25 Sep

Student loan without guarantor or guarantor: how?

The student loan is a financing allowing a student to finance his studies but to obtain this sum, he must justify guarantees such as sureties or guarantors, find out how to obtain a loan to finance his studies.

Principle of student credit

Principle of student credit

The student loan is a consumer credit granted to a person who needs to finance his studies, it is a common practice for students who need to pay high tuition fees but also the entirety of their school curriculum. The amount of this loan is limited by the law on consumer loans, that is to say 75000 USD but most students will subscribe a credit of less than 20000 USD.

There are many ways to repay a student loan, it is possible to start repayment early studies, for example by having a guarantor, a deposit and / or cumulating student jobs. That said, most students opt for the option to repay their student loan after graduation, so they can take advantage of their professional integration and their first salaries to start repaying loan maturities.

Guarantees and surety of the student loan

Guarantees and surety of the student loan

The student usually has no or little income, so it is not viable to repay a loan at time T, simply, if the latter manages to obtain his diploma by following the entirety of his school curriculum, he can claim a good job and therefore an attractive salary. The banks are therefore banking on the future, anticipating and analyzing the student’s file, that is to say that students with a very good academic record will be able to obtain their funding more easily.

The bank will not be satisfied with this first guarantee, it will also ask that a surety be present in the file, it is to appoint a person who will have to repay the debts in case of incapacity for the student borrower it is usually the parents or the state. The government can stand surety to help students get their funding.

The student loan without deposit and without guarantee

The student loan without deposit and without guarantee

If a student does not have a guarantor, he can turn to the state that offers to obtain a student loan without guarantee of resources and without guarantees. To do this, you must be enrolled in an institution with a view to preparing a competition or diploma in French higher education, be under 28 years of age, have French nationality or be a Member State of the USDpean Union. EU. This device provides for a risk of default borne by the state up to 70% and a deferred repayment of monthly payments 2 years after the end of studies. 

To obtain more information and to compare loan offers dedicated to studies, all you have to do is apply for a credit through the comparator, this allows you to receive several funding offers and to select the best one.

23 Sep

What do you need for a payday loan? | Quick loans

TOP fast loans on the Internet without pledge and guarantee provide a chance to borrow at a profitable rate. Get a Quick Credit Free% %% for the first time and only return the amount you borrowed at the time of repayment. Quick credits are paid out to your bank account within minutes.

All quick credits are on the first page. Review, choose and apply for the lender that suits you best.

cash

If you are in an unexpected situation and are in financial difficulties, TOP Fast Credit Online is the best solution to your problem. There is no need to overpay for a cash loan now, as the first interest-free loan opens up unprecedented opportunities in the financial loan market, as it is a collateral-free loan.

The TOP payday loans can be found here and here, where the most popular quick credit lenders are available.

What are fast loans

What are fast loans

payday loans are short-term loans that can be applied for in different ways, but most importantly in about 10-20 minutes in 2018. The application, account approval and loan are in your bank account. Applying for a loan does not require a great deal of knowledge or complex application process, but it is important (2018) to borrow responsibly!

Trust instant loans online and get your first loan free of interest. Many borrowers admit that they would like to get a free, no-interest-rate loan, but it is only possible to get an interest-free loan the first time they borrow.

Remember that payday loans on the Internet are most often restricted to people over the age of 18, and in some companies the age limit may be 20 or even more. It will also be easier for people to get a loan than for the unemployed. This can be explained by the fact that unemployed people have no real income, so lender companies are skeptical and do not want to trust every borrower.

Loans without a pledge are suitable for both young and older people. If you know you can repay the loan, apply for a loan. The credit can be used at your discretion. It will be useful for covering daily expenses, paying for a service, studying, utility bills, sightseeing trips or the like.

Wondering how to get a loan without collateral? It’s quite simple. Although each company may have its own nuances, the principle is similar in all cases. All you have to do is just do a proper check-in with the promoter of your choice and give your true details and apply for a cash loan.

