Amounts authorized for the assigned credit
The amount of the appropriated appropriation must be at least 200 euros and up to 75,000 euros . This ceiling was increased in 2011, thanks to the Lagarde reform of consumer credit, it was only 21,500 euros before.
Note that there is also a minimum duration; an assigned credit can not last less than three months.
In addition, for a credit of over 3,000 euros, the lender is entitled to request additional supporting documents highlighting the financial health of the applicant, as a proof of income.
Fees for the assigned credit
If the maximum amount of the credit allocated is 75 000 €, it is good to know that the latter imposes some fees, even if they are quite low.
Indeed, the assigned credit is subject to a processing fee of up to 1% of the total credit. These are however capped at 75 euros and can also be included in the loan from a certain amount requested.
In addition, it is possible to add insurance, strongly recommended by credit organizations, but not mandatory. These protect the claimant in case of job loss, death or other health problems.
No protection for the credit allocated if it exceeds the ceiling
It is important to read your contract carefully when you take out a loan, whatever it is. Indeed, if the latter exceeds the maximum amount of the credit allocated , so it is more than 75 000 euros, the latter is no longer legally a consumer credit.
In this case, the applicant is no longer protected by the general conditions of the Consumer Code and must therefore pay attention to clauses such as the conditions of withdrawal or early repayment.
Why is there a maximum amount for the assigned credit?
The maximum amount of the assigned appropriation has been set to allow borrowers to depend on the legal protection of the Consumer Code. Indeed, only loans of this type that are fixed below 75,000 euros can benefit.
For this, the contract must be greater than three months and allow the early repayment without costs.
The Srivener law offers a guarantee of security and protection to borrowers. This allows:
- A withdrawal period of fourteen business days after the signature of the loan offer,
- A period of fifteen days following the date of issue of the loan offer,
- The end of the credit if the property purchased is not delivered or if it does not comply with the order placed,
- The clarity of the loan agreement including the indication of the actual rate of the loan.