Repurchase of credits: our solutions in the face of wear and tear

Obtaining financing for their real estate project has become more and more complex for the French since the beginning of the year. A survey carried out by the 6 professional associations of credit intermediaries (IOBSP) thus highlights a sharp increase in loan refusals. 85% of respondents deplore a rejection rate of more than 20% and this rate even climbs to 40% for 4 out of 10 intermediaries.

The usury rate and HCSF standards, the main obstacles to accessing credit

Two main obstacles are identified in nearly 70% of mortgage loan applications refused:

  • restrictions imposed by the HCSF (31%),
  • the wear rate (36%).

Like new subscriptions, the activity of buying back credits is itself affected by the constraint of the wear rate. As a reminder, the “wear rate” designates the ceiling that banks and credit companies must not exceed when defining the annual percentage rate of charge applicable to a loan.

In other words, the APR cannot be higher than this legal maximum. Any breach of this rule exposes the offending establishment to the payment of a fine of 300,000 euros together with a two-year prison sentence.

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Our solutions to wear

However, we remain on permanent watch to find alternative solutions to the problems of the moment. We thus offer you alternatives to finance certain currently blocked profiles:

  • Insurance not counted in the APR : Profiles aged 40 and over are blocked due to insurance. They can take out a loan to carry out work at a rate of 3.10% if the repayment term is less than 15 years, and 3.25% beyond. To finance a balancing payment over a term of less than or more than 20 years, the average rates are respectively 2.23% and 2.28%.
  • Post financing : when buyers can buy cash, but wish to borrow part in order to reconstitute their savings, they can obtain a minimum of €22,000 without loan redemption and up to 70% of the value of the property. the financing is repayable in a maximum of 25 years with mortgage.
  • The repurchase of a family debt : if borrowers can be lent money by relatives to carry out their real estate project, we can redeem the debt afterwards. A mortgage cash loan is offered at 3.10% or 3.25% depending on whether it is signed for less or more than 15 years. If the transaction includes consumer credit, for the same terms, the rates are lower, at 2.20% and 2.40%.
  • The donation loan : borrowers have the option of taking out a donation loan for a minimum amount of €22,000 repayable up to 25 years with the taking of a mortgage, without having to go through a possible loan buy-back. Rates average 3.10% for less than 15 years and 3.25% for a longer term.

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