Recourse to a pool of loans is an attractive operation. And for good reason, it facilitates the calibration over a longer period of debt of the borrower, alleviating the burden of heavy burden on his shoulders. However, this technique raises a lot of questions, especially regarding the possible costs it can generate. Indeed, it must be kept in mind that some fees are mandatory and some optional or additional. To enlighten you on the question, here is an overview of the costs to provide.
What fees do you charge?
The most emblematic remain above all the expenses of study of file. Like other transactions specific to the banking community, recourse to pooling of loans requires the compulsory payment of file study fees. However, these are not mandatory until your application has been approved. This means that an application that has just been the subject of a simple study by a banking institution can not result in the payment of any sum.
Apart from the application fees, the subscription of an Invalidity Death Insurance is also obligatory. This measure aims at guaranteeing the repayment of the monthly payments of the loan contracted in the event of death of the borrower or in the event of a serious accident resulting in a temporary or definitive invalidity. In addition, you may be required to pay an Early consolidation Amount (ARI) on a pooling transaction.
If it is a real estate loan that is being redeemed, then the value of the IRA will be worth 3% of the remaining capital. IRAs are also applied when the merger involves existing loans or simply if the value of consumer loan reaches a significant threshold.
The costs of guaranteeing your loan
No structure engages in a loan consolidation operation if it does not have sufficient guarantees from the borrower. To comply with this requirement, two choices are available to you:
– The mortgage of your property which requires the payment of a tax of land registration whose value is estimated at 0.65% of the sum borrowed
– The bond. If your deposit is a third party, no fee will be charged. On the other hand, if it is a professional structure, the guarantee fees in this case amount to 2 or 3% of the loan.
Optional fees related to a consolidation of loans
These expenses mainly concern those related to the subscription of an unemployment insurance. Although not mandatory, this insurance can be very useful as it offers monthly repayment guarantees when the borrower is out of work.
The ancillary costs to provide
When the services of a broker are solicited, it is quite normal that this entitles to the payment of brokerage fees. These fees vary most of the time between 3% and 5% of the proposed loan.