Quick and simplified procedures and the possibility of taking a cash loan in several minutes online. This means that more and more people are deciding to incur financial obligations for various purposes. How do we most often spend borrowed money? Who decides to take out a loan or credit? These questions can be answered by the borrower’s profile created by ARC Rynek i Opinia.

An increasing number of young borrowers

Research shows that up to every third borrower is under 30 years of age. Young people make commitments to buy an apartment, continue their education at universities, as well as for current needs. However, the group of borrowers is dominated by adults over the age of 40. Demographic data inform us about several interesting issues: The vast majority of borrowers are people working and living in large cities. Over half have secondary education, while every fifth person has higher education.

What do we spend the money on?

The main purpose of borrowers is to pay urgent expenses and to buy everyday items. In other words, the vast majority of loans are taken by people who want to maintain liquidity. With slightly larger commitments, the main goals of the borrowers’ profile are: purchase of an apartment or building a house, purchase of a car, renovation, expensive trips or travels, desire to develop their own business. Many seniors also borrow money to cover medical expenses.

A loan at a bank or non-bank company?

While a few years ago bank loans were definitely dominant, today, more and more people are moving towards liabilities in non-bank companies. It is the impact of high availability and simplified procedures that allow you to get the money you need faster. Of course, banking products still prevail, but from year to year there are more clients deciding to take out a cash loan in one of the parabanks.

When you borrow, you have to pay back the amount you borrowed plus interest. You may also have to pay fees. Costs can be tricky, so be sure to consider interest rates and transaction fees as you study how a loan works.