Credit Bureau-free loans – What are the requirements

Money is one of the things in life that are often particularly scarce and most of the time there is a bottleneck. Especially when making necessary purchases, there is often no way around borrowing. The first question for the borrower is whether to take out a loan from the house bank or on the Internet.

There is often a greater relationship of trust with the house bank, which the bank still has to earn on the Internet. However, the conditions are often much better on the Internet and for this reason younger people in particular tend to take out their loans in this way. However, a normal loan is often rejected. The most common reason is a negative Credit Bureau entry. The customer can easily get one. Should he not have paid a cell phone bill, this will be noted immediately. The solution to this problem is Credit Bureau-free loans.

Requirements for Credit Bureau-free loans

Requirements for Credit Bureau-free loans

Such a loan is not granted in unlimited amounts. As a rule, the maximum amount is $ 3500 per credit institution. However, this limit does not have to be exhausted all at once. If you think you need less, you can first apply for a slightly lower amount and later increase the loan a little if necessary.

It is also important to have a secure income, which must be proven by bank statements and pay slips. In addition to the usual self-disclosure and the presentation of an ID, no further documents are required to get a Credit Bureau-free loan.

It should also be noted that the loan costs a little higher interest, since the risk for the bank is higher here. When all the documents have been submitted, the application is first examined and only then is the money paid out. This can take a few more days.

What can Credit Bureau-free loans be used for?

What can Credit Bureau-free loans be used for?

Loans where Credit Bureau requests information are usually earmarked, which means that the bank wants to know exactly what the money will be used for. This is not the case with Credit Bureau-free loans. This money is freely available to the borrower. What he ultimately does with the money, whether he sets up an apartment or goes on vacation, is up to him and he does not have to provide any information about it.

Renegotiating consumer credit: how to do it?

The consumer credit is an appropriation or non-allocated for the purchase of a good or a service. If the mortgage can be renegotiated, consumer credit has more opaque legislation regarding the revision of its repayment conditions. In this article, we will tell you all about renegotiating consumer credit.

What is a consumer credit?

What is a consumer credit?

Consumer credit is credit granted to an individual by a bank or a credit institution.

The amount of this credit is between 200 and 75,000 $, over a minimum period of three months.

If several consumer loans can be combined, however, the totality of the borrower’s monthly credit payments must not exceed 33% of his income, in order to protect him from over-indebtedness.

Consumer credit has two distinct categories:

  • The appropriations allocated for the purchase of a specific asset;
  • Unrestricted credits for free use of the borrowed amount.

The appropriation allocated is intended to finance a good or service indicated in the contract. It has the particularity of being entirely dependent on the good to be financed, and vice versa. It is nevertheless important to indicate on the sales contract that it is conditioned to obtaining credit.

Unrestricted credit allows the borrower to use the borrowed amount as desired. This is a very flexible financing solution since it requires no justification for the destination of the funds.

For several years now, consumer credit has been strictly regulated by law in order to limit any abuse.

To find out more about consumer credit, you can consult our full article dedicated to this topic .

Is it possible to renegotiate consumer credit?

Is it possible to renegotiate consumer credit?

The loan renegotiation operation concerns only the mortgage and not consumer credit.

Indeed, once the contract is signed, the legislation certifies that the borrower cannot go back. It is therefore impossible for you to renegotiate your consumer credit in order to reduce the monthly payments or the repayment period.

This is explained by the fact that for banks or lending organizations, consumer credit has too short durations and amounts. It is thus not sufficiently profitable for the latter.

This is why you must be particularly careful when choosing your credit and your creditor. An annual effective annual rate (APR) which seemed really attractive when the contract was signed can quickly seem expensive to you after its variations.

However, if you find it difficult to repay your monthly payments, remedies exist:

  • The extension of the deadline twice a year maximum;
  • Pause credit.

Depending on the banks, you may benefit from the postponement of one or more deadlines, in whole or in part.

Pausing credit consists of suspending the repayment of monthly payments over a given period.

