Real Estate Credit: The Impact of the Hamon Law – Cheap Loan Insurance

The Hamon law, 2014 consumer law, has brought real improvements to mortgage loan insurance. Find out what the changes are and what the consequences are for borrowers taking out a home loan offer.

 

The impact of the Hamon law on credit offers

loan offers

Since July 26, the date of application of the Hamon law, real estate borrowers can, during the 12 months following obtaining their credit, make a change to their loan insurance contract. They thus have the possibility of competing with insurers for their credit insurance and replacing the bank’s credit insurance contract with a competing offer, when they wish and without any cost.

Until then, the consumer had only been able to opt for another insurer at the time of the anniversary date of signing his contract and fees could be applied to him. The Hamon law thus facilitates competition between insurers and then favors the borrower. The lending bank has the obligation to accept an insurance delegation contract as soon as it includes the same level of guarantee as that of the current contract.

 

Other changes made by borrower insurance

credit loans

No rate increase possible

Throughout the duration of a mortgage, the insurance organization cannot terminate a customer’s insurance contract due to an aggravation of the risk for the insured, except if the insured is responsible for this aggravation. The insurer is also not entitled to make a modification to its loan insurance rates without obtaining the agreement of the borrower.

Change banks more easily

When a borrower wishes to change bank establishment, for example to carry out a repurchase of mortgage, the current bank is obliged to deliver to the new establishment a detailed list of direct debits and transfers carried out on the customer’s account. This measure aims to simplify the change of banking establishment.

A withdrawal period of 14 days

Another measure of the Hamon law: the establishment of a withdrawal period of 14 days for the insured following the subscription of a new contract, in order to prevent any duplicate loan insurance.

End of the rechargeable mortgage

The Hamon law also prohibits the rechargeable mortgage, which previously allowed the borrower to mortgage his residence to guarantee consumer credit.

Real estate credit: the impact of the Hamon law

Close mini loan

Click quickly and you can immediately take out a mini loan! In 10 minutes there will be money in your own bank account without too much paperwork or hassle with documents. Do you want to borrow urgently? Then you will find the solution here! Do you not have a payslip? No point! Take out a mini loan without a pay slip and immediately receive money in your account without income. Without work, you can take out a mini loan with a guarantee. How much do you need? 150 USD? 250 USD? The double, 500 USD? Easily borrow up to 1000 USD without fuss.

Mini loan Exit: perform 3 steps

Mini loan Exit: perform 3 steps

Do you want to take out a mini loan without hassle? Then take the following steps and before you know it, the money will already be in your own bank account.

  1. Choose the right mini loan provider.
  2. Go to the application form for the mini loan.
  3. Choose on the form how many USD you want to borrow today.

All you have to do afterwards is send a copy of your payslip and passport or ID card to the mini-loan provider by email.

Take out a Mini Loan but no payslip?

Take out a Mini Loan but no payslip?

No pay slip in your possession but still want to take out a mini loan? As the advertisement of Karwei says: no problem! There is now a mini loan without a payslip for this situation. You can borrow with ‘guarantee’. This simply means that you can borrow money without a payslip, because you specify someone who does have a payslip. So ask someone you know well who does have a pay slip, if that person wants to be your guarantor.

Mini loan Would you also like to take out for weekend emergencies?

Mini loan Would you also like to take out for weekend emergencies?

Do you have a nice party on Saturday? Or are you moving on Sunday and is it important that you have money for that? You can apply for a mini loan 7 days a week, 24 hours a day via the internet at the best mini-loan providers. This prevents you from having too little money at your disposal at unwanted moments.

Take out a mini loan but rejected elsewhere?

The mini-loan providers do not have computer systems that are connected to each other. So: one mini-loan provider does not know that you have been rejected by another. This still gives you a chance to take out a mini loan despite a previous rejection. The advice is: don’t give up and just try. It is just like the lottery: if you try often enough, you will want to try it once.

Afraid of a rejection because you already have multiple loans?

Understandable, but not necessary. BKR testing is not performed for a mini loan. So it is not known that you already have loans or the status of your BKR situation. So you already have a personal loan through your bank, credit cards or a mortgage; the mini-loan provider is not aware of this. Do you have a negative BKR coding and therefore you cannot borrow money anywhere? With the mini loan application, no assessment is done at the BKR, so you still have a chance to be able to take out a mini loan.

Apply for a mini loan without a job.

Do you want to apply for a mini loan without a job? Take out a mini loan with a guarantee and you can still get a mini loan without work or a bank statement.

Are you out of work now? You may think: how can I get a loan? The answer is that you can also get a mini loan without a job. When you go to a bank, they ask if you have income when you apply for a loan. That in itself is understandable because a bank wants certainty. But what if you don’t have a job? Does this mean that you cannot provide security? The fact is that you can do this by borrowing with a guarantee: you have to get someone in your area to guarantee your loan.

