Consumer credit: why and for whom?

Madame walks past a furniture store and admires a set of furniture. The problem: she does not have the funds to acquire it. What to do? She can use consumer credit.

Consumer credit: definition

Consumer credit: definition

Consumer credit is a loan contracted from a bank or a specialized financial institution. Its purpose is to allow the purchase of consumer goods. Does not fall within this framework the purchase or construction of real estate. There are two major groups of consumer credit. The first is unrestricted credit. Here the money is made available to the borrower without proof of use. He can spend it as he pleases.

The second group is restricted credit. From the outset, the funds are intended for a specific, well-defined use: purchase of living room furniture, new or second-hand car, for example. Three parties are involved in the transaction: the bank, the seller and the borrower. Without going into details, there are other versions of this type of credit: revolving, dedicated, free credit, etc.

The steps to follow to obtain a consumer credit

The steps to follow to obtain a consumer credit

Before talking about the procedures themselves, it is good to know who can benefit from a consumer loan.

Anyone aged 18 and over can claim consumer credit. The first condition is to be solvent. This means having a stable source of income, not being over-indebted. Special mention is made for students whose parents stand surety. The funds are intended to finance his studies and all his related expenses: housing, study costs. Some establishments even grant, under certain specific conditions, a personal loan to a job seeker to enable him to recover his financial situation.

The steps to follow : the first thing to do is, of course, to talk to your banker. This will explain in great detail all the details concerning the rights and obligations of the borrower. The goal is to allow him to make an informed decision. Then come the administrative procedures for the constitution of the loan file. Upstream, however, it is possible to compare the interest rates charged by banks and other credit institutions to choose the best offer. This can be done online. It is also possible to be granted a quick personal loan, within 48 hours, by choosing this option.

Mini credit starts with a loan amount of 500 dollars and through the immediate payment

Unscheduled car repair. High reimbursement of utilities. Dream vacation in summer. There are many situations in which a small injection of cash through a mini loan is the ideal solution for you. A small credit from Lender Bank starts with a loan amount of 500 USD and through the immediate payment within 24 hours, you can go through everyday life more relaxed – without worrying about your finances.

Free credit request With a net loan of $ 4,000 and a loan of 72 months, 2/3 of the new customers receive in advance. an eff. Interest rate pa of 7.9% or less (born debit rate 6.45% pa) Important: In your own interest, please do not make any further credit inquiries, as multiple inquiries (also from other providers) can lead to irritation and the blocking periods can be imposed by the banks in question.

Why Lender Bank for your mini loan?

Why Lender Bank for your mini loan?

Do you need a small loan? Lender Bank has been in the credit business since 2007 and knows what is important for borrowers who only need a small loan amount. Lender Bank has always supported people who do not get a loan from their house or other bank. So that it is fair and balanced and everyone has the chance of a certain loan amount, we personally check your loan application before lending.

Professional lenders focus on the pure product – the mini loan. Lender Bank does not mediate additional products such as insurance or credit cards, nor additional contracts that you do not need. We also do not charge any fees for the brokerage of small loans and have therefore been successful as a loan provider on the market for over 12 years.

Mini credit at Lender Bank

  • Loan contract drawn up by the professional on the situation
  • Free inquiry and processing with social responsibility
  • No additional contracts like family insurance, credit card etc.
  • Early repayment possible at any time
  • Real-time info SMS, and real-time customer area
  • Express payment by Postident online from Deutsche Post

How does the request for small loans with Lender Bank work?

How does the request for small loans with Lender Bank work?

You simply submit a free and non-binding loan application using the form and receive a personal offer from our financial experts for a personal loan within 20 minutes that suits you and your situation. If you accept the loan offer and sign the loan agreement after the immediate approval, an uncomplicated video identification process takes place digitally, so that you do not have to go to the post office. As soon as all data and your creditworthiness have been checked, you will receive your instant credit within 24 hours on the specified account.

Requirements for the small credit from Lender Bank

  • Borrower must be of legal age
  • Resident in Germany
  • Regular income

Instant credit in just a few clicks

Instant credit in just a few clicks

In order to make you a suitable offer for your loan amount, we need in the first step within the credit form in addition to personal data, such as name, date of birth and address, of course your desired amount of at least 500 USD and your desired rate of at least 20 USD. In the second step, you provide information about your living quarters, marital status and tax bracket. Before submitting the form, you must also provide information about your profession and your income. From all the information we have our personal offer for your mini credit from Lender Bank, which we will send you as soon as possible after sending your information by email.

