Many people who urgently need money choose to request a microcredit, a small loan that, although it is a quick and easy way to get money, it is not the solution to the problems, since the subsequent debt can be abusive.
This is how it warns Organization of Consumers and Users (OCU), who has reported on the trap it causes for the indebted: “At OCU we have been warning for some time of the danger of going to one of the many quick loan companies that have proliferated in recent years.
Specifically, these companies offer credits of very small amounts, normally no more than 600 euros, but they are amounts that must be returned in very short terms and that hide abusive conditions.
For examplefor a credit of 300 euros for 30 daysin many cases they charge commissions that exceed 90 euros, which means paying an APR that is around (or even exceeds) 3,000%.
Justice also recognizes it
Justice adds to this opinion, since there are even sentences that establish it. One case is the one that occurred when the Provincial Court of La Coruña on December 14, 2021 declared null due to the existence of usury a loan from the entity Twinero with an APR of 1,981%something that happens with many other entities.
However, microcredit companies continue to offer online loans with disproportionate APRs and in many cases higher than those applied in some of the loans for which they have already been convicted, so You have to be very careful and think twice before taking the quick money offered by these types of companies.