Usually, when urgent financial challenges arise that is unprepared for, getting loans (laina) is the next possible thing that comes to the minds of the people in need. In such cases, the help required by such individuals needs urgent attention and the type of loan (lainaa) they will be after is one that offers quick relief to what they are passing through. Borrowing money that involves collaterals is easy to get with quick approval. The ease at which it is gotten is due to the assurance it offers the lender.
The type of borrowing in which collaterals are involved makes allowances for borrowing more money compared to when no collaterals are involved. You have access to lainaa heti tilille (loan immediately to the account) of your choice provided the collateral has been approved and certified. The chances of being rejected or turned down when you apply for money aid with collaterals range from very slim to zero. This makes it the best bet for emergency situations requiring financial help.
Even though collaterals offer the approval of quick loan immediately (pikalaina heti) to the one in need of money, the availability of such forms of money aid is not made available to all. No matter how urgent individual needs money, if such an individual has no collateral to offer, nothing can be done for the individual. And not just any valuable can be regarded as acceptable collateral; it has to be one of house, vehicle or such properties with similar valuations.
Hence it is very expedient for individuals to ensure they do not push themselves to borrow more than pay back. Once there is a difficulty in paying back, the collateral becomes liable to loss regardless of whatever value it carries. The lender gets credit immediately (luottoa heti) from the collateral to even the inability to pay back the money borrowed.