How does the Lender Bank mini loan work?

How does the Lender Bank mini loan work?

Mini credits from Lender Bank refer to loan amounts between 500 USD and 5,000 USD. Accordingly, the loan term is not as long as for a larger personal loan that is paid off over several years. In addition, despite a short-term loan, the interest is not as high as that of an overdraft facility, which, depending on the current account, means that you can expect interest of almost 15%.

In contrast to this quick loan, Lender Bank charges a debit interest rate of 4.80% (depending on creditworthiness) and an effective annual interest rate of 4.91% on the mini loan. With a net loan of 4,000 USD and a term of 72 months, almost 70% of our new customers receive an effective interest rate of 7.9% per year – or cheaper (tied debit interest rate 6.45% pa) when they repay their loan.

To determine your personal interest rate based on the term and the amount of the loan, simply make a free request and we will send you your personal offer for a mini loan.

Is a mini loan possible despite Credit Bureau?

Is a mini loan possible despite Credit Bureau?

It is important to the lenders that you repay the loan on time through the monthly installments. As a professional credit broker for a Credit Bureau-free loan, we build on a monthly minimum income of USD 1,100.00 net – to keep out dubious credit inquiries. If we have all of your information on the credit form, you will receive a personal loan offer that meets your requirements.

What is a mini loan?

What is a mini loan?

A mini loan, also called instant loan or personal small loan, is a small consumer loan for private individuals, the amount of which is determined by the respective credit institution – but usually does not exceed USD 10,000. Because loans with loan amounts over 10,000 USD no longer count as mini loans. Traders, on the other hand, receive a so-called micro loan if they want to borrow a small amount. In contrast to larger loans, when applying for a mini loan, an easier credit check is carried out with regard to creditworthiness and income. The often missing indication of the purpose is also a sign of the consumer loan, which you can apply for in a few clicks conveniently and easily with Lender Bank.

The subsidiary dedicated to the repurchase of credit

Lender Bank: company expert in the repurchase of credit

Lender Bank: company expert in the repurchase of credit

Lender Bank has been a specialist in loan buy-back since 1998, with a network of 250 intermediary partners in banking operations to distribute its products in France. These are more than 250 employees serving the 100,000 customers of the company. The group markets two financing solutions:

  • personal loan;
  • the repurchase of credits.

But Lender Bank, these are also services allowing you to manage your bank accounts, subscribe to a payment card or even save on bank books. This complementary credit offer has been developed for several years in order to offer a complete service to Lender Bank customers.

What are the types of credit repurchases from Lender Bank?

What are the types of credit repurchases from Lender Bank?

In the area of ​​credit, Lender Bank’ specialty remains the repurchase of credits. There are three types of possible groupings with Lender Bank:

  • the repurchase of mortgage credit;
  • the repurchase of consumer credit;
  • buy back project credit.

These three financings have the same objectives: to benefit the borrower from a reduction in their monthly payments by replacing several loans held in competition by a single new loan.

Mortgage loan redemption

Mortgage loan redemption

The repurchase of mortgage credit is addressed only to the owners of a real estate of any order (house, apartment or building). On the other hand, this loan is not only intended for households that still have outstanding mortgage loans to repay.

Indeed, a mortgage loan redemption should not be confused with a mortgage loan redemption. The latter concerns the repurchase of a real estate loan allocated to a particular property. On the other hand, a repurchase of mortgage credit makes it possible to redeem debts of any order (mortgage, but also personal loans, revolving loans…) by taking as collateral a real estate concerned or not by the operation.

At Lender Bank, a mortgage loan repurchase follows a specific formality and modalities. It is thus possible to borrow a sum of money between $ 50,000 and $ 400,000 over a period ranging from 120 months to 300 months. This offer only concerns individuals. Professionals and SCI cannot use it.

The APR (Annual Effective Annual Rate) of a mortgage loan repurchase is between 3.93% and 4.47%. Fixed, this rate is determined according to the amount of the loan, its duration and the situation of the borrowers.

