Criteria for taking out a loan in Finland


Whether you require a personal or business loan, you need to understand the basics of the Finnish business sector.

When you narrow down the size of the financial loan you require, you can then approach the business sector for solutions. Have you applied for a loan in your home country before? As a foreigner, you could successfully apply for a loan in Finland. You will need to provide some form of identification, a visa or a residence permit too. Loan companies – be it banks or loaners – want to be able to gauge your level of risk and whether you can repay the loan in full and by monthly or weekly instalments that you mutually agree on.

When you read up on the loans, banking and the business sectors of Finland on Suomiarvostelut you will better understand the requirements of financial loans in this country. You will read about companies such as Limiitti in your research and wonder what their products, policies and customer services are like. Customers’ feedback on peer review websites such as Suomiarvostelut will help to make better-informed decisions.

Essential criteria to successfully apply for a loan is showing clearly to the loan company your ability to repay their money. They will assess your income, the size of the loan you require, the purpose of your loan, your credit history and credit rating, and your list of guarantors for this loan.

A person can apply for a personal and business loan online. It is best to enquire with several banks and loan agencies to compare their rates, charges, and interest levies on their loans. You should also enquire with different banks on the various tax implications a loan will have on your financial situation at the end of a tax period.

Do you have a credit history and a positive credit rating? Those will stand you in a positive light to help you secure a loan. This is because banks and loan companies want to your performance of repaying previous lines of credit and loans to gauge your level of risk.

The final check a bank and loan company will conduct on your application is a repayment capacity assessment. This is calculated by analyzing your disposable income, your monthly costs, your company’s financial statements if it is a business loan you are applying for, other loan costs, and your monthly expenses.

There are several business loan types you can access. Loans for investment purposes, growth, internationalization, entrepreneurship, working capital gains, property and real estate loans, vehicle and asset loans, machinery and equipment loans, marketing and start-up loans, and bridge financing.

Also, consult the Finnish Consumer Authority for in-depth information on this subject.

The banks and loan companies will thoroughly assess your profile and application. Some loan applications in the business sector can last months, while others will be processed in a matter of days or weeks – depending on the loan type and the size of the loan. In terms of personal loans, some online loan companies can complete the process within a few minutes or hours.

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