Specialist in credit repurchase

The job of Best Bank

The job of Best Bank

The core business of Best Bank is the grouping of loans for individuals. The bank markets credit and savings consolidation solutions mainly to households, but also to professionals.

Its range of credit buy-back offers is notably composed of two special owner offers. These are two solutions for individual owners who want to combine all their loans and who have or do not have a mortgage. There are other Best Bank offers: repurchases of credit for people in a situation of divorce, for seniors and for professionals who exercise a liberal profession. Several types of credits can be grouped with Best Bank: car credit, work credit, personal loan, mortgage…

Credit repurchase with Best Bank

Credit repurchase with Best Bank

For all borrowers anxious to optimize their budget, Best Bank is a specialist in the repurchase of credits. This operation consists of consolidating several loans held with competing financial institutions. A new single monthly payment then replaces all of the old small monthly payments.

With a single deadline and a single contact, individuals regain sound management of their expenses. What is more: having your debts redeemed reduces the amount of the monthly loan and thus regains purchasing power.

Good to know: if you take out a credit buyout offer with Best Bank, you can keep your current bank.

How do I file a credit buyback with Best Bank?

Best Bank has no physical network for the distribution of its credit buy-back offers. To discover the range of creditors’ products, to be advised, to file a credit repurchase file or to subscribe, you must contact the Best Bank account managers by phone.

If you are already convinced by the Best Bank offer and you want to file a credit buyback file with the provider, know that you will need various documents to prepare your file. You will need to collect identity documents, proof of income, charges, loans, proof of address and bank documents. Your advisor will not ask you for the same supporting documents depending on whether you have, for example, a mortgage or not among your loans to be raised. Your file will then be studied according to standard criteria for granting or not granting credit.

What are Best Bank credit repurchase rates?

To find out what loan repayment rates are used by Best Bank, you must contact the bank by phone and ask one of its advisers. When you file a credit repurchase file directly with a lending organization or via a broker, you assess with an adviser the repayment rate that can be applied to your future loan.

The repurchase rates of mortgage, consumer credit and agricultural credit are not the same. The more satisfactory your file is considered by the bank – that is to say the better your creditworthiness – the better and therefore the lower the reimbursement rates for loan repurchases.

How to make a credit buyback simulation with Best Bank?

How to make a credit buyback simulation with Best Bank?

There is no way for you to simulate a credit buyout with Best Bank and estimate your budget until you meet with a bank account manager or speak to an advisor over the phone.

It is with him, by communicating to him all the information he needs on your financial situation, your professional activity, your family situation, the number and characteristics of your loans, etc., that you will anticipate and evaluate in particular the rates of credit redemption applicable to your file or the duration of your loan.

Note that you can also simulate in any event your credit buyout from other lenders. It then becomes possible to compare all the loan repurchase rates that have been offered to you.

Best Bank Credit Buyout: Consumer Reviews

Best Bank Credit Buyout: Consumer Reviews

What opinion do Best Bank customers have on the lending institution? The customer service of the credit buy-back specialist is praised by the subscribers for the quality of their listening, their tailor-made advice and their responsiveness. Being able to benefit from an online customer area on the Best Bank website is also highly appreciated by Best Bank customers.

On the other hand, the low number of offers to buy back credit from the bank is criticized. Finally, even if it has been part of the Good Lender group in the past, the independence of the company does not always reassure customers and prospects.

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Borrow after 60 years: is it possible?

The transition to retirement still marks a drop in income. This transition is taken into account by the banks in their mortgage loan offer after 60 years. If obtaining the loan itself depends on the same criteria as for any file (personal contribution, debt capacity, etc.), borrower insurance is a real obstacle. See http://www.e-anekdot.net/same-day-payday-loan-online-online-loans-same-day-get-up-to-1000/

People over 65 have a higher risk of developing diseases, which obliges lending institutions to strengthen their coverage with premiums. These may prove difficult to finance for pensioners with modest incomes. What solutions are available to them? Can they borrow after 60 to buy a house or apartment? Besides the adapted senior loans, other possibilities of financing without insurance exist. Explanations.

What are the obstacles to mortgage after 60 years?