As a guarantee, of course, a real estate mortgage will be taken for the benefit of the lending institution. This guarantee should not be studied lightly: if repayment difficulties arise, the bank can then seize the house or apartment concerned.

Good to know: a repurchase of mortgage credit carried out with Lender Bank benefits from a major advantage, the fees of notary and the expenses of file are included in the financing. It is thus possible to obtain financing without contribution. An ideal solution for all households wishing to keep their savings for future projects or who do not have enough cash available.

Consumer credit repurchase

Consumer credit repurchase

The consumer credit buyout offer is aimed at owners and tenants. It allows all types of loans to be grouped together: car loans, work loans, revolving loans, leisure loans, etc. Its objective is the same as any other loan buy-back: to reduce the amount of installments to be paid each month.

Employees, civil servants or independent professionals can request the purchase of consumer credits from Lender Bank. 100% customizable solution, it is possible to group together various types of debts:

  • personal loans;
  • affected consumer loans (car loans, works, etc.);
  • revolving credits;
  • other debts (late invoices, rents to be paid, family debts, etc.);
  • and even your home loans! In order for them to be included, however, they must represent less than 60% of the total amount of loan redemption.

The purchase of consumer loans from Lender Bank makes it possible to combine several loans over a period of between 84 and 180 months, for an amount of $ 7,500 to $ 200,000. Please note: the maximum amount that can be borrowed is $ 100,000 for individuals renting their accommodation. The APR of such an offer is higher than that of a mortgage buy-back. In question ? No real guarantee on real estate is requested. As a result, the displayed APRC fluctuates between 4.63% and 5.68% fixed.

Good to know : taking out a loan with Lender Bank does not in any way require you to have to change banks. If you are interested in the Lender Bank credit offer, you will need to contact a client advisor or one of the company’s intermediary partners.

Repurchase of project credit

Third and last solution to have your credits grouped at Lender Bank: the purchase of project credits. All debts can be included (home loan, consumer loan, revolving credit, etc.). However, only borrowers with real estate are eligible. Unlike the two previous solutions, the purchase of Lender Bank project credits makes it possible not only to buy back existing loans, but also to take out new credit for an upcoming project. In reality, the repurchase of project credits is not one and only financing, but indeed two distinct:

  • already existing debts can be financed for an amount of $ 7,500 to $ 200,000 over a period of 84 to 180 months. This is a classic loan buyback operation;
  • in addition, a personal loan of between $ 3,000 and $ 50,000 can also be requested. Its reimbursement must be spread over a shorter period, between 12 and 84 months.

The rates for these two types of Lender Bank loans are also to be distinguished:

  • for the redemption of credits, the fixed APR varies between 4.63% and 5.52%;
  • for the new personal loan, the fixed APR is 3.90%.

How to file a credit buyback file with Lender Bank?

How to file a credit buyback file with Lender Bank?

To obtain a consolidation of your loans from Lender Bank or from another organization, you must constitute a credit repurchase file composed of several supporting documents. It will then be evaluated according to the standard criteria in force to which your service provider refers to grant credit repurchase or not.

To prepare your file, you will need, for example, identity documents, proof of income and charges, loans and bank documents as well as proof of address. Certain elements of your file are variable and depend on the nature of the loans that you wish to group. Remember to prepare your credit repurchase file early and take the time to gather all the documents: this will increase your chances of having your credit request processed quickly.

How to make a credit buyback simulation with Lender Bank?

How to make a credit buyback simulation with Lender Bank?

With Lender Bank, you can simulate your credit repurchase for free online on its website creatis.fr. On the home page, click on “Simulate my credit buy-back”. Fill in all the fields of the form that opens then click again on “Simulate my buy-back”. You can also do this simulation on the cofidis.fr website. If the Lender Bank offer really interests you, know that you will reproduce this simulation more precisely during your meeting with a Lender Bank account manager. You can also make this estimate with several financing organizations, specialists in credit consolidation or not. This then allows you to compare the different loan redemption rates that will be offered to you.

What are Lender Bank’ credit repurchase rates?

What are Lender Bank

Do you have a borrowing project? Do you want to know the rates charged by Lender Bank? Like many credit organizations, Lender Bank does not directly communicate the repurchase rates of credit it practices. But you can simulate your credit repurchase with Lender Bank on its website: you will then have an overview of the repayment rates that can be applied to your credit repurchase project. The credit rates offered by Lender Bank are not the same for all customers. These rates vary with the quality of your file, that is to say in particular depending on the feasibility of your project and your creditworthiness. Each year, the loan repayment rates practiced by the banks change. A rate range is however given by Lender Bank for each financing.

