How to take out a senior loan

How to get the best credit rate when you are senior

The senior loan is for people over 50 years old. It can be noted that the underwriting of consumer credit and mortgages by seniors is increasing over the years. However, the loans granted to seniors are often very expensive and can lead to over-indebtedness.

It is therefore necessary to be aware of the conditions of the contract and to evaluate its debt capacity according to the income received over a long period. Due to their short repayment period, consumer loans are more easily granted to seniors than mortgages. Whatever loan you are considering, try to buy a fixed rate loan instead of a floating rate loan. Also, it can be very interesting for you to make a credit redemption to consolidate your loans into one and reduce your monthly payments.

The senior mortgage

mortgage loan

For senior projects in excess of € 21,500, the mortgage loan may be the most suitable for their financing. The mortgage is a very long term loan. It is possible if you own your home. You can borrow up to 80% of the value of the property you own (up to a limit of € 150,000). The mortgage of your home is therefore a guarantee for the establishment of loan. The senior mortgage loan can be a loan with a real estate mortgage or a life mortgage. The loan of a life mortgage is repayable at one time upon the death of the borrower.

Senior Loan Insurance

senior loan

Senior mortgage insurance is usually quite expensive for seniors. It often happens that bankers refuse to provide loan insurance to a senior. It is therefore interesting to turn to an individual insurer who will more easily accept insurance to benefit from the insurance offer that is able to protect you well during the repayment period of your credit.