The world of credit is full of intricacies, and it is very difficult for a novice to know if he benefits from the best rates and the best conditions when he signs his contract.
On the one hand, when one consults a rate comparator on the internet, one might believe that the lowest rate that one observes is the best that one could obtain, and yet it is only a question of “grid” rate, and the difference that we observe between the latter and that which we could obtain in our bank branch can sometimes be very high.
On the other hand, the rates are constantly changing, and the rate that is offered one day may increase or decrease the next day.
It is therefore important that you know how to negotiate your consumer credit yourself, as the differences between the offers can be large and change over time. We therefore suggest that you do so simply by following these few steps.
How to negotiate your consumer credit in 6 steps?
Step 1: Define your project well while retaining flexibility over the loan period
First of all, determine if it is a basic consumer credit, or if it is an assigned consumer credit. By affected, we mean car credit, motorcycle credit, work credit,…
Step 2: Then determine the amount and a minimum and maximum loan duration
Over time, do not be completely frozen. Ideally, you need to be able to operate on a fairly wide range. Banks generally apply rates corresponding to duration (the longer the duration increases, the more the rate increases) but quite surprisingly, we sometimes observe rates that decrease with duration! In practice, you will then observe the lower rate when borrowing over 5 years than if you borrow over 4 years.
Step 3: Simulate your loan on a comparator which does not ask you for any personal information
We recommend that you make a few simulations on our comparator, specifying your type of project (affected or not), the desired amount, and changing the duration to observe the rates and monthly payments offered.
The advantage of this comparator is that no personal information is requested from you. It’s fast and you get all the deals from the banks.
Step 4: Make two requests for a personalized quote
Once you have determined the ideal duration of your loan, make two quotes from two different credit agencies. To do this, simply click on the “subscribe” button opposite the two most interesting proposals.
You will then be directed to the websites of the two organizations selected, and you will be asked questions about your situation. This will refine your request and two proposals will be made to you. You will observe in some cases that the rates are different compared to the comparator. You had a generic and quick answer on our comparator, and you now have two personalized answers.
If you do not have the time, you can stop at this stage and take out a loan with the organization which will have made you the best offer, but we advise you at this stage to go to the next stage.
Step 5: Contact your bank agency (ies)
The simulation and contract proposal stage via the internet is essential and allows you to access a credit, but meeting with contacts who hold your accounts and who know you can reveal good surprises.
Our customers could thus see offers from 1% to 3% lower than simulated offers on the internet. Do not make it a generality, but try!
To do this, make an appointment with your agency, tell your advisor about your project, but without revealing your simulations to them at first. If his proposal is more competitive, do not tell him about the results you have obtained, but if it is higher, then do not hesitate, present them.
Bank branches very often have bargaining power. That is, they can lower their rates to a certain threshold without the agreement of the head office, and they can lower them even further to an even lower threshold with the agreement of the head office.
To encourage them to make you the best offer, prepare your arguments well before the meeting. Stable incomes, loyalty to the agency, a well repaid current mortgage, the absence of current consumer credit, the absence of overdrafts, … are all arguments to present.
Your bank advisor is generally commissioned on the sale of products (subscription to savings books, credit cards, investment products, etc.). Even if you do not agree in writing, you can condition the subscription to a low-rate consumer credit to the opening of savings books or the order of credit cards.
Step 6: Prepare your documentation rigorously!
Whether via the internet or through an agency, submitting documentation is an essential step. No organization will lend you … at low rates if you do not present all your documents quickly and rigorously. You will generally be asked for proof of income, a justification of your cartoons, etc. The list which will be presented to you will be clear and exhaustive.
Should I use the services of a broker?
You can do none of the steps above, and use the services of a broker to negotiate your consumer credit. However, very few brokers offer their consumer credit services because the time they invest is too large compared to the commission they will receive from a bank.