  • 4.63% to 5.68% for the repurchase of consumer loans;
  • 3.93% to 4.47% for the repurchase of mortgage loans;
  • 4.63% to 5.52% for the repurchase of project credits;
  • 3.90% for personal loans associated with the repurchase of project credits.

How to contact Lender Bank customer service?

How to contact Lender Bank customer service?

Are you planning to have your debts consolidated? Lender Bank is an organization specialized in this field. If it is possible to carry out credit simulations online, it is often necessary to obtain details, advice and follow-up on your credit application. For this, Lender Bank can be contacted by several means.

Contact Lender Bank via the customer area

This possibility is only offered to borrowers who are already clients of the company. For a question relating to current loans or a new request, they can contact a specialized advisor using the messaging service in the Lender Bank customer area. This tool is synonymous with saving time: it allows advisers to quickly and easily identify their contact and know their situation precisely.

Good to know: for non-customers, Lender Bank offers a contact form accessible directly on the website without the need to identify yourself.

The agencies that market its credit solutions to individuals and professionals

 

It is the partners of its network of intermediaries and Best Bank.

A subsidiary of Best Bank, GCI is a credit financing company. The brand has recognized and international expertise in the financing by credit of automobile, nautical purchasing projects and in the repurchase of credit.

GCI now has 800 employees, has 17 commercial agencies in France, 280,000 customers and over 60 years of experience. Number 1 in pleasure boating financing in France, GCI is also number 2 of independent financial establishments on the French automobile market.

The distribution and sale of GCI financing products is done through its network of IOBSP partners: intermediaries in banking operations and payment services. These are automobile and nautical dealers, lending organizations and Best Bank agencies.

GCI Finance offers groups of loans of all types (mortgage, consumer credit, revolving credit, etc.) at advantageous rates, with fixed maturities, which do not require heavy administrative procedures. Individuals and professionals can subscribe to a GCI credit buyout only from one of the group’s partner lending organizations, or from a Societe Generale agency. GCI also markets insurance for individuals: Personal Insurance, Real Estate Value Guarantee.

Submit a credit repurchase file with GCI

Submit a credit repurchase file with GCI

It is through the intermediation of a GCI partner dealer or a Best Bank agency that you will be able to discover and subscribe to a GCI credit buy-back offer. It is therefore with these organizations that you will file a credit repurchase file. You then submit your application to benefit from GCI’s credit consolidation service. The latter then assesses the feasibility of your project and the financial risks they entail using criteria to decide whether or not to finally grant the buyout. To prepare your credit repurchase file, you will need to consolidate various documents. These essential documents for your buy-back file vary according to the nature of the loans to be grouped together: consumer credit, mortgage, agricultural credit, etc.

GCI’s credit repurchase rates

GCI

GCI Finance does not communicate the repurchase rates of credit that it practices with its customers. This information is only available from GCI partner establishments and Best Bank agencies. Note that these reimbursement rates vary depending on the quality of your file. They also evolve every year. If you want to know the repurchase rates of credit practiced by GCI, you must contact an intermediary, explain your project and then assess the repurchase rate of credit which you can claim with the help of an adviser or ‘seller. You can also compare the credit buy-back rates from more transparent lenders and then try to calculate the best credit buy-back rate for your file.

Simulate a credit buyout with GCI

Simulate a credit buyout with GCI

GCI Finance does not provide you with any tool or service to help you simulate a credit buy-back, whether online or by telephone. However, during your meeting with one of GCI’s partner dealers or one of the agencies of the Best Bank network, if you are interested in the GCI credit buy-back offer, you will have the opportunity to estimate your budget with an advisor.

Credit repurchase: the opinions of GCI customers

Credit repurchase: the opinions of GCI customers

GCI Finance customers unanimously salute the quality of listening and the innovation capacity of the financial organization. The group is in particular one of the rare French financing company certified by Cream bank: it benefits from the “AFAQ 26000” certification which assesses the level of social responsibility of a company.

