MonthMay 2019

Loan for renovation of a house or flat – summary

May 17, 2018 Every third Pole takes a loan or a loan to renovate an apartment. In the article you just started reading, we’ve listed the best loans for home renovation. What’s more, we estimated the costs of potential refurbishment and indicated in what situations one should take a payday loan, cash loan or mortgage. When reviewing credit proposals, pay special attention to interest rates and commissions. You can find the loan offer for housing renovation at the end of the text.  More of this story: http://bonusdunet.com/credit-for-your-car/

House or flat renovation – estimate the costs first

House or flat renovation - estimate the costs first

If you plan to renovate the property, estimate the cost of all work at the beginning. This will allow you to determine the amount of potential credit or loan. In a situation where you run out of funds, increasing the loan amount may be difficult due to impaired creditworthiness. Therefore, in an emergency, you can use a payday loan or installment loan.

How much does the renovation cost? It depends on the progress of work and the size of the apartment. Below is a renovation cost estimate for a 60 m2 property.

The cost of renovating the bathroom

A thorough renovation of the bathroom can take a lot of money. You can’t save on materials, but on professionals you can. Therefore, it is worth doing some of the work yourself – e.g. dismantling old surfaces. The amounts given are just an example. The costs included materials and labor. Bathroom renovation cost:

  • Floor – approx. 1500 PLN,
  • walls and ceiling – approx. 2000 PLN,
  • hydraulics and electrics – approx. PLN 250.00,
  • sanitary – approx. 2,600 PLN,
  • total – PLN 6,350.

Kitchen renovation – costs

Kitchen renovation works are similar to those in the bathroom. However, their cost is higher due to the purchase of household appliances. Electrical and plumbing installations are also worth mentioning. In this case, it is not worth saving. Installations must be made professionally.

  • Floor – around PLN 1,500,
  • walls and ceiling – approx. 2700 PLN,
  • hydraulics and electrics – approx. 1000 PLN,
  • equipment – approx. PLN 3,300,
  • total – PLN 8,500

Living room renovation costs

The cost estimate below includes mid-price products. The cost of labor and basic equipment were also taken into account. The largest costs were generated by the wooden package and suspended ceiling with assembly.

  • floor – approx. 1500 PLN,
  • walls and ceiling – PLN 3 600
  • electrical installation – PLN 800,
  • interior doors – PLN 600,
  • equipment – 6500 PLN.

Bedroom renovation costs

The cost estimate is a comprehensive renovation of floors, walls and installations. Finishing elements are from the lower price range. Equipment generated the largest costs.

  • floor – 800 PLN,
  • walls and ceiling – PLN 150,
  • electrical installation – PLN 350.00,
  • equipment – PLN 1,400,
  • total – 2700 PLN,

Loan for apartment renovation

Loan for apartment renovation

The apartment can be renovated using:

  • own funds,
  • chwilówki,
  • cash loan,
  • mortgage.

Importantly, a consumer loan can be taken from a bank or loan company. The banking product is intended for people who want to borrow significant funds and have a high BIK score. However, the offer of loan companies should be used by people who need a relatively small amount (up to PLN 10,000) and do not have sufficient creditworthiness.

Small renovation – take a payday loan or installment loan

If you only plan to refresh one of the rooms or buy furniture, do not take out a cash loan. To put it more clearly – it is not profitable to take out a loan if you want to borrow up to PLN 2,000 or 3,000. Because every major loan company gives free first loans.

Example – Porfel, gives first payday up to PLN 3,000 completely free. So – you give back as much as you borrowed. Repayment time – 45 days.

If you do not want to donate money with a one-off payment, take a loan in installments. Example – Provident offers an online loan for free. Loan duration – 4 months. The loan amounts from 500 to 1500 PLN.

For medium renovation – cash loan

For medium renovation - cash loan

If you plan a comprehensive renovation of more than one room, take a cash loan. Remember to use a banking product you must meet several conditions:

First of all – you can’t be in debt. Secondly – you must have a stable income and be employed under an employment contract. Fortunately, banks are increasingly honoring the so-called junk contracts. Third and most important – your BIK scoring should be at a high level. Because credit history is one of the most important factors that affect your ability assessment.

The amount of the cash loan is statutorily defined and may not exceed PLN 255,550. The loan period does not exceed 10 years. Remember – the longer the repayment time, the higher the cost of the loan.

What elements make up the cost of a renovation loan?

Components of the cost of credit:

  • interest,
  • commission,
  • APR,
  • insurance.

Interest rate is one of the most important factors affecting the cost of credit. It occurs in two forms – constant and variable. The rate is given on an annual basis and its value may not exceed four times the NBP lombard rate. Currently, the maximum interest rate may not exceed 10 percent.

The commission allows you to shape the cost of the loan. Banks often offer low interest rates and overstate the commission. Therefore, when choosing offers, pay close attention to this parameter. Banks charge a commission fee with a one-off payment or add to the loan installments.

Pursuant to the Consumer Credit Act, banks are required to inform customers about the actual annual interest rate (APRC). The parameter is expressed as a percentage. The indicator includes most of the loan-related fees – e.g. commission, loan insurance.

Cash loan insurance is voluntary. The policy guarantees payment of the sum insured in the event of permanent disability or death of the insured. The amount of the premium is added to the loan installment. Insurance pays off if you incur a serious financial obligation. When browsing the offer, pay special attention to the GTC – general insurance conditions.

Mortgage for a comprehensive renovation of a house or apartment

Mortgage for a comprehensive renovation of a house or apartment

If your property needs major renovation, consider a mortgage. Do not take out a high cash loan for renovating your property because its costs are too high.