TOP Quick Credit Factors

money

One of the key factors to consider before choosing a credit company is the interest rate and commission. Ideally, it is zero because there are lenders who give out the first loan free of charge. Here’s a look at the non-commission and interest-free payday loan lenders. The first loan, free of charge, means that you will not have to pay the first borrowing, as the interest rate is 0%. For example, if you borrow $ 60 for 30 days, then after 30 days you will have to repay the $ 60 fast credit.

Who Can Get Loans On The Internet

cash

payday loans for residents of Latvia who are aware that they will be able to repay the loan within the agreed term. There are only a couple of conditions to apply for and get a loan. Fast credit on the Internet is a modern solution. Fast loans are also called payday loans, payday loans, short term loans and loans. payday loans are issued between the ages of 18 and 75 with no overdue payments from other credit institutions and delinquent debt. All you need is a bank account and an active mobile phone connection to apply for credit online. Also in 2018, nothing much has changed with regard to the conditions for applying for and receiving this credit.

Remember that by borrowing fast credit you are building your credit history. Be forward-thinking and think about loan repayment. The first credit will be available free of charge to both employed and non-employed persons. Remember that people with independent income will definitely find it easier to repay the loan.

First payday loans free of charge

cash

The first interest-free payday loans will be a good enough loan to cover unexpected payments. Credit can be afforded by people with an income, which means before borrowing a payday loan assesses their ability to repay short-term loans. Loans on the Internet without a pledge are a quick and convenient solution when you need cash help.

It is advisable to read the terms and conditions of your loan before applying for a loan so as not to disappoint your loan. When describing the term of a mortgage loan, it will not be very large. Most companies provide loans for 30 days, but in some cases the loan can be extended for a longer period. Remember that unsecured credit is a temporary solution and will have to be returned to the lender within a certain time frame, so you should keep track of your credit schedule for security reasons.

23 Sep

What is the best auto loan in 2019? Better rates and simulation

You wish to subscribe a car loan in 2019 to finance the purchase of your car? How to make sure you get the best rate? Comparison of rates and tips.

The car loan allows the purchase of a new or used car. Its amount is capped at 75,000 USD and the repayment term at 84 months. Where and how to find the best auto loan in 2019? All the explanations.

Subscribe to a car loan: the benefits

Subscribe to a car loan: the benefits

There are several benefits to buying a car loan, whether the car is new or used. First, if the vehicle is not delivered, the credit is automatically canceled. Then, if finally the credit is not granted to you and the bank refuses to release the necessary funds, the contract of sale will be considered null and void.

Another advantage: the repayment of the car loan only starts when you are in possession of your vehicle. To take full advantage of these benefits, it should be verified that the purchase order mentions that the sale is conditional on obtaining a credit.

Where can I find the best auto loan in 2019?

Where can I find the best auto loan in 2019?

Several players market auto credit offers:

  • Dealers
  • Auto credit agencies online;
  • Traditional banks and online banks;
  • Insurers;
  • Some specialized sites.

To find the best auto credit offer, it is advisable to turn to an online comparator. This tool allows you to perform a credit simulation online and get an immediate policy response. After receiving several car loan proposals, simply compare them to choose the cheapest and most suitable offer for your needs.

How to effectively compare auto credit offers?

How to effectively compare auto credit offers?

You should know that not all credit agencies offer the same conditions. Indeed, the car loan rate, the total cost of the loan and the amount of monthly payments can vary greatly from one institution to another. To select the best offer, you need to consider the following:

  • Your personal contribution: the greater your contribution, the less the amount borrowed will be high;
  • The global effective rate (TEG): it corresponds to the real cost of the car loan and is useful to find the cheapest offer. The TEG includes credit charges including interest, fees and insurance contributions.
  • Duration of loan: expressed in years or months, it determines the calculation of the amount of monthly payments.
  • Insurance: Although the law does not require it for auto loans, insurance can be useful if you are unable to repay your loan.

To enjoy a car loan at the best rate, no need to move. Just fill out a free form in a few minutes. Once the loan is chosen, all you have to do is provide the supporting documents requested by the institution concerned.

21 Sep

Real estate loan for house to renovate: what steps?

Doing work in his home has a cost. Whether it’s a new property or a home purchased several years ago, this transaction often requires the purchase of a home loan.