They also appreciate the support that GCI offers to its subscribers. The group has in fact set up a partnership with the independent organization, which helps clients in managing their budget after buying back credits. The personalization of the financing solutions advanced by GCI is also a strong asset of the brand, from the point of view of its customers.

Borrow 300 dollars mini credit with instant payment to your account!

300 dollar loan

300 dollar loan

Occasionally there are situations that can lead to an acute financial shortage. For example, you can bridge a financial bottleneck with a 300 dollar loan. For example, with a loan of over 300 USD you can cover unexpected costs. Examples would be the repair of your car or the replacement of a defective large device such as a refrigerator. At this point, we will tell you what you should know about mini loans and how you can easily take out a 300 dollar loan.

Which providers offer a 300 dollar loan?

Which providers offer a 300 dollar loan?

Lender Bank, Lender Bank and Best Bank are the best-known providers of mini loans. The mini loans are granted easily and with short terms. The standard term is 30 days. Longer terms are often also possible, but sometimes only for an additional fee.

If you forego additional services for your 300 dollar loan, you only pay back the loan amount plus the agreed interest. The interest on a mini loan is 10.36 percent for Best Bank, 7.95 percent for Lender Bank and 13.9 percent for Lender Bank. The information relates to the annual percentage rate. For example, if you borrow $ 300 from Lender Bank, you pay $ 1.89 interest over a term of 30 days, so that you only have to pay back $ 301.89 in total.

Who can take out a 300 dollar loan?

Who can take out a 300 dollar loan?

For all providers, a German bank account, the age of majority and a place of residence in Germany, with Best Bank also Europe, are mandatory basic requirements for lending. You shouldn’t be over-indebted. The criteria for granting mini loans are not as strict as those for most installment loans. A negative Credit Bureau entry does not automatically prevent you from getting your 300 dollar loan.

The providers inquire at Credit Bureau, but also allow their own assessments to be included in the decision. Lender Bank and Lender Bank, for example, require a regulated minimum income of 700 and 500 USD, respectively. Best Bank does not have to provide proof of income.

What is a 300 dollar loan needed for?

As a rule, a 300 dollar loan is taken out in order to bridge a financial bottleneck, which resulted from unexpected extra costs. There are devices that need to be replaced quickly if they break. Perhaps the best example is the refrigerator. Without a refrigerator, your food spoils very quickly and even fresh food can only be stored for a short time.

If it is not a new refrigerator, a repair is usually not worth it, since you can get a new, more energy-efficient device for the same money. You can also pay for a 300 dollar loan to repair your car. If you need the vehicle to go to work, you should have it repaired quickly, for example if the alternator fails or the clutch breaks.

If you are currently saving money, for example to buy a new computer, you can buy your desired model a little earlier if you discover a great offer. If the device is several hundred USD cheaper, you can buy the computer earlier and pay off the mini loan with the savings rates that you would have covered anyway.

How quickly is a 300 dollar loan paid out?

How quickly is a 300 dollar loan paid out?

You will receive your 300 dollar loan within a few days. Lender Bank pays out the money within 3 to 5 working days, Lender Bank within 7 working days. With Best Bank, it can take up to 15 working days for the money to reach your account.

You will probably take out a mini loan if you need a little bit of money quickly to bridge a temporary bottleneck. With all the providers mentioned, there is therefore an express option that allows you to have the money in your account within 24 hours on weekdays. It is often also possible that the money is transferred on the same day if you provide all the necessary documents by a certain time. The providers charge a so-called acceleration fee, which is added to the total cost of the loan. In this case, you pay back the loan amount plus interest and the fee.

When do you have to repay a 300 dollar loan?

When do you have to repay a 300 dollar loan?

You must have repaid your USD 300 loan by the end of the term. You specify how long the term is in your loan application. The providers offer different terms, some of which also depend on the amount of the loan. At Caspher you have the choice between 30 and 60 days. If you choose 60 days, you will pay back your loan in two installments. There are fees of $ 45 for a $ 300 loan.

It is similar with Best Bank. You have the choice between 30 and 62 days. If you choose the 62 days, you have to choose the 2-rate option, which costs 79 USD. With Lender Bank, you will repay your USD 300 loan in 15, 30, 60 or 90 days. You can also opt for several installments, which is also associated with additional fees at Lender Bank.

