Personal microcredit is a kind of consumer credit reserved for the most vulnerable people who want to buy property and can not finance it without credit. In this article, we give you all the keys to getting a personal microcredit online.
Personal microcredit is a credit apart and differs from other types of credit. It is particularly intended for people who can not obtain credit in banking institutions, either because of their income deemed too low, or because of their professional situation considered unstable.
Personal microcredit, a kind of consumer credit
Microcredit is a consumer credit. Consumer credit concerns non-real estate purchases and loans up to 75,000 euros. When a borrower subscribes to a consumer credit, the amount of money borrowed will have to be repaid in installments.
There are two types of consumer credit: earmarked and unallocated. The credits allocated finance a property defined in advance (travel, car, kitchen design etc.) while an unallocated credit allows the borrower to use the money as he wishes. Personal credits and personal microcredits fall into this category.
Consumer loans may also take the form of a lease with option to purchase (LOA). Often referred to as a “lease” and used for the purchase of a vehicle, this type of credit is not strictly speaking, since it is in fact a lease that includes monthly payments to the financial institution each month.
Consumer credit has a legal framework
The financial institution has an obligation to inform the subscriber. The law now imposes a certain amount of information on all offers of credit, including its nature, its duration, the annual percentage rate of credit, the total cost of the operation, the number of deadlines and the amount of each. between them.
The Consumer Code lays down several rules of form and conclusion of the contract in order to protect the consumer and allow him to choose the consumer credit most suited to his needs. These measures are as follows: submission of the standardized credit and insurance information sheet, evaluation of the creditworthiness of the borrower before the issuance of the prior offer, reflection period of 15 days from issue of the prior offer, withdrawal period of 7 days after the signature of the contract and terms of early repayment.
Who is the personal microcredit intended for?
As we have seen, personal micro-credit is reserved for a certain category of people who can not subscribe to a conventional consumer credit in financial institutions. It is particularly intended for people excluded from bank credit such as jobseekers or social minima recipients. In any case, it will be necessary for the personal micro-credit applicant to have a personal project aimed at social or professional integration. It will therefore be possible to use the money borrowed for the purchase or repair of a vehicle, to finance vocational training, to finance his driver’s license or to finance health care that is poorly reimbursed.
The amounts that can be borrowed when subscribing to a personal micro-credit online are generally quite small and depend on the income of the borrower. As a general rule, they are between € 300 and € 5,000 and must be repaid in a minimum of six months and a maximum of four years. The credit rate, set by the lending financial institution, is generally between 1.5% and 4%.
Where to subscribe to a personal microcredit online?
When you want to subscribe to a personal microcredit online, it is not advisable to go directly to a bank, but rather to call on a social support network that will act as an intermediary. The latter is responsible for welcoming the person requesting the credit, studying his project and helping him to build his file before presenting it to an approved bank.
You can go to a neighborhood board, a house for employment or a community center for social action (CCAS) or a social association. The public service website can help you find the closest social support network in your area.
Often, you will be able to send online contact forms to get the first information or to make an appointment with someone who can meet you and help you complete your project. But do not panic, if your request for personal micro-credit online is granted, The social support network monitors the project, throughout the duration of repayment of the loan by the applicant. top