Consumer credit and personal loan
Inadequate financial resources can hamper the implementation of your project. Would you like to buy a car, carry out renovation work in your home, continue your studies or just take a trip with your family and loved ones? Consumer credit is the best solution to achieve this. Banks will provide this personal loan under certain conditions. However, the choice of credits conso remains delicate and requires a careful study because the total amount to be reimbursed will depend on several criteria.
Definition of loan conso
Consumer lending is a credit that banking organizations offer to individuals wishing to carry out personal projects. Different from the mortgage and the professional credit, the loan conso acts only on the imposing expenses for services like the renovation of housing, school financing or a trip or the purchase of consumer goods such as new furniture for an interior design, the purchase of a means of transport. Anything related to real estate is therefore excluded. Consumer credit is granted on a price range between € 200 and € 75,000 with a pay period of more than three months. The repayment of the loan conso is made by monthly payment and one can distinguish different types of consumer credit namely personal loan or revolving.
The Personal Loan
This loan allows the debtor to use the borrowed sum as it sees fit contrary to an earmarked loan. In other words, no proof of purchase or payment will be required. The individual may withdraw within 14 days of the date of the agreement. This type of credit is depreciable so the amount to be borrowed, the duration of the loan and the monthly payments will be fixed as soon as the contract is validated with a rate that is generally fixed.
The earmarked credit is based on a specific purchase, including a purchase of goods or services. The loan must therefore be used only for this specific purchase and the contract will automatically cancel if the sale does not take place, this remains valid even without the agreement of the establishment. Its advantage remains the possibility of linking the purchase of goods or services to the loan in order to be able to cancel in case of dissatisfaction or deterioration of the goods.
Revolving or revolving credit
This type of credit is more flexible and the repayment of capital is made according to your availabilities and means without being penalized by an early repayment. The interest to be paid will only concern the amount of the loan borrowed but not the available credit. This type of loan must not exceed the maximum amount authorized.
Consumer credit rates
The consumer credit rate is none other than the additional amount to be paid with the amount of credit you borrowed. Banks and credit institutions set the overall effective rate which will have a major influence on the total cost of capital to be repaid. The interest rate applied must not exceed the applicable rate of wear in France and must be notified to the debtor before the contract is signed. This loan loan rate can vary from one organization to another, so taking the time to make a comparison before setting your choice for credit is crucial.
How to Find a Cheap Conso Credit
In order to find a cheap credit, you will have to go through a credit simulation that will take care of confronting and selecting the best offers from several establishments. Depending on the type of project, the duration of the loan and the sum to be borrowed, the totality may differ greatly, especially with the interest rate differing according to each organization. Defining your needs and your repayment capacities in relation to your income is therefore a step not to be missed to opt for a loan in perfect match to your situation. A simulator will give you an overview of the capital to be paid and will find the credits at better rates that will not ruin you. Essential for your guidance towards the best credit conso to take.
Compare the prices
Before signing a contract with a particular establishment, take the time to compare the prices offered by each establishment to find a cheaper offer. Choosing a credit institution is not very obvious with the diversity of lending institutions and banks. If the monthly payments are too high compared to your monthly income, this will create big financial problems with the payment you have to make. Stay vigilant and make a careful study before embarking on the signature of a credit agreement conso.