Now temporarily no interest lost when applying for a mini loan without a job

Now temporarily no interest lost when applying for a mini loan without a job

There is now a very good deal to make if you apply for a mini loan without a job: you do not lose interest costs. This means that a mini loan for people who are temporarily out of work has become cheaper. Normally you pay a lot of interest for a loan at your bank: sometimes between 5% and 15%. If you borrow 1000 USD, it costs you at a bank between 50 and 150 USD. With a mini loan with guarantee, this costs 0 euro interest. That saves you money again.

Choose the amount of the mini loan yourself

Choose the amount of the mini loan yourself

Whether you want to receive $ 50 or $ 1000 USD, any amount in between is possible. $ 400 for the rent, $ 200 for the telephone bill or $ 900 for a stack of bills: you can indicate how much you want to borrow. You can borrow up to a maximum of $ 1000 on your own. If you want to borrow more, ask if a good friend of yours also takes out a mini loan for you. This way you can borrow up to $ 2000 together.

Applying for a mini loan without a job is safe

You can only apply for a mini loan from credit providers who are supervised by the Dutch government organization AFM. The AFM checks whether the online loan providers comply with the law. This means you run less risk than if you just borrow money from a private individual.

A mini loan with guarantee has many names, but is actually the same

A mini loan with guarantee has many names, but is actually the same

The mini loan without guarantee is also known under other names; mini loan without payslip, mini loan without BKR or paperwork or documents. This mini loan is specially made for situations where you are not waiting for unnecessary hassle with documents and papers. There are just situations where you have to act quickly and you don’t feel like fussing which takes too much time.

Loans for banking bans

“Banking prohibited” persons are natural persons who have issued a bounced check refused by a Cream Bank . That is to say a check exceeding the amount available on his account. In Switzerland, banking bans do not exist because quite simply, checks do not exist.

When a case like this occurs, the debtor / client receives a warning from the bank asking him to pay the missing sum into his account within 7 days, so that the check issued becomes valid, under penalty of becoming prohibited banking.

The customer must then pay the amount necessary to honor the check, and not be noted as “banking prohibited” in the Cream Bank file.

 

What consequences for a client who becomes banned from banking:

debt problem

Although the name of prohibited banking can be scary, rest assured all the same, it generally concerns in France only the issuing of checks. However, this has more painful consequences, for example:

  • Be filed at the central Cream Bank
  • Withdrawal of all your checkbooks
  • Prohibition to issue checks for a maximum duration of 5 years (on all bank accounts, from any Cream Bank )
  • Fees billed by the bank take back your payment and credit cards
  • You can no longer obtain private credit in Switzerland for example, since your extract from the Cream Bank is not “blank”

 

How to get out of this kind of situation?

How to get out of this kind of situation?

The best solution is to pay the amount of the rejected check as quickly as possible, if possible at least within 7 days.

Your banker will then have 2 days to inform the Cream Bank . This will remove your negative entry in the central check file. If you were unable to do so on time, and it is too late, and if the registration has already been noted in the central file of the Cream Bank  then you should contact your bank as soon as possible.
A more complicated discussion will follow, in order to negotiate individually with the bank which “announced” the case to withdraw it, once you have been able to update your account “up to date”.

 

Is it possible to obtain a loan in Switzerland with a banking ban?

loan problem

If you hold a G permit, the bank ban annotation prevents you from obtaining private credit. You will first need to modify your registration with the Cream Bank , as mentioned above.

However, each case is unique and includes its particularities.

In Switzerland when a cross-border worker needs a personal loan, the list of documents requested is different than for “classic” customers. Among other things, we ask:

  • A copy of Permit G
  • A copy of the salary sheets
  • A copy of an EDF or telephone invoice, to justify your address.
  • A copy of the accounts in France, but also of your bank accounts in Switzerland
  • A copy of the Cream Bank , for the famous “non-prohibited banking”

More info on private credits for G permits here in our dedicated article.

Borrowing money in Germany Borrowing abroad

Borrowing money from our eastern neighbors can in many cases be a lot cheaper than taking out an average loan with a bank or lender in the Netherlands. Especially taking out a mortgage in Germany is much cheaper than the Netherlands. In Germany, borrowing with a BKR registration is still possible, because some banks fail to check whether you are BKR listed. This gives the German banks a lot of extra hassle, which they prefer not to have.

