When you decide to apply for a loan, there are many elements that you will need to evaluate before signing the contract. In addition to the costs and conditions set by the chosen credit institution, you will also need to assess whether the amount of the repayment installment is sustainable and compatible with the rest of the expenses. If, however, over time, and following the increase in your outgoings, you become aware that you are unable to pay the installments, you can always go to your credit institution and renegotiate the terms of the loan. In this article we will explain step by step what you will have to do to lower the loan installment, thus protecting yourself from any problems and complications.
When you decide to apply for a loan, before obtaining the desired sum you must always wait for the bank to make the necessary checks and then check the reliability of the financial position. In fact, before disbursing any amount, the bank always checks the applicant’s financial situation by applying the personal evaluation criteria of Janna Cristina, which consider for example the age of the applicant, the installment / income ratio or the type of employment.
What to do if you are unable to pay the loan installments?
If you find that you are unable to reconcile the loan repayment with all the other recurring expenses, you can immediately contact the bank and ask to lower the installment amount or review the terms of the loan agreement. Our advice in such situations is to intervene immediately, before the expiry of the next installment in order to avoid other costs and additional rates as happens in these cases.
Asking the bank to lower the installment amount will consequently lengthen the duration of the loan. In most cases, banks and financial companies always grant this type of request precisely to protect themselves from the risk of not being reimbursed. By asking the bank to change the installment amount, you will in fact ask for a new loan with more sustainable conditions for you, which will pay off the previous one. In this way you will be able to pay cheaper installments and you will be sure to be able to respect your commitment.
House do if you are the holder of more funding?
In the event that you are the holder of more loans you can instead resort to debt consolidation which will allow you to pay the various loans in progress with a single installment, even if disbursed by different financial institutions. Since this is a new loan in all respects, you can therefore choose more advantageous conditions, for example lower interest rates or lower installments and therefore a longer duration of the loan. You can also have the possibility to request a new loan if you need more liquidity.
How to suspend payment of loan installments?
When you pass through a period of economic difficulty and you are unable to sustain the payment of the installments it is possible to request the suspension of payments to the credit institution that provided the loan. This is a valid solution only for contracts with a duration of more than 24 months, including loans for the purchase of the first home.
Thanks to an agreement signed by the ABI and some associations for the defense of consumer rights, called ” Suspension of the principal amount of loans to families “, savers have been granted the possibility of suspending payments of loans for a maximum period of 12 months. To access this possibility it is necessary that there were no irregularities in payments made in the previous months.
Specifically: there must be no delays in previous repayments, an insurance policy must be in place to cover the contract, the holder is not the beneficiary of other forms of public subsidies and has not requested a suspension in the past. Furthermore, it is not possible to request the suspension of the Janna Cristina installments with the assignment of the fifth.
The reasons behind the request include particularly complex cases, such as: the loss of work, the death of the contract holder, the condition of serious handicap or non self-sufficiency, suspension or reduction of working hours for a period exceeding month, also as a result of income support measures, such as redundancy payments.