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Payday Loans

Where can you find a payday loan at the best rate?

To make a project a reality, more and more households decide to opt for a payday loan at the best rate with a specialized institution.

How to find a payday loan at the best rate in Belgium?

How to find a payday loan at the best rate in Belgium?

Before heading to a particular establishment, it is important to understand the value of getting the best rate. But as each one offers different offers and variable rates, it becomes difficult to make the right choice. To help you find the payday loan at the best rate, here are some tips that will help you.

 

What is personal credit?

What is personal credit?

The payday loan is a credit that spans a specific period (from a few months to a few years). The amount borrowed through this type of credit will be made available to an individual, in return for a sum to be repaid monthly, during the term of the loan. Generally, the latter is not intended to finance a particular purchase. Most of the time, it helps an individual to cope with occasional or unforeseen expenses. Therefore, there are currently several forms of personal credit to meet the financial needs of everyone: the payday loan for work, the personal car loan, the personal leisure loan as well as the personal cash loan.

Trust a credit comparator on the internet

Trust a credit comparator on the internet

Internet credit comparators are available on any specialized credit platform. The biggest advantage is that they are generally free and above all without obligation. Thanks to this device, you can have an overview of all the establishments working in this field. But it is also a way to know all the different methods of credit distribution. By contacting this online tool, you will have access to all the necessary information, including the credit rate. By making a comparison, you will quickly find the most advantageous. If your objective is to obtain the cheapest credit, this is the safest and above all the quickest way to achieve it.

Learn the payday loan calculation

Learn the payday loan calculation

Online credit comparators are effective ways to easily find the best rate. However, tariff revisions may be adopted by the credit institutions or by the banks in question. Therefore, it is useful to have basic knowledge, even some notions, on credit calculation. This will allow you to recognize the payday loan at the best rate.

Use the most important criteria: the amount, the income, the personal contribution as well as the duration of the loan. Also, be sure to pay special attention to the APR (Annual Effective Annual Rate), the total cost of your loan, the cost of insurance, the amount to be reimbursed every month as well as the handling fees.

You should also know that the more risky the credit, the higher the rate you will pay.

Turn to a specialized broker

Turn to a specialized broker

Do you want to find the payday loan at the best rate? A specialized broker will find the payday loan that most closely matches your needs and your budget. In addition to benefiting from all the advantages of online tools, this professional will help you to carry out all the restrictive procedures for applying for a loan. Thanks to his specific knowledge and years of experience, the broker will quickly find the kind of loan that exactly meets your expectations.

To avoid scams, it is important to base yourself on the concepts mentioned above. Once you’ve applied one of these tips, be sure to find the payday loan at the best rate.

Loan with time contract – not an unlimited fulfillable loan

The search for the loan with a temporary contract is not hopeless. Of course, various credit options are also available for temporary workers. Unfortunately, the loan request cannot be realized as easily as with an open-ended employment contract. The article reveals what is important, how a low-interest loan can be used, and even an emergency solution.

Credit with a time contract – problem

Credit with a time contract - problem

A loan with a time contract is not an unlimited fulfillable loan request. With almost all low-interest loan offers, credit security is created through permanent income. A temporary contract generates income, but it is only temporary income. At the end of the contract, unemployment threatens. A promised extension or the proof of a chain contract does not improve the credit situation.

The clerk can only make decisions based on facts. Even repeated extensions do not guarantee that the temporary contract will be renewed again. He is therefore limited in his options for action. It is possible for him to provide help through the disposition. Overdraft facilities are usually still within the clerk’s personal decision-making framework. The situation is different with the desire for an ordinary installment loan.

How can an installment loan with a temporary contract be approved?

How can an installment loan with a temporary contract be approved?

If the loan with a temporary contract comes from an “ordinary” credit institution as an installment loan, two options open up. The options would not be straightforward to derive credit security solely from income from work. Recognized loan collateral is the guarantee of a solvent guarantor and high-quality property collateral.

Nobody would like to ask a guarantor for help. Not everyone has high-quality property collateral, for example long-term capital-building life insurance. The alternative is to apply for an installment loan with a short term. The maximum term may coincide with the end of the temporary contract. If the employment relationship is actually terminated, the loan is already paid.

