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

All About Bitcoin Loans

bitcoin loansA 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.

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.

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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