A loan in order to take advantage of the opportunity to invest or to get your account

Do you need a loan in order to take advantage of the opportunity to invest or to get your account up and running after a dry spell? If you are looking for quickly available financing, a short or medium-term Bollards loan can be the solution. The principle of this type of loan: it is granted when collateral is pledged. These can be movable things, bank deposits or securities.

What exactly is a Bollards loan?

What exactly is a Bollards loan?

In the financial sector, a Bollards loan is defined as a short-term or medium-term loan, in which a pledge provides security. The type of the pawn ultimately depends on the variant of the Bollards loan to be issued. These can be, for example, movable property (precise definition in the legal provisions of the Federal Republic of Germany), bank deposits or securities such as shares. Ultimately, pawnbrokers also grant Bollards loans against deposit of accepted items.

How does a Bollards loan work?

How does a Bollards loan work?

If you want to secure your Bollards loan with securities, you can lend a maximum of 75 percent of the current value. The maximum mortgage lending value for movable goods is 66 percent. You generally receive a pledge loan when corresponding collateral is deposited, which becomes the property of the lender. Nevertheless, you retain ownership of the deposited value. As a borrower, you can choose from three options:

  • At the agreed time, you will repay the loan amount plus interest and fees, and you will receive your deposit.
  • You let the deadline pass and thus lose the pledge to the lender.
  • Provided that the possibility is given in the loan agreement, you can have the term of your Bollards loan extended, whereby the loan costs increase by another. 

The basis for this credit model is the Civil Code, the obligations in the loan contract are precisely defined in BGB § 488. Before taking out a Bollards loan, you should also note that when you conclude a contract, you grant the lender the right to sell the pledge, provided you do not release it on time.

Types of Bollards loan

Types of Bollards loan

Below we present the five variants of the pledge. Please note that the first three subspecies are primarily consumer-oriented, while the latter are used in financial-business relationships.

Securities Bollards credit

Since securities are tradable securities such as shares, this loan is only granted when certain assets are deposited. So this loan is about a security loan, where one aspect deserves special attention. The funds lent usually serve to finance the acquisition of additional exchange-traded securities in the case of a securities Bollards loan.

The process of lending is noteworthy. The lending institution opens a separate checking account for you as a customer to process the loan. The bank then determines the maximum possible credit line, the amount of which is calculated using the lending limit shown above. Due to exchange rate fluctuations, both the lending limit and the credit volume can experience direct changes. Post-collateral rights on the part of the credit institution are usually triggered when the loan limit decreases without the credit line being adjusted immediately or already being used.

Goods Bollards credit

Trade goods exhibited using traditional papers can be financed with goods Bollards loans. As a borrower, you must note that you do not deposit the goods themselves, but rather the associated endorsed traditional paper as security. Seafaring bills (bill of lading), storage bills or other loading bills are considered to be endorsed traditional papers. Such papers certify the right of ownership of a product which is transferred to the bank providing the loan upon assignment. Merchants generally use the goods lending credit to pre-finance additional goods and repay the loan with the proceeds from the sale.

Precious metal Bollards credit

With this type of Bollards loan , precious metals such as gold or silver are pledged as security for the loan. Lending against the deposit of precious metals was once a frequently used form of credit and was a core business of the banks. At the present time, the financial institutions are practically no longer giving precious metal Bollards loans, and they have left this business to the pawnshops. Nevertheless, it can be important for you to know the conditions.

If, for example, you want to make coins from gold or silver in the pawnshop, the effective value of the respective precious metal is used to determine the mortgage lending value. The pawnshop deducts about 20 percent from this amount, so your maximum loan amount is always 80 percent of the actual value. Any pawn shop does not take into account a significantly higher collector’s value.

Bill of exchange credit

Bill of exchange credit

This Bollards loan has replaced the bill of exchange discount that is no longer on offer and is only granted to credit institutions in accordance with the Bundesbank’s terms and conditions. The banks use the bill of exchange credit for refinancing. This loan option is not an option for private individuals, but it does make sense to internalize the meaning of the term change. This means a document that requests the drawee to pay a noted sum of money on a specific date.

For example, sellers issue bills of exchange to their buyers when entering into commercial transactions, which oblige them to pay for the purchased goods at specified times. In the case of bill of exchange loans, bills of exchange of this type serve as collateral for surrendered funds.

