Coop bank developed from Eesti Krediitpank which operated from 1992-2017. In 2017 InBank AS and Coop Estonia bought 25% and 59,7% of Eesti Krediitpank’s stocks, respectively, and the bank officially became Coop bank.
Coop bank is a fast-growing Estonian bank, whose stocks are available in the Estonian stock exchange and owned by thousands of Estonians. The bank aims to give momentum to Estonian companies and to help people realise their dreams in every corner of Estonia – both in rural and urban areas, which is why their loans have reasonable conditions. They are always there for their clients through their online and mobile bank, and local branches in in over 330 Coop stores across Estonia.
Which services does Coop bank provide?
Coop bank has grown to be a full-service bank and their services include everyday banking solutions, loans and leases, property insurance and saving account. Regarding loans, their portfolio contains small loans, car loans, home repair loans, holiday loans, refinancing loans, home loans and property collateral loans. In addition, for business clients, they also offer all the basic finance services needed.
Besides the typical small loans, Coop bank also offers overdraft options. Unexpected costs can occur every now and there might not be enough money in your regular bank account to cover them. For example, one of your home appliances could stop working or perhaps you need to make a prepayment for travel? You can use Coop’s overdraft for these types of unexpected costs.
What are Coop banks loan conditions?
Although, Coop bank offers consumer loans for many different purposes, their conditions are all the same. Small loans are available without needing a deposit and you can borrow up to 15 000€. The loan can be paid back within 6 months to 6 years. The fixed annual interest rate for consumer loans is 8,9% from the loan’s balance. The contract fee is 2% of the amount borrowed but a minimum of 35€ and the management fee is 1,5€ a month.
The amounts available for home loans and loans with a property collateral are, of course, larger, the interest rate is lower and the loan period longer.
As for the overdraft, you can apply for credit between 300€ – 3500€ with a maximum of 2 years of repayment period. The interest rate for such credit is 18% a year.
Who is eligible to get a loan from Coop bank?
For consumer loans, you’ll need to be at least 21 years old, be an Estonian citizen and have a monthly income of at least 280€. Overdraft credit can be offered to 18 year olds as well but the required monthly income needs to be larger at 350€ a month. In both cases, you’re expected to have adequate previous payment behaviour.
Since the home loan and property collateral loan incur long-term financial obligations, then you shouldn’t be over 75 years old at the end of the loan period.
How to apply for a loan?
You can submit an application for any loan through the internet or at one of the Coop bank branches. By applying through the home page, you will receive an answer within minutes. You can submit an application for a loan without a bank account statement. The maximum amount available to you depends on your income and payment obligations. Hence, they may ask you for a bank account statement from the past 6 months.
If the decision is positive and you agree to the loan’s conditions, then you can sign the contract digitally by using your ID-card, Smart-ID or Mobile-ID. You may also need to show proof of identity. You can do that comfortably through using your computer or mobile phone, at one of the Coop branches or Coop stores. For that you’ll need an identification document (an ID-card, passport or driver’s licence should do).
The money will be wired to your account at the latest by the next working day after signing the contract and providing proof of identity.
Is it possible to repay the loan earlier?
Yes, you can repay the loan before the payment deadline. You’ll just need to let Coop bank’s customer service know and they’ll provide you with further instructions. Although, Coop bank is a new bank, it shouldn’t be underestimated. Their financial service options have grown quickly and are already good. In addition, using their internet and mobile bank is super easy and comfortable.
If you are a frequent customer of Coop food store, then you should have a look at their bank as well. Coop’s bank card can be used as a customer card in any Coop store across Estonia. You’ll also get various discounts and bonuses with it.