For French households, looking for a quick, efficient and simple solution to better manage their finance each month, revolving credit can be a boon. Managing their monthly budget will become much easier.
Via this type of loan, individuals benefit from a reserve of money without providing proof that they can use as they see fit and for any planned or unplanned expenditure. Find below all the characteristics of a revolving credit as well as the details on the supply of additional credit.
Characteristics of revolving credit
The banks offer with this loan a capital which is between 500 to 6,000 USD, the respective repayment period of which is 36 to 60 months. Thus, the more you borrow, the more time you will have to repay. Debt repayment terms vary on a case-by-case basis. For loans of less than 3,000 USD for example, it will be necessary to smooth out its situation more quickly, that is to say in less than 36 months. The capital of more than 3,000 USD is paid in 60 months maximum.
However, even if you can take advantage of a long recovery period by borrowing a lot, be careful not to fall into over-indebtedness by asking more than you can repay. But in all cases, the contract can be renewed for a new repayment period over several years, it is only enough that the borrowers make an express request to the credit organization.
Revolving credit is well known for being a reserve of money, a solution to create and expand your savings possibilities. In addition, it is also a loan without proof. As such, it can be used for any purchases and projects. Whether buying a new car, or financing your wedding or family vacation, the borrower will not have to justify the use of the loan to his banker. To access capital, he will not even need to go through the bank counters.
When taking out revolving credit, a credit card will be issued to the borrower. The latter can be used to pay for purchases directly or to withdraw money from ATMs available day and night. Individuals can also request a transfer from the revolving credit card to their bank account. The operation will take approximately 48 hours.
With revolving credit, debt and interest rates only apply after capital has been used. In other words, banks cannot charge fees to borrowers if they have not used all or part of their money reserve. This flexibility greatly reassures borrowers. And in all cases, the amount borrowed will be replenished each month on the revolving credit card.
This ease of access and this security far outweigh the cost of this type of banking service. Compared to appropriations allocated, revolving credit is far from affordable. Its rate can reach 21% with certain banks. The rate calculation varies depending on the case. The bankers take into account the borrower profile, the repayment period, the capital borrowed to do this.
According to surveys, to reduce the cost of revolving credit, speeding up the repayment speed may be a good idea. By reducing the number of monthly payments, the rates will be lower. The same will apply to the general cost of the loan. However, it is not a question of committing to monthly payments which it will be difficult to manage. The choice of monthly payments will depend on the income of each. A simulation may prove to be necessary to be sure of having the best repayment terms and to avoid over-indebtedness.
The revolving loan offer offered by Agree Bank
With a revolving credit , the borrower will only pay on the capital used, this will be replenished as repayments. The revolving credit is accompanied by a Mastercard , which will allow you to pay for your purchases in cash or on credit.
With the revolving credit offer offered by Agree Bank, you will be free to choose your monthly payments as well as the repayment speed. The shorter the duration, therefore the rapid repayment and the less you will pay dearly for the total cost of your financing.
This type of credit offers flexibility to its owner because, according to the conditions provided for in the contract, the borrower can at any time change the date or the amount to be withdrawn from your monthly payments, moreover if you encounter an exceptional situation and you have difficulty. to pay your monthly payments you can take a break if you wish.