Buying back credit is an important decision that should not be overlooked because a lot of money is at stake. The market for buying back credit has however become very prosperous and many banks offer very attractive offers. So how do you find the most reliable organization and what are the pitfalls to avoid?
How to choose a bank?
There are very many financial organizations offering loan repurchase today, whether it be an online bank or a traditional financial institute. You must first know that the person is not obliged to perform the consolidation in his current bank, he can see elsewhere. Before choosing an institution, it must first consult 3 or 4 banks to see the most attractive offers. Internet comparators can be of great help. However, it should be noted that the banks offering the best rates are not the most reliable. You have to see the details before you rush in and calculate the total cost of credit.
Take into account other costs
The majority of people limit themselves to studying the monthly payment and the rate. However, it should be noted that there are other costs. First there are the compulsory costs such as administrative costs, death, invalidity and temporary incapacity for work insurance. There are also early redemption allowances. Then there are the optional fees which may or may not be subject to the lender depending on the situation. The lender may be subject to unemployment insurance, brokerage fees or guarantee fees. These fees represent only a small percentage of the total cost of borrowing, however, the figure may be significant.
Avoid those who offer variable rates
Currently, the bank may initially offer a very attractive rate to attract the customer. But a variable rate subscription gives him the right to increase the rate at any time. In addition, there are many banks that increase the rate while keeping the repayment tenure. When the person calculates the total loan rate, they may notice a big difference. To find the right bank, therefore, the person can consult the opinion of their loved ones and benefit from their experiences. It may also call on a broker, as available on the site, the latter’s remuneration must be taken into account.