Find in this article a clear definition and explanations of bank credit. If you are well-informed, you will be able to opt for the financing solution that meets your expectations.
This is a sum of money lent by a bank to a customer. The credit is used to finance a major personal project, like the financing of renovation work in a house, or to finance unexpected expenses, like medical costs.
The customer of a bank can be a private person or a company. The borrowing conditions are not the same for both.
The terms of credit allow the consumers to repay the credit according to their pace and their debt capacity. The customer can repay the borrowed amount, including interests, during a period between 12 and 120 months.
With a private credit bank, the consumers doesn’t need to explain for what they borrow. They can freely use the credit.
The amount loaned is totally paid into the bank account of the borrower. Then the borrower can manage the loan according to their needs. They can spend slowly or invest in one go in a project.
It’s possible, depending on the situation, to complete bank loan already contracted with extra fund or with a new loan. For this, it’s necessary to contact the bank.
The interest represent the credit cost. Indeed, the credit is not restricted to an advanced sum of money. By lending money, the bank will sell you a financial product. This sale has a cost: the interest.
In a case of a bank credit, the interests are fixed. It means that the credit cost is known from obtaining it. Then it’s possible to manage the budget.
This a solution that provides a quick and secure funding. It’s not possible to be exceeded by the monthly payments since they are fixed. And as soon as the loan application is accepted, the money is paid into the account wihtin 14 days.
If you want a secure, reliable funding, we recommend you to ask our partner Multicredit.