The degree of satisfaction of Italians for credit brokers

 

What is the degree of satisfaction of Italians towards credit brokers who operate along the peninsula acting as a link between the credit institution and consumers? To make it known was a survey conducted in collaboration between Viloan, a well-known association for consumer protection, and Astro Finance, one of the largest credit brokerage companies in our country.

Financing that best suits your needs

Financing that best suits your needs

The final result saw a fairly positive result emerge for a professional figure that is absolutely essential in the negotiation phase for the granting of loans, as it is activated with all its professionalism to put the consumer in the condition to be able to evaluate in the best possible way the financing that best suits your needs.

This is an extremely interesting study, the first of this kind, which should mark the beginning of a lasting collaboration between the proponents, in order to put in place a path that can increase the level of satisfaction from consumers and from protect them in a complete manner in the phase preceding the disbursement of credit by the bank or credit institution.

The final judgment that emerged from the report sees the figure of the credit broker as rewarded, seen as a subject that actively activates itself to be able to meet the real needs of families and businesses, finally managing to direct them towards mortgages and personal loans at advantageous rates. Quite surprising is the data concerning word of mouth, which turned out to be the instrument through which the vast majority of respondents decided to contact the promoter.

Credit broker

Credit broker

As many as 80% decided to rely on a particular credit broker precisely because they were pushed to do so by an acquaintance who had evidently enjoyed their professionalism during a previous negotiation. Conversely, it is also surprising the percentage of those who declare that they have decided to do so after seeing a commercial, with just 3% of those interviewed ready to declare that they have opted for this solution after viewing an advertisement. It is usually however the agencies that put promoter and client in contact, 54.7%, against 39.3% who make use of the opinion of a common friend instead.

Among the most appreciated services offered by the financial consultant, the quality of the information received is particularly evident, judged to be very comprehensive by a large number of interviewees. A judgment, that of satisfaction with the promoter, which is also used by the banking institutions, which succeed in increasing the degree of customer satisfaction thanks to the work put in place by the credit broker.

Given the difficult relationship between the Italians and the credit system as a whole, the figure of the promoter therefore seems to come out very well from the survey conducted by Viloan and Astro Finance, confirming the fact that professionalism is always paying in relations with consumers.

Italians, at least 6 years to repay a small loan

If we ask for a loan today, do we really know we will be able to repay it at this time? 

If we ask for a loan today, do we really know we will be able to repay it at this time? T

To put the accounts in our pockets and clarify how many months are actually needed to give back to banks or credit institutions the sums we have requested is the Supermoney Observatory, which took as a sample the loan applications received by the comparison portal from March to September 2013. It turns out that it takes at least six years to “break free” from the weight of the loan.

It is not so in all of Italy, attention: that of the six years is only an average. Lombardy is the region where the loan is repaid faster, in about five and a half years, with an average of 68.61 months. The slowest to repay are the Sardinian debtors, which take up to 76 months, just under 6 and a half years. We are talking, for all regions, of medium-sized loans, between $ 17,000 and $ 18,000.

A positive result is given by looking at the differences between the surveys made at different times of the year, in which it emerges that if today the average loan repayment is 71.20 months, in March it was higher, 72.87 months. A figure that fell to 70.49 months in September. It is a signal that could perhaps give hope for a glimmer of economic recovery, because the debts are paid with the increase of the economic availability. But it is not said: because maybe new debts are contracted, of lower entity and of shorter duration in terms of time, to pay the old ones. To understand if it is good news or not, in short, we must wait to see what will happen in the coming months.

The definition of the duration of the loan is an element to be taken into consideration at the time of the request, in order not to risk falling into over-indebtedness and being literally overwhelmed by debts that are discovered too late that you are not able to pay. It is unfortunately a common situation, which perhaps leads to too much carelessness to contract other debts to pay the interests of the old, in an endless spiral. And it is a phenomenon that too often goes hand in hand with wear.

It is observed that this happens above all in the last few years: the economic crisis that began now in 2008 is lasting for a very long time, and pushes to defer and defer the exhaustion of old debts indefinitely.

It also happens because along with the production and labor crisis there is still a serious financial squeeze, less money circulates around. Both because credit institutions provide less loans than in the past, and because public bodies very often do not pay their suppliers according to schedule. The same happens with credits on overpayment fees, which are paid in very long times.

But if the situation is just described, we need to change our approach to credit.