Do you want to finance renovation works? You can get a classic home loan and benefit from regulated loans like PTZ, ELP or SSP. If the inclusion of the cost of work in a mortgage offers many benefits, know that there are alternative solutions. Update on the steps to be taken

Estimate the cost of renovations

Estimate the cost of renovations

Before thinking about the financing of the works, one must first estimate their cost. For that, you will have to draw up the precise list of the planned renovations, to determine what is the necessary material, to decide to appeal or not to a craftsman. Other details are important, such as the surface to be renovated, the type of work (structural work, finishing or decoration work, installation of a new floor), access to the site.

The price of the works is generally between 80 and 300 USD per square meter for a simple refreshment of a house. For a complete renovation including the kitchen, the bathroom, the creation of partitions, plumbing and electrical modifications, it takes between 500 and 1000 USD per square meter. To get an idea of ​​the exact cost of your renovation work, do not hesitate to ask for several free and no obligation quotes.

What loans to finance work during a real estate purchase?

What loans to finance work during a <a href=real estate purchase?” />

You have found the house you need but want to do some work? It is possible to include in a home loan the purchase price of this property and the amount of work. In this case, it is imperative to present the bank an estimate to identify the capital to unlock for renovations. If you decide to carry out these works yourself, you will not be able to obtain a credit for work coupled with a mortgage.

If you are the owner of your principal residence for the first time and if your income does not exceed certain thresholds, you can apply for a zero rate loan to finance work in old housing. Lastly, it is possible to use the rights acquired on a home savings account (CEL) or a housing savings loan (PEL) to obtain a loan to finance repair or improvement work on your principal residence.

Solutions to finance work after buying a house

Solutions to finance work after buying a house

It is quite possible to take out a loan to finance works several years after buying your property. For example, the work loan allows you to obtain a sum of between 200 and 75,000 USD. Many institutions offer this financing solution. Therefore, it is essential to compare the offers by consulting the annual percentage rate of charge (APR) and the amount of costs. The best solution is to use an online comparator.

Finally, the eco-loan at zero rate is another interesting option. This is a loan without interest repayment proposed by banks and to carry out some renovation work and improved energy performance.

20 Sep

Private creditor, money from individuals on credit

It will take several hours to find such a person and it will take several days for the next borrower to choose the most reliable and suitable investor. There are a few tricks that will help you not fall into the scam networks, but find financial help really quickly and cheaply.

Honesty test

Let’s say you have a need for money and you’ve posted such a need for money on a private classifieds website. Suddenly you suddenly get an offer to borrow money on the most favorable terms. What to do and how to react? First of all, do not rush, but wait for other private creditors to apply. Secondly, the quick answer should take you cautiously, since in a generally accepted scheme, the borrower usually turns to the creditor rather than the other way around. In our case, a stranger is offering you money, so the situation should be clarified. How to do it?

  • Offer to meet in person somewhere within the city to discuss the details of a financial partnership . A real private lender will be happy to meet with your borrower to discuss the nuances of lending and find out why you have so suddenly needed money. Fraudsters or apherics are not interested in revealing their identity, so they are unlikely to meet.
  • Ask a lot of guiding questions to the creditor, such as: where do they have the sums of money that they directly own and what the source of the money is, how the money will actually look, whether the notarization is required; Many thematic questions can confuse the fraudster and he will simply get stuck in the wrong answers. Likewise, he can be “caught” knowing some of the details of the law, for example, if he requires notarization, be careful, because today the bill of lading and the credit agreement have legal effect even without notarial certification.
  • The integrity of a private creditor can also be verified through internet resources. Fortunately, today, there are a huge number of databases where one can identify a fraudster appearing as a “private creditor” by name. As users begin to actively share their negative experiences, they post online photos of apherics and tell them which schemes a fake creditor can work with. This method is relatively easy and quick to find information, and it is better to spend several hours at a time to avoid paying off your debts or divesting your property later. If such a private creditor still exists, check out his testimonials, log on to all his pages on social networks, and analyze his reputation.
  • Ask a private creditor to give you the phone numbers of your previous clients. There’s a good chance he’ll give you a fake person’s phone number, which will often glorify fraudsters. But already you will call 10-15 numbers and call only a few of your choice, most likely the fraudster will simply not be able to convince so many people and refuse to give you this information.