With a short term, the amount of the loan is automatically reduced. As a rule, it is a small loan with a maximum loan amount of 5,000 USD that can be financed in this way. Credit institutions that offer such a loan at particularly low interest rates can easily be determined using the loan comparison. The Santander Bank provides an example of a loan amount of 2,000 USD with a term of 12 months. The loan can be taken out at a fixed interest rate of just 2.89 percent APR. The monthly installment remains affordable with almost every income at 169.25 USD.

Alternative credit option despite temporary work – emergency solution

Alternative credit option despite temporary work - emergency solution

If there is little scope left until the expected extension, a somewhat more expensive financing from the credit crunch could help. When applying for a credit card, there are often very few requirements. Nevertheless, “real” credit cards are equipped with an individual credit limit. Even with a smaller income, this framework is between 1,000 USD and 2,000 USD – provided the school is clean.

The credit card is usually billed once a month. However, partial payment can be requested before this date. This “installment loan on detours” is not cheap. An effective annual interest rate of 14.48 percent is calculated at Best bank, for example. This loan with a temporary contract can therefore only be a temporary solution.

Real estate loan: banks have relaxed their level of requirement

The criteria for granting real estate credit are easing, some returning to 2007-2008 levels in a very dynamic French real estate market, explains in a note published on Thursday. the Best Bank, which says to remain vigilant.

This gradual relaxation of the conditions for the allocation of real estate loans affects all borrowers, specifies the publication. This contributes to the dynamics of credits and to a rise in prices faster than that of household incomes. The amount of the average loan when it was granted, which has increased almost continuously since 2009, thus reached 170,200 dollars in 2018, up 5% compared to 2017. This increase reflects that more important, the average amount of the loans granted to the purchasers already owners and having higher incomes.

 

A 30% effort rate

The duration of loans granted also continued to increase, for the third year in a row, reaching 19.9 years, the same level as in 2008. The rate of indebtedness, also rising sharply, reached its highest since 2004. This indicator represents the number of years of income required to repay a mortgage. In 2018, it reached 5.2 years – compared with 4.8 years in 2017 – pulled up by the increase in the average debt ratio among first-time buyers and already-owner buyers Etaires.

The share of expenses linked to the residence has also increased, but more moderately for households. Their effort rate, i.e. the ratio between expenses linked to housing and income, reached 30.1% in 2018. Despite the slackening observed of certain criteria of grant, the French housing finance market continues to benefit from a low loss experience, nuances the Best Bank.

 

Banks still secure their loans

Banks still secure their loans

In addition to declining and a very limited amount of bad loans in the banks’ portfolios, almost all of the housing loans granted are at fixed rates, thereby limiting the risks linked to them. It’s a possible rise in rates. In addition, in addition to an assessment of the creditworthiness of the borrower by the banks, these loans are generally covered by security, mortgage or guarantee arrangements in the event of default. of the borrower.

Despite everything, the French Lenders Bank and its banking supervisory body, the ACPR, remain particularly vigilant regarding the evolution of risks linked to the financing of the market. residential real estate also taking into account the high level of household debt.

How to make a home loan without contribution?

Find out how to get a home loan to buy a house without any down payment, while taking advantage of the best rates at the moment.

The contribution is a sum of money saved or recovered following an event, it is a reason for accepting credit from certain credit institutions for a house project.

Obtain a home loan without a contribution

Obtain a home loan without a contribution

Whether it is to buy or to build, the bank will often ask for a sum of money available in order to offer advantageous conditions and above all to grant financing. Simply, not everyone has the will and the capacity to place money, it does not mean that dreams of buying a house should be called into question, so you have to find the right bank capable to respond favorably to demand and above all to offer attractive rates.

You should know that the contribution is initially intended to cover the costs of setting up the financing, there are necessarily the bank fees, the notary fees to perform the deed but also the warranty fees (mortgage or deposit) or agency fees when going through a real estate agency.

These amounts will have to be settled and when the borrower has no contribution to make, the bank will simply offer him the mortgage at 110%. It is a home loan, the amount of which will consist of the price of the house that will be purchased and the various costs that will occur, or 10% of the price of the property. Thus, if the house is in the amount of 200,000 dollars, the bank will offer a 110% loan in the amount of 220,000 dollars. Thus, the borrower reimburses a single monthly payment including everything.

