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Loan card, i.e. a mix of payday loans, loans and credit limit

The payday loan does not have to be paid in cash or to an account. Instead, it can “grow back” like a credit line. This is how “Thirteen” works – a credit card offered by Delo.

Delo is the successor of the Seko Group, which until October 2016 dealt with debt collection. Her name is an English acronym that can be translated as “you only live once.”

Now, in cooperation with mYBank, it has launched a new product on the market of non-bank loans, called the Thirteen card. This payday loan is available on a prepaid card in the form of a credit limit and contains solutions known from the credit card segment.

The loan card is not new on the Polish market. It was once offered by the Wegor loan company, but withdrew from it. A year ago, its introduction was announced by Grupa Lew, a cash register network operator and co-owner of mPay, but withheld the project.

The loan card in practice

The loan card in practice

How it’s working? Delosupplies the carrier bearing the Visa logo, because it is its card manufacturer. It also has the mYBank badge, because it is the institution managed by Cesar Fultor that publishes Deloas its corporate client with plastic, which Delothen supplies with money and makes available to its retail clients.

Apart from the one-time verification fee (PLN 1), there are no fixed costs, e.g. for monthly card service. According to the “you don’t use, you don’t pay” principle, the only costs incurred are only from the amounts used. They amount to PLN 6.60 per month, i.e. PLN 0.22 per day, for each PLN 100 used.

Unlike a traditional credit card, there is no interest period (grace period). Calculation of receivables starts on the 31st day of the loan, because the first month is free (i.e. if we return the amount used within 30 days of the conclusion of the contract, we do not pay interest), and continues until the balance is fully settled.

In some respects, however, the credit card looks like a loan. Well, the customer does not have to use the entire amount available. There is also a minimum amount, the settlement of which by the set deadline avoids penalty interest (14%). It is a monthly fee that is the sum of daily fees, i.e. those resulting from the table of fees and interest commission for each day.

The capital can be returned at any time during the term of the contract, e.g. in installments, or all at the end. Early repayment is free of additional charges.

Another similarity to a credit card is the revolving limit. For example: if a customer uses 1,000 PLN from available 3 thous. zlotys and give them back after a month, it will again have a full pool (assuming that it has also paid the monthly fee due, i.e. – in the example – 66 PLN).

Money on the Delocard can be used in a non-cash and cash way. However, withdrawing money from an ATM costs PLN 5 for each such operation

Award for diligence

Award for diligence

After exemplary fulfillment of obligations and the half-year period of the contract, you can apply for its extension for the same period and apply for an increase in the available amount – to 4 thousand. zł.

To obtain a loan card at Delo, you do not need to have a stable income, but you must undergo verification in the registers of debtors, including BIK. The Delo loan line, like any payday loan, is not cheap. Its total cost (APRC) is 87 percent. per year.

So far, the company has sold 1,000 cards with a total limit of over PLN 2.6 million. By the end of the year, it intends to accumulate a portfolio of PLN 16.8 million.

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