Call-off Loan – Alternative to the Dispo?

Most people experience in their lives that they spend more than they own. In such cases, loans are available . So far, especially the disposition loan was suitable for smaller sums. Cheaper than this, however, is a so-called call-off loan. This will be presented below and its terms explained.

The advantages of the release loan over a disposition loan

The advantages of the release loan over a disposition loan

If bank customers need money at short notice, then they have often accessed their discretionary loan. This is characterized by the possibility of overdrawing a current account, which is previously determined by contract. It depends on the income and the balance on the account. This tolerated overdraft on the one hand practical, on the other hand, it is also associated with high costs. Because the account holder usually pays for the overdraft interest rates, which are in the double-digit range. Especially with small amounts, an overdraft for the owner is therefore annoying. For the account holder, therefore, a call-off loan is worthwhile instead of the disposition loan. The call loan is offered by more and more banks. Above all, the call-off loan is characterized by the fact that it requires no bureaucracy. The repayment is flexible. This gives the account holder maximum freedom in the repayment of the amount. The interest rates for the call loan are often only half as high as those for the discretionary loan. This makes it worthwhile for the account holder to use it for smaller contributions.

Maximum flexibility in call-off loan

To be able to use a call-off loan, the customer initially turns to the bank of his trust. This then grants him a loan line within which he can access the desired amount. He can sometimes be smaller or larger, but should move within the line of loan. The call loan alone earns the required amount. Thus, there is no risk that the account holder will borrow too much, whose eradication could cause him difficulties. In addition, the closing fee of the call-off loan only relates to the amount actually required.
What makes the call-off loan attractive to account holders in addition to the low interest rate is the flexibility of the repayment. In contrast to traditional loans, where installment payments are usually made at precisely defined intervals, which are urgently required, the account holder can determine the amount of the repayment himself. Only a very small percentage of 1-2% of the loan amount must be paid off at least once a month. However, it is not a problem to initiate immediate repayment if the account holder is currently liquid. In this way, the call loan offers a flexibility that is otherwise not found with loans. This is also confirmed by numerous tests, the results of which can be found on the internet.

What rate for a loan consolidation today?

The purchase of loan (or pool of loans) allows you to simplify the management of your budget by operating a pool of loans . You get a single loan that is easier to repay.

Consolidation of loan (or pool of loans): a fixed and single rate

The rate obtained for the consolidation of loan (or regrouping of loans) is fixed and unique. You combine loans with disparate rates into one loan. So you get a single loan with a single rate and a single monthly payment . The purchase of loan makes the management of your budget easier and without surprises.

The consolidation of loan (or regrouping of loans) allows you in certain cases to obtain a lower rate . You can get a better rate for old mortgages contracted when the rates were higher. You can include auto loans, consumer loans or revolving loans, which generally have higher rates.

How to get the best loan consolidation rate (or pool of loans)?

The rate of loan consolidation (or pooling of loans) depends on your goals. You have two strategies:

  • Reduce your monthly payments to reduce your debt ratio and gain flexibility in your budget. With this option, the total cost of loan and the repayment term will be greater.
  • Limit the duration of borrowing to repay your loans faster with high monthly payments. With this option, the total cost of loan is controlled.

The loan surrender rate (or pooling of loans) will depend on the chosen option . The decrease in the amount of the monthly payments leads to the lengthening of the repayment period and increases the total cost of the loan. The reduction in the rate depends on the remaining term of the loans bought back.

Make a loan consolidation simulation

Make a loan consolidation simulation

Beyond the gross number, the best loan consolidation rate (or pool of loans) is the one that will allow you to assume your loans with confidence , with monthly payments tailored to your monthly budget and a reasonable overall cost.

Conduct a free and uncommitted loan consolidation (or pooling) study via our online simulator. Our advisors will then offer you a loan with a rate and monthly payments adapted to your projects.