What are the obstacles to mortgage after 60 years?

Among the obstacles that arise when borrowing after age 60, age is precisely a criterion that can be problematic. Indeed, lending organizations generally set the maturity date for mortgage repayments at the latest at 75 years. However, the increase in healthy life expectancy is prompting banking establishments to review their offer and to extend this limit to 80 years.

The other major challenge to have a mortgage loan at over 60 years concerns borrower insurance. This death-disability insurance is expensive for seniors who face, advancing age, health concerns. However, lending organizations want to protect themselves from this risk and agree to make a loan offer. In return, it is backed by a consequent pricing of borrower insurance.

To establish the amount of the premium (the premium may range from + 25% to + 300% compared to the basic rate), the insurance company refers to the general state of health of the subscriber via questionnaires or even examinations more advanced medical. Any lie or oversight can void the coverage, and even result in financial penalties. In the end, the premium fluctuates on average between 0.60% and 1.96%.

Thus, a retiree is likely to pay as much insurance as interest. The idea is to spread the burden of this cost over both spouses, or over the youngest or healthier spouse. Two solutions exist: request the group contract of the lending bank which relies on the pooling of risks, or request a delegation of insurance to select an individual and personalized contract.

Is there an age limit for a mortgage?

Is there an age limit for a mortgage?

The age limit for a mortgage does not exist in theory. But borrower insurance acts as a barrier. Indeed, the group contracts of the banks fix the end of repayment at 70 years, which limits the room for maneuver when entering the sixties. In addition, certain illnesses may even be excluded from the guarantees formulated in the borrower’s insurance contract.

The delegation of insurance makes it possible to circumvent this rigidity on condition of paying more. Some establishments offer coverage accessible up to age 85, including loan repayment up to age 90. This dedicated senior loan solution therefore makes it possible to borrow at 70 years over a period of 20 years.

With regard to the risks covered, the retiree has every interest in focusing on the only death. There is no need to take out superfluous insurance covering loss of autonomy and incapacity for work, invalidity and loss of employment. Nevertheless, certain situations recommend strengthening your coverage, especially when the over 60s live in countries at risk or practice dangerous sports activities.

Good to know : for their creditworthy customers, the banks offer tiered loans modulating the monthly payments according to the repayment capacity. For example, this expense may drop by 30% upon retirement, which means lower income.

Realize your real estate project after 60 years!

Realize your real estate project after 60 years!

If you want to realize your real estate project after 60 years , solutions are at your disposal.
Our experts support you in order to find the financial solution suited to your situation.

What is the home insurance rate after 60 years?

What is the home insurance rate after 60 years?

To benefit from advantageous death-disability insurance when the senior does not have sufficient income, he can resort to financing without insurance. This is the case with the pledge of a financial investment (life insurance, stock savings plan, stock market portfolio, etc.).

In the event of death, the lending organization is the beneficiary and reimburses this savings. Pledging a life insurance allows to continue the payments without destroying the banking product, therefore to benefit from its advantageous taxation. The pledge does not cause additional costs on the mortgage after 60 years, the borrower only paying interest.

Among the other solutions for borrowing after 60 years, it is possible to go through the pawn loan. The approach consists of placing valuables (vintage bottles, valuables, jewelry, etc.) in the warehouse. An expert assesses the property and makes a loan offer for a period of one year. The amount is equivalent to between 50% and 70% of the value of the pledged asset against payment of interest. If the person cannot repay the credit, the property is sold at auction, a balance due to him if the offer exceeds the loan amount.

Home loan after 60 years: what is the mortgage life loan?

Home loan after 60 years: what is the mortgage life loan?

Another gateway to borrowing after 60 years: the mortgage life loan. It is a solution that allows you to quickly obtain cash. It takes the form of a loan repayable on the death of the beneficiary. This solution is recommended for senior owners of real estate who wish to acquire new, more spacious accommodation or located in a geographic area with a larger square meter.

The bank pays an annuity or a capital to the borrower, the sum of which is fixed according to the value of the property and the age of the latter. At the time of death, the heirs can reimburse the capital and interest to keep the property. Otherwise, the bank collects the property to put it on sale. Again, a balance is paid to the beneficiaries if the proceeds of the sale are greater than the debt.

