Do you need reliable financing to carry out your renovation work? The work loan is the most suitable solution for individual requests. Indeed, it is a consumer credit formula often assigned to the realization of a specific project to allow owners or tenants to improve their living conditions.
Faced with a constant increase in the demand for works credit, banking establishments are increasing their offers and it is increasingly difficult to choose the work loan best suited to the real needs of the household.
Works loan: the specifics
Before even choosing the work loan, it is important to learn the specifics. As a consumer loan, the works loan gives you access to a sum of between 200 and 75,000 $, for a repayment period of 3 to 84 months.
For a larger amount, it is better to turn to a mortgage formula. In order to better locate your needs, do not hesitate to ask the assistance of a confirmed company to give you a detailed estimate, as well as the advice of your banker to make a summary of your current credits and review your charges in order to determine the amount that will be used to repay this work loan. This information is essential, because it will allow you to compare the different possibilities available to you.
The criteria for choosing the works loan
To find the right work loan, do not hesitate to compare the offers of banks and other credit institutions. Besides, you now have online simulation tools that will provide you with the necessary information concerning the amount borrowed, the repayment period expressed in monthly installments, the APR (effective annual directory rate) applied, the total amount of the works credit.
This information will help you compare the offers of the banks and take advantage of the competition. It is also possible for you to call on a credit broker, an expert who will study your needs and your financial situation to put you in touch with the financial organizations that offer the best offers.
Work loan assigned or not assigned?
When subscribed in the form of assigned credit, the work loan will only be used for the interventions specified in the estimate, and proven by invoices or purchase orders previously provided with the credit request file sent to the bank. In addition, you must mention on the purchase order made by the contractor that the work is the subject of a work credit.
So, if you never get the credit, you can cancel everything, and in the event that the company is unable to provide the intervention, the work credit is automatically canceled. With the works credit allocated, the borrower has the right to make a partial or total prepayment, without facing penalties.
As for the unallocated works credit, this is a classic personal loan which is granted to you without proof of use. This money can therefore be used to finance do-it-yourself work, buy household appliances or even furnish oneself, giving you more freedom with this form of work loan.