Loan Sweden – In Sweden, loans play a big part in the lives of most adults. Not necessarily in a negative way, since less people than ever before are affected by what is usually called problematic, or risky, lending. In fact, most people are more than able to pay their debts.1 According to the Swedish Enforcement Authority, instant loans have been steadily rising since 2006 when they first started to appear on the consumer market. Even though there are no official numbers after 2014, the available data suggests that it’s one of the more common ways of lending. Which loan is the most common? Student loan Sweden! But let’s take a closer look at how to get a personal loan in Sweden.
Loans and lending in Sweden
According to a 2019 study by Tieto, a Swedish consumer and technology company, one out of five swedes are considering taking a loan to pay for vacation expenses. And what do Swedes value the most? Interest and the reputation of the lender.2 But how would an expatriate, visitor or newcomer go about getting a loan in Sweden? Follow us as we take a closer look on the situation.
Getting a loan in Sweden
If you’re a non-Swede out to get a loan in Sweden. There are a few things you should consider. If you’re a non-resident, you should absolutely consider contacting Skatteverket in order to become registered in the Swedish Population Register. Why? In Sweden, pretty much every legally binding action, doesn’t matter if it’s a loan or a cell phone account, requires you to provide a personal identity number. Without such a number, it’s very unlikely that you’ll be able to obtain a loan. Luckily, you can easily get one. Simply locate the nearest service office of Skatteverket and inform them that you’re planning to stay in Sweden for more than a year.
- Make sure to register in the Swedish Population Register to obtain a personal identity number.
- You have to be at least 18 years old.
- You need to be able to supply proof of income for loan sweden.
- You can’t have any active debt registrations at the Swedish Enforcement Authority.
Just as in the rest of the world, there are certain requirements of minimum income. Exactly how stringent the requirements are varies amongst lenders. But you can expect a minimum requirement equal of 60 000 to 120 000 Swedish kronor per year. If you haven’t declared income in Sweden, you probably need to manually provide proof of income in the form of a paycheck or proof of other means of regular income. These days, most quick loan sweden providers utilizes the de facto standard citizen identification solution BankID. This is a free online identification tool, but in order to use it you have to have a bank account in one of the following Swedish banks, Danske Bank, Forex Bank, Handelsbanken, ICA banken, Länsförsäkringar, Nordea, SEB, Skandia, Sparbanken Syd, Swedbank or Ålandsbanken. In some cases, you can secure a loan by provide manual identification to the online loan sweden provider. But this depends on whether or not a loan without BankID is accepted by the lender in question.
Can anyone get a loan?
Sweden is internationally known for it’s openness. This is a major part of the culture, covering everything from the freedom to roam the nature to the general behavior of the people. In fact, it’s also a part of the fast loan sweden culture. As long as you live up to the minimum requirements, you won’t have any trouble at all securing the loan. The main obstacles that people experience are usually due to the fact that they forget to register for a personal identity number. So, you could argue that only residents can get a loan. But since Sweden is so open, it’s possible for pretty much anyone to become a registered resident. In fact, if you’re a citizen of a country in the European Union, you actually have a right, and sometimes even an obligation, to become registered if you’re planning to spend at least a year in Sweden. Another thing that Sweden is known for is the widespread usage of English. Most Swedes are highly fluent in English, and all administrative bodies offer support and material in English. That way you never need to worry about facing obstacles that are too big to climb. By making sure to meet the minimum loan requirements, you have already taken the first step on your short road towards securing a loan. Also read about mobile avbetalning.
What happens if I can’t re-pay my loan Sweden?
Remember that when it comes to economics and administration, Sweden has highly efficient administrative agencies and courts. Dealing with non-payment is a day to day thing in Sweden which means there’s no way of avoiding facing the fact that you have to repay. If you can’t pay, you will become a part of a three step process that won’t end until you pay.
- You will first receive a payment reminder with an administrative fee.
- If you don’t pay within the time frame mentioned in the reminder, your loan will be dealt with by a collection agency. This will incur additional fees.
- If you don’t pay the collection agency, your loan will be dealt with by the Swedish Enforcement Agency. This will prevent you from taking loans in the future.
Worst case scenario is that you become registered as indebted by the Swedish Enforcement Agency. This could severely affect your ability to secure a loan in the future, or even enter a legally binding contract. Why? Because the Swedish Enforcement Agency is a part of how Swedish companies make sure that people are economically fit to enter contracts. So make sure that you can actually repay. Kronofogden.
1:“Rekordfå hos Kronofogden”. Press release, January 17, 2019
2:Tieto. Bankens rykte avgörande när svenskar lånar pengar. Press release, June 12, 2019.