Among the different modalities of existing personal loans, we find the loans with mortgage guarantee, as is the case of Good Credit. This entity grants consumer loans by providing property as collateral. We explain the operation of this type of loans and the characteristics of the loans Good Credit
Good Credit: Home equity loans
Good Credit is a bespoke personal loan granting company for those people who need financing and have a property in their name. Good Credit belongs to the Good Finance group, based in Mataró, Barcelona. Good Credit is registered with the Spanish Consumer Agency, which guarantees compliance with Law 2/2009, of May 31, which regulates the contracting of mortgage loans or loans and intermediation services with consumers.
The repayment of a home equity loan works in the same way as a personal loan: the interest rate will be agreed with the entity and the loan will be repaid in a period previously determined by paying the monthly installments.
In case there are repeated problems to face the payment of the monthly installment or if one of the conditions established in the contract is not met, the house will be the one that responds as collateral in a mortgage guarantee loan.
In these cases in which another asset is provided as collateral, we must be aware of the risks involved in guaranteeing a loan. At this point, an agreement can be reached with the lender to renegotiate the terms of the loan.
On the other hand, the home equity loan differs from a mortgage in that it cannot be used to acquire a home, but to have money to pay unexpected payments, make reforms or reunify debts.
Characteristics of Good Credit loans
Good Credit differs from other lenders in that it finances projects that most financial institutions and traditional banks do not accept, such as the reunification of debts or the cancellation of seizures.
This type of loan has a greater risk for the entity that grants the loan and therefore it is difficult to find entities that accept the operation. However, by providing a property without charges as collateral, the operation is possible.
As we have advanced, Good Credit offers to finance for the following purposes:
- Debt reunification.
- Acceptance of inheritances.
- Embargo cancellation.
- Business loans
- Loans for housing reform.
- Liquidity to sell the home you own.
Other features about Good Credit loans are:
- Interest rate: From 8.95% TIN (9.32% APR). Sample APR of a loan of 20,000 euros to be repaid in 60 installments.
- Financing: From $ 6,000 to $ 100,000
- Term: From 12 months to 180 months.
- For new and current customers of the entity.
- Does Credit Checker allow? Yes, it doesn’t matter if you’re on a list of delinquents.
- Without links of any kind and without changing the bank payroll.
How much money can I ask for in the loan?
The maximum amount of money that we can request depends on the guarantee provided, that is, on the home or premises. The amount is calculated as follows:
Ask for your Credit It will be in charge of carrying out a thorough study to find the real value of the applicant’s home, based on recent transactions carried out in the area and the appraisal value of the home (Good Credit assumes the cost of the same), among other data.
The maximum loan amount will be 40% of the real value of the home, including a mortgage. For example, if there is a pending mortgage of $ 20,000 on a home valued at $ 100,000, they will lend $ 20,000 more, including mortgage constitution expenses. In addition, you can continue to inhabit the house that is put as a guarantee.