How to buy your home without having contributed?

bank

The most difficult thing in a house purchase project without having to contribute is simply to find the bank which will accept firstly to finance the project in the form of a loan at 110% but also secondly to offer the most attractive rates. Different banks and credit institutions are positioning themselves on the mortgage market without contribution, so there are indeed solutions that exist and that can allow borrowers in this situation to carry out their home purchase project.

The first solution is therefore legitimate to use an online simulator allowing to compare the different proposals of the banks, without having to fix an appointment in the agencies. This first step allows you to select the bank or banks capable of financing the home purchase.

The borrowers can then proceed to the stage of the constitution

money

Of the file allowing them to obtain the validation of the mortgage. To know that the borrower insurance can represent a significant part of the total cost of the financing, it is obviously necessary to think of the rate of the mortgage but not to forget that of the insurance.

It is also useful to know that you can use an insurance delegation, ie go through a broker or a company to insure your loan. Finally, the simulation is offered to you free of charge and without any commitment.

Real estate loan: fixed rates and always at the lowest

In the middle of summer, rates remain perfectly stable according to real estate credit brokers. And they should stay low for a few more months.

Still no heat stroke on the rates! The barometers established by the brokers, on the basis of the scales communicated by the banks, are almost identical to those at the beginning of July. And therefore remain close to their lowest historical level, recorded at the end of 2016.

 

About 1.60% for a loan over 20 years

money loans

The Lite Lenders network announces average rates of 1.30% over 15 years, 1.50% over 20 years and 1.70% over 25 years in a press release published on August 2. Like every month, the averages differ slightly from one brand to another, the average fixed rate over 20 years being thus estimated at 1.65% at Cream Lending or at 1.60% at Best Lenders. If the estimates diverge, marginally, one observation is unanimously shared: no significant change in average rates at the heart of summer.

Another consensual observation: several institutions in search of borrowers would be willing to make significant discounts. In other words: by negotiating, it is possible to obtain rates well below average, in the order of 0.60% decrease according to Sandra Alawi, spokesperson for Lite Lenders. T his brokerage network evokes discounts up to -0.65% for borrowers investing in Cream Lending, with a personal contribution and comfortable income (more than 4,000 dollars per month for a single person).

Credixia delivers practical advice for buyers presenting a credit file during this summer period: negotiate an additional deadline by extending their conditions precedent for at least 15 days, in addition to the 45-day period traditionally provided for in the conditions of purchase.

 

No bounce on the horizon

The summer calm is likely to extend to the start of the school year, according to the various brokerage networks. The latest statements from the Best Bank do not suggest any hike in rates before the second half of 2019, notes Arwind Honmine, near founding chairman of Cream Lending Direct, while stressing that the announced end of the Best Bank’s asset buyback program at the end of 2018 leaves doubts about the development of the markets in 2019. Sandra Alawi It also evokes a number of uncertainties for 2019 but, until then, we do not anticipate a rise in mortgage rates. For now, the horizon remains clear for borrowers.

Relay loan or resale purchase: these solutions for acquiring new real estate

The bridging loan allows borrowers to buy new housing before selling the current one. A solution that frightens some, fearing that the resale will not materialize quickly. The point on this complex loan, in question.

How much can the bank advance?

How much can the bank advance?

The amount of the bridging loan is calculated according to the value of the property to be sold. In general, it represents 50% to 70% of the value of the property, says the French Banking Federation (FBF) in a dedicated guide. There is no intangible rule: several brokers mentioning the possibility of climbing to 80% of the value of the property.

This can be 60% in an area where sales are difficult, and this easily rises to 80% in Paris, Bordeaux or Lyon where the real estate market is extremely dynamic, judge Mal Bernier, spokesperson for Meilleurtaux. The fact that a sales agreement is signed also makes it possible to approach 70% or even 80% of the value of the property.

Precision: this percentage means minus the capital remaining due. More specifically, if you still repay the loan for the initial home, the amount of the bridging loan will be less. Logical: This loan is only intended to advance the money that you will receive when selling your property.

