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What You Need to Know About Loan (Lån) Applications in Norway

As a foreigner living in Norway, adjusting to the new environment and culture might take a while. The transition to getting used to how various systems in the country operate can also be challenging. One of the crucial systems one must master is the banking system. For individuals who need financial assistance in handling certain projects, an understanding of the loan process is also important.

To help you settle in, we’ve written this article just for you. We’ll discuss in detail the different kinds of loans available to you. You can visit www.billigeforbrukslå to get a sneak peek at some interesting loan deals. At the end of the article, you’ll be equipped with the necessary information you need to know about loan applications in Norway.

Types of Available Loans

Not all loans are created equal. Knowing the different types will allow you to apply for the right one that fits your needs. Therefore, in this section, we’ll discuss the different types of loans you can get from lenders.


As one of the more common types of credit, you must understand basic information about how it works. This credit allows you to borrow money without collateral. The money you get can be used to do anything.

The amount you can receive when you apply ranges from NOK 25,000 to NOK 500,000. The maximum repayment period is 5 years. However, if you choose to take this loan for refinancing, you can extend the repayment period to 15 years.


When you choose to refinance, it means you’re taking out a consolidation loan. This process allows you to collect all your existing debts into one loan and then pay them off. To do this, you’ll have to first get a loan with better terms compared to all your previous loans put together. If you can’t find an offer that is better than what you’re currently servicing, you shouldn’t consolidate. With the right offer, you can reduce your financial burden by reducing how much you have to pay back monthly. Furthermore, the repayment period can be as long as 15 years. This tool can be used six months after you take an advance from a lender.


It’s not strange to want to own a property while working as a foreigner in Norway. If you’re thinking of this, then you’re thinking right. The issue with most people who have this dream is that they don’t have the money to buy the house of their dreams.

This is where a mortgage can save the day and your dream. Given the high prices of houses in Norway, taking a house loan (mortgage) can help you purchase the property. The conditions for the mortgage approval are:

Mortgage Application Process

Applying for a mortgage is slightly different from other types of loans. As we said, you need to have at least 15% or 25% of the house value. Once you are sure you have this, you can then go to the lender (it’s best you work with banks when it comes to mortgages).

The bank will then assess your creditworthiness. They’ll check your loan history, your current earnings, and your expenses. They will then present you with an offer. Bear in mind that this process isn’t instant and might take some time to complete.

Once you get an offer, you need to find the property within three months. We always recommend that you find the property first before going to the bank. This will give you an idea of how much it costs, even though the house might get sold while you wait for an offer. If that happens, you just need to find another similar one. When you’ve found the property, the next step is to send the offer you selected to the bank for approval. The bank will then approve it and send you the funds. You can then go ahead and get your dream house.


If you owe a huge amount due to credit cards and consumer loans and have a mortgage at the same time, you can get a special loan. With this credit, you can reduce the amount per installment that goes to your lenders. This process involves moving all your debts to the mortgage.

When you do this, the interest rate on other debts reduces to that of the mortgage. The repayment period also extends to match your mortgage’s repayment period. Furthermore, your monthly repayment amount will be reduced significantly.

How Can You Get a Loan?

The process of getting a loan is quite straightforward once you know what you’re doing. First of all, you’ll need to fill out the loan application form. Some banks have simplified the process further so that you can fill out the application on your smartphone. You don’t need to gather your finance-related documents to fill out the form.

Conditions Required to Get a Loan

Banks determine whether to lend you money or not based on your creditworthiness. They can determine this easily, as the country’s financial systems have a record of each individual’s creditworthiness. So, they can easily pull out your information from the system.

Details contained in the creditworthiness report include your active debt collections and your income for the past year. It is advisable to check your creditworthiness before you apply. Doing so will give you an idea of whether you’ll be given an offer or not.

To get a loan, you must meet the following requirements:

Can You Get a Loan with an Active Debt Collection Case or a D Number?

The answer is no. If you have an active debt collection case, you need to pay off the debt first. Once you sort that out, then you can apply for a loan.

If you have a D number instead of a permanent personal number, the bank won’t lend you money either. That means you have to apply for a permanent personal number to be eligible for loans. Simply go to the Norwegian Tax Administration’s local department in the population register section.

You’ll need to fill out an application form and attach the following documents:

A contract to rent or buy a flat.

How to Fill Out a Loan Application

One reason individuals don’t get their loans approved is because they failed to fill out the application correctly. Therefore, to ensure you don’t make this silly mistake and get your application rejected, we’ll share some rules you need to follow when applying for a loan.

Input the Correct Information

The basic information you need to fill out includes:

Accurate Income and Employment Information

Sometimes, people provide false income and employment information. They exaggerate their income and employment status to sway the application outcome in their favor. This doesn’t work because the bank has an easy way of verifying this information. Therefore, you need to input all the correct and current information about your income and employment as required.

Accurate Expenses Information

As you might have noticed, the details of your application should be very accurate. This includes your expenses. If you underestimate your expenses, it could cause the bank to think you can’t service the loan.

Detailed Existing Debt Information

Some banks require this information. So, if you are asked to fill in this information, do so accurately. Include the debt balance and the monthly repayment amount. Reducing the value of your existing debts might lead to application rejection.

Information about the Current Loan Application

Enter the exact amount you want to borrow, the repayment period, and what it will be used for. Always ensure you specify a precise amount rather than providing a range. The lender assesses your intention to pay back the loan with this information.


Loan applications in Norway are pretty straightforward once you understand the process. In the article above, we’ve provided details of what you need to know about this process. With this information, you can successfully get your loan approved.

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