As you can imagine, there are multitudes of reasons that encourage people to buy back credits, each borrower with his own history, each borrower with his own past and his own future, with its joys and sorrows.
Your credit consolidation broker will give you some of the reasons found during his last 20 years of professional experience. You will see that all the reasons mentioned which require to make a loan repurchase are often nothing to envy.
What are the reasons that encourage us to buy back credits?
All borrowers know how much money they earn every month, however, in terms of loan repayments and daily living expenses, it is much more difficult. Often borrowers prefer to ignore what they are paying back so they can sleep better and be less stressed.
But this is not the solution, you must note all the charges in a notebook and put the income opposite. This allows you to see at a glance what is left to live or much more often what is missing to end the month. It also defines the debt ratio you currently have.
Better manage your finances
The hard part is learning to manage your finances. All borrowers know their income to the extent that they receive a fixed salary or a retirement. Recently, the elderly receive their pensions monthly which was not the case before because pensions or supplements were paid quarterly and it was very difficult for retirees to manage their budget.
Having a fixed income every month helps considerably in managing your budget and in setting up a credit consolidation file. For salaried commercial borrowers who have monthly or quarterly premiums, managing their accounts is risky, since their premiums are based on their turnover.
So it is advisable not to assume premiums for the first two years and to wait until the end of the year in order to average over the last two years or see the last three years before taking loans. For variable income for all financial operations, it is necessary to make a calculation over the longer term so as not to overstate its income. For the liberal profession, it is much harder, it will depend on their clientele.
We are going to advise a liberal profession to wait two years before applying for a personal loan file. The income will be calculated on the average of the two years. Credit consolidation helps rebalance budgets in the event of slippage. Always check your repayment capacity before making a credit.
Difficult end of the month we can no longer enjoy it
The end of the month is difficult and there is no more leisure and more outings. The restaurant is too expensive, activities with children during the weekend are limited to walking because it is free (which is very good, but often very badly perceived by teenagers) or a game on the game console, because going to the cinema involves far too many costs.
An outing with friends is also not an option. A loan repurchase transaction will decrease your monthly payments and decrease your debt load and increase your living balance and thus end the difficult months.
The arrival of a child often involves part-time work
Nothing more marvelous than the arrival of a child… But in terms of expenses, it slips very quickly. We change the car because it is too small, or too old, or it is not practical to put a car seat. We are very fresh because we want everything to be perfect, the baby will have a room like in a fairy tale.
The mother will often take a part-time job to reduce the nanny or nursery costs, but the financial loss is not necessarily welcome. You have to adapt your monthly payments to your new income and a loan buyback operation offers you the solution to rebalancing your budget thanks to a longer repayment period.