Is there an age limit for a personal loan?

Is there an age limit for a personal loan?

Age is not a barrier to taking out a personal loan or getting a reasonable rate. It must be said that people over 60 have serious assets to gain the trust of their bank: stable situation, assets, more dependent children, etc. They are spoiled for choice to have a personal loan of 5,000 $ for 1 to 2 years for example.

With age, the layout of the main residence is wise. Work is often necessary to redo the bathroom, the kitchen or the access to the first floor. Retirees will have no problem benefiting from loans at subsidized rates.

If their amounts are capped, it is possible to combine them with certain financial assistance under certain conditions:

  • energy premium;
  • Anah helpers;
  • zero-rate eco-loan;
  • assistance with home improvement works allocated by the pension fund;
  • etc …

Seniors can also supplement them with a conventional credit, especially when the cost of the work does not exceed $ 21,500. Beyond this sum, bank credit switches to mortgage. Note that when the loan finances work for a property acquired using a mortgage in progress, the lending bank may waive guaranteeing the work credit (therefore the borrower insurance required for loans real estate).

Home loans are increasing

The structure of Italian consumption changes very slowly, but in recent years the costs for housing (from furniture to renovation) have undergone a big growth. This is what emerged from the latest ” Consumption and Prices ” analysis published by the LightUs Commerce Research Office .
The figure is not so “disconcerting” given the evolution of home financing, made much more accessible and with very convenient conditions.

 

How have Italians’ expenses changed in the past 20 years according to the LightUs Commerce report?

How have Italians

The analysis carried out by LightUs Commerce took into consideration a huge period of time. The period in question is the one from 1995 to 2017 . What emerged was in all respects an inverse trend: while before, 20 years ago Italians spent more on food and clothing (-4.5% compared to 20 years ago), now the focus is it has been moved elsewhere: part of the income is used punctually for household expenses (+ 5.5% compared to 20 years ago), from the purchase of a new piece of furniture to ordinary or extraordinary interventions.

 

Family budget: change of destination towards household expenses

Family budget: change of destination towards household expenses

In the past 22 years analyzed by this investigation, there has been a profound change in every aspect of daily reality that has affected society, changing its habits. If on the one hand in the clothing sector you spend less, also because important “players” have come into play who have torn and conquered their own market share by playing on competitive price policies, on the other in all that concerns new technologies family expenses have increased. For example, always in the field of home, a new market was born, that of ” home automation “, of the ” smart home “, of the intelligent and robotic home. More and more families allocate part of their income or ask for loans to innovate within their home walls.

Another aspect, totally different, but interesting to report is that of the growth of personal health expenses. The latter phenomenon is directly related to the increase in the average age of the Italian population. The confirmation of this comes from another analysis, published by Gtk, on ​​the “new seniors”. Over 13 million Italians are between 55 and 75 years old. Of these, around 20% are considered an “active senior”: they care more, play sports, travel and constantly innovate their main home. More advanced also in terms of technology, they use smartphones and tablets daily. To fulfill their wishes in old age they also ask for loans online or seek loans for pensioners directly on the internet.

What are the easy loans to get?

More and more people are looking for easy loans, however, the concept of “ease” should not be misunderstood. The adjective “easy” in this case should not be understood as the possibility of obtaining funding quickly and without checks because it is absolutely not so. Regardless of the type of loan that will be requested, all the necessary documentation must be presented to the bank or the credit institution to which it is addressed. In fact, you cannot grant liquidity if you present yourself without a paycheck and therefore without any guarantee.

 

Online financing: among the easy to obtain loans

Online financing: among the easy to obtain loans

If you are looking for easy loans, you cannot find a better solution than online loans. In fact, online loans allow you to request quotes and assessments of your credit situation very quickly. An optimized investigation process therefore allows faster times even in the disbursement of credit to the user.

During the evaluation phase, each credit institution will also evaluate the customer’s past credit situation to assess the presence of any outstanding payments, delays or other negative events.

