Discover through the lines of a complete article all the explanations about the renegotiation of credits. Better understand the meaning of an expression describing several types of banking operations. See otherwise the renegotiation of credits!
Renegotiation of credits: the definitions
There is the renegotiation of real estate loans which consists in reducing the total cost of his credit. This renegotiation operation involves getting a better rate for your home loan. The plan may consist of one or more real estate credit (s). A solution proposed by intermediaries in credit operations to individuals wishing to optimize their financial situation.
How to succeed a renegotiation operation of real estate loans? Get a more attractive nominal interest rate. At least one percent for the operation to be profitable. The gain must be able to amortize the various expenses: prepayment fees, application fees, etc. Also, the new repayment term must be less than or equal to the current term if one wishes to reduce the amount of interest.
Then there is the restructuring of credits. This is an operation that aims to restructure a set of credits of different types into a single credit unlike the example mentioned in the first paragraph, includes real estate loans and consumer loans. But also can be bought debts of various natures (family debt, personal, fiscal, etc).
The new credit can be in the form of a personal loan or backed by a mortgage registration. Can be financed in plan a cash envelope. The purpose of this operation is not to reduce the total cost of his credit.
Credit restructuring, also known as credit redemption is intended to rethink the management of the budget while achieving its projects with control of its budget management. The depreciation period can be extended to reduce the monthly charge.
The steps of credit redemption
To obtain a repurchase of credit is realized in several stages. First of all, it is necessary to build a file with the supporting documents for a request for a refund. In other words, you must be able to claim to have a financial position eligible for a loan buyback.
Only the supporting documents required by banking institutions or financial institutions are authentic. Once the file is correctly put together, we must get closer to the banks and financial institutions of the market in order to find the best offer of loan consolidation.
Succeeding a credit redemption operation is a tedious task that requires a lot of energy and knowledge. In order to successfully consolidate loans, it is recommended that a broker specializing in debt restructuring be used.
After acceptance of ‘s request by a banking institution, a loan offer is sent to the home of the subscriber (s). After acceptance of the credit consolidation contract by the subscriber (s), the funds are released to reimburse the various credits.
If cash is provisioned in the restructuring plan, it is transferred to the borrowers’ bank account. Then the monthly payment of the new credit is debited by direct debit. The applicant (s) do not need to change banks, direct debit is not required. The credit buyback broker knows all the tricks to make sure to get the best value for your clients.