How does a consumer credit application go? What are the best practices for receiving money quickly? Find everything you need to know to apply for a loan in good and due form while ensuring that you get the best APR rate.
The stages of a credit application
A request to obtain a consumer credit breaks down into several stages:
- Comparison of APR rates and first immediate response in principle
- Reception of the contract by post or in digital format
- Signature of the contract thanks to the electronic signature or in a paper version
- Sending supporting documents online or with the paper contract
- Waiting for the final response from the lender (6 to 8 days on average)
- Receipt of funds in your bank account
Online credit rate comparison
The major advantage when starting an online credit application is the possibility of comparing APR rates. In reference into the field of consumer credit, the annual effective annual rate makes it possible to distinguish a cheap loan from another to flee.
Let us lend ourselves to the game of a comparison of the rates of a personal loan 10,000 USD over 48 months, a very requested credit, in order to note that all the offers are not competitive.
It is, therefore, possible to pay more than twice as much interest for the same loan, depending on the choice of the organization. The fifth organization in the ranking of our comparison is, however, one of the most renowned on the French market.
A word about the APR rate
The overall effective annual rate is a barometer in the field of consumer credit. The best loan is always the one with the lowest APR rate. The law requires organizations to display the APR on each loan offer. It is mostly fixed, with the exception of revolving credit.
The APR makes it possible to calculate the real cost of a loan, once put in direct relation with the amount borrowed and the duration of repayment. It includes both interest and any administrative costs. Identifying the cheapest credit could not be simpler thanks to the APR.
How to use our credit comparator?
Our credit comparator allows you to request a credit and get an immediate response in principle. Connected in real-time to the best organizations, it is not only capable of displaying a classification of rates, but also of interrogating them all once the form is completed.
Once the questionnaire is completed, a favorable opinion (acceptability> 50%) triggers a confirmation by email within 24 hours. In the event of an unfavorable opinion from the best organization (acceptability <5%) or an in-depth study of the file (see above), it is possible to question the specialists located in the following ranks with one click. Or as many chances of obtaining a pre-acceptance at a very competitive rate. Comparing offers is often the first step in applying for credit.
Credit application: what are the deadlines for receiving the money?
Money from a consumer loan arrives in your bank account no earlier than 12 working days after the request, on average. Here is how the calculation to be broken down breaks down:
- Credit request and receipt or download of the contract (1 to 2 days)
- Sending supporting documents as well as the duly signed contract (2 days)
- The final response from the organization (8 days on average)
- Sending funds to your bank account (1 to 2 days depending on bank deadlines)
You should know that the lending organizations do not have permission to make the transfer before the eighth day following the signing of the contract. This statutory waiting period (the law explained) is incompressible. Only a request for an express transfer to an already existing revolving credit contract makes it possible to obtain the money without delay (24 to 48 hours).
Tip: the waiting period is by default 14 days, the equivalent of the withdrawal period. It is, however, possible to request that it be reduced to 8 days by checking the corresponding box in the contract. When this box is absent, it is necessary to contact the organization in order to express its request.
Borrow without comparing
The first trap to avoid is to rush to a loan proposal without having taken a few minutes to compare the APR rates. Comparing has become a habit in all areas, but is particularly interesting when it comes to consumer loans. The APR rate makes it possible to differentiate between good and bad offers at a glance.
Our comparator not only incorporates a classification based on the APR rate but above all makes it possible to obtain an initial response in principle immediately. A first step without commitment rather reassuring, which does not prevent to inquire in a second time from his banker or any other potential lender. The pre-acceptance of an online organization is a basis for negotiation on which it would be a shame not to bet.
Borrow beyond your means
Opting for a short repayment period to obtain credit at the best rate has no interest if the monthly payments are too high. A credit that is difficult to repay can cause complications, and lead to an over-indebtedness situation.
It is always important to carefully measure your repayment capacity before applying for a loan. When several monthly payments fall each month and the situation is unbearable financially, there is always the option to buy back credit.
Do not reread your entire contract
There are sometimes differences in APR rates between the time of the credit request and the actual offer. The most common mistake is to sign your contract in a hurry, without having read it. We recommend that you read all the pages of the document.
Proposals for instant electronic signatures are pushing today to sign a contract in digital format, which is not always legible. Taking ten minutes to check everything sometimes avoids huge disappointments.