Bitcoin Loans

Bitcoin lending is a good opportunity for borrowers to get access to affordable loans and for investors to gain profit for their bitcoins. Read more about bitcoin loans below!

Recommended Bitcoin Loans

  • Loans up to $25,000 for small businesses
  • Fixed rates starting from just 1% monthly
  • Great option for eBay sellers and online businesses
  • As an investor, earn 13 % with bitcoin lending
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All About Bitcoin Loans

bitcoin loansWelcome to Financer.com! Financer is on a mission to help people just like you get the funding and information they need to make the best of their financial situation.

You’re here because you want to learn more about bitcoin loans, and we have some good news for you!

A Bitcoin loan is an excellent alternative to a traditional loan from lending institutions. You can get a low-interest bitcoin loan even without good credit. You often do not even need to prove your creditworthiness. Bitcoin loans help you build your reputation.

Getting a loan from Bitcoin lending sites is not too difficult. Once you establish your reputation, you might easily be trusted by others and receive bitcoin loans. Some lenders will offer Bitcoin microloans while others offer Bitcoin business loans. Check above for sites offering Bitcoin loans.

Compare traditional loans here

How to Get a Bitcoin Loan

Bitcoin lending gives both investors and individuals the ability to access profitable interest rates. Here is a helpful guide for borrowers:

  • Compare all the Bitcoin lending sites and see which ones have lower rates.
  • Ensure you have all the necessary documentation. For verification purposes, you might receive a video call from an agent.
  • Build a reputation by keeping in touch with lenders and answering questions.
  • Buy Bitcoin with a loan and then convert it into currency.

 What is Bitcoin Lending?

Bitcoin lending sites are places where you can borrow and lend Bitcoin microloans. Just like in the normal banking system, a borrower promises an interest rate to the lender.

Since lending is a peer-to-peer platform, the entire process is fair. Purposes for Bitcoin loans may vary from Crypto-Trading, to building, to debt consolidation. You can also get a new business idea if you are looking for Bitcoin business loans. You simply find a user who will buy your bitcoin at an agreed-upon price and hold as collateral in exchange for money with interest.

Reasons Why You Should Take a Bitcoin Loan

People who take Bitcoin loans generally believe a couple of things. The first thing you believe is that the bitcoin you currently own is going to go up in value and not down. You also believe that cashing it out is going to be more of a loss than a gain for you.

When you are a person taking a bitcoin loan, essentially what you are doing is finding someone who is willing to hold your cryptocurrency in exchange for hard cash. They will also provide an interest rate which upon completion of your repayment will let you get your bitcoin back.

So an ideal situation is you find a lender who charges you say 10% APR on a 1-year loan for your bitcoin and in that year bitcoin appreciates by 11% or more. This means when you buy back your bitcoin from the lender, you technically didn’t lose any money- your debt interest was covered by the appreciation on your loan, and you even gained 1% more than what you started from.

Just like any other loan these loans all come with their own unique agreements so make sure you understand the process before diving headfirst into this option!

People generally take these bitcoin loans for a number of reasons, whether its to take a vacation, consolidate debt, or make a large purchase bitcoin loans are certainly an interesting way to leverage a newer currency.

Application Requirements for a Bitcoin Loan

The first requirement is that individuals have to be from one of the supported countries. Going through the verification process will also boost your trustworthiness and more people will be willing to lend you Bitcoin loans. The following will ensure you have a better rank:

  • Government issued documentation for identification
  • Connection to PayPal, Amazon or eBay account
  • Social media connection via Facebook, Google+ or Twitter
  • Email and phone number

What Happens in the Case of Default?

If the borrower fails to pay back the loan, an arbitration company can sue the borrower in his own country. However, it might get complicated if the borrower is not in your country. It is not wise to invest in someone with a low trust rating.

Borrowers who have paid past loans can be trusted. It is also good to ask the borrower anything in detail for instance, why they need the money. Understand the features of the lending sites especially for Bitcoin business loans.

Instant Bitcoin Lenders

Each lender is different, however, some lending platforms are quite flexible with how much they will lend out and how fast you can receive funding. You should make sure to perform your due diligence on each and every site you are applying for a bitcoin loan on since these websites are not necessarily regulated in the same way a bank or credit union is.

You should also be interested in finding out what country the lender operates out of, if you need to bring the company into litigation for whatever reason, you’re going to have a much easier legal process in the country you live in opposed to trying to litigate in a foreign country.

Where Can I Buy Bitcoin Safely?

There are many places that the general consensus has assumed to be the most secure place to obtain and store your investment in bitcoin. If you’re looking for our pick for the safest place to buy this popular bitcoin we would recommend checking out the highly popular Robinhood Trading Platform.

We recommend Robinhood because it’s not just a cryptocurrency trading platform. It is an online “robo-broker”, giving you access to stocks and ETFs. The backing behind Robinhood is more robust compared to platforms that solely focus on just selling cryptocurrency.

Why Financer.com?

The reality of bitcoin lending is this is a very new market and a very new concept. The very last thing we possibly would want for you to get involved in, is an illegitimate transaction. There are plenty of “safety rules” to be aware of when finding legitimate platforms for cryptocurrency transactions.

Financer.com feels an extremely high level of confidence with the partners we offer. You can see our deals by checking our offers at the top of this page!

Principles of Bitcoin Lending

Although bitcoin lending is similar to general investing, funding Bitcoin loans has some characteristics that make it different. Here are some principles you should consider when it comes to bitcoin lending:

  • Diversification of investments: Place smaller bets instead of a few big bets. This should earn you a decent average return.
  • Go for larger loan amounts: A professional agency will collect the debt of defaulters only if the value is above a certain threshold.
  • Affordability: Lend only what you can afford to lose. Bitcoin lending is still new and things might not go as expected.

Read more about Bitbond Bitcoin loans

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