Consumer loans: how to get low-rate credit?


For the financing of consumer goods or services (works, for example), the borrower is automatically offered by the bank a consumer loan.
Naturally, the latter will want to minimize the cost of his credit. To do this, he must not miss out on an offer of low-rate credit. How do I find it? What are the criteria that come into play? We help you to see more clearly!

What are the different forms of consumer loans?

What are the different forms of consumer loans?

Before getting to the heart of the matter and discovering how to get a low rate credit contract, it is important to distinguish the forms of consumer loans existing on the market and know their specifics. Among the most commonly offered by banks and credit organizations:

  • affected credit: dedicated to a particular purchase;
  • revolving credit and personal loan: unallocated credits, that is to say that can be used to finance any type of project.

Note: any type of financing, excluding real estate
Any consumer credit is only intended to finance consumer goods (furniture, household appliances, etc.) or services (work, marriage, travel, etc.). It therefore does not concern the purchase or construction of real estate.

Low-rate credit: the art of finding the best offer

Low-rate credit: the art of finding the best offerCredit contract offer: mandatory information

To obtain a consumer loan or a low-rate home loan from a bank, the borrower has different levers. And the best thing is to activate a maximum! Let’s list the main …

1. The comparison

Online, there is no shortage of consumer and real estate credit simulators and comparators. So to speak, each bank makes a simulation tool and / or a credit comparator available to consumers. With these tools, the borrower can estimate the total amount of his future loan in minutes. To compare the offers, it will then be based on the APR (annual effective annual rate). The APR is indeed the reference rate in a credit contract offer. It takes into account all the costs incurred by taking out a loan, such as:

  • the nominal interest rate;
  • guarantee costs (systematic for a mortgage)
  • application fees (not all banks apply them);
  • the cost of insurance.

Note that the bank may oblige the borrower to insure his loan, although under the law, insurance is optional (both for a consumer loan and for a home loan). If it offers insurance at the same time as the credit contract offer, the borrower is free to accept it or to turn to an insurance of his choice. Again, the borrower has a vested interest in comparing.

2. The solid case

Consumer credit and low-rate home loans also rhyme with good records. By that, mean in particular:

  • absence of repayment incident (at least during the months preceding the loan request);
  • existence of a personal contribution.

Faced with a reliable and serious borrower, banks are more inclined to negotiate. If in addition, you have a personal contribution, you can borrow for a shorter period. This will lower the APR! Because indeed, the longer the repayment period, the higher the APR.

3. A fixed rate credit rather than a variable rate credit

Who says fixed rate credit says total amount of the loan known in advance and constant monthly payments for the duration of the loan. For variable rate credit, it is quite the opposite: as the rate changes over time (downward as well as upward), the total cost of credit is enigmatic. Revolving credit is only accessible in this form. It is also the type of credit with the highest APR.

Note: additional info about the mortgage
Like the consumer loan, the home loan can be at a fixed rate or at a variable rate.

4. Credit repurchase

When it makes a loan repurchase, the bank consolidates the monthly payments of the loans in progress to give rise to only one single payment. The objective of the credit repurchase is to lengthen the duration of repayment, and therefore to decrease the amount paid each month. This financial transaction is accompanied by a fall in the APR. It mainly concerns consumer credit and home loans. As with conventional loans, it is possible to carry out a credit buyback simulation online. The idea? You represent the monthly payment that you could get once all of your loans combined.

Credit contract offer: mandatory information

Credit contract offer: mandatory information

The bank has the obligation to include certain information on a credit offer, in particular:

  • the amount of the credit;
  • the total amount due;
  • the total cost of fees;
  • the duration of the contract;
  • the APR;
  • the existence of a withdrawal period (after signing the contract, the borrower has 14 calendar days to renounce the credit);
  • the articles of the Consumer Code relating to the period of validity of the offer and the minimum reflection period.

To obtain low-rate credit and thus lower the total cost, there is no secret: the borrower must above all take the time to balance the offers. If he has something to negotiate with the bank, it’s even better! Before tackling the comparison, take a few minutes to perform a loan simulation, number one in the country for online loans between individuals. Our offer may surprise you!

Credit 30,000 dollars to 39,000 $, the practical guide for your loan

Credit from $ 30,000 to $ 39,000: what rate for your loan. Personal project, buying a vehicle or fitting out a home? A loan of 30,000 dollars may be the solution to meet these expenses. How to get a loan of 30,000 dollars? At what rate? We explain everything about fast credit in the amount between 30,000 and 39,000 dollars.

A loan from 30,000 to 35,000 dollars: borrowing capacity and interest rate

Loan from 30,000 to 35,000 dollars: borrowing capacity and interest rate

One of the first things to do to take out a loan of 35,000 dollars or for a similar amount is to calculate the borrowing capacity sometimes also called repayment capacity. It is the maximum acceptable monthly payment in relation to the monthly expenses and net income of a household. For banks, the total charges must remain below a certain threshold generally between 30 and 35%.

The APR or annual effective annual rate takes into account all the costs linked to the 30,000 dollar loan. It varies according to the duration over which the borrower wishes to get into debt.

In general, the longer this duration, the more the rate will increase. To find the best rate for a 30,000 dollar loan, several simulations should be carried out in order to compare the total cost of the loan.

Credit rate 30,000 dollars and monthly payments

Credit rate 30,000 dollars and monthly payments

By using an online APR comparator, it is possible to find the 30,000 dollar loan at the lowest overall cost. For a loan of 30,000 dollars over a period of 60 months or 5 years, the lowest rate is 4.50%, the third in the ranking already reaches 6.57%. If the difference in monthly payments is not huge, the total cost goes from $ 3,483 to more than $ 5,100.

Whether in the context of a car loan or a mortgage, it is strongly advised to carry out a prior simulation online for a loan of 35,000 dollars.

This will allow the borrower to choose the APR and the duration of repayment after determining his debt capacity. It is also a good way to assess the different scenarios and increase your chances of obtaining a final loan of 30,000 dollars in a banking establishment.

Things have to be quick when it comes to loans

Instant loans come into play. This type of credit is rarely granted by branch banks, but mostly by direct banks on the Internet. Loans are no longer an unusual way to take out a loan, depending on the provider, they have become common practice.

Fast loans are often needed

Fast loans are often needed

Instant loans play an important role, especially in everyday life. At some point the overdraft facility is exhausted or because of negative entries in the Credit bureau no more is given – and yet then suddenly they occur, the special expenses and special items that have to be paid. This can be the additional heating payment, which has risen more and more in recent years thanks to rising energy prices. This can be the necessary car repair to get the vehicle again through the Best bank.

Whenever additional financial expenses are incurred, the area of ​​loans comes into play today. An instant loan with fast payouts has long been nothing unusual. Internet banks in particular are pioneers in this area and if you want a quick loan without Credit bureau, you are in the right hands with a reputable credit broker.

Apply for loans today

Apply for loans today

A quick loan is needed, the car is broken, the washing machine is defective or the next expensive heating oil delivery is due after a much too long and therefore too expensive winter. If you do not want to buy expensive from your dealer, an instant loan is often the best way to get a quick, yet cheap loan. Depending on the lender bank, there are also different ways of providing evidence.

In the case of an instant loan, which is still to be paid out today, one thing is important: the proof of salary, for employees the proof of income is from the employer, for freelancers and the self-employed the income tax assessment from the responsible tax office should be available for the application.

Subsequent filing delays both the loan approval and the final payment of the loan, thus postponing everything. It is also important that the borrower has his account details ready and can enter them quickly without having to submit them and then have to wait longer for the approval and loan payment.