For consumer credit, only credit redemption is possible. Its principle is to reduce the amount of the monthly payment by having them bought back by a specialized establishment, whether it be a bank or a banking intermediary.

What is credit repurchase?

What is credit repurchase?

Credit repurchase includes three types of repurchase including consumer loans. It combines all of your current monthly payments into a single credit and prevents over-indebtedness.

For this, the new establishment contacted balances all of the credits with the various creditors and replaces them with a new contract at a more attractive rate but of a longer duration.

So you can request it whether you are:

  • Tenant;
  • Owner;
  • Employee;
  • Or a civil servant.

The repurchase of credit also avoids being filed with the Banque de France as a banking ban. However, it is entirely possible that you will be refused your credit repurchase.

As consumer loans are not renegotiable, buying back credit therefore appears to be the most effective solution.

To apply for a loan buy-back, you need to prepare a file as for a mortgage loan application.

You will then need to provide the following documents:

  • Your civil status ;
  • Your income and your charges;
  • Your debt ratio (which must not be more than 33%);
  • Your real estate (and the act of purchase if you own it).

You will then have to have your financial guarantees checked in the event of non-compliance with the monthly repurchase of the credit.

It can then be:

  • A third person who acts as a surety;
  • Supporting documents concerning your financial situation;
  • A mortgage on your real estate assets;
  • Proof that your personal situation is healthy.

After studying your creditworthiness, the lender will make you a signed return proposal. You will receive a notification of acceptance or rejection of your request in the following weeks.

It is good to know that there is no law that requires a subscriber to take out borrower insurance. However, the latter is particularly recommended to protect you in case of disability or death for example.

We invite you to carry out a credit redemption simulation directly via our free and fast simulator.

How to renegotiate a credit union?

To obtain a buyout of consumer credit at the best rate, you need to carefully study the terms and conditions of your contract.

Indeed, the law limits the possibilities of renegotiating an existing consumer credit.

Law L-312-14-1 of the Consumer Code is formal: “in the event of a loan renegotiation, the modifications are made in the sole form of an addendum”.

On the latter will be found:

  • The amortization schedule;
  • The conditions for rate variation;
  • The remaining capital due in the event of early repayment.

The customer has a period of ten days to accept or refuse the proposal upon receipt of all the information concerning the renegotiation.

How to reduce monthly consumer credit?

How to reduce monthly consumer credit?

If you only have one consumer credit outstanding, it will be difficult for you to obtain a reduction in monthly payments with your creditor.

On the other hand, if you accumulate different credits within one or more lending institutions, it may be interesting for you to make a credit buy-back transaction at a competing institution.

Unlike credit renegotiation, grouping loans involves changing banks or credit organizations.

To do so, you will need:

  • Submit a credit buy-back request at the establishment of your choice;
  • The new creditor will then study your file;
  • Your file is accepted.

Once your file has been accepted, the new creditor will settle the credit (s) concerned and then contract a new credit contract with new terms.

With a full credit buyout offer, you can expect a huge drop in your monthly charge.

There are, however, two things to consider:

  • The fall in monthly payments automatically leads to an extension of the credit repayment period;
  • Any credit buyback operation involves an increase in the total cost of one or more credits subject to the combination.

 

To find out the best rates for your consumer credit or do the calculation, you can use this fast and free simulator or contact our team of Across Lender experts directly for personalized support.

Online credit: request, conditions, amounts

In the digital age, many organizations offer online credit. This financing solution was designed for individuals, to help them finance their needs as quickly as possible. In this article, we will tell you all about online credit, from how to apply for it to how to get it.

What is online credit?

What is online credit?

For several years, the development of the Internet has enabled various financial organizations to offer their credit offers directly online. Online credit is a loan made entirely on the Internet, without the need to travel to a physical agency.

Like all credit, online credit allows you to borrow money to finance your needs or to deal with unforeseen events, such as:

  • A honeymoon;
  • A vehicle purchase;
  • Works ;
  • Other personal needs like cash needs.

