The conditions vary according to the banks and the credit organizations but also according to the profile of the borrower within the framework of a repurchase of credit, here are the main conditions proposed.
Loan buy-back: conditions linked to the transaction
It is essential to demonstrate that there are two different operations which are however confused by most of the people. The repurchase of credit is the fact of having his home loan redeemed only by another bank. Credit consolidation is the fact of combining several loans into one to generally reduce the monthly payment. The conditions are not the same because in repurchase of credit, the approach is oriented towards a low rate whereas for a grouping of credits, the approach is linked to a reduction in monthly payments. Two different needs, two different offers and therefore different rates, often higher in loan consolidation.
Conditions and fees for credit repurchase
First of all, the lender must prepay the credits in order to be able to recover all the debts and therefore propose to the borrower a new contract. Early repayment indemnities are to be provided, up to a maximum of 3%. Then, the administrative and / or mandate fees can amount to a maximum of 7% or even 8% of the amount financed. Finally, if there is a mortgage guarantee in place, notary fees will be expected, according to a national scale updated each year. In terms of conditions, the rates remain attractive for this type of transaction and it all depends on the profile of the borrower. The higher the borrower’s income and the ability to repay over a short period, the lower the rate.
Credit repurchase: duration conditions
On a repurchase or a grouping of mortgage loans, the durations start at 60 months (5 years) and go up to 420 months (35 years), the so-called consumer buy-backs are on shorter durations, from 12 to 144 months ( ie 1 year to 12 years). Beyond that, it is the repayment capacity calculated with the remainder to live and the debt ratio which will make it possible to know if the borrower’s request is admissible or not. Otherwise, the credit buy-back simulation allows you to quickly know if the file can lead to a financing agreement, free of charge and without obligation.
Simulate to know the conditions
It is clearly impossible to give financing conditions since each situation for a grouping of credits is unique. That said, the simulator makes it possible to obtain an estimate of its future reduced monthly payment for free and without obligation. Just complete the form and then validate it, the result will be quickly communicated with the different funding possibilities and therefore applicable conditions.