While the redemption of credits becomes very known by the private individuals,! How to know everything about the credit consolidation and credit restructuring, but also the repurchase of loans, etc. Several terms that designate only one banking product!
Know what is the redemption of credit?
The repurchase of credit makes it possible to redeem debts. The principle is to reimburse the remaining amounts due to the various creditors. This is done by a new credit agreement issued by a bank and its acceptance by the borrower (s). Unlike real estate loans, loan consolidation offers are not the same. They are all different from one restructuring organization to another.
An offer to buy back a loan is determined in relation to the maximum risk that can be borne by the lending institution. That is, each Loan Redemption Bank has a specific borrower profile. Acceptance standards are set so that borrowers can repay the entire amount borrowed without having financial incidents. The restructuring of credits makes it possible to rethink the management of its budget. It offers the possibility of integrating a cash envelope into ment’s plan.
How to calculate a redemption of credits?
To calculate the result of a credit redemption, it is first necessary to perform a simulation. To achieve this, a broker buyback credits is a good asset. The banker can also offer this type of ment, however the offer is not really adapted. Only a numerical simulation based on the prevailing rates of market banking organizations can be used to calculate a loan consolidation transaction.
The ideal is to be able to obtain through simulations several proposals. At we recommend to our customers several solutions with different repayment terms. This makes it possible to analyze, according to the arrangements, the various financial ratios such as the gearing ratio after the operation as well as the monthly gain on maturity. But also the total cost of credit and getting the best rate. Depending on the needs of the applicants, the solution is chosen.
How is a real estate loan redemption?
A repurchase of consumer loans has a generally short period of instruction. An unsecured redemption offer is issued, the cooling off period can be reduced to eight days and the funds are released. A repurchase of real estate loans has much longer processing times. Recall that it is quite possible to buy consumer credit with the mortgage, and renegotiate the line of consumer loans at a real estate interest rate.
A real estate mortgage requires a guarantee backed by ment. The lending institution requests that a mortgage up to the amount financed be put in place. The notary part of the file can take up to three weeks if the notary delays to give an appointment for the signature of the offer. Also, an expertise of the value of the property given as guarantee is launched by the bank. This is to determine if the value of the property covers the amount of the financed loan.