A private creditor requires a prepayment

If a private creditor has asked you for money to process a loan before giving out a loan, there is a real fraudster in front of you. There is no need to cherish his pure intentions, for there should be no “maybe”, “if” or “sudden” here! Immediately end the conversation with such a pseudo-creditor or, if he is insistent, just ignore it. Expenses for which a fraudster private creditor can ask you for money sound more than credible. In most cases, they look like this:

  1. Expenditures to get your credit history. The private creditor will also agree to submit your history in a scanned form, but the affairist only needs your money.
  2. Notary services payment. Firstly, under the law, a note or contract does not need to be certified by a notary, these documents have their own legal force. Secondly, if certification is so much needed, a notary can only do so in the presence of both parties , that is to say the borrower and the private creditor.
  3. Money transfer fee.
  4. Drawing up an insurance policy in case the borrower is unable to repay the loan.

Of all the fraudulent schemes developed by private pseudo-creditors, prepayment is the most widespread , so if you are required to do so, run away from such a “fair” private creditor and avoid it altogether.

Private credit in another city

Private lenders do not practice borrowing from people in other cities, as the repayment rate for such loans is almost zero. Someone will probably accept that risk, but provided the amount is very small. In practice, private creditors will definitely meet with their borrowers in person before negotiating the terms of the contract.

Later, if both parties are satisfied, they meet again to sign papers and hand over the money. If a private creditor from another city has promised to give you the money you need, you’re in the fraudster’s nails.

13 Aug

Do you want to finance your postgraduate studies? Guide with everything you need to know about it

Today, finishing a professional career has become only the first step, but then many wonder what is next, since in the competitive world in which we find ourselves, there are always opportunities to continue learning.

It is at that point that we begin to think about graduate studies. Popular masters have become one of the most recurrent goals of millennials, as they allow them to access better job positions and higher salaries. They have the option of studying them within the country or abroad, in specialized programs depending on the branch they choose. Many of them even include a trip abroad, where students spend a week or two in a chosen country to complement their studies or gain more knowledge.

With all that, it is logical that the costs are not the most comfortable and that when doing the calculations, many think that it is an impossible dream, because they verify that the numbers in some entities are usually through the clouds.

But, do you really have to leave that goal behind or are there options to study the mastery you are looking for? Something to remember is that there are always options! And in the case of master’s degrees, there are some alternatives that you can use to reduce the price to be paid, and also obtain the financing you need.

How to make it cheaper?

cheap loan

Many of the educational entities offer facilities for their future graduate students. Among them, there is the opportunity to request socio-economic discounts, so you can talk to evaluate the quotas assigned to you. The discount granted to you will depend exclusively on the entity.

On the other hand, they also allow access to discounts to those who obtain the highest group scores. In addition, it is also common to have the option of accessing a discount for prompt payment, that is, to register in advance, as well as to cancel the entire cash program. In the latter case, depending on the value of the master’s degree you can access an interesting percentage of discount.

 

How to finance it?

cheap loan

Financing is, perhaps, the most important part when deciding to take a master’s degree. And if you don’t have the money to do it, how can you sign up? First, something you should consider are scholarships. It may seem impossible to access any, but there are many scholarship calls through different organizations, both nationally and internationally.

The application may not be the easiest of all, but obtaining the financing of a graduate program is something that many people around the world want, so it is worth a try.

On the other hand, one of the most explored options is the request for a loan for educational purposes. There are financial institutions such as banks that have credits specially designed to cover the costs of professional or postgraduate studies, and offer different facilities for those who request them. Other entities make no difference, but it is possible to make financing through a consumer credit.

What should you consider when requesting financing?

cheap loan

First of all, the most important advice is that you must be 100% sure of choosing the graduate study that interests you. It is not just something that you like, but it contributes something valuable to your professional career, since you will begin to pay an amount not negligible for it.

