Do you plan to renovate your home? If your budget can not cover the quote prepared by the contractor, it would be better to apply for a loan work.
The loan works is a short-term loan repayment. It is granted for the financing of various redevelopment works. It is a fixed rate loan with a stabilized borrowing threshold of 75,000 euros. Any natural person and real estate companies (CSI for example) can claim this financing.
The conditions for awarding the works loan
The conditions for granting work loans vary from one financial institution to another. This variation concerns the application fees, the repayment rate of the loan, the amount of the monthly payments and the repayment period. Depending on the nature of your project, the grant conditions will not be the same. Hence the need to compare different offers of loan works available on the market before you commit.
In addition, some financial organizations also offer a loan rate work 0. This loan is granted for work envisaged in a principal residence, still brand new. After completion of the work, the borrower must necessarily live there. For this model of financing, the state will take all the interests in charge.
What are the benefits of a loan works?
The first benefit is the protection enjoyed by the borrower. Being also a consumer loan, the terms of the contract are established in accordance with the provisions of the Consumer Code. Thus, as a borrower, you have a right of withdrawal for a period of 14 calendar days. You can therefore cancel a loan agreement work in case of modification of the project for example. This termination, within the recommended time, waives any penalty to the lender. In addition, you are free to discuss the reason for termination or not. However, you are required to provide any information regarding the progress of your project to the loan institution.
How does the loan works?
The loan works is usually granted in the form of personal loan or loan work affected (installation of windows , industrial cleaning , installation of solar panels … ). The operating mechanism will therefore depend on the type of funding chosen.
However, in the case of the assigned work loan, you are required to provide the lending institution with some information: the nature of the work envisaged, an estimate of your work and the purchase order provided by the contractor to whom you have entrusted the works
The loan is a quick way to help you realize all your personal projects.
The amount of loan depends on your ambitions but especially on your ability to repay the loan in the time agreed upon when you commit.
With the loan works, you have the opportunity to finance the construction of your home but also to proceed with the rehabilitation of your home.
Loan construction work
You own or not a land and you want to build your house? The bank will help you to choose the right ground but also to answer all your questions concerning the adequate modalities to finance your project. This collaboration is long term so it is important to choose a bank that must be both strong and flexible.
Your bank will do the prospecting that will allow you to have a global vision of your project. The result allows you to fix with it, the amount of loan but also the interest rate applied to the loan. You have the option to choose two types of rates:
– A variable rate that will comply with market conditions. This type of rate allows you to prepay without penalty.
– A flat rate with constant monthly payments that avoids market surprises. This rate also allows you to pay in advance but with an allowance.
It should be noted that regardless of the rate chosen, a loan commitment and must be paid back so make sure you have the ability to repay before you commit.