The simulation of loan repurchase is the first fundamental step during a project of grouping of credits, an estimated approach which makes it possible to obtain in a few minutes a first estimate.
Why simulate buying credits?
The simulation allows a borrower wishing to reduce his monthly payments to obtain a first estimate of reduced monthly payment. Because the interest of the grouping of loans is well to review the conditions of repayment to benefit from a single and reduced maturity. Rather than embarking on long and tedious procedures, the loan repurchase simulation makes it possible to take the temperature, that is to say to have a first estimation approach without being forced to engage in an operation leading to a funding.
What credits can we include in the simulation?
The credit buy-back simulation, proposed by the experts of this financing in the country, allows to include the amount of consumer credits, the amount of real estate loans and the amount of a possible new need. The total amount expressed by the term “principal remaining due” defines the total amount to be bought back. After validation of the entry, an estimate is proposed over an average duration, with all the information relating to a credit contract offer, namely the duration expressed in months or years, the rate (APR and debit rate) or even the monthly payment.
Is there a mortgage buyback simulation?
Simulating a home loan repurchase is possible simply it is necessary to clearly identify the three financial operations proposed by brokers and banks. The first is the renegotiation of mortgage, an operation to review the rate and duration of his credit, this happens with his lending bank, the simulation is therefore done with the advisor; The second operation is the repurchase of mortgage, an operation similar to renegotiation except that the repurchase is carried out by another bank, which implies costs of early repayment and possibly costsof guarantee (guarantee, mortgage). The simulation is carried out with a competing bank or broker; Finally, the mortgage group offers to combine several loans into one, to reduce the amount of monthly payments with a readjusted duration and a smaller monthly payment.
Simulation buy back of credits: what commitment?
The simulation offered by our partner is in no way subject to a commitment. It simply makes it possible to obtain, after validation, a reduced monthly estimate linked to a repurchase of the credits entered. After posting the result, it is possible to continue on the credit redemption form and / or send the result by e-mail. At no time is a loan buy-back project binding, as long as the borrower remains in the simulation or request phase. It is only from the signing of the credit contract and once the withdrawal period has passed that the commitment is real, both for the lender and for the borrower.
Demand and simulation: what difference?
The credit repurchase simulation is an estimated approach during a first request for information, it generally results from a request to obtain financing, that is to say the repurchase of outstanding creditors. The request is therefore a voluntary and interested approach on the part of the households, this is why the credit establishments which will devote time to study the feasibility of the project prefer to ensure the good will and the good faith of the borrower to assign a financial advisor to carry out the financing study. The credit buy-back simulation can also be done by telephone or directly in a bank branch, the idea being to be able to obtain the necessary information quickly.
It is strongly advised during a simulation to have information within reach, that is to say the amount of its various outstanding credits, a possible tax assessment for the income part and the amount of the possible new project. With all these elements, the loan buyback simulation will be more accurate, and above all fairer for the borrower. Obviously, like any simulation, the final result may vary depending on the nature of the loan buy-back or depending on the amount of information provided.