A mortgage is the cheapest loan product on the market. The repayment time is long, it can reach up to 30 years. But – the longer the loan period, the higher the costs. The amount of the mortgage for renovation may reach several hundred thousand zlotys. The interest rate is low and does not exceed 5.5 percent.

Important – the mortgage has a clearly defined purpose. The money received may not be used otherwise than in the contract. Establishing a mortgage involves court fees and a tax on civil law transactions.

List of renovation loans – bank cash loans

List of renovation loans - bank cash loans

We have created a list of the best loans for renovating a house or apartment. We have specified bank cash loans. When browsing offers, pay special attention to interest rate, APRC and commission.

CreditCole – possibility to take out a cash loan with a partner

CreditCole cash loan can be taken alone or with a partner. Joint credit increases the capacity, and hence you can borrow more. Loan amount – up to PLN 150,000. It is possible to consolidate other debts into one lower installment.

  • loan amount: from 1000 to 150,000 PLN,
  • loan period: from 3 to 120 months,
  • fixed interest rate: 9.99%,
  • APRC: 22.10 percent (for the loan amount PLN 5000),
  • commission :: PLN 1,249.50 (for the loan amount PLN 5,000),
  • income certificate: yes,
  • form of payment: bank transfer or cash at a branch,
  • inference: online.

PhoneCall Bank – cash loan up to PLN 200,000 zł

T-Mobile banking services are conquering the cash loan market. One of the biggest advantages of the cash loan offer is the fact that application is done online. Importantly, the bank accepts many sources of income, including a mandate contract. It is possible to set up automatic repayment of a loan from the personal account of PhoneCall Bank. The real service provider is Meteor Bank.

  • loan amount: from 1000 to 200,000 PLN,
  • loan period: from 3 to 120 months,
  • fixed interest rate: 9.99%,
  • APRC: 16.93%, (for the loan amount: PLN 23,126
  • commission: 3 150.56 (for the loan amount: PLN 23 126),
  • income certificate: no,
  • form of payment: bank transfer or cash at a branch,
  • inference: online.

PB cash loan – without income declarations

Under the cash loan, Pancor bank offers up to PLN 120,000. New customers as well as people who want to consolidate other financial liabilities can take advantage of the offer. Importantly, income certificates are not required. All you need to do is show your bank statements for the last three months. It is also worth emphasizing that customers who do not have an account with PB can submit their PIT for the last year in order to receive a loan.

  • loan amount: from 1000 to 120,000 PLN,
  • loan period: from 1 to 96 months,
  • interest rate: variable 0.99 (for the loan amount PLN 2970.30),
  • APRC: 3.46%, (for PLN 2970.30),
  • commission :: PLN 29.70 (for PLN 2970.30),
  • income certificate: no,
  • form of payment: bank transfer or cash at a branch,
  • inference: in the branch.

Rumor Bank cash loan up to PLN 200,000

Rumor Bank allows you to apply for a cash loan: electronically, by phone and at a branch. Interestingly, the bank does not require income certificates (up to PLN 4,000). The Rumor bank Measure Loan can be used in any way you like.

  • loan amount: from 1000 to 150,000 PLN,
  • loan period: from 1 to 120 months,
  • interest rate: fixed – 15.62%,
  • APRC (for PLN 5,000),
  • commission :: 5%, i.e. PLN 750 (for PLN 5,000),
  • income certificate: no (above 4000 PLN a certificate should be provided),
  • form of payment: bank transfer or cash at a branch,
  • inference: online or branch.

Puttin Bank cash loan from 18 years old

Puttin Bank loans up to PLN 200,000. To submit an application, complete the form and wait for a call from a consultant. To take advantage of the cash loan offer at Puttin Bank, it is enough to be over 18 years old and have creditworthiness. Borrowed money can be used for any purpose.

  • loan amount: from 1000 to 200,000 PLN,
  • loan period: from 1 to 120 months,
  • interest rate: no information,
  • APRC: 17.3% (for a representative example),
  • commission: no information,
  • income certificate: yes,
  • form of payment: bank transfer or cash at a branch,
  • inference: online or branch.

OUT Cash Loan

OutBank offers from 1000 to 160,000 PLN under a cash loan. Interestingly, the bank does not charge a commission for loans from 20,000 to 60,000 PLN. However, for people who plan to buy organic products for borrowed money, a PLN 500 commission refund is provided.

  • loan amount: from 1000 to 160,000 PLN,
  • loan period: from 1 to 120 months,
  • interest rate: 8.59% (for loans from PLN 20,000 to 60,000),
  • APRC: 19.40%, (for PLN 8,000),
  • commission: PLN 0 (for loans from PLN 20,000 to 60,000),
  • income certificate: yes,
  • form of payment: bank transfer or cash at a branch,
  • inference: online or branch.

mYBank cash loan

The cash loan amount at mYBank ranges from PLN 500 to 150,000. Loan period up to 120 months. It is worth emphasizing that it is possible to extend the repayment period. Cost – PLN 0. Interestingly, the customer chooses the repayment day. People who are mYBank’s customers can apply for a cash loan in 100%. internet-.

  • loan amount: from 1000 to 150,000 PLN,
  • loan period: from 1 to 120 months,
  • interest rate: variable 7.99% (for PLN 10,100),
  • APRC: 15.98 (for the amount of PLN 10,100),
  • commission: PLN 1,331.99 (for PLN 10,100),
  • income certificate: yes,
  • form of payment: bank transfer or cash at a branch,
  • inference: online or branch.