What are single signature credits? Advantages, requirements and risks


What are single-signature credits?

Single signature credits are very useful when we want to make a personal purchase, travel or parties and are very easy to apply since they require few requirements.

These are credits that guarantee that only our firm is valid to make the payments of the credit, in addition, they do not require guarantees of any kind, but that the terms are paid previously established with the issuing entity. They are intended for personal purchases such as appliances, trips, parties, studies or a timely investment.

They are also intended to increase the income of pensioners, but it is always advisable to have a regular source of income to request it.

Recommendations before requesting your credit to only one firm


The first thing we recommend is that you value the urgency you have to request the loan, so if you are very urgent to receive the amount, you can go to a financial institution since they usually operate faster than banks by requiring less paperwork or requirements, However, interest rates may be higher.

If you do not need so much and want to receive better conditions at interest rates or feel more secure trusting a bank, then we recommend that you apply for your credit with only one signature with the bank, both options are valid.

If you want to make sure you get the most profitability with your credit, we recommend that you check the Total Financial Cost, it is the index that indicates what the total expenses associated with the loan application will be taking into account the fees and commissions

What requirements do single-signature credits have?

These are the requirements of a single signature credit that you must consider. If you do not meet them, the credit will not be granted. Take note:

  • You must present your personal identification

  • The receipt of the mon tax payment

  • Proof of income

  • Invoices to the name of the applicant to verify the identification and address

What are the conditions of requesting loans from a single firm?


Keep in mind the conditions before requesting it and sign a definitive contract. You may need more money than they can grant you and in that case, it would be better to use other types of financing.

  • The maximum amount of this type of credit ranges from $ 20,000 to $ 50,000

  • Generally the terms range from 12, 24 or 48 installments

Advantages and risks of requesting your credit from a single firm


  • As for the advantages of these loans to a single firm

Some entities allow payments to be made in advance without any surcharge or penalty or benefit from discounts for strict compliance with the fees.

Another advantage is the speed of getting your money. Being loans with limited requirements, the procedure when it comes to obtaining your money is much faster than in personal loans, which require more paperwork and more checks such as knowing if you are reported in the Veraz

  • The risks that carry this type of credit to a single firm can be

Get to exceed the amount requested without taking into account your ability to pay and the associated expenses, so that you can end up in debt.

It is also important to keep in mind that since it does not require a guarantee of any kind, you are solely responsible for paying the credit, for better or worse. You must be very aware of whether you can afford the payment of fees and on a regular basis, for this it is very important that you have a stable and regular income.

On the other hand, failure to make payments on time may lead to unexpected expenses in commissions, as well as the collection of certain additional charges that we did not expect or were not properly contemplated when the request was made. In any case, they are the same risks that come with ordering any other financial product.