In order not to run the risk of turning into a spiral with no way out – or worse, falling into the hands of moneylenders – it is necessary to make the right calculations of the repayment times of the requested loans , and to do this you need a financial education base . Which can be obtained by reading the portals like ours, which in the guides help you to orient yourself in this complex sector or by following the campaigns promoted by consumer associations.

You need to be realistic and honest with yourself, and sign only repayment plans likely.

You need to be realistic and honest with yourself, and sign only repayment plans likely.

When you are about to sign up for a new loan, you need to arm yourself with patience (and a good magnifying glass) and read all the documentation delivered carefully and carefully. It is a right we have, and we must demand that complete documentation be given to us, if this does not happen. The document to be requested, according to the law, is the one called “Basic European information on consumer credit”, which explains in the simplest possible way what the conditions applied at that moment are.

Another thing that is often overlooked, but which has serious consequences, is the non-payment of installments. If, even for a single installment, difficulties are expected in meeting the deadlines, never put your head in the sand. You must immediately contact the bank or financial institution that provided you with the loan, to find alternative solutions such as the payment in installments or the lengthening of the repayment plan.

Remember also that there are forms of protection to cover unpredictable events , such as the loss of income

When we talk about forms of protection to cover unforeseeable events , such as the loss of income, we should not think about too complicated and expensive insurance formulas. These are in fact policies normally used for particular forms of loan without guarantee, such as the sale of the fifth of the pension or microcredit. This type of insurance is designed to cover the risk that those who have a debt no longer (or have a reduced amount) earned income from resignation, bankruptcy, dismissal, solidarity contracts or redundancy payments.

Contrary to what one might think, then, it is a measure well seen by the banks, because the beneficiary is precisely the credit institution itself which thus does not risk seeing the debt not repaid and having to undertake the redemption process.

Another important aspect: the insurance can be activated at any time – therefore not necessarily when the loan is underwritten – and will cover the amount solely of the debt that remains to be paid, less guarantees and interest.

Private lending money

 

Borrowing money privately and getting an instant loan without a bank, is that possible?

Borrowing money privately and getting an instant loan without a bank, is that possible?

Money – what’s behind this name anyway?
The Internet platform “Money” offers the possibility to borrow from private investors as a private individual in order to use this money to finance their own projects. Thus, the platform beckons with the opportunity to bypass the bank and usually get even more favorable terms.
For settlement, Money works together with a “real” partner bank. The latter withdraws the agreed installments from the borrower’s account for repayment of the loan and pays them out to the investors. Also Money gets a small commission for the mediation service. Payment of this commission is also covered by the monthly installment.

Money loan expiration – How is the Money loan brokered exactly?

Money loan expiration - How is the Money loan brokered exactly?a

After logging in, a description of the personal loan project will be posted online. Submitting this request is free, without obligation and thus risk-free, which could be confirmed by “financial test”. The information required for this purpose is limited to the desired loan amount and the intended use. Personal information, on the other hand, will not be published, thereby preserving anonymity  investors.
Money, on the other hand, checks each prospective borrower for his identity and credit rating. The result of this check is visible next to the “Financial Report” with information on the person’s in and out as “credit information” for private investors on the description page. The online loan portal assigns each borrower a credit-worthy, so-called “Money score” and sets on the basis of an interest rate for the loan project.
After this check, private investors can already sign up to finance the desired loan. Usually, within just a few days, enough investors agree to finance a portion of the desired loan on the basis of the loan project description. The investor then receives a message via e-mail. With the signature on the credit agreement, the financing will be finally “waterproof”.

What requirements do I have to bring as a borrower at Money?

What requirements do I have to bring as a borrower at Money?

Basically, anyone can take out a loan for their very own project at Money – both private individuals who want to rebuild their home, as well as self-employed or StartUps who need a financial basis.
To ensure that private investors get their money back, Money conducts a credit check on every borrower, the result of which must be positive.

Credit requirements at Money

Credit requirements at Money

  • At least 18 years old
  • Residence in Germany
  • German bank account
  • regular income or other collateral
  • no credit for hard negative characteristics in the Credit bureau (insolvency, affidavit, open titled claims or arrest warrant)

How do I increase my chances of getting a personal loan from Money?

How do I increase my chances of getting a personal loan from Money?