Maximum borrowing in Germany

Maximum borrowing in Germany

In all cases, German banks lend you only 80% of your maximum loan, because in Germany it is assumed that in the event that you take out a loan you are able to pay the remaining 20% ​​of the loan amount yourself. The idea behind this is that the banks are less at risk if the repayment can no longer be paid for certain reasons. If there is nothing more to get from you, the bank will no longer be able to recover its money, which means that the bank will suffer large losses. If the bank only takes out loans with people who are financially profitable, the bank is much more likely to pay off. Banks in Germany will also request information about your income, although this should not cause any problems because the minimum income in Germany is lower.

The German banks have no revolving credit, but only work with a personal loan. A personal loan is a loan in which you know in advance how much interest you have to pay, how much you have to pay per month and when the repayment takes place.

Borrow money now in Germany

Borrow money now in Germany

If you borrow in Germany, you therefore borrow a maximum of 80% of your maximum loan. But that does not have to be a problem for you as a Dutchman, because 80% is also a lot of money. Borrowing in Germany can be done online at many modern banks. It is then a matter of downloading an application form or completing it online and sending it back to the bank in question. You will then receive a loan proposal containing the loan amount and loan contract. If you agree with this, you will receive the loan amount in no time after submitting your account details (including your IBAN and BIC code)!

How to apply for a private loan as an entrepreneur?

Do you want to borrow private funds as an independent entrepreneur? For example, when buying a new car, caravan or kitchen?

In order to borrow money as a contractor for private purposes, you must meet a number of conditions. For example, the credit must be intended for the exclusive use of the consumer. In addition, you must have been self-employed for at least 3 years and be able to present annual accounts for the past 3 years. Based on the annual accounts for the last 3 years, the bank determines how much you can borrow. In addition, it is important that you can prove that you are borrowing for private purposes.

You can also submit an extract from your company’s registration to the Chamber of Commerce. And does your company have positive equity and you, as a person, have a payment history.

Do you meet all these conditions? In this case, you can request a loan from the credit broker.

 

How much can I borrow?

money loans

The amount you can borrow depends on your personal situation. The amount of the request is maximized to $ 65,000 by the banks. Wondering how much you can borrow? It is important never to borrow more than you really need so that you can borrow money responsibly.

 

Personal credit or revolving credit?

Personal credit or revolving credit?

If, as an entrepreneur, you wish to take out a credit for private purposes, you have the choice between a personal credit or a revolving credit.

A personal loan offers many advantages. You borrow a fixed amount which is paid directly into your account. The loan is repaid with a fixed term, interest being fixed in advance. You pay a fixed monthly amount to reimburse the total amount due. If you also use such a loan to renovate or improve your home, you can deduct the interest for income tax. You can borrow money without worry at the lowest interest rate and the best loan conditions in Belgium. You can make your loan request securely and completely online with us.

 

Choose a lower interest rate

Many entrepreneurs have a private loan from their own bank. Did you know that you can transfer this loan at a lower interest rate at no cost? With a lower interest rate, you can save directly on your monthly costs. In addition, your credit can also be converted into a personal loan, for example. This means that lower monthly costs and previous debts are free.

It’s very simple and you can do it online, at your convenience. In a few steps, you can take out a loan online. You can apply for a loan from a large number of online banks.

What do you think you can do, save or pay off your loan?

At the moment, you receive little interest on your savings. However, many people continue to save. At the start of this year, the total savings made by the Belgians amounted to almost 344 billion dollars. At the same time, 17% of savers have a loan. Does this also apply to you? If so, consider using your savings to pay off your loan. After all, a loan is more expensive than you can afford to save.

 

Interest rate for savings of less than 1%

interest rate

Savings interest rates have fallen sharply in recent times. A few years ago, you were still receiving a certain percentage of interest, in most major banks the interest rate is now less than 1%. Loans have become cheaper for banks because the Cream Bank has lowered interest rates more and more. Saving consumers is therefore less necessary. Banks are therefore less willing to pay for it. More info on the type of savings account that offers the best return in Belgium here.

 

More costs for savings: taxation of savings

More costs for savings: taxation of savings

In addition, savers face the return on capital tax, also known as the savings tax. Anyone who has more than $ 21,333 in their savings account must pay taxes. Namely on the return on assets above $ 21.33. The Tax and Customs Administration assumes a yield of 4%. While people with a regular savings account earn less than 1% interest. In addition, inflation lowers the value of your savings, making you lose even more money.

 

Paying off a loan = saving money

saving money

A little interest is of course always better than no interest. A savings account is in any case preferable to a savings account in an old sock. Suppose a fire breaks out … But if you have savings and a loan, then it is wise to consider paying off this loan. The interest you pay on your loan is probably higher than the 1% you earn with your savings. So, repay your loan!

Paying off your loan also means that you will be freed from your debts more quickly. Be sure to always keep savings in reserve for unexpected expenses. So after the repayment, you don’t have to take out a loan if the car suddenly breaks down.