How to get a credit buyout without a mortgage?
The implementation of a home loan repurchase requires a guarantee, either a mortgage or a surety, the borrower can express his choice but he must above all ask a bank offering the guarantee.
Whether for a mortgage or a mortgage, banks require a guarantee to be able to release the funds. It can be a bond or a mortgage. For the mortgage, the principle is to place the bank as a beneficiary within the framework of a mortgage registration on the borrower’s property. This simply means that in the event of non-repayment, the bank can demand the seizure of the property and resell it, in order to collect part, or even all, of the sums, loaned.
Is mortgage discourages the borrowers?
Simply put, the mortgage is often a deterrent to borrowers, this involves going to the notary with fees and fees often high and the mortgage leaves a sword of Damocles hanging over the borrowers, throughout the repayment of the loan. borrowing. What is more, no amount will be recovered when the mortgage is set up, which is not the case with the deposit since part of the fees paid can be recovered at the end of the loan buyout contract.
Favor the surety for a credit buyout
For many borrowers, the transition from a mortgage to a surety is one of the motivations to resort to the repurchase of a mortgage. If the drop in rates can make it possible to make valuable savings on the reimbursement of interest, the establishment of a deposit will also be a positive point in the file. While knowing that it will be necessary to carry out a release of a mortgage if the old mortgage had been put in place via a mortgage on the property. It is still necessary to direct your loan repurchase file to a bank or a credit institution offering guarantees.
The surety consists of calling on a company that will guarantee the good repayment of the debt on behalf of the borrower. If unpaid debts surface, the surety company will take care of repaying the sums due and then turn to the borrower to recover the amounts paid. You should know that surety companies are more demanding than banks in terms of repayment capacity, they study very closely the profile of the borrower before deciding on a surety agreement.
Compare banks and sureties
The deposit is systematically more attractive than the mortgage, there is no position taken by an establishment which can order the foreclosure of the real estate ben, the borrower can recover part of the fees paid but it is, however, necessary to present sufficient guarantees to obtain validation. The banks all work with surety companies, for the most part, some have subsidiaries in the group specifically dedicated to the surety for home loan projects and for the repurchase of credit from bank customers. Civil servants can benefit from mutual guarantees, a guarantee offered by the civil servant mutual, and which very often offers preferential conditions.
It is therefore advisable to make a request for the purchase of comparative credit, that is to say to request an online service allowing you to shop around for banks offering guarantees in the form of a guarantee in order to maximize your chances of obtaining both an attractive rate but also an acceptance of the guarantee by guarantee.