The more personal information you reveal about yourself and your intended project, the higher the likelihood that private investors will trust credit. After all, they have a choice who they want to entrust their money to. It is therefore of great advantage, a small self-description and a few words about the planned project and if possible also upload a picture of yourself. In this description, the borrower should be as sympathetic, reliable and repayable to the readers act. However, as the mass of investors is broad and diverse, the description should nevertheless remain more general.
Also, a good Money score, ie a good credit rating, creates trust on the part of investors in the borrower, as well as personal information about their own work. Particularly good are reliable and long-term employment relationships.

The modern banking system; born in Naples with the credit faith

Naples, in the sixteenth century, was rightly considered the second European city after Paris alone. It is well known that the Neapolitan roads were overflowing with people from all walks of life and origins. Naples attracted writers, artists, poets and philosophers, as well as numerous merchants. The city, also thanks to its port, was a nerve center for trade in the old continent and inevitably the need arose from merchants and shopkeepers to simplify the management of the flow of money.

It is in this historical context that the various mountains of piety, established by noblemen to counter the spreading phenomenon of usury, turned into real public stalls. These banks were not limited to the issue of pallets against money deposits but established a special title, the credit faith. Today we can say that the faith of credit has been the basis for the birth of the modern banking system but, let’s see together what it is.

The credit claim was a deposit made at a public desk and could be transferred to a third person by endorsement. The turn often and willingly contained special clauses that could suspend payment if the beneficiary had not complied with certain conditions.

The subjects of the Credit Faith

The subjects of the Credit Faith

Numerous subjects intervened in the issuance of a credit faith. The historian and writer Alberto Trivero Rivera explains the Faith of Credit.

“The client showed up at the cash desk of the Bank where the cashier accepted the cash that was paid to him, counting it and recording the details of the payment in the tear (first note), in the book of special income and in that of general income. this last book to the believer who filled out the credit claim based on the amount paid and the conditions indicated by the depositor.

The credit faith thus compiled returned to the cashier, who specified and signed under his own hand the amount of the deposited sum. bancale was then submitted to the aid of the faithful, who placed on a folded and fixed flap a stamp with the emblem of the issuing counter and then returned the credit to the cashier, who affixed his signature in correspondence of the dry stamp, specifying also the number of the page of the major book in which the account of the customer was reported, and finally delivered to the customer the credit faith. The believer also recorded the amount of the credit faith issued on a second general income book.

This duplication of registration was aimed at making the daily comparison easier, in addition to making the entire operation more secure and guaranteed; operation carried out at the office called wheel, which were given at the end of the day the two books of general revenues on the basis of which the major book of creditors was updated, where there was a list and details of the accounts opened by depositors “.

Historical evolution of credit faith

Historical evolution of credit faith

This particular and unusual mix of roles might have seemed complex and cumbersome, but in reality it served to simplify the feedback work, as well as to update daily what, without the slightest doubt, can be considered a current personal current account.

The credit lines are then very similar to the current bank drafts or bank drafts. They offered a valid alternative to paper money as the title was transferable in an almost unlimited way and accepted by any public bank.

The credit faith began to circulate in Italy and in particular in Southern Italy, first as the exclusive title of the Neapolitan Public Banks, then as the title of the Bankate and the Astro bank, which over time acquired the privilege of exclusive issuance. After the unification of Italy, credit lines continued to be widely used. They disappeared during the fascist period but, in the meantime, they had laid the foundations of the national banking system.

The loan repayment plan: the guide

Whenever you go to the bank to take out a loan or a loan, it is very important that the client has a clear vision of what the repayment plan foresees, also known as amortization plan. The latter consists of a debt repayment installment program, which breaks down into principal and interest, as well as specifying the residual capital due after each payment.

WHAT IS THE DEPRECIATION PLAN?

WHAT IS THE DEPRECIATION PLAN?

The video below allows us to shed light on the amortization plan, in particular we provide a definition of what the repayment plan is as it is intended by the banks.

WHAT IS THE DEPRECIATION PLAN REQUIRED?

WHAT IS THE DEPRECIATION PLAN REQUIRED?

The amortization plan is drawn up at the time of the subscription of the loan and is a very important document that allows the borrower to know what the conditions are, such as the deadlines and the amount of the installments, which are the payments to be respected and which and the residual debt.

The debt must be paid monthly (in some cases even quarterly or semi-annually) and the amount is debited to the current account indicated by the applicant; this sum includes several sub-items, including the following:

  • the principal amount, ie the amount of the loan repaid;
  • the interest portion, ie the interest accrued for the period of time considered.

