Citizens rarely make hasty and reckless decisions about borrowing. They are aware that credit obligations can put a strain on their home budget in the long run. Before taking out a loan, they usually think carefully about how much their total income is and how much they spend on a monthly basis. Clarification at

It is difficult to assess whether they will be able to settle their obligations on a regular basis in the future, especially when it comes to contracts that may change the terms of the loan repayment (variable interest rate).

Through a combination of circumstances, clients may be put into a situation where their monthly income is not sufficient to pay the monthly obligations of one or more loans. One possible solution is to refinance these obligations.

An existing loan refinancing loan is a product by which banks allow all regular credit, card and other credit product customers to close multiple liabilities with one loan, at the same or other financial institutions.

Debt closing loans make it easier to repay debts

Debt closing loans make it easier to repay debts

A break-in loan with a break allows clients to replace all their existing financial liabilities (cash loan, consumer and revolving loans, overdrafts, etc.) with one loan for an extended repayment period of up to 12 years.

A refinancing loan is a more transparent review of liabilities and a lower monthly cost because the client does not pay interest to the bank on more than one loan, and since it increased the repayment period, it reduced the annuity.

Dedicated loan without proving purpose


Refinancing credit means a product whose purpose is strictly defined. As proof of the purpose of the loan, the client is obliged to present a confirmation of the claim of the bank whose loan is closing. The other bank’s written confirmation must include information about the type of liability, the exact amount of the debit on the date of issuance of the certificate, the giro account and the reference to the number for payment of funds.

This refinancing loan involves the settlement of all the client’s credit obligations, and at the same time enabling him to use 30.00% of the loan’s value in cash without documenting the purpose.

Loans reserved for clients


Prerequisites for the loan are realized by citizens who have already transferred or intend to transfer regular monthly income to the bank.

It is imperative that clients are permanently employed by their current employer for a minimum of 12 months and earn at least USD 3,000.00 a month. Credit participants must not be more than 70 years old on the final due date of the loan. In case of termination of inflows of monthly receipts to the current account with the bank, the variable interest rate from extremely favorable 7.99% increases to 11.00%.

Repayment of the loan with 11 annuities annually


In addition to the longer repayment period, this loan, with a currency clause in USDos, which can be realized in the amount of USD 5,000.00 to USD 30,000.00, and with an exceptionally favorable interest rate, is paid without the cost of bank processing fees. A fallback loan is called this because it allows clients to pause in loan repayment, one month a year.

The bank concluded that the repayment of loans was the most difficult for customers in January, after the Christmas and New Year holidays.

Pausing allows clients a short break from their financial obligations when they need it most. Customers will also be rewarded with a revolving credit card with no subscription and membership fees for the first year of use, and for subsequent years provided they have used the card regularly during the first year.

Example: The difference in annuities of loans contracted with or without a break

Before taking out a refinancing loan, you must first check the profitability of the refinancing itself. It should be borne in mind that when extending the repayment period, the total cost based on the interest paid to the bank increases.

Also, the client has to pay the costs of validating the security instruments. Customers usually opt for a single-purpose refinancing loan, which is a reduced monthly installment to meet their primary goal of reducing the monthly installment .

This usually results in the regular fulfillment of monthly obligations, and refinancing is always cheaper than reprogramming!

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