The “fake” Bollards loan

This type of Bollards loan is also only used in the banking sector; the fake variant is a current account credit secured by movable property. The only difference: A real Bollards loan, as already explained, requires the establishment of a dedicated credit account. A fake Bollards loan, on the other hand, is processed via an existing checking account. However, experts point out that the account distinction is not of legal importance and plays no significant role in banking practice.

In general, the conditions can only be said to be comparatively cheap, since every loan is secured with real assets, securities or precious metals. Nevertheless, every lending institution has individual rules with regard to the lending limit, interest rate or minimum deposit volume. Before you apply for a Bollards loan, you should thoroughly compare the terms of the provider on the Internet and in any case choose a reputable lender.

In principle, Bollards loans are linked to a maximum term of two years, whereby you can either call up the loan amount at once or use it in tranches. The relevant credit line is always decisive. The best conditions are offered to you with the Bollards loan if you offer your bank balance as security.

Requirements for a Bollards loan

Requirements for a Bollards loan

If you apply for a conventional small loan, the bank’s first step is the mandatory Credit Bureau query, which is used to determine your creditworthiness (creditworthiness). When it comes to Bollards loans, the institutions are not obliged to obtain Credit Bureau information, since sufficient collateral significantly reduces the risk of default. However, not all financial institutions do this, and some banks, despite adequate credit protection, ask for entries in the protection association for general credit protection. If your Credit Bureau values ​​are not quite optimal, it is advisable to ask the preferred bank in advance whether the bank will also ask the protection association for information about a Bollards loan.

In addition, as a legally competent private person with a main place of residence in Germany, you are entitled to apply for a Bollards loan and you can ask both banks and brokerage providers. As the conditions, as already shown, differ considerably from one another, a previous comparison is essential.

What advantages a Bollards loan offers you

What advantages a Bollards loan offers you

The outstanding advantage of this loan option is of course the prompt availability of the required funds. Banks generally save the time otherwise required for the credit check. However, it always takes a few hours or days to thoroughly assess the deposited pledged items before acceptance is decided.

Another advantage that should not be underestimated results from the fact that deposited values ​​do not have to be sold and still generate liquidity. These become your property again as soon as you have repaid the Bollards loan together with fees and interest. The only exception: they do not meet their obligations and thus force the lender to dispose of deposited objects.

Are there risks with a Bollards loan?

Are there risks with a Bollards loan?

General risks exist for you if you cannot repay a Bollards loan in good time due to suddenly changing living conditions. This could be unforeseen unemployment or serious illness, but divorce can also severely limit your financial strength. In these cases, you lose the pledged values ​​and can also be obliged to pay costs if the lender does not achieve a sufficient sale price for the pledge. It is therefore important to include previously mentioned options in the planning in advance of each borrowing.

There is a particular risk for you as an equity investor when taking out a securities lending loan if it is not granted for free use. As security, you deposit already acquired papers for the purchase of new shares. However, if the prices of the pledged securities change dramatically negatively, the bank can shorten your line of credit or require you to provide additional security or margin. Should the newly purchased shares also go down, they will lose on both sides.

Therefore, always bear in mind that past share gains do not have to mean attractive returns in the future, and do not push your credit volume to the limit. If, due to stock market turbulence, you are forced to exceed your credit line, your bank will charge interest even if you tolerate it, which is significantly higher than the interest rate agreed for the securities loan. In order not to get into this situation, you should always have a reserve available, if this does not exist, the bank will force you to sell the securities at an unfavorable price.

For which groups of people do Bollards loans make sense?

For which groups of people do Bollards loans make sense?

As a private person, the precious metal Bollards loan granted in the pawnshop will help you with small and short-term shortages. If, as a private investor, the house bank granted you a securities Bollards loan without a usage restriction, you would have a low-interest alternative to the expensive overdraft facility. Depending on the amount, you could use it to make upcoming consumer expenditures, finance a vehicle or take a family vacation. Timely repayment or, alternatively, the extension approved by the bank is important.

As a trader, you could use a goods Bollards loan to quickly expand your offer. However, you must make arrangements with the lending institution to make the pledged goods available. This works without problems if the newly purchased goods are sold faster than the deposit items.

As a shareholder focused on returns, you can expand your portfolio with promising securities in a timely manner with a securities loan. You should have extensive specialist knowledge and be aware of the risk outlined above.