After each payment, the amount of the residual debt is reduced by the portion relating to the principal amount, while the interest accrued, in the case of a mortgage loan, may be used at the time of the tax return, in order to benefit from the deduction on interest for the first home.

The following video allows you to specify not only the various types of depreciation, but also the features and constituent elements.

HOW MANY TYPES OF DEPRECIATION PLAN EXIST?

HOW MANY TYPES OF DEPRECIATION PLAN EXIST?

Before subscribing to a loan or mortgage, it is also important to understand which type of amortization plan is applied. For example, if the chosen loan had a variable rate, the amortization plan would only play an indicative role, as the interest rate would be subject to continuous changes, therefore also the installments.

There are different types of amortization plans, distinguished by the composition of the installments. In Italy, the most widespread amortization plan is that repaid to the French : in this case the installment consists of an increasing share of capital and a decreasing interest rate. In practice, at the beginning of the repayment program, interest is mainly paid and the capital is gradually repaid, the amount of the latter decreases resulting in an increase in the principal amount.

The amortization plan with Italian repayment is characterized by constant principal installments: in fact, this reimbursement requires each depreciation charge to be constant and paid in arrears.

The amortization plan with deferred installments consists of paying the installments at the end of the reference period, thus becoming relative to the previous period.

Instead, in the amortization plan with advance installments, payment is made at the beginning of each reference period.

There is another type of amortization plan, rather particular, called American. This repayment consists of a repayment program with two-rate accumulation installments and requires the debtor to repay the sum disbursed with annual and constant payments (ie accumulation shares) within a predetermined number of years.

In this case there are two interest rates: the technical rate of remuneration and the rate for the operation of capital formation. The first is linked to the execution of the global repayment transaction with periodic interests and the establishment of a capital, the second serves to capitalize the shares.

In any case, the American amortization plan is not widely used in Italy.

The German amortization plan resembles the French one for some characteristics, as it provides for constant installments and exclusion of the first. In this program, the interest rate is paid in advance, while the principal is paid in arrears. The initial installment that must be repaid immediately immediately after the signing of the loan contract consists of only interest and has a lower amount than the subsequent ones, which instead are constant and in which the capital and principal is included, always paid in advance in respect of at the maturation period.

One of the most complex amortization plans is that of offset financing. This amortization plan is associated with a current account which provides for the deduction of the balance from the residual capital on which interest is calculated.

To clarify the idea regarding this latter type of amortization plan, reference is made to an example taken from the prestitionline.it website.

If you have a loan with residual capital of $ 70,000 and you have the possibility of $ 20,000 in the current account associated with the loan, the interest would be calculated on the residual capital net of availability in the account, then on a residual capital of $ 50,000.

WHAT ARE THE CHARACTERISTICS OF THE DEPRECIATION PLAN? FOCUS ON PRE-AMOUNTING

WHAT ARE THE CHARACTERISTICS OF THE DEPRECIATION PLAN? FOCUS ON PRE-AMOUNTING

All types of amortization plan provide for common features, first of all the initial period, called pre-amortization, during which interest is not repaid and not capital.

The same interest rate as the actual loan is applied to the pre-amortization period; this rate is added to the depreciation and from this derives a slight increase in the total repayment duration.

The duration of the pre-amortization varies from institution to institution and depends on the internal mechanisms of supplying the money.

Loans for poor families in Calabria

The Calabria region, like the other regions of the national territory, is affected by the difficulty of accessing credit which many companies and individual citizens are encountering. For this reason the regional authority has decided to allocate a fund to provide loans to families in difficulty, with subsidized rates and long deadlines for return. See tnrovers.com

The project is characterized by social aims: the objective is in fact to support disadvantaged people in the purchase of primary goods and necessary expenses, such as those related to education, health and the payment of mortgages and rents. Unlike traditional loans, however, no special guarantees will be required, as is the case with microcredit loans and the funds will therefore also be accessible to those who do not have a fixed salary (as in the case of temporary workers) and those who have been subjected to of reports to the CRIF (the credit risk bank, also known as the registry of the “bad payers”).

Now let’s see in detail the characteristics of the loan.

Now let

The Calabria Region, in collaboration with the European Social Fund, has decided to allocate a total of twenty million USD for this project, most likely destined to be increased upon exhaustion (a deadline for the submission of requests to date is therefore not foreseen).

Each applicant may request the maximum amount of ten thousand USD which will be returned at more affordable rates than what is offered by the market at this time.