For a house with a value of 250,000, on which you have 150,000 to be reimbursed, you can obtain a bridging loan of 70,000. That is to say 70% of the proceeds of the sale that you can cash (100,000), the rest being used to repay the balance of your credit.

Who estimates the value of your property?

bank

The bank grants the bridging loan. Banks are increasingly asking for a double estimate responsible for the development of Good Credit. They often request at least one estimate from the notary, followed by internal expertise. This procedure can generate administrative costs, up to 300 euros, but they are included in the bridging loan.

What rate and what duration for a bridging loan?

1.40% to about 1.60%, for bridging loans with an initial duration of 1 to 2 years, according to Ocane Gridel, from Good Credit. By way of comparison, in this fall of 2019, the average mortgage rate is around 1.25% for a conventional bank loan over a period of 20 years, and slightly below 1.50% over 25 years.

What are the different bridging loan formulas?

Three relay credit formulas are possible. The first: the loan relay dried up, without any other associated credit. This formula is particularly preferred by seniors or no-retirees who settle in smaller and cheaper accommodation or leave a big city for a coastal or rural area.

Second possibility: the loan relay associated with a classic real estate loan. The latter will then finance the purchase of a property worth more than the current accommodation. This is the most common form of bridging loan, with a dedicated short-term credit (the relay), and long-term credit.

A bridging loan associated with a classic credit

A bridging loan associated with a classic credit

A couple bought an apartment 220,000 in 2015: they took out a loan of 180,000 at 2.20%: with borrower insurance, their monthly payments are 829.

Since then, the value of the property has increased to 250,000 and their wages have increased (3,000 per month each). They target a house with a value of 350,000, which represents an operation of 376,000 with notary fees, which will also be added to the warranty costs. (2080).

The broker Good Credit made a simulation of a relay loan for this couple. The bank grants a bridging loan at 1.40% of 64810: this is the value of the apartment for sale 250000 minus the credit remaining to be reimbursed ( 157413), funded at 70%.

This couple, therefore, signs a bridge loan of 64810 over 1 year and a classic bank loan, at 1.20% over 20 years, of 313311 to finance the purchase of their house. Monthly payment before resale: 923.52. A monthly payment that integrates borrower insurance for new loans and the interest of the relay.

When they manage to sell their apartment, the initial loan, as well as the bridging loan, will be settled. This couple will have 27,777 of surplus, which can then be saved or used for work. After the resale, only the classic bank loan will remain, the monthly payments of which will be 1,564.98.

Student loan: how to finance your studies at less than 1%

After taking into account the possible aids, students on average need an additional 840 euros per month to live. In the absence of savings or sufficient income, it is difficult to ignore the student loan to continue his education. What steps does it require? What rates do banks apply? Can the banker control the use of credit?

In a few weeks, the students will be back. If the registration fees for the university remain within the reach of most students – the fees for this year are $ 170 for license registrations, special training Or even access to private establishments are much more expensive, like business schools, which over the entire schooling period can amount to more than 40 $ 000.

Under these conditions and without a financial boost

Under these conditions and without a financial boost

It can be difficult to access the course of your choice. Especially since it is not the only source of expense inherent in student life.

All charges combined – accommodation, food, equipment or the contribution to student life which has replaced social security costs for the past year – and after deduction of the aid received – grants and housing aid in particular -, the remainder to be paid for students averages 838 euros per month, according to the National Union of Students of France (UNEF). An amount that cannot always be taken care of by the family.

According to the latest barometer devoted to family support, the French pay their average adult children 184 euros monthly (1). Similarly, student or seasonal jobs are rarely enough to make up the difference. They report on average less than 200 euros per month, according to the Good Finance Observatory of new consumption published in early July (2).

As a result, many students push the door of their bank branch to make a credit. According to the study carried out in September 2018 by E-Money, 4 young people out of 10 take out a student loan of 10,000,000 euros on average (3). As a loyalty issue, banks in principle welcome this clientele with open arms. Not very profitable at first, the students of today will indeed be those who, tomorrow, will apply for a mortgage or will invest their savings.