 

And if you are labeled “bad payers” how can you proceed?

credit loans

Here is how the discourse between a not so rosy credit history and the search for easy loans to get end up intertwined. Often, in fact, we tend to consider “easy” those loans that can be granted to anyone regardless of their “financial criminal record”.

 

Is there an “easier” form of financing for bad payers?

There is in effect a more accessible form of loan for bad payers, but this does not cancel the premises made at the beginning of this article. It is clear that even a person who is considered bad payer on behalf of some financial companies, will have to present guarantees when he re- submits an application for a loan.

Among the various types more easily declined even to users considered bad payers there is, for example, the transfer of the fifth which allows to obtain high amounts to be returned with an installment equal to a maximum of one fifth of the pension or net salary.

Protested or bad payer? How to get a loan in these cases too

Being bad payers or protesting is not a pleasant condition, but there are ways to get a loan in your situation too. The whole of these words ” protested ” ” protest ” ” bad payer ” this can complicate access to a loan. It certainly puts you in a mental condition of stillness of thought that does not help you to have the right approach to solve the problem.

I know it’s not easy but try “Think Positive” Know that even those who have had difficulty paying a debt and are protested or poor payers can have new opportunities. Doubts are the cause of uncertainties and confusion, remedy them with the right understanding!You can clarify your ideas immediately using our free service that will allow you to get up to 3 free quotes from as many financial ones.

What does it mean to go in protest?

money loan

The protest
In Law, it is a public act which certifies the presentation of a promissory note or check to the debtor and the refusal by the same to pay or accept the title.

What happens when we don’t pay a debt and what does it mean to be considered bad payers?

When, through a public official, the debtor is asked to honor the debt and he will not pay the amount due, some mechanisms are activated.
Without getting lost in long explanations you can face administrative and civil penalties:

You will face administrative penalties:

money loan

for checks, the penalty ranges from 516 to 3098 USD and may increase when the check exceeds 10,329 and in the case of repeated violations.  For bills of exchange, however, if they are on a certain date, the protest can be made within 2 working days following the due date, while for sight bills within 1 year from the date of issue.

Civil effects:

they result in the payment of default interest which increases with the passage of time and leads to the creditor’s attachment to the debtor’s assets. If you do not pay, you will be entered in the electronic register of protests kept by the Chamber of Commerce or in the databases on creditworthiness, to name a CRIF. You will therefore be a bad payer in the databases and the consequences are easily understood.

How to get a loan? There is a solution!

The best solution would be to heal the debt and know that there is the possibility of requesting the cancellation from the register after payment of the amount due, of course the procedure will be more streamlined if you have the possibility to do so within a year of the protest while later it will be more complex.

In any case it is not impossible to apply for a loan even if you are a bad payer or protested. The solution passes through the request for a non-finalized loan, through the Transfer of the Fifth .

What is the assignment of the fifth?

money loan

The assignment of the fifth is a particular type of loan with payroll retention up to a maximum of one fifth of the salary.

As can be deduced from the definition, the fact that the installments are kept directly on the paycheck is a big advantage, in this way, even if you are protested or entered in the databases as bad payers, you can still offer banks or financial companies the security of being able to repay debt. The opportunity offered by this type of loan is basically based on the fact that it is not you who will pay the loan directly but your employer.

So the attention of those who must evaluate whether or not to grant you the credit shifts mainly to the company that will guarantee the retention of the installments from your salary. So even if you are not solvent but you have a stable job, the possibility exists!

What are the basic steps to request a assignment of the fifth?

What are the basic steps to request a assignment of the fifth?

The process of requesting a transfer of the fifth can be a bit confusing but not complicated and knowing some key elements you can approach prepared a bank or a financial understanding what they are proposing to us.

  1. Request for assignment of the fifth: to request the assignment of the fifth or to be made a proposal, you will be spoiled for choice, both offline and online. Besides, I don’t know if you have seen the metros covered with dachshunds in Milan. Or if you have searched for protested loans on Google, you will certainly have noticed the various advertisements of banks, financial companies or comparators that offer you TAN, APR and figures. So to get quotes the necessary documents are: identity card and above all the paycheck or the cud if you are retired. The loan providers will be able to ask you further questions to establish your length of work to substantially understand if your source of income is stable.
  2. Rating

Small Loans Online For Your Expenses

It may happen that you need to understand which small online loans are best suited to your needs to cope with low-cost expenses. Thanks to the internet it is possible to calculate different quotes in a few clicks to understand which type of small online loans is best suited for a person in a given situation. Let’s try to understand together what are the alternatives to choose from.

