Whether you are a state, territorial or hospital official, consolidating credits for public servants consists of grouping several monthly payments into one.
As with any other socioprofessional category, the mechanics behind the redemption of credits for civil servants is simple. The credit institution that agrees to grant you the financing reimburses the amounts due to your former creditors, for example: banks or credit companies.
Then a new credit agreement is signed. It includes the following conditions:
- One interest rate
- A repayment period readjusted
- A reduced monthly payment
How it works ?
Regardless of the type of credit you have subscribed, you can collect consumer loans and mortgages under a single monthly payment. To determine the nature of your credit, the lending organization evaluates the share of outstanding property to be repaid.
Indeed, if the share of the remaining amounts related to the repayment of the mortgage represents more than 60% of the amount due, it is the legislation of the mortgage that applies to the new contract.
If not, the new contract will be governed by consumer credit legislation.
Interest rate: how is it calculated?
Loan agencies set the interest rate on the redemption of credits for civil servants according to different criteria. They evaluate the financial situation, the rest to live and the debt ratio.
To find the repurchase of credits at the best interest rate, the officials can put in competition the lending organizations which propose interesting interest rates via the comparator Ali Baba. Public servants will be able to subscribe to a loan buyback adapted to their profile and their needs.
With their status of “public service employee”, public servants present a reassuring record to the lending agencies.
What are the steps to follow ?
To build your file, you must gather the following documents. Here is the non-exhaustive list of the necessary supporting documents:
- A letter justifying the reasons for the purchase of desired credits
- Photocopy of your identity card
- Proof of address of less than three months
- A proof of your income: payslips
- The last three statements of your bank account
- Your RIB
- Your proof of loans in progress