A financial crisis can occur for every person, and if there is still an outstanding loan, then it threatens to turn into big problems. What if there is no way to repay the loan?
Currently, most of the citizens of our country have some kind of credit obligations. In life, circumstances may occur when the borrower, for any significant reason, cannot pay on the existing loan. Moreover, in most cases, such circumstances cannot depend on the will of the borrower. The reasons are very varied: delays in wage payments, layoffs or dismissals from the workplace. What to do if you find yourself in such a situation?
The most important thing is not to panic, let alone try to hide from the bank and its employees. The first step is to call the institution that issued the loan and inform them that you are in a difficult situation, or even better, if you come there in person.
The bank is interested in getting their money back without unnecessary manipulations associated with the services of collection firms or litigation, and if the client is a respectable payer with a "spotless" credit history, then the likelihood that the borrower will make concessions is very high. The way out of this situation can be one of three options: loan restructuring, postponement or refinancing.
In simple terms, the restructuring of an existing loan is nothing more than a change in the conditions specified in the agreement to be more loyal and gentle for the client. For example, with a decrease in wages, on which the repayment of credit debt directly depends, the bank may extend the period in which the loan must be repaid, thus, the monthly obligatory payments will also become slightly less. If the problem with the payment is of a one-time nature, then the client can be offered a credit vacation, which exempts from making payments for a period of one to six months (at the discretion of the bank).
A delay can be provided if the financial difficulties are temporary, and the client is sure with a 100% guarantee that his financial situation will soon improve, but this will certainly have to be convinced, and it is best to confirm with the bank employees in the credit department. During the period of the deferral, neither interest nor interest is charged, but it can be provided for at least three months, but not more than a year.
Refinancing an existing loan is a little more difficult than deferring and restructuring, which requires a third party to be involved. Typically, the role of the third party is played by a third party bank or financial institution that may offer this product to the customer. In simple terms, refinancing is the overlap of an existing loan with another loan. That is, a third-party bank gives the client a loan for on-lending. When choosing a bank for such a procedure, you need to pay close attention to all the conditions so that a new loan does not become too heavy a burden.
It is worth noting that applying to various credit unions and resorting to the services of microcredits or microfinance, since such institutions and companies, basically, issue money at interest for a period of one or two months, but this will not solve the whole problem, but will only aggravate. because the next month the money will need to be given to them.