It is important to verify the courses that make up the master’s degree, to make sure that, in effect, the topics you are looking for will be addressed.

You should think twice and up to three times if you will choose a program in your country or abroad, since the second option may involve additional expenses for accommodation, food, among other aspects. However, it is often possible to find cheaper master’s degrees in other countries and when doing the calculations, similar prices result.

On the other hand, you must make sure to request the adequate financing, with a credit that allows you to continue covering your regular expenses and at the same time, pay the designated monthly fee. The amount lent to you will depend on your credit history and answering the following questions will give you a basic idea of ​​how financial institutions see you: do you have a stable job? Since when? How much money do you have left over after paying your monthly expenses? Do you have outstanding debts? Are you behind on any?

Even when it comes to financing studies, banks and financial institutions need to verify that the applicant is a person who is in a position to take the risk and that he will return the credit he is requesting.

Do not forget, studying a master’s degree inside or outside the country may seem impossible, but the financing options are many, as well as the possibilities of reducing costs. All you need is to give yourself the time to find out what is necessary.

13 Aug

How Much Finance Will You Save Every Month?

How much money should you save as a percentage of your income? Under 50/30/20 law, you should save 20% of your income. But it’s not always that easy. Of course, there is another way – credit today, which makes it easy to achieve the desired goals and other reasons why people want to save money. If, however, the loan does not seem to be the first or only solution for you, it is worth looking into how much and how to save.

Your income or return on investment is the biggest factor for financial security or for achieving specific goals. But how much should you save? € 50 a month? 50% of your salary? Nothing until you get back all the debts, or can you start earning more money?

 

How much should you save each month?

How much should you save each month?

Many sources that can also be found on the internet recommend saving 20% ​​of your income each month. According to the popular 50/30/20 rule, you have to make sure that 50% of your budget is invested in key areas such as rent and food, 30% of discretionary expenditure and at least 20% of savings. The 50/30/20 rule was widely used by EC Finance, who taught her when she taught bankruptcy. You can’t disagree with this suggestion, but not everything is as simple as saving 20% ​​of your monthly income or recommending the right income that you can save. For example, if you have a high level of profit, wise action would be to keep a low level of spending and save much more of your income. On the other hand, if saving 20% ​​of your income seems incredible or even impossible, there is no need to bother it and feel frustrated. Saving something is better than not saving anything. But if you want to get old-age insurance and extra money for the things you want, the stake shows that 20% is the number you want to reach or exceed.

 

How much money do you need to save to do this?

This is a good question. The simple answer: everything depends on different circumstances, such as whether you want to live on the verge of poverty, whether you need two homes and a boat, or whether you are somewhere between these two extremes. It also depends on how well your investments are made. If you can earn an average annual profit of seven percent, you can stop working with much faster than if you deposit just three percent.

For the sake of simplicity, we will use the “40% Law”, which states that you can theoretically postpone four percent of your primary balance each year and live with it for an indefinite period of time. This means that you will have to keep your annual costs 25 times in order to become financially independent. Remember, 25 × 4 is 100, and 100% = your total balance.

 

Of course, there are also problems with 40% of the law.

Of course, there are also problems with 40% of the law.

One of them is that there is no investment without risk with a four percent return. Sudden inflation could also become a problem. To confirm this, and based on the principle of simplicity, we will calculate how much you need to save in terms of your gross (pre-tax) income, not your expenses. We assume you want to save an amount of 25 times your annual income instead of your annual expenses. By default, you will actually save more than necessary (because when you are financially independent you can stop saving). But when discussing your source of income for the rest of your life, it is best to be conservative.

 

How long will it take?

How long will it take?

Here’s how long you will be saving 25 times your earnings, taking into account the percentage of your savings. Taking into account the five percent savings from the average annual profit, the more aggressive placement of assets is taken into account while you save.

