To find out if a candidate for redemption credits is eligible, there are different ways used by specialized agencies. To obtain the expected result of a group of loans on his personal finances, namely a reduction in the single monthly payment, a single interlocutor, a lower interest rate, a redesigned repayment period, the household must first know his eligibility. Thus, to pay off outstanding debts and credits, one must also be guided and turn to the right intermediary and especially know what are the eligibility conditions. The criteria required by the lenders are more or less the same, some will use a rating system to classify the credit, others will put the application in the hands of an expert analyst. However, some loan granting factors are essential. http://pegasus-one.org/pow/ for further clarification
Conditions for any request for redemption of credits
The repurchase of credits is, as its name indicates, an operation which makes it possible to buy back its loans. This transaction, considered as a real banking operation is carried out by a bank or a financial institution, which will take care of the balance of all the monthly claims. They will be replaced by the introduction of a new loan, which will be accompanied by a single monthly payment. The borrower may find some advantages, such as a higher interest rate than the old loans.
First and foremost, the focus will be on the credit history of the household, which is the borrower’s history of all the loans he or she has contracted. It can be a credit for a car or a motorcycle, but also an unassigned personal loan or a credit card. This history, which lists all activity related to credit, is like a notebook that references all loan shares. If the repayments have been honored on time and no incident is reported, then the report is positive, otherwise it will be negative. Before making a request for redemption of credits it is important that everything is in order, not that the lender is unpleasantly surprised.
Establishing an accurate list of all outstanding credits and debts is a crucial step before embarking on a credit buy-back. Indeed, it makes it possible to realize the amount of the global sum to be borrowed. To do this it is necessary to bring all contracts and amortization tables available, while adding bank overdrafts, various debts (family, personal, etc.) and unpaid. This is of course a criterion that will be important for the lender because if the debts and credits are too numerous, he can make the decision not to grant a purchase of credits.
Financial stability is another very important element in the constitution of a loan buyback file. This implies stable employment and regular income. The lender may very well ask how long a job has been held with the same employer or whether a fixed-term contract has been renewed several times. The stability required by the organization that will grant the credit may also concern housing, or the management of expenses, which means bank behavior without incident. All this data will be used to check if the borrower has the ability to repay the loan.
The debt ratio and the rest to live are also the keys to the success of a loan buyback, because if one or the other is unbalanced, the home can endanger itself financially. Preparing a list of all fixed costs (rent, bills, insurance, travel expenses, etc.) as well as all other daily needs, allows to realize the money spent and therefore the monthly amount remaining to cover the repayment of a new single credit related to the loan consolidation. The debt ratio should not exceed a certain percentage, which, although it varies according to the conditions of banks and credit institutions, has been set at 33% maximum, which represents one third of household income. In a second step, it is necessary to pay a particular attention to the calculation of the remainder to live of the hearth. It defines the amount of monthly money available to eat and cope with daily expenses in general. It will be necessary for the household to be able to ensure its maturity of credit once all current expenses have been paid.
Criteria that vary from one organization to another
To borrow a large sum of money it is better to have a guarantee because the organizations specializing in credit redemption are not fond of borrowers with no guarantee. The mortgage is a favorable option for any borrower who owns his home. The real estate is then put in guarantee, and will be seized by the lending organization in case of problem with the repayment of the maturities of the credit granted. Another guarantee of repayment of borrowed capital that can be provided by the borrower is bonding by a third party.
The number of credits to be repurchased is also a parameter that will be taken into account and will determine the conditions for granting credit redemption by the bank or lending institution. A borrower with only two or three credits to redeem is a better profile than a household with five or six loans. In this second case, the interest rate will be less interesting as the duration of the credit will grow and conditions will be stricter.
Regardless of the situation and the guarantee provided, before launching it is important to make the right comparisons, an adequate simulation and especially to find the organization that will meet the challenge of a financing plan best adapted to the situation of the home.. Each organization and bank have its own selection criteria and conditions of granting, to be eligible for the purchase of credits must make the right choices and especially be well prepared.
To know his eligibility for a redemption of credits, the candidate can simulate online this operation. The advisors who take charge of the requests on the sites specialized in the loan consolidation, have a good knowledge of their banking partners and especially of their conditions of acceptance. They will be able to direct the applicant towards the best solution and especially to propose a tailor-made offer adapted to the situation and to the needs of the file they process. The first estimate received following the free on-line simulation makes it possible first to check the eligibility of the borrower and then the feasibility of the grouping project.
In any case, the financing operation needs to justify a stable professional and financial situation. For this, banks and lending institutions require a list of documents to provide relating to it in order to establish its eligibility. To summarize all the requirements and to quickly obtain a positive response when submitting the application for redemption, the good tips are: a stable professional situation, well-maintained bank accounts, with why not savings and / or savings, and not having filed an over-indebtedness file at the Francia bank. These three conditions combined open the doors of the redemption of credits, despite some institutions under draconian conditions and even when the situation is delicate with for example a listing of the borrower to the FCC, FICP or FNCI.