With a consolidation borrowers try to reduce their monthly burden. Often, however, the overdrawn pledge credit is the reason why a consolidation is sought .
But the burdened bad remark prevents borrowing from German banks. Nevertheless, there are ways to get even with a burdened bad remark a loan.
Insight – explained in a few sentences
- Really without bad remark are available for consolidation, through the foreign bank, a maximum of 7,500 credit available
- Another alternative would be the credit of friends to reschedule
- The best opportunities for consolidation offer loans despite bad remark
- Whether you personally qualify for it, the comparison calculator shows you immediately after – non-binding – credit application
Debt consolidation – reputable credit
Nevertheless, the foreign banks secure themselves before a loan is approved. This is how the bank views the public debtor directory.
There, the grave features such as a declaration of oath or a seizure of wages are noted. Under these circumstances, the foreign bank will not get credit.
The bank hedges with a slightly higher interest rate. In addition, she limits the loan amount with small loans.
The bad remark credit has 7500 euros as the highest loan amount. The demands that the lenders have on the customer are high.
The consolidation is made with a serious credit intermediation. To recognize is a serious mediation, that no pre-requisite be required and no insurance products are sold.
Loan seekers should also pay attention to how long the placement already exists or if it is certified.
Debt consolidation – reduce monthly burden
Those who can no longer meet their monthly paychecks often see a good solution in debt consolidation. The problem is that bad remark entries already exist.
A traditional bank will not approve a loan. Loan seekers then have the opportunity to apply for a loan from abroad.
For these lenders, income is the most important approval requirement. The credit also does not appear in the bad remark.
However, the maximum loan amount is limited to 7500 Euro, if there is no guarantor or other collateral.
What is a consolidation ?
The purpose of debt consolidation is to bundle multiple current loans or installment payments. This should result in a financial relief.
Also, loans that were completed in times of high interest phase, which can be obtained with a consolidation a significant savings. Looking at a consolidation, this is basically a new loan.
Therefore, loan seekers should pay attention to the costs incurred, the interest rate, a possible residual debt insurance. If the new loan is concluded at a significantly low interest rate, the extension of the term can significantly reduce the loan rate.
Debt consolidation – determination of costs
As mentioned above, consolidation only makes sense if it improves the borrower’s financial position. But you also have to pay attention to other things.
If a loan is redeemed early, the bank may demand a prepayment penalty. It will be charged 1% of the loan amount.
But the consolidation itself also brings costs and processing fees. That can amount to 3% of the loan amount.
To not pay here, loan seekers should make a credit comparison. So not only the interest rate can be determined, but also the individual terms of the provider.
Consolidation – notice periods notice
If a loan is taken out, a contract is concluded with the lender. Not only the loan amount is entered, but also the interest charge and the term.
For installment loans, the term is usually 12 to 72 months. If the borrower decides to reschedule where he deviates from the arrangements, the bank loses interest.
Basically, a loan can be terminated at any time, but this will not take effect immediately. Here it is necessary to comply with the notice periods.
They are often found in the loan agreement. Usually there is a notice period of three months.
Loans recently completed are an exception. These can only be terminated after six months.
Debt consolidation – what to consider?
If the consolidation is done because the borrower is in financial crisis, he should first get an overview of his financial position. A revenue / expenditure plan can help, showing how high the future burden should be.
If this is certain, the individual loan offers can be compared. Here, especially in the field of bad remarkfreien loans should be carefully selected.
As mentioned earlier, there are often dubious providers in this area. Anyone looking for debt consolidation should also know that the problem of finances is not always solved by consolidation.
Here it is important to make sure that a reliable provider is found, which also offers all possibilities.