Why is having bad loans or credits never a good option? At Lite Lender Company we know the answer well, being what we are going to talk about today. Also saying that having a financial debt is not bad, the problem appears when it is unpaid. In a situation of this type, the finance company has made a loan which it has not received.
It is also true that an unpaid credit can be in different phases. Perhaps the default has occurred recently. As there are many people who do not know the process that is followed when there are financial debts in Lite Lender Company we want to explain it. The ideal of course is to avoid all this through good financial planning.
Unpaid loans How can they be given?
Although it is logical to think that all debts are produced in the same way, the reality is very different. And it is that a person / company may not pay a credit for many reasons.
From because you do not have the capacity to do it to because you have other priorities and it may even be that you never wanted to pay for it. We do not like to recognize the latter but it is reality.
There are people and companies that when they sign a loan know in advance that they are not going to pay it. Obviously, when this happens, they never tell the financial company, because if it is not certain that they would not sign them. Nor is it usual everything is said but we cannot deny the existence of people who do it.
Normally when a person ends up with an unpaid credit it is due to these reasons:
- For lack of financial planning
A person may believe that they will make the return in 3 months and then after that period discover that they will not. If you fix your credit within 3 months then you may find that you cannot return the money.
- Loss of income of the credit holder
It is the situation that every financier fears above anything else. In this case the debtor cannot face the credit not because he does not want to but because he cannot. A loss in the job can lead to the client not being able to face the credit.
- For some unforeseen
It may happen that the money with which the client canceled the loan has to be used in another urgency. And although there are many others, these would be, in our opinion, the main ones.
What if I have a bad credit
The first thing is to be clear that the financial debt will be increasing due to the issue of default interest. That is, the financial company in a situation like this what it will do is apply commissions for non-payment, default interest and others. In short, what this generates is an increase in the debt of the loan.
For example, a debt of 2,000 USD can be transformed into 3,000 USD at a time for this reason. Being also one of the reasons why in Lite Lender Company we always advise to cancel these debts. Having a bad loan is never good, so you have to find a solution in the short term. And it will not be that there are no alternatives to cancel bad loans .
Through private capital we can count different options, all of which are valid. To the problem of increasing debt we have to talk about the inclusion in delinquency records.
Which is another problem of having unpaid credits. The financial companies always include their debtors in these lists of defaulters, being the principal of all. This also has negative consequences as it can affect a large number of situations. From applying for a loan to opening a bank account or a phone line.
When you are included in some defaulters file everything is always more complicated.
Private equity to pay off delinquent loans
If you have credits in default, there is no doubt about the need to cancel them. For this, many of the private loans that we see today in the market were created. From loans with collateral such as private equity mortgages to others signed without collateral. Without going any further personal loans with asnef can be used in these situations.
At least when clients need small amounts of money to pay off their debts. Because if you need medium or high amounts, it will be necessary to provide guarantees. Through the loan to pay off debts, for example, you can access this financing.
The advantage of Lite Lender Company with respect to other private financial companies are the options we have. You will rarely see loans without collateral signed by lenders. Something that is possible from our private financier.