The requirements for access

The requirements for access

All adults, European or non-EU citizens, with residence for at least three years in Calabria at the time of the request can access the funds. For non-EU citizens, a residence card or a residence permit with expiry date after the end of the loan is required, in addition to a job (dependent or independent).

It is necessary to have a gross family income that respects the parameters shown in the table below (according to what can be demonstrated by the last tax return)

composition of the family unit

(number of people)

total income less than USD

1 17,500
2 22,500
3 25,000
4 27,500
5 30,000
6 (and above) 32,500

The applicant must also demonstrate that he can meet the repayment of the loan through work (even if not yet in progress) or through other certifiable income. The loan is incompatible with other similar loans and with situations of absolute inability to repay.

Eligible expenses

Eligible expenses

Housing costs, including renovations, the search for a new home following an eviction, payment of arrears rents and the costs for connection of utilities but also expenses for the services are considered eligible for loan purposes. appliances considered essential, such as refrigerators or washing machines.

The funds can also be used for the expenses related to particular events such as the birth or adoption of a child, the illness or death of a family member, for the medical expenses of the members of the family nucleus and to pay off the debts incurred with banks or financial institutions to support the admitted expenses.

Expenses related to education and training for job reintegration are also accepted, including any loans signed for the same purposes.

The methods of presentation of the application and the necessary documents

The methods of presentation of the application and the necessary documents

The application must be sent by registered mail with the forms provided by the notice (you can find them at this address, together with the updated text of the announcement). The following documents must also be attached:

  • identity card of the applicant
  • tax code of the applicant and of all the members of the household
  • residence permit for non-EU citizens
  • documentation of expenses incurred or to be incurred (eg invoices, estimates or financing in progress)
  • tax returns (Unico, 730 or CUD)
  • a declaration attesting to the composition of the family unit, residence in Calabria and the absence of other similar loans (but refer to the complete document for details and the text of the request).

The loan is repaid in a maximum time of 60 months (five years) through constant monthly installments, with an interest rate of 1%.

Loans from banks to households and businesses fell in October

The figures for the month of October were expected, the first full month following the EB’s liquidity auction, precisely in order to verify the effect of the same on the credit dynamics of our country. However, the result that seems to come from the effort of the continental central bank is much lower than expected, if only it is thought that loans to the private sector by Italian banks continued to contract. The only reason for consolation, quite partial, is that the negative trend seems to progressively lose its strength, at least based on the Bank of Italy surveys.

Credit to families

Credit to families

As far as the private sector is concerned, loans fell 2.1% on an annual basis, a correct figure so as to take into account securitisations and other receivables that after being transferred were written off from the financial statements. The contraction, however, stands at 2.3% if the September figure is taken as a basis. The contraction recorded by credit to families was more contained, which fell by 0.6 per cent over the last year, while they showed a decrease of 0.7% on a monthly basis. However, the figures for non-financial companies are more negative, down on an annual basis, by 3.1 per cent and 3.3 per cent compared to the previous month.

With regard to funding, in October the annual growth rate of private sector deposits reached 2.3 percent, while in September the rise reached 3.6 percent. Very negative instead the figure of bond funding, which must be included in the bonds held by the banking system, actually dropped by 17.4 percent compared to twelve months earlier, and 14.2 percent against the growing settembre.Ancora bad loans, with a figure that touched +19.3 percent on an annual basis, 19.9 percent compared to the previous month.

Mortgage loans

Mortgage loans

On the other hand, interest rates on mortgage loans disbursed to households in October fell slightly, including ancillary costs, with a figure of 3.18 per cent, compared to 3.27 per cent in the previous month. With regard to new consumer credit disbursements, the new survey decreased from 9.24% in September to 8.97%. The same trend for interest rates relating to new loans to non-financial companies with an amount of up to one million euro, which reached 3.54 per cent, against 3.60 per cent in September. Above the million threshold, the rate is 2.16 percent, compared to 2.43 in the previous month. Finally, the interest rates on total outstanding deposits remained at 0.79 per cent, the same as in September.

As can be understood from the data, the effort put in place by Mario Draghi, in an attempt to supply petrol to the engine of recovery by inserting resources in the banking system with the aim of transferring it to families and businesses, has therefore not yielded great results.