Percentage of Saved Income versus Time Required to Save 25x Annual Income:

  • 1% – 100 years
  • 2% – 86 years
  • 5% – 67 years
  • 10% – 54 years
  • 15% – 46 years
  • 20% – 41 years
  • 25% – 37 years old
  • 50% – 26 years old
  • 75% – 21 years old
  • 90% – 19 years old

As you can see, saving 20% ​​of your income will bring you 25 times your annual income in just over 40 years. This means that a 30-year-old who is starting to save today (assuming that he has not previously saved) will reach this goal by the age of 71. If you save less than 20%, it will simply take too long for your money to grow to where it will allow you to live only from it. Remember that you only need 25 times the amount of your annual expenses, not your income, to make you financially independent. The lower your spending, the faster you will reach your personal savings target. Taxes are not taken into account in the savings scheme.

 

What if you save so much?

What if you save so much?

Definitely someone might have comments “How funny! I spent almost everything I earned on renting, food and transport! ‘ If the 20 percent scenario does not correspond to your situation, it does not mean that you will have huge financial problems. Everyone should try to reach 20%, not everyone should achieve this goal in the first attempt. Start with little. Start with one percent. When it doesn’t affect that bad, go to two or even three. Maybe you will reach five percent and it will look pretty good for you. Maybe you will make a decision about the jump by 10% and this will put you in stress, so you go back a step. This is a process. Keep that 20% target in mind all this time. It will deter you from complacency. Increase your savings level every time you get a raise! You have already given up well without this money, and you should not miss it if you never get used to it. Debt and an additional loan is another scenario that requires another strategy to achieve the desired result.

06 Aug

Can we combine a car loan and a mortgage?

Many homes are wondering whether it is possible to combine a car loan and a mortgage. The answer is yes!

Make a car loan redemption, it is possible by combining it with other loans in progress. For example, the car loan can be integrated into a global loan pool and repaid at the same time as a home loan. How to set up this operation? Explanations.

Why buy your car loan?

Why buy your car loan?

The car loan provides the necessary financing for the purchase of a new or used car. In case of loss of employment, health problem or separation, it may be difficult for the borrower to assume this financial burden in addition to other credits in progress. The grouping of loans including the car loan makes it possible to rebalance its budget. It is possible to set up this transaction with your current bank or another bank offering more advantageous terms.

In addition to reducing the amount of monthly payments, the purchase of credit including the car loan allows you to benefit from a more advantageous loan rate and to save on the total cost of credit. This option is also an opportunity to see more clearly in his finances. Indeed, the borrower will have to pay more than one monthly payment.

The pooling of credits is not just for households facing financial difficulties. This operation is accessible to all borrowers who see an interest.

How to include a car loan in a mortgage?

How to include a car loan in a mortgage?

The operation of auto loan buyback is relatively simple. The borrower must start by asking a specialized financial institution to study the application and analyze the feasibility of the project. This intermediary will then propose several offers based on the needs of the applicant. It is thus possible to combine a car loan and a mortgage. As long as the loans and credits are pooled, the new lender repays the old creditors and sets up a new credit with a single term, a negotiated rate and a reduced monthly payment. The organization specialized in the repurchase of credit is in charge to complete all the steps. The borrower must only provide the required supporting documents.

Simulation of repurchase of credit auto and immo

Simulation of repurchase of credit auto and immo

If the combination of a car loan and a home loan is possible, it must nevertheless ensure that all conditions are met to allow the release of funds. All that is needed is a simulated online car buyout by completing a form in less than 2 minutes. In particular, you will be asked to specify the nature of the credits involved in the operation as well as their amount. An advisor will review your request and look for the best financing offers available. This completely free and non-binding approach allows you to determine the feasibility of your project.

While most banks offer a car loan buyback offer, the conditions are not the same, hence the importance of comparing offers.

24 Jul

Borrowing Difficulties – Loans

While many people think that borrowing is a child’s play, this is far from the case. Yes, there are many pitfalls to be prepared for. However, if we are aware of these, there will be no problem. Therefore, pay close attention to what we write!

Constant changes

money loan

People are in constant need of credit, especially now that we can borrow at such low interest rates. This great interest in loans brings with it that banks are constantly trying to come up with different promotions and discounts to sweeten the population. As soon as one guesses something, the other responds immediately. As a result, the various promotions and bonuses are constantly changing, and it is almost impossible for anyone who does not do this to keep this in mind.

