or nationality. Foreigners must have their passport and residence card with them.
An income certificate is also needed to complete the loan application. It is necessary to provide information about the earned income and the type of employment contract. Naturally, the application should also include the amount we want to borrow and the time in which we intend to repay the loan.
If all documents are delivered, the application is correctly completed, then the bank finally verifies the customer’s creditworthiness (the first was during the telephone conversation) and checks the creditworthiness.