Is debt consolidation is common?

1 Mar

In the case of loans from a bank or other lending company, debt consolidation is common.

This operation consists in gathering the s subscribed by a borrower in one in order to facilitate their repayment. In this way, he has only one monthly payment to pay at the same time and with the same loan duration. But before proposing s for redemption, it is better to perform a simulation.

The repurchase of is a debt restructuring policy that a borrower has accumulated. A financial institution repurchases its s by concluding a new loan with a single loan, a single monthly payment and a single lender (the financial institution that bought the debts). As part of the loan redemption, the amount of the monthly payments will be reduced but the repayment term will increase. The repurchase of works in exactly the same way as the other types of , except that its object is neither the purchase of a good nor the financing of a project but the restitution of a . This approach is aimed primarily at stabilizing the financial situation of the borrower. But like other types of , the loan buyback has pitfalls. It is important to learn about the terms of the buyout to avoid aggravating its debt.

To get out of the abyss of debt with the help of redemption, you must get your hands on an advantageous offer. The fastest and safest way to do this is to visit this site to compare the proposals on the market.

The operation of online simulation

To compare different loan buy offers, it is common to use an online comparator. The procedure is free and the instructions are simple. To simulate , simply fill in the comparator form. The requested information concerns the loan (amount, object, duration) and the profile of the applicant. Regarding the applicant, he must communicate personal information: identity, contact details, marital status, composition of his home and information on his profession: profession, company where he works, salary … These will be used by the financial institution to evaluate worthiness of the borrower and determine loan terms and rates.

The benefits of redemption simulation

The results of the simulation will help the borrower to compare different lending institutions that offer an attractive buy-back for his s. The comparator will show the lenders who apply the lowest APR in the individual’s situation. The value of the rate is a substantial part of the loan to estimate its total cost, including ancillary costs (file, insurance, interest, …), and see if the corresponding offer is profitable or not. Thanks to the simulator, the subscriber can choose a loan company that offers the best rate with reduced monthly payments so that the new loan is lightened compared to previous ones.


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