Families in difficulty in dealing with too many mortgages can resort to a financial product that allows to gather all the funding signed in a single mortgage. It is the debt consolidationa tool useful for improving one’s financial management and obtaining a liquidity of greater money.
The loan can be asked to a financial body from any person in any income condition, but at specific conditions, in order to extinguish the debts with a monthly installment of lower amountin the face of a longer amortization period, but with an equal interest rate if no longer.
What is the consolidation of debts
Introduced with Legislative Decree 212/2011, the consolidation of debts is a financial instrument designed to lighten families from over -indebtedness which does not allow them to regularly pay the installments of the accumulated loans, due to the imbalance between the sums to be returned and the liquidable assets, without considering the costs for basic necessities.
Those who have not assessed their own repayment capacity of the debts or found themselves in the circumstances of having to face can be found in this condition Unexpected eventsie independent of their will, for which unexpected expenses or which determine less revenue (such as the loss of work, layoffs, diseases, etc.) are needed.
How it works
To be able to apply for a loan for consolidation of the debts, the applicant must contact banks and financial, comparing the offers on the market in order to find the one that best suits their needs.
If the request is accepted, the Institute takes charge of the customer’s debts and proceeds to the Return of the sums to creditors until the closure of each loan.
Before the lifting of the loan for consolidation of the debts, applicant and body will have to evaluate the figure to be extinguished, identifying the remaining capital the moment of payment of the last installment or requesting the Extinctive countsthat is, the calculation of the residual debt to be repaid to creditors.
To complete the practice, some will be requested documentsamong which generally are necessary:
- identity document and health card;
- paycheck and model cu if the applicant is an employee;
- Pension or OBIS-M model ceased in case of a pensioner;
- Single model natural persons for autonomous, professionals and VAT holders.
The requirements
The consolidation of the debts can be requested generally by anyone, in any income condition, public or private employees, retirees, craftsmen, autonomous and even unemployed, as long as the position is guaranteed and that there are no reports such as bad payer.
In general, the requirements required by financial bodies may be:
- an income to support the installment of the new loan;
- possess a property to guarantee for the required mortgage. Usually the amount disbursed does not exceed 80% of the property value;
- not to be registered as a “bad payer” in the SIC (Credit information system)
