What rights and what obligations are hidden behind a credit?
When subscribing to a credit, the lender and the borrower must comply with certain rules. In fact, the granting of a loan is subject to mandatory conditions set by law and must be respected by both parties. In order to protect the consumer, various devices and remedies are introduced when signing a credit, whether it is a consumer credit, a lease, a personal loan or a pool of credits. See logographos.com for an observation
What are the duties and prerogatives of the lender
What are the requirements of the lender?
Before signing any credit agreement, the lender (or the credit intermediary, if applicable) must verify the creditworthiness of the borrower. To do this, he will submit a questionnaire and inquire about his professional, family and financial situation via questions as specific as many: what job do you do? what is your salary? what type of employment contract do you have? Do you have additional income and what order? Do you own or rent? are you married, single, divorced? how many children do you have? how many people live in your home? etc.
The interests of the lender
The objectives of the lender via this information are multiple. The first purpose is to determine the motivations and the project of the borrower. The second to check if the conditions of repayment of the loan are met and possible. Finally, the lender also has an advisory role in order to offer the most suitable loan for his situation: consumer loan, loan consolidation, personal loan, bridge loan, credit opening etc. It is from these data that he will create your file to validate or not the loan application. Apart from the interview the lender will also inquire with other financial institutions including the Central Credit to individuals to verify the statements of the borrower and various information. This means that the applicant can already know whether the applicant has already taken out a personal or other loan from another organization, whether or not he is a defaulter, the rates of his grouping of credits, etc.
The legal limits of the questionnaire to which the lender must submit
Some issues may be intrusive but necessary for the financial institution to make a decision. Only the necessary information is requested. The lender has no right to interfere more in the privacy of the borrower. Religious, sexual, political, ethnic, philosophical issues are irrelevant.
The rights and duties of the borrower
The veracity of the information to be delivered during the interview
The borrower has an obligation to provide correct answers to the lender. Revelations and clarifications that may affect the loan are also unveiled. Thus if the borrower agrees when asked if he works but fails to specify that his employer has started a dismissal procedure, then the borrower puts himself in a situation of overhang.
The prerogatives of the borrower
Before any credit signature whatsoever (personal loan, consumer credit, loan consolidation, etc.), the financial institution must give the applicant the “SECCI”. The latter is a document presenting different credit formulas. The lender must also explain them so that the claimant can make his decision. It must also be explicitly informed of the amount, duration and periodicity of the reimbursement, the consequences of non-repayment of the loan and the appropriateness of the credit chosen. Finally, it is not mandatory to sign the document on the spot. A reflection period is recommended.