Ultimately, investors must take into account that the interest costs for securities Bollards loans taken out for the investment can no longer be fully claimed for tax purposes. The flat-rate withholding tax that has been in effect since 2009 has limited advertising costs, which were once individually definable, to a minimum of a flat rate. This also applies if you pay tax on your actual income tax rate as part of the favorable assessment.

 

Credit comparison in German Company.

Many consumers keep hearing the term “comparison calculator” when asked about a loan. This is necessary to understand the types of loans and their costs. In this area in particular, consumers can save a lot of money with the right decision. A credit comparison by German Company is revealing and helps you make the right decision.

Decision support by German Company

Decision support by German Company

A credit comparison by German Company draws attention to what customers should pay attention to. If you decide too quickly for a loan or a certain bank, you may lose a lot of money. German Company clarifies. The most important points are which forms of credit are available and what the customer should be aware of

For example, it is mentioned that the use of overdrafts should only be considered if there is a short-term shortage of money. Overdrafting is one of the most expensive forms of credit, although it also has many advantages. A credit comparison by German Company clearly shows how differently the banks calculate the interest for the overdraft facility. In the short term, the account holder quickly has money in hand.

No consultation with the bank is required. However, the use is only worthwhile for customers who have a regular income and can thus compensate for the minus. German Company also shows the alternatives to disposition. A call credit makes the user flexible. In addition, the interest rates are significantly lower than with an overdraft facility.

Another option is the conventional installment loan. There is also a credit comparison by German Company. At the same time, attention is drawn to the Credit Bureau. Incorrect entries can be the reason that a loan was declined. The recommendation to all credit-seeking customers is therefore first to get self-disclosure from Credit Bureau. So you will not be negatively surprised when looking for a loan.

What else matters

What else matters

The problem of processing fees is also mentioned in a loan comparison. Incidentally, this comparison is free and independent. Each borrower can only be advised to compare beforehand. So you can be sure that you will really find the best bank that suits you.

A general rule of thumb is: the higher the monthly repayment rate, the shorter the term and the loan will be paid off faster. However, customers are not obliged to choose a high monthly rate. If you don’t make that much money, you shouldn’t overdo it. Instead, it makes sense to opt for a longer term with manageable rates, so that the repayment of the loan is also guaranteed.

Is there a disability loan

The question of whether there is a disability loan is frequently asked by an accident or congenitally disabled individuals. Within the scope of the disabled loan, especially public banks give loans to our disabled citizens.

The most important thing to do before using credit; It receives a disability report from state or private hospital boards. You can never apply for a disability loan without a disabled report.

Thanks to the agreements it has made, GFI provides loans to disabled citizens. In the rest of our article, you can find answers to all questions regarding the application via GFI.

GFI Disabled Loan Application Requirements 2019

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GFI disabled loan application conditions have been carefully determined to protect the rights and order of individuals with disabilities. Application conditions requested by GFI:

  • People who will use credit must be between the ages of 18-81.
  • 2022 must take the disabled salary.
  • It should not have a mental disability.
  • There should be no lien in the salaries of the disabled.
  • It is necessary to take the disabled salary from GFI.
  • The credit rating should be high.

All disabled individuals who meet the above conditions can obtain loans by going to the nearest GFI branch.

Banks with GFI Disabled Loan Agreement

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Banks with GFI disabled loan agreements have been announced by GFI as 5 banks. For the question of whether there is a disability loan, the best answer is to explain the banks that offer loans. Banks with which you can use loans through GFI within the scope of disability loan :

Receiving GFI Disabled Card

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Getting a GFI disabled card is a fairly simple process. It is similar to the process of receiving a pension card. You have to go to GFI branches for the transaction to which you will apply for credit. GFI will automatically provide you with a card if your application is accepted and your credit is approved.

If you receive a disability pension from another bank, it is recommended that you move your salary to GFI. In credit evaluation processes, this method is very useful for a positive evaluation of your credit. You can turn your disabled salary on GFI by going to GFI branches in the province and district near you. GFI does not request any fees for this transaction.

GFI Disabled Loan Monthly Interest Rates

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It is necessary to provide accurate information on GFI disability loan interest rates because you are not borrowing from GFI, but from banks with which it has contracts. Interest rates set by contracted banks for disability loan :