When we request credits to finance a personal project, we look for the minimum cost to borrow money. Some financial companies have launched products adapted to ecological purposes with much more advantageous conditions than other loans. If we want to buy an electric car or make our home a sustainable home, a green loan is the cheapest option to finance it.
Where can I get a green loan?
The concern for the impact we have on the environment is constantly growing and is already one of the main topics of debate among us. The financial entities have echoed this fact and have decided to launch financial products with the characteristics adapted to the financing of sustainable projects. If we want a green loan and we do not know where to go, these are the main establishments where we can find them:
Banking entities: some banks have developed a line of financial products for sustainable purposes. Depending on the entity we go to, they will have specific loans for certain projects, with a fixed interest rate, or a green loan whose cost will vary depending on the purpose we are going to give it.
Private credit entities: these companies tend to have more flexible acceptance requirements than banks. In addition, their hiring process usually involves fewer procedures, be faster and be done online 100%, avoiding moving even to sign the contract.
When we are going to request a green loan or any other type of financial product, it is advisable to request several offers in different entities. In this way, we can compare among them and know the market situation with greater precision. Thus, we can choose the cheapest loan or the one that best suits our situation. Green Day offers online cash advance loans.
What are the advantages of organic personal loans?
The general characteristics of these loans are similar to those of any of the online loans offered by financial institutions. Its contracting can be done through the Internet, without excessive paperwork and in a much more agile way than those of the financial products that were traditionally offered. However, if we hire a green loan, we can get some of the following advantages:
Reduction of interest rates: generally, financial institutions that have a green loan in their catalog, usually offer them with a lower TIN than the rest of products. This reduction is due to the environmental policy of the lenders that supply these products.
Elimination of commissions: in order to promote the realization of projects related to the conservation of the environment, the great majority of the lenders have eliminated the opening and study commissions in the green loan of their catalog.
As we can see, besides taking care of our environment and investing in the future of the planet, sustainable online loans have other advantages that can make us save money when financing an environmental project. It is important to keep in mind that we will have to demonstrate that we will use the credit money in an ecological purpose.
What are the requirements to obtain green credits?
The entities that offer credits to finance a sustainable project usually demand the same compliance as for the rest of loans without endorsement. It will be necessary to provide a personal guarantee to show that we can return the money because we can not provide a physical guarantee either. In summary, these are the main conditions that we will have to fulfill in order to be granted a green loan:
Be of legal age: to get this funding we need to exceed 18 years, although some entities will ask us to be over 21 or 25 years old according to their risk policies.
Reside in Spain permanently: we can demonstrate that we adjust to this condition by providing a copy of our ID or NIE (if we are foreigners with residence permits) double-sided and in color.
To be the holder of a current account: so that the lender realizes the income of the money in her, as well as so that it can carry out the credit analysis evaluating the movements of the last months.
Have an income: the remuneration we receive must be of a sufficient amount to pay the monthly fees, along with the rest of fixed expenses. In addition, we will have to receive it regularly and be able to justify its origin with an official document.
Do not have outstanding debts: Lenders that have a green loan in their catalog do not grant loans with ASNEF, that is, they do not lend money to people who appear in a delinquency file.
Have a project budget: given that they are loans with such a specific purpose, almost always we go to a green loan, the financial entity that grants them will ask us to provide them with a proof of purpose. Both a proforma invoice and a signed estimate will be valid documents.
If we are going to buy an electric car or install the new eco-appliances, which reduce their environmental impact, we will have to adjust to these conditions. The last requirement is the only one that differs from that of the loans without common endorsement, but it will be easy to comply because the only purpose that these products have.
Government aid to complement green loans
In addition to the financial entities, the Spanish Central Government and the various regional organizations are also committed to promoting the ecological development of society based on individuals. They do this through subsidies for the purchase of electric vehicles or for the installation of loading platforms. These aids are a good support to ask for less money in our green loan or, also, to complement them. These are two examples of state subsidies:
MOVEA Plan: launched in August 2017, it granted us an extra injection of cash for the purchase of electric cars, plug-in hybrids or any other type of vehicle with an ecological aspect.
MOVALT Plan: this aid program also counted on aid for the acquisition of an electric vehicle, others to favor the installation of loading stations. The budget for 2018 has a section in which a new MOVALT plan is determined, which is expected to come into force in the summer of this year.
Both aid plans were exhausted in a single day, despite the fact that there was a considerable increase in budgets among them. This fact indicates the enormous interest of Spaniards in adapting their lives to a more sustainable model, despite the lack of aid in other areas such as the installation of solar panels.
In the same way, the State Housing Plan 2018-2021 presents in one of its sections subsidies for those home reforms that have an ecological purpose. Specifically, we can get up to 12,000 euros if we live in a house or up to 8,000 euros if we live in a block of buildings. These grants are focused on supporting improvements in energy efficiency of Spanish households.