Loan rejection despite good credit bureau – smart financing

The credit bureau is not always guilty if a Loan rejection is on the table despite good credit bureau. Even if most borrowers think so. There are several other factors that play an important role in taking credit. If these do not agree, it can also come to a rejection.

What are these factors and how they optimally intermesh in the best case, we would like to explain here.

Good credit bureau, nonetheless rejected – solutions

  • A credit for all cases, which always fits everyone, does not exist
  • Use the attached credit comparison to avoid failures
  • Apply for your loan – initially without obligation – but with immediate approval
  • Choose a loan offer that suits your specifications

Loan rejection despite good credit bureau – overall picture counts

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In the end, it can be small things that trigger a Loan rejection despite good credit bureau. As a consumer, you always ask yourself what you did wrong.

But maybe you yourself are not at fault for the rejection. But the fact that all offered factors and collateral just do not fit the loan. For example, large loans with a long maturity call for a very different hedge than small consumer loans that can be taken out by the dealer around the corner. All this and much more must be taken into account when borrowing. But what factors can lead now to a Loan rejection despite good credit bureau?

Income

Income

The income is very often the crucial sticking point in a Loan rejection. It is usually not high enough to pay the loan. It does not depend on the mere amount of the wage. It is also important how many dependent persons the borrower has to look after.

A family man with two children must have significantly more income than a single without maintenance obligations. Therefore, it happens very often that the income for the Loan rejection is responsible despite good credit bureau.

Other loans and financial obligations

Other loans and financial obligations

A loan is not a loan – that’s what many consumers think. And as long as all liabilities are paid on time, this may be true. But there are banks that are bothered by this and are explicitly looking for borrowers who do not need to provide additional loans.

The employment contract

The employment contract

If there is no permanent employment, in many cases the loan application is not approved. Most banks would like to have a minimum of three months in the application process. Some also want six months or even a whole year. In the best case one asks this in advance, so that it does not come to a Loan rejection despite good credit bureau.

By the way: In the case of fixed-term employment contracts, care must be taken that repayment of the loan takes place within the time limit.

For micro loans this should be feasible.

Too many loan requests

Too many loan requests

Finding a suitable loan is not always easy. Too many providers vie for the favor of borrowers. Therefore, many consumers ask several banks. They want to take advantage of the best offer and therefore compare it in advance.

When inquiries but also always a query of credit bureau made. This leaves traces and can lead to a Loan rejection despite good credit bureau. Because the banks see the requests and do not always respond positively. Therefore, it is recommended to use a comparison calculator to find a suitable loan.

This does not touch the credit bureau of the seeker, so that no traces are left.

Lack of collateral

Lack of collateral

Not everyone is thrilled when the bank proposes a residual debt insurance or term life insurance to the credit. Both hedges cost a lot of money and only bring something if the borrower really gets into trouble.

Therefore, many try to avoid these safeguards. Banks can not dictate that such insurance be taken out to the credit.

However, you can reject the loan application if there is no hedge. And then it can come to a Loan rejection despite good credit bureau, without the borrower must have profound reasons in its economic position for it.

Credit despite education

When you’re in education, many think you can not get a loan credit. This is not true, however, as apprentices can apply for a loan from a bank. Whether or not this is then approved by the BA Word depends on various factors, which must be taken into account by the applicant, who is in the training.

The amount of the loan

The amount of the loan

What is the sum of the loan, which is granted to the trainee by the bank, depends entirely on how high the remuneration during the training fails. From the creditworthiness of the trainee then the fixed costs are deducted and on the basis of what remains at the end, decided on the amount of the loan and the amount of the installments to be paid.

Since a trainee usually does not earn as much as a worker already integrated into the labor market, one can not expect too high sums.

A guarantor for security

A guarantor for security

Banks only grant loans if they can be sure that the loan granted can be repaid reliably and at the rates previously agreed. This not only has the background of the low salary of the trainee, compared to an already trained worker, but also the safety of the training place.

As the bank can not be sure that the trainee will retain his apprenticeship or possibly opt for another apprenticeship, this will require a guarantor. Because with the loss or the change of the training place, also the creditworthiness of the borrower changes and he can not repay the rates in certain cases to the bank.

Therefore, trainees who request a loan from a bank often find that the bank requires a guarantor. He will be held guilty by his signature and must pay for the entire sum, including interest, if the trainee does not pay the installments as agreed.

