At the time of the reform started on consumer credit, it is important to identify the various existing credits. With terms often different from revolving credit for example, the registration loans, or personal loan, is a consumer credit that has many benefits to finance its projects. First, remember that the personal loan is a classic amortizable credit that corresponds to an amount granted in the context of an affected project: automobile, motorcycle, recreation, work, etc. In practice, it is a loan repayable over a fixed and predefined period that makes it possible to finance a specific acquisition. As soon as the lending institution gives its consent and after expiry of the statutory withdrawal period of 14 days, the sum is paid once to the account of the borrower who can dispose of it in order to make the purchase for which the credit was granted.
What are the amounts involved?
In the interest of the borrowers, the financial organizations propose an amount according to the project to be financed: new car, used car, works, leisure’s, etc. The repayments are made monthly, according to a set fixed monthly payment over a period chosen at the time of the subscription of the loan with the financial institution. These monthly payments include the repayment of principal, interest and optional insurance. It is sometimes possible to repay your classic personal loan by anticipation for up to € 21,500. Beyond this amount, fees are generally applied.
The cost of a personal loan?
The interest rate or TEG (global effective rate) is said to be fixed because it cannot be modified by the organization according to the key rate of the central bank. It is defined at the time of the subscription and will remain fixed throughout the duration of the loan. The total cost of the loan is known at the time of subscription of the personal loan. It depends on the amount borrowed, the repayment period of the chosen credit, the TEG and the fees.
Expert Advice: It is important to define your need because the registration loans in mesa lose some of its benefits when it becomes "plural". Indeed, the borrower who subscribes several will have to pay several times the expenses. In addition, he is likely to obtain a lower rate for a larger loan than for many "small" personal loans.
Prepayment of the personal loan:
The personal loan can be fully or partially redeemed under the same conditions as the loans allocated. The contract may provide for an early repayment indemnity to be paid in order to compensate the lender. This indemnity cannot exceed 1% of the amount of the reimbursement (or 0.5% if the remaining term of the contract is less than 1 year) if the amount of the prepayments exceeds 10 000 Euros per period of 12 months. Nevertheless, the eventual indemnity may in no case exceed the amount of interest that the borrower would have paid had he not made this early repayment.
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