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What is a credit redemption ?

1. The repurchase of credit

The repurchase of credit is a grouping of credits which makes it possible to benefit from more advantageous conditions and thus to preserve your financial health. It is possible to avoid filing an over-indebtedness file, a credit redemption simulator allows you to visualize the amount of your monthly payments and thus, the increase in your remainder to live.

One credit

By opting for the repurchase of loan, you only have one and the same credit. This is the very principle of grouping. Your bank, or a competing bank if you use a credit redemption comparator to find a better deal elsewhere, redeems your credits. It accumulates the amounts borrowed and defines a new duration and new monthly payments.

One monthly payment

Since you only have one credit left, you only have one monthly payment. It is a solution that allows you to gain readability to better control your monthly budget. The amount of the monthly payment is defined according to your financial possibilities, in order to increase your remaining life. A credit redemption simulator allows you to test various possibilities to adapt your monthly payment to your repayment capacity.
A single point of contact

If you had contracted loans in various banking or credit institutions, the management of your loans was more complex. With the repurchase of credit, you only have one outstanding loan, so you benefit from a single interlocutor for its management.


2. The repurchase of credit

The request to buy back credits can concern different types of credits, namely consumer credits and mortgages.

Purchase of consumer credit

Have you encountered financial difficulties and have been forced to take out various consumer loans? It is possible to buy back consumer credit, in order to consolidate the various loans and reduce the monthly payments. You can therefore consider buying a car loan if you have two outstanding loans for your vehicles. You can opt for a consumer loan buyout if you have consumer credit in one or more establishments because you needed cash, to buy household appliances, etc.

Repurchase of consumer credit and mortgage

It is possible to make a mortgage buyback and a car loan buyback, for example. A simulation of credit redemption makes it possible to determine if the operation is viable and if it is in your interest to consolidate these credits. The credit redemption rate is a point to consider, the rates applied for a consumer credit and a real estate credit are not the same.

Repurchase of mortgage

Have you taken out several mortgages for your main and secondary residence or your rental investment? Do you feel close to over-indebtedness and need to reduce your monthly payments? The first solution is to renegotiate your mortgage, in order to reduce its total cost. However, this is not always sufficient. It is sometimes preferable to group the credits to smooth the monthly payments of the different loans.

3. The steps to obtain a loan buy-back

Filing of request

Have you done a credit redemption simulation and found a solution that allows you to reduce your monthly charges? Make a request to the establishment offering you the best offer and attach the documents requested.

File review

Thanks to the completed form and the documents provided, the credit institution studies your request in order to determine whether it can be taken into account. The analysis of your situation ensures that you are able to repay the new monthly payments offered.

Contact by a specialist

You will then be contacted by a professional to discuss your request with you to finalize your file.

Financing and repayment of credits

When your file is accepted, the establishment that buys your credits sets up the requested financing. You can repay your existing credits. You then begin to repay your new lower monthly payment to lighten your budget.


4. Optional insurance for your credit union

When you take out a loan, whether it is a classic loan or a loan consolidation, you have the option of insuring it. When it comes to mortgages, if there is no legal obligation, banks do not take the risk of lending a large sum over a long period without insurance.
Loan insurance should be considered to benefit from coverage if you are no longer able to repay your monthly payments in case of sick leave, disability, etc., according to the terms of the contract. Do not hesitate to compare loan insurance to find a protective offer at a lower cost.

5. Your questions about the repurchase of credit

Who can benefit from a loan buy-back?

Anyone encountering financial difficulties, to avoid making a file of over-indebtedness, can benefit from the repurchase of credit. It is simply necessary that it presents the necessary financial capacities, a file study is carried out before the agreement of the bank or the credit institution.

Can we buy back credit with an over-indebtedness file?

No, an over-indebtedness file simply prevents you from making a loan, so it is best to anticipate this situation and make your request to buy back credit before submitting your file.

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