Revolving credit: the leading cause of over-indebtedness in France
A flagship product of banks in the 2000s, revolving loans today suffers from a bad reputation. The first cause of the over-indebtedness of French households, revolving credit was the subject of deep reform in 2010, with the entry into force of the Lagarde Law the same year. At the same time, its share in overall credit production has fallen sharply in recent years.
However, despite more restrictive granting conditions and better information for borrowers, revolving credit continues to attract a certain attraction among the French. In itself, this is not surprising, since this cash, accessible at any time, constitutes a real boost in case of unforeseen events. Only here, the temptation is sometimes too strong to draw from this reserve to pay expenses which are not always essential. The debts will then accumulate and, ultimately, endanger the financial future of the home.
The repurchase of revolving credit to overcome a situation of over-indebtedness
The repurchase of revolving credit thus allows you to leave the vicious cycle of the over-indebtedness and to keep the hand on your budget, by reducing the monthly payments and by adapting them to your real incomes. However, this solution must be accompanied by a change in your habits. You will have to put an end to unnecessary spending and tighten your belt for a while, a necessary condition for a better cleaning up your financial situation and looking forward to the future with serenity.
With a single deadline and a well-defined repayment period, you will be safe from possible financial slippage. During this operation, all your current revolving loans will be grouped under the same contract and you will have only one contact.
It should also be noted that a repurchase of revolving credit allows you to gain in purchasing power since the monthly payments will be reduced and your “remainder to live” will improve. Not to mention that with the continuous decline in interest rates in recent years, you are sure to realize serious savings by having your loans redeemed today.
In addition, depending on your needs, the lender can grant you an additional reserve of money.
The repurchase of the revolving loan remains, for this reason, a timely solution to face a situation of over-indebtedness. The accumulation of revolving loans is often the source of serious financial difficulties, but it is far from inevitable. Good Lender supports you in finding the offer that best meets your expectations. We compete with the various establishments specializing in loan repurchase to find you the best financing conditions.
We provide you with various simulation tools to help you analyze the feasibility of your project and guarantee full transparency of our prices and an impartial choice.