A cash credit with no income obligation

A cash credit with no income obligation

In fact, banking establishments are not reluctant to grant loans of several tens of thousands of euros, under very favorable conditions. In this period during which students prepare for their return, the brands are even competing fiercely over the student loan with promotional offers.

As proof, after a review of the main banking establishments, the proposed call rates vary from 0.80% to 1% of fixed APR, excluding optional insurance. These low-interest rates most often go hand in hand with free application fees. Debt conditions, therefore, appear to be really attractive given the profile of borrowers The latter generally do not have a regular income.

However, banks protect themselves from the risk of non-repayment by requesting a parental deposit. In other words, the parents agree to reimburse instead of their child if the child cannot cope with the deadlines. In theory, the guarantor’s role can also be assumed by another close relative (brother, sister, uncle and aunt …) if the bank accepts it.

In addition, the rates proposed to the student clientele also seem very favorable in view of the nature of this loan. The student loan is indeed an unallocated credit, which therefore does not need to justify the use of funds. Young people can use this money as they see fit: pay for university, buy a car, a computer or finance the rental of accommodation. Usually, banks reserve their best offers rather than borrowers proving that the loan will be used for a precise and defined project, like the purchase of a vehicle or the r Realization of works.

Conditions of eligibility for student loans

bank

To obtain a student loan, the young adult must still meet a few conditions. Logically, he must have student status! That is to say being enrolled in a higher education establishment, whatever it is: major schools, BTS, IUT, universities. Besides, the banks will ask the student for documents attesting to his registration: photocopy of the student card or certificate of education.

Another constraint, the candidate for the loan must be of age. However, some banks, such as Good Lender, extend accessibility to minors aged at least 16 years. In addition, although there is no age to start or resume studies, credit institutions generally reserve the student loan for less than 30 years. In principle, after 27 or 28 years, it becomes even rare to be offered this type of financing

If the banks like the students, they can, however, be attentive to the choice of the course and the establishment. Some thus confine funding to pupils enrolled in structures recognized by the French Ministry of Education. Similarly, students of large schools or selective subsidiaries often benefit from more advantageous borrowing conditions. In order to attract the desired profiles to them, banks can also establish partnerships with certain establishments, such as business or engineering schools. So do not be surprised if your banker questions you about your training and your motivations!

If this is not an entirely separate condition, the bank can also encourage the student to open a bank account in addition to his loan. In this case, you must also take into account any associated bank charges. But also concerning them, the banks are generous towards this young clientele, sometimes going so far as to exempt them from bank card contributions and account maintenance fees.

Renewable credit: points of attention before subscribing

Trend reversal. After 10 years of almost continuous decline, the production of renewable credit has returned to growth, by almost 2% over one year. How to explain this revival for a product, omnipresent in the files of over-indebtedness, of which one thought the image durably corroded? The E-Money over-indebtedness prevention association sees, in this recourse to credit, the consequence of a drop in purchasing power.

At Good Finance, on the other hand, it is estimated that financial institutions have done a lot of evolution work, following the tightening of the legislation governing renewable credit with the so-called Lagarde (2010) and Hamon laws.

Pay attention to the cost of use!

Pay attention to the cost of use!

Pay ten times without fees ”. It is still often through this type of enticing promise that consumers get a foothold in the world of renewable credit. Free payment facilities remain one of the main arguments – along with loyalty programs – put forward by retail chains to sell their credit cards, whether they are private or not.

The first thing to do before succumbing is to check the reality of this promise of free, taking the time to detail the specific conditions of the offer, which are not to be not always very clear, laments project manager at E-Money. Above all, it should be remembered that this free credit remains a credit, the cost of which is simply covered by the brand for marketing purposes. This will not be the case for subsequent uses of the credit card which, themselves, can be very expensive.

A rate of up to 21%. Reminder indeed: the maximum authorized rate (also called wear rate) on loans of an amount less than 3,000 dollars – depreciable and renewable credits combined – is 21.2% in the 1st quarter of 2019. This figure is calculated by the Good Finance by increasing by one third the average of the rates actually charged by the banks. Which places this average around 16%.