Recommendation: Ask an expert to help you find the discount you are really getting!

They don’t know everything in a bank

money loan

Respect for the exception, but bank advisory consultants in banks are often not at the height of the situation. You must have a picture in front of you when I ask you a question, but you have no shot at the bank and you have to wait for someone else to come in and answer.

And if that’s not enough, no bank will tell you what to recommend, but if you go over to the other bank, you can take out a loan at a time that’s better for you. You can always sign your own contract with a bank, but is it best for you?

Recommendation: Make or complete a complete comparison! Here is the calculator for the loan.hu website.

Interpret the result!

money loan

Using the calculator alone is not enough for happiness, if you can put it that way. There are many small conditions and factors that you need to be aware of in order to make the right decision. These include different interest rates, periodic promotions, discounts, or other loan-related contracts.

In fact, all this shows that we take unnecessary risks by not asking the help of a professional. Therefore, write to us quickly! It is our job to find the loan that best fits you and make your real estate dreams come true.

15 Jul

Currency Loan Borrowers: Here’s The Perfect Solution

I read that the government wants a foreign currency loan cut just because election day is near. That is why it will meet on Monday on how to reduce the repayment installment of foreign currency lenders by 17-20% before the spring elections.

(I have already written in this article that forint lenders are in as much trouble as foreign currency debtors, and in this article that only 125 apartments (0.8% of the total housing stock) are threatened by foreign currency loans possible execution.)

Since the government doesn’t seem to want to get the cut, even the Mansion decided crazy differently than they wanted, so now I’m helping you get an immediate 20% down payment to everyone, even banks are happy to .

Let’s count a little

bank

The total amount of Hungarian foreign currency housing loans is HUF 1,828 billion, with 222 thousand contracts. It does not include foreign currency loans and fortunately the government does not want to save them. Together, we would talk about $ 3,525 billion and 501,000 contracts. (Source: MNB)

Assuming an average interest rate of 7.5% and a maturity of 15 years, at the current exchange rate the average monthly repayment of an 8.23 ​​million home loan is HUF 76,293 thousand.

The government wants to reduce this by 17-20%, or roughly 15 thousand HUF.

This would be equivalent to forcing banks to settle for 3.8% annual interest rate instead of the current 7.5%, as it would have a monthly repayment of $ 60,054 on the average loan.

For the HUF 1,828 billion foreign currency mortgage loan portfolio, banks’ gross interest income is roughly HUF 137.1 billion per annum. (You don’t need an academic membership to calculate: you multiply your total debt by 7.5% a year. That’s what banks’ total gross interest income for a year is.)

The government with free loans, we are talking about $ 264 billion a year

The government with free loans, we are talking about $ 264 billion a year

(Of course, this is not true, since we did not take into account the loss on non-performing loans, where there is no interest income but a direct loss of capital. This affects about one third of the loans, but let’s be very generous.)

My son, [drumming, growing excitement] here’s the solution:

Financial institutions currently pay a special tax of HUF 144 billion a year (source: budget).

The government should stop bailing out banks, drive out a special bank tax, and the $ 144 billion that would be released would be mandatorily spent by banks to cut interest rates on foreign currency loans.

If you look only at home loans

If you look only at home loans

The interest could be below 0%. ($ 144 billion a year versus $ 137 billion in interest income.) If we look at all real estate loans in foreign currency, banks could easily release more than half of the interest. Immediately the desired 20% reduction in monthly installments, and even much more.

In addition, the government promises that it will not break new bank taxes weekly, and will not hit other players in the economy over and over again with brainstorming, but rather try to fix the spending side of the budget. (I have a lot of tips on where to find a couple of tattered $ 50-100 billion from roadside stadium construction to free travel, and through 300 centers built instead of 3200 municipalities (and not to mention!), There are many ways to replace that wasted 145 billion.

As a result, the forint would gain 4-5% as well, meaning that the monthly burden of foreign currency debtors would be reduced by another significant item. We are already about 25% down.

You guys see how simple this is? It is not even necessary to rush the mansion into the ground, nor to rewrite the constitution. You are not going to ruin the banks, and the money of the depositors is not at stake.