You have several outstanding loans: a personal loan of €12,000, new car financing of €22,000 and a credit opening of €5,500. What could be obstacles to your credit recovery?
You would like to group these 3 credits together in order to see your single monthly payment lower than the sum of the 3 separate premiums.
What could be the main obstacles to carrying out these credit redemptions ?
What is credit redemption ?
The credit repurchase aims – in a way – to carry out a credit consolidation. In the example given below, you have three separate monthly payments to pay. By repurchasing the three current credit balances, you will only have one credit whose monthly payment will be much lower.
For what advantages ?
Firstly, from an administrative point of view, you no longer have to think about paying your three premiums each month to different people. By refinancing your loan, you only have one current loan and one contact.
Then, it is quite obvious that the accumulation of three separate premiums resulted in much higher repayments than if you only had one current credit, even if the amount of this credit is greater.
The main causes of refusal by a bank to repurchase credit ?
- You will undoubtedly experience difficulty obtaining a loan refinancing if you are already in a dispute situation, that is to say if you have not repaid your monthly payments on time. In this case, you will be registered with the National Bank of Belgium;
- Your banker will analyze your debt ratio, which should never exceed 35 to 40% of your monthly income ;
- Your banker will take into account your credit repayment history ;
- Your banker will analyze the quality of the guarantees offered to protect yourself in the event of payment default.
- If you are married, both spouses must consent and sign the credit agreements.