Another point of vigilance: additional costs. Some brands add paid insurance, for example against theft or loss of means of payment, which are often not used for much, warns Maxime Pickup. Again, care must be taken to be aware of the terms of the credit, even a posteriori, and not to hesitate to exercise your right of withdrawal, which runs for 14 days from acceptance of the loan offer.

Be careful not to rush!

Be careful not to rush!

According to Good Finance, 55% of revolving loans are now taken out in bank branches, and less and less at points of sale. Good news for CLCV, which considers that the positive presentation of this type of credit in stores remains a problem. We are announcing that we will “ make your life easier ” with a staggered payment at no cost.

But for that, you have to take the loyalty card with renewable credit, develop Olivier Gayraud, lawyer within the consumer association. And later, the same store will call you back, remembering that you have a “ money reserve ” available.

Avoid being surprised in store

And if in an agency, the banker will take the time to check the creditworthiness of the borrower, at the point of sale, it is often more complicated, says Olivier Gayraud. Whenever possible, it is better to avoid being surprised in the store, and take the time to compare the different ways to finance your purchase, in particular by going to your bank.

Pay attention to the type of purchase!

Pay attention to the type of purchase!

Good Finance’s marketing director recognizes this: “ The idea is not to buy credit food, or a car with a renewable credit (). Financing current expenses in this way, in particular, is the door open to the worst trouble. This is why some large retailers limit the possible uses of their bank cards, in particular by prohibiting the use of the credit function for food shopping.

Personal loan: those borrowers who pay very dearly for low rates

Interest rates are reaching historically low levels. A boon for individuals who benefit from real estate loans at very advantageous conditions. On the other hand, the situation is very different for consumer credit. But why are personal loans so expensive?

With the current interest rates, the context is favorable for credit. A phrase that recurs frequently in the economic and financial press. But, on closer inspection, not all borrowers benefit. The big winners, on the other hand, are the people who bought housing credit.

For real estate loans over 20 years and more

For real estate loans over 20 years and more

The wears rate – a true barometer of borrowing conditions – fell by 36% in 5 years, going from 4.3% at the end of 2015 to 2, 77% for the 4th quarter of 2019. Calculated on the basis of the average interest rates applied by retailers, increased by a third, it corresponds to the maximum rate that a bank can apply.

In contrast, customers taking out small amounts of loans (such as bank overdrafts) are largely overlooked by low rates. Far from having fallen, borrowing rates, measured by wear and tear, have on the contrary increased in recent years. Whereas at the end of 2015 the loan wear rate of less than 3,000 dollars was 19.97%, it now exceeds 21%, an increase of 5% in 5 years.

Between these two extremes, the more consequent personal loans. For credits from 3,000 to 6,000 dollars, the banks reduced their rate by 10% in 5 years and by 27% in the case of larger loans. These borrowers therefore effectively took advantage of the favorable monetary context, but to a lesser extent than those having contracted a mortgage. So much for the observation. But how to explain these so different evolutions according to the type of loan?

Management fees that weigh more on consumer credit

Management fees that weigh more on consumer credit

According to the French Association of Financial Societies (ASF) which federates some 280 financial institutions and represents 50% of the consumer credit market to these differences, r Would result from the very construction of the interest rate. Whether it is a real estate loan or a personal loan, the proposed rate essentially depends on three parameters.

The cost of refinancing first of all, which is a function of the financial engineering developed by the bank to obtain liquidity. For example, members of the ASF are not collectors of bank deposits.

They must fetch the resource either internally via their parent company, or on the markets, illustrates, delegate general of ASF. In recent years, under the impetus of the monetary policy of the dollar plan Central Bank, it is this cost that has fallen.

The second determinant of the interest rate

Second determinant of the interest rate

the cost of risk, that is to say, the probability that the borrower will default. It is measured individually, through the assessment of the borrower’s financial situation (his score), but also collectively, on the scale of the bank’s portfolio. The cost of risk is higher in consumer credit, underlines Good Finance.

For a real estate loan, the lender asks the client for borrower insurance and a guarantee in the form of a bond or mortgage. So the probability of non-reimbursement is low. This factor explains why the rate of a home loan is, in principle, lower than that of a home loan. On the other hand, it does not explain their different evolution, insofar as there is no reason why households are less solvent today than in the past.