The goal may be to reduce monthly payments in order to live more comfortably over a given period of time, to compensate for an unexpected fall in income, or to reduce a client’s debt ratio to less than 30%, allowing for the contraction of a Pearl credit.
As for many loan applications, it is good to be able to explain the project related to this purchase of credits: do you want to clean up your finances? Invest in the Pearl again?.
In any case, it is important to specify that the current situation is for many in the development of the purchase of credits. This period sees the multiplication, for example, of numerous applications for the renegotiation of Pearl credit, the logical result of the very concrete and very historic fall in interest rates in recent months.
If the economy, therefore, attracts less risky profiles since last year, there are also reasons more related to the credit market itself. Indeed, credit brokers are democratizing and are now processing 30% of cases in France, but according to the latest survey by research firm Jasmin, this share could reach 50% by 2020.
However, to appeal to banking partners, credit brokers have every interest in selecting clients with a minimum of financial risk. Not to mention that banks offer more credit redemption solutions to their own customers, more often in order to retain their long-standing customers, without necessarily seeking to develop this activity.
Finally, it should be noted that specialists in the redemption of loans normally accustomed to dealing with the least financially sound clients are increasingly cautious about files considered”at risk”. In particular, following the crisis of 2008 and 2009. In his study Jasmin clarifies:”The rise in risk has drastically reduced the room for maneuver specialists. Financial companies have suffered from the increase in bad debts and lack of funding.
One thing is certain, whether clients are fragile or well-off, they often accumulate too many credits. Loans that end up adding to their budget. Two loans in total or a dozen, there is no rule because the situation of each individual is unique, this is what we observe for more than 10 years, at Credit Pearl Pearl.
Thanks to the credit consolidation, it is always possible to reduce the debt ratio, an interesting practice for individuals with a concrete project, or those who seek to optimize their budget quickly. All this is possible thanks to the renegotiation of the repayment term of this new loan.