Consolidation loans without creditworthiness – Useful informationOn April 23, 2020 by admin
Taking several loans at a similar time means that the borrower is forced to pay several principals and interest installments at different times to different lending institutions.
Over time, as a result of various situations that may occur in private or professional life, it may lose creditworthiness and the ability to pay installments on time. Can he then take a consolidation loan in the bank? Will a consolidation loan in a non-bank company be a better solution?
Debt consolidation loan – can it be obtained from a bank?
A consolidation loan is a loan of a special nature – it allows you to combine several different loans and borrowings, organize your debt and possibly reduce the monthly burden of repayment installments. This loan will allow repayment of liabilities such as:
- cash loans;
- car loans;
- installment loans;
- credit card loans;
- cash loans, including non-bank loans;
- other consolidation loans.
Depending on the bank offer, the consolidation loan may be used to repay another pool of liabilities. It happens that the bank grants an additional cash loan along with the consolidation loan.
Banks grant secured or unsecured consolidation loans, otherwise consolidation mortgage loans and consolidation cash loans. Usually, a consolidation loan without a mortgage will be slightly more expensive than the one with such collateral.
How do you take a consolidation cash loan or consolidation mortgage? First of all, banks require that the customer have sufficient creditworthiness and good credit history in the Good Finance Information.
It must be said that the consolidation of loans for indebted persons who have negative entries in GFI is actually impossible in banking institutions.
Banks are obliged by the Polish Financial Supervision Authority to reduce the credit risk they incur when lending to customers. A consolidation loan for those in debt will be sought in vain. Such a loan is not justified, because banks do not give obligations to debtors for fear that they will be insolvent.
So if we want to take a consolidation loan for those in debt with a bailiff, we should direct our steps not so much to banks as to loan companies operating on the non-bank market, in which we will be offered a consolidation loan for those in debt. What product is this?
Consolidation loan – what are non-bank consolidation loans?
The non-bank offer includes consolidation loans. They can be advertised as a non-bank consolidation loan or simply as a consolidation loan. It is a financial service that allows you to combine several commitments into a larger one.
The customer who obtains such a loan repays through it the debt to existing creditors. As a result, there is one, larger, new debt to the creditor on his “account”.
Consolidation of loans allows for earlier, early repayment of financial liabilities, as well as for lowering the monthly installment and establishing a convenient repayment schedule.
Are non-bank consolidations risky? Do you have to be afraid of such financing? The non-bank consolidation loan is granted on a more liberal basis than the consolidation loan and this is actually the biggest difference between the two products.
Consolidation loans allow for more convenient repayment of liabilities, because in their case the repayment period is extended, which means a reduction in the monthly installment.
Thanks to this, it is easier to pay back the debt without delays and incurring more loans. People who already have past due debts are only a step away from falling into a spiral of debt.
This is caused by too high monthly loan costs, which the borrower is unable to meet. Fortunately, the salvation for his financial situation is the consolidation of various liabilities.
Due to lower requirements for borrowers and the lack of the need to have only positive entries in GFI, non-bank consolidation loans are becoming increasingly popular, but one has to be aware of the fact that consolidation loans without GFI cost more.
Online consolidation loan – comfortable and quick non-bank consolidations
A quick consolidation loan is the most convenient solution for people who are unable to pay off several financial liabilities and have lost their creditworthiness.
Applying online takes no more than a few minutes and this can be done even online, as long as the loan company offers an online consolidation loan.
Banks do not have many proposals for those in debt, which is why non-bank consolidation loans are sometimes the only solution that allows regular repayment of installments and reduction of debt.
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