Consolidating loans: the complete guide

One of the loan to consider is the one that allows you to consolidate the installments of other loans.

One of the loan to consider is the one that allows you to consolidate the installments of other loans.

This type of financing is suitable for those who have more loans in progress and therefore many installments to pay: providers offers the possibility of consolidating them into a single loan of a variable amount between 11,000 and 30,000 euros, to be repaid in a maximum of 72 months. In this way you will have the opportunity to pay a single less consistent monthly installment. Only personal loans can be consolidated (four at most); one or more bank or financial loans debited to the providers account; at least two loan or a providers loan and at least one high bank or financial loan. On the other hand, some types of financing can not be consolidated: loans with transfer of the fifth, revolving cards, loans not debited to a providers account and loans from other banks.

 

The loan company provides for an increase in the available balance on the current account up to 3,000 euros and, as already mentioned, does not provide for repayments. To be able to use it, you need:

  • to be a providers account holder for at least six months or to be credited with his salary or pension
  • hold an active providers credit card
  • have a balance greater of -500 euros on the current account
  • be under the age of 70

The provider can be requested through the providers website , even with a digital signature; in the latter case, the inquiry on the requests takes place automatically and, if the assessment is positive, the credit is granted instantly, without the need to send further documentation. Alternatively, it is also possible to request the loan company using a paper procedure.

What is it and how to request it

Providers also offers the service on securities : this consists in granting a credit limit of at least € 2,500 in the current account, which is guaranteed by a mandate to sell on one or more securities in the customer’s main address book: it is therefore necessary that the applicant be holder of a portfolio of equities or bonds sufficient for the amount of the credit. However, the names of the securities present in the sub-headings and the securities denominated in dollars can not be taken into consideration for the credit on the securities, while the securities in euros indicated by providers in a special basket can be used.
Requesting a on providers securities is simple: through a specific page, each customer can indicate which securities in his portfolio he wants to use to determine the value of the credit line and in what quantity. The sum of the countervalues ​​relative to each security will determine the total payable value of the credit line , which may vary from 2,500 to 20,000 euros. Therefore, on these securities, the customer authorizes providers to establish a mandate to sell, which can be exercised in case certain conditions are met.
Once the request for the providers has been made on securities , the outcome is virtually instantaneous: from the moment of confirmation of the request, in fact, the refusal or confirmation of the transaction will arrive in a few minutes and, in case of positive outcome, the credit it will be made available on the client’s account on the day of the request.

Loan on providers securities: the threshold price and the sale of a security

The threshold price of each credit stock is calculated by applying the 45 per cent maximum loss to the reference price used to determine the credit line. If one of these securities reaches its threshold price, a reduction in the total countervalue of the credit line is determined, but the security will remain in the client’s portfolio, even if it will no longer compete with the determination of the loan amount.
The automatic sale of a credit line , on the other hand, occurs when the reduction of the credit line following the achievement of the threshold price determines an overdraft: in this case, the balance is shown positively through the sale of the securities.
Furthermore, the customer with a credit limit on providers shares has the possibility of increasing or decreasing the total amount of the credit line (remaining, however, between 2,500 and 20,000 euros) simply by modifying the composition of the credit line or modifying the quantity of the credit lines on their list.