Small online loans for civil and government employees

money loan

For those who work in the Public Administration and need to obtain a small sum of money, you can opt for a convenient form of financing: the small Cheap loan. In this case the maximum payable amount must not exceed four net monthly salaries and must be repaid in a maximum of 48 months . This type of financing proposed in agreement with Cheap is one of the small online loans because it allows you to quickly obtain small amounts and can be requested from the comfort of your home, through the appropriate portal, in a few minutes. In fact, just login in the reserved area with your credentials and send a request. Subsequently, it will be possible to monitor the progress of your practice from the same screen to check the outcome (in progress, approved or rejected).

If you subsequently need to obtain a larger amount, you can opt for the Cheap convention loan granted by various financial institutions affiliated with the MEF.

Small online loans for retirees

Small online loans for retirees

For retirees who need a small amount, the solution is definitely the small online loans that can be requested directly from social security . This type of financing has the same functioning as the small Cheap loan, in fact the repayment can take place in 12,24,36 or 48 installments. It is possible to apply for this type of small loan online without any particular reason. The application can be sent either via a paper form available at any social security desk or electronically by accessing your own reserved area.

A large amount for large silution

money loan

For larger amounts and up to $ 75,000 the solution is the transfer of the fifth: the ideal and versatile solution, suitable for everyone

For employees and retirees who need to obtain high amounts and payment extensions of up to 10 years, the solution is the transfer of the fifth. In addition to being one of the most convenient forms of financing that can be accessed, it is also suitable for those who have not had a linear credit history in the past (delays or failure to pay installments). Through the assignment of the fifth it is possible to request a minimum amount of 2500 dollars and get to have large amounts, up to 75,000 dollars. This type of financing requires that the repayment be made through your employer or pension institution which directly withholds the installment agreed upon from your paycheck or pension. To calculate an online quote just go to this page.

Loan declined? All you need to know

Whether it is for the desire to renovate the house or because we want to change cars, to enjoy a thousand and one night holiday or – on the opposite side of the spectrum – for unexpected medical expenses, it is more than normal to find ourselves in the sudden need for a sum of money immediately available.

The reasons that lead us to apply for a loan are the most varied, but in any case we will have to make our loan request to one or more banks or financial companies.

 

Why a loan application is rejected, and what you can do?

Why a loan application is rejected, and what you can do?

The credit institution to which we have contacted will verify our income and balance sheet conditions, doing what is called creditworthiness screening. In the meantime, we will wait for the response for a few days – generally speaking 48 hours – already anticipating the possibility of doing that shopping or paying off that debt.

Unfortunately, a loan application is not always successful – that is, a loan application may fail. When a loan is refused, the most immediate consequence is that we will have to try to request it from another bank. Often, however, the first loan refused announces the rejection of subsequent requests.

Know that however in these cases all is not lost – quite the contrary.

There are different forms of loan on the market and if you have been refused one, you could get a different type of loan. The best thing is to ask multiple financials who will be able to make you estimates and advise you. Loan Here you can get a free loan quote from multiple credit companies, all by filling out a simple form.

But first let’s see why a loan is refused.

 

Why is a loan declined?

Why is a loan declined?

Let’s face it: not all ills come to harm.

In fact, if a first loan is refused to you, but you take the trouble to understand the reasons for the refusal, you can take those financial actions that will allow you not only to obtain a loan at the next request, but also to prevent your status from the Central Credit Register becomes negative.

Let’s go in order.

The bank is not required to explain to you why it has not given you a loan, but know that explanations will often not be denied to you.