The term of the loan

The term of the loan

Trainees should also be aware that a bank may only grant the loan for the period of training. This means that the installments that have to be repaid are chosen to be fully paid off upon completion of the training. This has the background that it is never completely certain that the apprentice will also be taken on by the employer after his training or find a job directly.

Accordingly, it also concludes that the loan can not be particularly high, as it could not be fully repaid in a short term.

Use of the loan

Use of the loan

Whether a loan is granted to apprentices depends, among other things, on what the loan should be used for. Banks do not like it when you apply for a loan to party or care for your personal pleasure. As a rule, a loan is only granted to apprentices if there is an important reason and the trainee wants to finance a meaningful object with it.

Further requirements

Further requirements

For the trainee, the same conditions apply as for other people who want to take out a loan from a bank. Important is a good credit rating, seriousness and the credit bureau information. The best way to be a trainee is debt-free, or can prove that you have paid off the debt and still has enough credit available to pay off the rates of the borrowed credit.

Under these conditions, and with a guarantor willing to blame himself, trainees can also take out a loan.

5 tips on credit despite training

5 tips on credit despite training

1. Calculate exact loan amount

The basis should always be the exact calculation of the required capital. An unnecessarily high sum is in turn associated with a higher burden and possibly also with a longer duration. Since apprentices have access to a limited monthly budget, only amounts between 1,000 and 3,000 euros are usually eligible.

Unnecessary, not necessarily required financial investments should therefore be postponed so that the shortest possible duration can be maintained. This is usually between 12 and 36 months. The shorter the term, the higher the monthly burden can be. However, with a speedy repayment of a possible debt trap for the loan for trainees can be escaped.

2. Compare according to purpose

For what purpose should the financial resources be used? It is advisable, as long as you are in training, to have the money for a purposeful purpose. Larger investments can thus be best handled after training. Just as lenders can see that. Thus, the chance of acceptance is much higher for a trainee supporting project. These include, for example, the purchase of a vehicle, as this can be used to reach the workplace. Furthermore, all costs associated with the training are positive.

In order to make the start in the professional life more pleasant, there are special loans and subsidies. Lower chances of acceptance can eg be given to the purchase of a new television or a game console.

3. Increase the odds with a few tricks

At best, the probationary period should be successfully waited. This is advisable for two reasons. For one thing, it would be fatal to take out a loan and then lose the apprenticeship during the probationary period. Finally, the repayment must be continued unrestricted.

Furthermore, it is a positive argument to show the lender, the trial period is over and it can be confidently with a liquidity of the trainee expected. A look at your own credit bureau, which can be viewed once free of charge, worth in advance in any case to any negative entries to take note or clarify.

4. Guarantee creates trust

A guarantee can have several advantages. On the one hand, this creates increased confidence for the lender, since in the case of non-repayment of the trainee, the guarantor can or must step in. As a rule, these are the parents or guardians. They usually have a solid income and a secure job. Both are indicators that are very much appreciated by a guarantor.

Thus, the chance of a commitment usually increases considerably. The second advantage is that, in the worst case, the guarantor can act like a safety net and can take over the rates in extreme situations. Thus, a possible seizure by the lender is prevented.

5. What documents are needed?

In order to provide support for a swift commitment of the required capital, it is advisable to organize all required documents carefully before applying. These are usually standard documents such as identity card, proof of income, training contract and possibly.

Proof of identity of the guarantor mentioned in the application. At the end, the actual loan application is processed. This is filled out either at a local bank or online, which can speed up the process even more. Within a few days or hours usually an acceptance or refusal is granted. In some cases, this can happen immediately within a few minutes.

An education, a further education or even a study is not always free, but often associated with high fees. For young people, this can be a financial burden. Even with support, such as BaföG, it often happens that the cost of training is not covered – or, you have no claim to the money, if the parents have earned too much.

The training loan – what exactly is that?

The training loan - what exactly is that?

The training loan describes a special form of credit, which is aimed primarily at people who want to complete a course of study or training, but receive no financial support from the state or the parents. This loan is also interesting for those who are looking for a paid training in order to have better chances in the job market.

Young people benefit particularly from the training loan, because the interest rate level is relatively low and the repayment does not have to be started immediately: you can wait until you have completed the training and achieved a regular income.

One should keep in mind: Education is always a sensible investment, because ultimately it is about your own future. It is always an advantage to take out a training loan if you do not want to work while studying or training to finance it. So you can fully concentrate on the subject matter and be sure that the costs are covered.

