We may face many expenses in our lifetime, of all types and amounts. We do not always have the necessary funds, so we may have to want to borrow money and make a consumer credit. personal payday credit is one of the solutions to finance his projects. But how to deal with the multiple offers available on the market? The personal payday credit comparator is here to help you find your way.
What is personal payday credit?
Whether you need to buy a property of everyday life such as a car, TV, washing machine, or rearrange your home, or to offer a service such as preparing your wedding, travel, work in your home, or simply to have additional cash, the personal payday loan, after acceptance of your file by the credit company, will allow you to have the necessary funds for your projects without having to justify them.
The personal payday credit is an unallocated credit, it means that you can freely dispose of your loan, without having to provide supporting documents, it will be sufficient to declare your project.
The amount of the personal payday credit must
According to the Lagarde Law be less than or equal to € 75,000, with a duration equal to or greater than 3 months, without exceeding 5 years. The personal payday loan rate will be a fixed rate, which will depend in particular on the amount borrowed and the duration of the loan. The repayment schedule is defined in advance, on the basis of fixed payments.
The Lagarde law of 2 July 2010 aims to improve the protection of borrowers. Indeed, the government wanted to improve consumer protection in consumer credit. From now on financial institutions are required to include different elements in their offers, which will not be revisable during the existence of the contract.
As for most credits, the contract will have to mention several information, which are the following ones:
- The Global Effective Annual Rate, the APR, which determines the overall cost of credit,
- The total cost of credit,
- The overall cost of the borrower’s insurance, which will be that of the bank or the credit institution, or an external insurance that you have chosen,
- Ancillary costs such as the application fees.
The Annual Global Effective Rate that can be used to compare several offers of personal payday credit is made up of all the fees charged by the bank or credit institution.
personal payday credit is therefore a credit that helps carry out important and expensive personal projects, without having to save for several years. But the supply of personal payday loans on the market has become increasingly important. That’s why we recommend using a personal payday credit comparison tool to find the best deal for your projects and the best terms.
Why compare offers?
There are a multitude of credit companies on the market, offering different offers. It is therefore important to compare the offers of personal payday credit to find the most interesting for you, and the one that will best meet your expectations and your needs.
There are also several forms of personal payday credit, depending on your projects:
- The car and motorcycle personal payday credit
- personal payday credit for works
- personal payday credit to finance leisure
- Cash personal payday credit
Interest rates and terms of repayment are important criteria to consider when comparing personal payday credit offers.
Regarding the rate, it is important to distinguish the posted rate, which can be called the TNC (the Conventional Nominal Interest Rate), which can be tempting, and the APR, the Global Annual Effective Rate, which gives it a accurate indication of total credit, including insurance. Indeed, the lower the interest rate, the less your personal payday credit will cost you money.
According to the banks or credit institutions
According to a recent barometer, for a personal payday credit of 15,000 euros over a period of 12 months, the average interest rate is 2.42%.
Regarding the monthly repayment, they will depend on the amount borrowed, the duration of your credit, but also the interest rate. The longer the duration of the personal payday loan, the less the monthly repayments will be, but the higher the total cost of credit.
The bank or credit institution will have to offer you monthly payments that do not exceed 33% of your income. This percentage corresponds to the debt ratio.
To be certain of choosing the best offer of personal payday credit, the best indicator to consider is the total cost of credit. For two identical amounts and two identical personal payday loan terms, choose the organization that will offer you the lowest total cost of credit.
There are also criteria that can be important regarding the choice of bank or credit institution. Indeed, some financial institutions may offer you some flexibility regarding your monthly payments, such as the possibility of postponing a monthly payment in the event of a hard blow, or reviewing its monthly payments downward or upward. It is important to note that the longer your monthly payments, the longer your personal payday credit will last, and the higher the total cost of credit.
How to compare offers and apply for personal payday credit?
In order to compare the different offers for your personal payday credit, simply enter in the loan comparator tool, some information about you and about your project namely:
- the amount of personal payday credit desired,
- the duration of the loan
Once all this information is entered, the simulator can offer you several offers, the most advantageous rates, at the highest interest rates. Of course, the credit rate is not the only criterion to be taken into account, it is also necessary to compare the various expenses of each bank or credit institution.
Once you have chosen the most beneficial personal payday credit offer, just make a request, which you can mostly make online. The bank or credit institution will ask you for documents such as a photocopy of your ID, your latest pay slips, proof of address, your latest tax notice, and your latest bank statements.
Your guarantees must be solid to obtain your personal payday credit, that is to say that you must have a stable job, good income and regular, have a good capacity for savings, and not be stuck at the Bank of France.
Once your personal payday credit application is sent to the selected credit organization
It will be able to determine based on your financial situation whether it grants you the loan or not. Banks and credit organizations will ask you to justify a stable job and sufficient income. They may refuse you for example the amount requested, or the desired duration, but offer you another offer of personal payday credit, with a lower amount, and a longer credit period.
In the event that your personal payday credit application is accepted by the financial institution, you will receive a loan offer, in which all the features of your credit will be stated. Take the time to read this loan offer, and ask any questions you want before you commit. Once the contract is signed, and the loan offer accepted, the borrower has a 14-day cooling-off period to change his mind. The credit agreement becomes valid after this 14-day period, and the full amount will be paid to your account at one time.