The most common reasons for refusing the loan are

  • Your information is missing or incomplete. It happens especially if it is the first time that you apply for a loan, and you are therefore unknown to the Sic databases. The bank will not be able to verify your reliability, but will inform you of the reason.
  • You have too many debts to apply for another loan
  • You have negative reports (due for example to the late payment of one or more installments of another loan)
  • You’re asking too much money in one go
  • Are you the guarantor of a bad payer, or is your guarantor a bad payer himself or does he not have a financial position to honor the debt if you become insolvent

One of these reasons will cause the funding practice to freeze. The bank will not be able to do anything to satisfy you.

Likewise, your credit worthiness may be deemed ineligible for a new loan. The reasons?

  • Your income and assets are considered insufficient.
  • You are a worker “at risk”, that is, you are subject to a fixed-term contract, and that perhaps is about to expire
  • You already have substantial installments of a loan in progress (I remind you that their amount added to that of the loan installment you are requesting should not exceed 30-35% of your salary)

In the latter case, the bank is refusing your loan to avoid over-indebtedness.

As we have already told you, you need not worry if the loan is denied to you.

There are other loan solutions that you can also search for by filling out our loan application form which allows you to be contacted by up to three financials at one time.

 

What to do if you are denied a loan

loan denied

The important thing is not to lose your temper.

Secondly, you need to know that you can do something even if you are refused a loan. This is why it is essential to know the causes of refusal with the utmost precision.

Let’s see the various actions you can take.

  • If you have a negative report but you do not know you have made late payments, you can ask Crif where the report comes from, and then ask for the appropriate corrections.

Caution. Even when you make a loan request and it is rejected, you can be reported to the Crif for 30 days. Maybe without your knowledge: you will only find out by making a subsequent loan request (which in turn will be refused, perhaps for this reason).

In this case you don’t have to worry anyway. Even if the first feeling is to feel treated by bad payers, actually reporting to Crif in case of refusal of funding is a practice

  1. If you are reported as a bad payer in the SIC lists (for example, because you have paid at least two installments of a loan late), you must be removed from the list of bad payers.
  2. If the loan has been refused because of your employment contract, which is considered “at risk”, you can present documentation that reassures the bank or the financial company on the stability of your job. You can request it from your employer.
  3. If the loan or loan is refused to you because other loan requests are pending (which you may have completed online while looking for information on the best loan for you ) you can ask the institutions to which you have made the requests for a release with which it ensures that you you gave up.
  4. If the bank or the finance company believes that, due to the presence of other loans, you are not able to take on an additional monthly installment, you can study with the bank or with another financial the possibility of reviewing your debt situation. You can possibly apply for a new loan for a larger amount, which extends the repayment plan – the number of installments increases, but the amount decreases.

Do not withdraw credit only

I often see people’s opinion that the best mortgage is the one with the lowest interest. However, interest is not the only aspect that determines the profitability of a mortgage. The advantage of a mortgage is often influenced by the overall conditions under which you obtain the mortgage and the interest rate. You have to remember that even in banking is paying the famous “I do not want a discount for free”. Banks most often give a discount on an actively used bank account, credit card and credit / life insurance. It is also important to count on the monthly fee for loan management, which ranges from 150 USD / month to 250 USD / month.

 

The advantageous mortgage is not determined only by the interest rate

The advantageous mortgage is not determined only by the interest rate

To give you an idea of ​​how the conditions affect the mortgage’s profitability, I have prepared a table with a comparison of two offers while ensuring a 100% mortgage for the purchase of a family house.

Loan Amount USD 1,000,000
Due date 30 years
annual interest rate 3.89% 4.09%
Fee for provision of DGR 2 900 USD
Monthly fee for DGR administration 150 USD / month
Mandatory payments / insurance 932 USD / month 0 USD / month
Repayment of DGR 4 711 USD / month 4 826 USD / month
Repayment of DGR with fees 5 793 USD / month 4 976 USD / month
Total interest paid 695 944 USD 737 496 USD
Total paid 2 088 364 USD USD 1,752,844
APR * 5.86% 4.25%

APR Annual Cost Percentage Rate

money loan

Refers to the total cost of the loan, ie the rate that includes all expenses associated with the mortgage, ie. fees, interest, property insurance, life insurance, if required, etc.