Thoughts about repayment are only made after successfully passing the final exam. This can then be flexibly agreed with the bank so that it fits into the individual budget as best as possible.

Training credit and education credit – where is the difference?

Training credit and education credit - where is the difference?

Many people wonder where the difference lies between a training loan and a state-sponsored educational loan. This is particularly evident in the loan amount : While there is a maximum of 7,200 euros per annum for the education loan, there is no limit to the training loan, but you can even agree with the bank on how high the payout should be. The loan can be used both for study and for training or further education of anyone who wants to invest in their education. This contrasts with the educational loan, which can only be used by pupils or students as a result of state funding.

It is important not to decide on any offer before taking a training loan, but to first calculate whether the investment really pays off. Meanwhile, many banks offer appropriate loans – so it is only logical that the terms of each loan offers are sometimes very different. Above all, therefore, compare the effective interest rate for the same loan amount and term.

How do you find the best offer for a training loan?

How do you find the best offer for a training loan?

Not only branch and online banks but also savings banks are currently offering special training credits for young people and all other people who would like to finance further education. Basically, it is advisable to always perform a credit comparison as a first step, which works the easiest over the Internet. Not only is the comparison absolutely free, it also provides an excellent overview of all available offers on the market.

Take into account both the effective interest rate and other details, and check to see if there are any additional fees. Everything else can then be discussed individually with the bank. Once you have decided on an offer, you can be forwarded directly to the bank’s website and can request all the documents required for the application, which are subsequently examined.

 

Compare 8,000 USD payday loan fast

 

 Where can I quickly get a credit of 8000 usd?

Where can I quickly get a credit of 8000 usd?

You urgently need 8000 usd? In order to find the cheapest and best 8000 euro loan in a short time, you can not avoid a credit comparison. Because without a loan comparison, you may give away cash. With a loan of eight thousand usd, you can save several hundred usd if you find the right loan provider. With the money saved, you could, for example, easily finance a short break. In comparison to a loan from a house bank, direct banks offer a number of advantages. So the conditions for loans are more favorable with direct banks. Lending will be much faster if the requirements are correct. Frequently, the loan can also be requested for direct use by the direct bank.

The requirements for a 8000 usd loan

The requirements for a 8000 euro loan

Which requirements have to be met for lending? For borrowing, it is important that you, as a borrower, are in a permanent employment relationship. The borrower must be at least 18 years of age and have a permanent residence in Germany. A German account should also be owned by the applicant. Before granting the loan, the lenders obtain information about the Credit bureau and after the loan payment of 8000 usd the lending is entered in the Credit bureau.

Who can lend me 8000 usd?

Who can lend me 8000 usd?

You can borrow 8,000 usd from relatives or very good friends. But if you do not know rich people in the circle of acquaintances, only the money lending of private remains on the Internet. For some years, you have been able to borrow money from private people on the Internet through dedicated platforms. If you do not have a good credit rating, the chances of getting a loan are even greater with a payday loan than with a traditional bank loan. Loans from private to private are brokered here up to a loan amount of 50,000 usd. Very often also the 3000 usd credit is taken up, so that smaller wishes can be fulfilled or necessary expenses paid. There are always situations in which only a small sum is needed by the end of the month. With small loan providers you can comfortably borrow 500 usd online. The mini instantaneous loan can optionally be transferred to the applicant’s account. Credit from person to person has benefits for both parties (borrower and lender). The entire awarding process from application to payment is completely straightforward. Even if the house bank or another bank has declined the loan, the borrower has the opportunity to get a cheap loan. The credit check is not so strict in contrast to bank loans. Thus, credit is feasible despite neagtiver Credit bureau. Even a negative Credit bureau entry is often no obstacle to the award. The credit among private individuals is conveyed in platforms where credit seekers and investors meet.

Make a loan comparison for an 8000 usd credit loan request

Make a loan comparison for an 8000 Euro credit loan request

The offers, which are displayed in the credit comparison for a usd 8000 credit, are only examples, because the interest rates are dependent on credit. So the better your credit rating, the lower your interest rates. To be able to really compare the PRA and all other credit costs, you should always get several personal offers through credit inquiries. Then you can choose the best for yourself. The credit inquiries are non-binding, only when you sign the loan application and send it back to the bank, the loan application becomes binding. Even if you want to borrow more than eight thousand usd and urgently need, for example, a 10000 usd credit for a renovation or a 15000 usd credit for a car, a previous credit comparison is highly recommended.