The latter is open to anyone over the age of eighteen whose tax domicile is in France.

The amount of online credit is calculated according to your needs, your repayment capacity and the type of credit to which you wish to subscribe.

So you can borrow:

  • From $ 50 to $ 1,000 with fast credit;
  • From $ 1,000 to $ 6,000 with revolving credit;
  • From $ 6,000 to $ 75,000 with a personal loan;
  • Over 75,000 $ with a mortgage.

What are the types of online credits?

What are the types of online credits?

On the Internet, it is quite possible to take out various consumer loans.

These last are :

  • Affected consumer credit, which finances a specific need such as car credit, motorcycle credit or even work credit;
  • Unallocated consumer credit, which allows you not to explain your expenses and to use your funds as you see fit, such as personal loans;
  • Revolving credit, which allows you to get a reserve of money that you can use as you see fit;
  • The home loan, which allows you to finance a real estate purchase. If not all credit agencies offer the latter, banks and and online lending institutions remain more attractive and flexible.

How to get credit online?

How to get credit online?

The conditions for obtaining online credit are similar to those for traditional credits.

Thus, you must in particular:

  • Have regular income;
  • Not to be prohibited banking;
  • Do not exceed the debt ratio of 33% on all of your credits.

To obtain online credit, there are two possibilities:

  • Go directly to the site of a credit organization;
  • Or use a price comparator.

Choosing a credit institution’s website

Like Across Lender or Best Bank, a large number of credit organizations allow you to take out a loan request directly on the Internet.

If you choose to go directly to a credit organization site for your online credit application, you will have to complete various fields related to your profile.

This concerns in particular:

  • Your identity ;
  • Your address ;
  • Your job;
  • Your income;
  • Your expenses;
  • Etc.

You will then have to send by email the various supporting documents requested by the requested organization so that the latter sends you a reply in principle in return.

After the study of your file by the establishment in question, you will receive by mail or email a loan offer which you will have to sign and return in case of acceptance.

Finally, the borrowed funds will be deposited directly into your bank account.

The choice of online simulation

The online credit simulation allows you to have an overview of the global offers that could meet your needs.

Once the various required information has been completed, the simulator will give you:

  • The borrowing rate;
  • The number of monthly payments;
  • The duration of the credit;
  • The total amount due;
  • The Annual Global Effective Rate (APR).

Choosing this economical solution will allow you to obtain an estimate in just a few minutes instead of several weeks at a physical agency.

We recommend that you use an online simulator before taking out an online loan, in order to quickly find the offer that best suits your situation.

Which organization to choose for its online credit?

Which organization to choose for its online credit?

You can take out credit online with the various players in the credit market. In addition, it is also possible to opt for a loan between individuals.

Loan between individuals

Appeared in the United States, the Loan between Individuals (PAP) or peer-to-peer lending (P2P) consists of borrowing without going through the bank.

Both parties agree on:

  • The amount to be loaned;
  • The repayment period;
  • The interests ;
  • Etc.

They can draw up an amicable contract or go to a notary to draft or sign the document.

What are the advantages of online credit?

What are the advantages of online credit?

Online credit offers you many advantages.

With the latter, you can get an agreement in principle in just a few minutes and thus save time by saving a physical process in a bank. Online loans can also help strengthen a loan taken out later.

In addition, the information is immediately accessible. You can carry out a credit simulation directly online and thus quickly know the number of monthly payments, their amount or even the APR.

Finally, the procedure is done remotely, which means that you no longer need to travel to the lender.

The only disadvantage of online credit compared to conventional credit is the lack of human contact because you do all the homework alone. Fortunately, our team of Across Lender experts is there to support you and advise you in your choice of online credit application.

How to do a credit simulation online?

How to do a credit simulation online?

To obtain the most advantageous credit, we can only advise you to use an online comparator. It is the best solution to find a credit whose interest rate will be low enough to reduce the amount of monthly payments or limit the credit over time.

To do this, you can use this free online comparator to find out the best rates currently in effect for your online credit.