The client received an offer from the bank of 3.89% under the conditions of opening and active use of the bank account and life insurance of the loan for USD 932 / month. As a counterproposal, we gave the client an offer with the condition of active use of the bank account. We also negotiated a discount on interest of 0.30% from the standard offer and reached the final interest rate of 4.09%. Based on data on the total interest paid, a higher interest rate of USD 335,520 is more advantageous. Everything is caused by the payment of monthly credit insurance, which increased APR from 3.89% to 5.86%.

The APR determines the overall advantage or disadvantage of loans.

money loan

However, this does not mean that credit insurance is bad and the only increase in costs / APRC. This is mainly increased by ancillary charges. The advantage of credit insurance is also given by the setting of this insurance and in the case of insurance directly from banks is not always the best solution.

The most common reasons for refusing a loan

A few years ago, a loan without proof of income was no big deal. By this we mean small loans before the payout up to a maximum of 5 000 USD, here you really did not need a bank statement or pay slip. It sounds good that almost everyone has reached financial assistance, but as a result it has led to a headless indebtedness of a large part of the population. Major changes occurred at the end of 2016, when the lending rules tightened sharply. Not only does every consumer credit provider need to have a permit from the Righthand Bank at the same time it is obliged to sufficiently verify the creditworthiness of anyone who will seek the loan. How do banks and other companies access our data that we make available to them? What are the most common reasons why a loan is rejected?

 

The higher the risk we pose to the bank, the lower the prospects

money loans

With every loan out, the bank and the non-bank provider run the risk of not being able to repay their obligations in a timely and sufficient manner. It is logical that they must eliminate these potential “losses” as much as possible.

Anyone who visits a bank branch or applies online should know what to expect and how best to prepare.

 

Almost every figure plays a role!

money loan

The loan as such is a very specific service and, in order to be paid, we are forced to reveal almost everything about ourselves. No wonder, it is a lot of money. The bank will be interested in whether you have any children, are married, have education, employment, job positions, net income and regular monthly expenses. A person who rents a two-room apartment will have a lower chance of success than one who lives in his own. The age of each client is also important.

A fixed-term employment contract is often a problem. Even worse is the situation when we are in probation or notice. Any income must be supported by a statement of account or pay slips.

The bank also does not forget to check your financial history, which means that it will look into all available registers and easily find out whether you are still paying any obligations, but also that you are late with payment for electricity or mobile services. The biggest problems with obtaining a bank loan tend to be:

  • retired
  • graduates
  • mother on maternity leave
  • People who pay off multiple loan products
  • people with a negative record in the debtors register
  • those who have been incapacitated for a long time
  • people in distraint or insolvency

 

How do I increase my chances of getting a loan?

How do I increase my chances of getting a loan?

You will not improve your prospects from day to day, but the sooner you start building your creditworthiness the better. Young people often wave their hands on a short-term loan and do not worry too much about repaying it, but they do not realize that due to a few thousand years later they will not reach the slightest mortgage.

So what can I do?

  • Pay on time and regularly all loans, leases, overdrafts and credit cards
  • Get organized in recurring expenses such as rental electricity, mobile services, and create a standing order so you don’t have to keep in mind that you’ve forgotten to pay again
  • Find a stable job with an open-ended contract
  • apply for a loan after your trial period has ended
  • educate yourself and strive for career growth
  • pay all overdue debts and then seek deletion from the debtors register
  • minimize your spending
  • apply for a special-purpose loan
  • invite a co-applicant or guarantor

 

Where to go if the bank does not lend me?

Where to go if the bank does not lend me?

With higher demands, fewer applications are approved and therefore a significant percentage of applicants resort to loans outside the bank. Non-bank loans seem tempting at first glance, but they look much more expensive. These providers take even greater risk than banks and therefore charge higher interest rates and all other costs. This does not mean that you will not find a bargain loan, but we recommend that you be more careful and consider in advance whether or not to accept such an offer.

 

Worth mentioning is P2P loans

p2P loans

A great alternative to a non-bank loan may be the so-called P2P loan , which sometimes comes out more favorable than the one in the bank. What’s going on? The acronym is based on person-to-person lending. In other words, individuals lend to people who are looking for a loan. Potential investors will receive interesting appreciation and clients will receive a favorable loan, all of which is covered by intermediaries themselves.