Loans and credit cards-what you should know apply for credit card loan

Loans and credit-written loan commitment. And between two parties: the borrower and the lender. And regulates the transfer of certain amount of money. This shows the purpose of receipt of the borrower.

The loan is defined as either a written agreement. His party, the borrower and the lender. In this case, the other party first convey certain things (value) or money. The borrower during a specific period to return the money. Help to get these loans are private investors. You can obtain the necessary financial support. The loan contract indicates that the amount of abandoned money or things. No doubt also to indicate the date that he should return, sometimes-which provides for the use of funds.

Speaking of credit, characterized by the following properties:

At certain times the debt to be repaid.
Urgency. Indicate a specific effect on long term debt.
Payment. Interest on the use of funds.

The warranty. In default of the obligations imposed by Decree and shall apply some sanctions.
But what is the difference between the loan and the loan? Home-how legal are regulated by law. Civil law regulates everything related to loans and loans to be used again and the Banking Act. But the essence of these conventions are the same-buying assets on a reimbursable basis.

When credit is basically money issued for money. This rate refinance less often than the fees for use of the funds invested. However, the maximum fees determines the legislation.

If the loan is not mediation and both parties to communicate and cooperate with each other directly. It should be noted some differences still loans and credit. These include the particular subject that is provided by the creditor or lender. Because only the lender makes money, but also things the lender. If the lender cannot claim interest, the creditor must refinance. With a small amount loans written contract might not be ready, but to give it mandatory. Lenders may be a person or a legal entity. But the lender takes banking regulation.