Cheap consumer credit: comparison of consumer credit rates

Consumer credit refers to all loans over $ 200 and / or repaid in more than 90 days, with the exception of mortgage loans. It actually concerns all types of projects, from car credit to personal loan, without forgetting small credit solutions. We will see how to find cheap consumer credit, while making sure we get a positive answer.

What is a consumer loan?

What is a consumer loan?

Consumer credit, or consumer credit, is easy to identify:

  • Amount: between $ 200 and $ 75,000
  • Duration: more than 90 days, usually 6 months to 84 months
  • Type of project: all except real estate
  • APR rate, benchmark for consumer credit

Cheap consumer credit = lowest APR rate

The APR rate (annual effective annual rate) is the benchmark for cheap consumer credit. Associated with any loan proposal, it allows the total cost of a loan to be calculated transparently. The APR includes the cost of interest, but also the application fees. It can be said that under equivalent borrowing conditions (identical amount and duration), the lowest APR rate always represents cheap consumer credit to target.

Where to find cheap consumer credit?

Consumer credit is distributed by a lot of financial organizations, starting with online consumer credit organizations. Here are the lenders able to offer a consumer loan:

  • Specialist organizations 
  • Classic or online banks
  • Several specialist insurers
  • Dealers through a car loan
  • Certain building professionals or craftsmen

Compare rates, a priority

Compare rates, a priority

Our experience in the comparison of credits allows us to say that credit organizations generally have a monopoly on cheap consumer credit. Not all offers are to be seized, and this is where the credit comparator becomes useful. Let us play the game of a comparison, taking the example of a 10,000 USD loan over 48 months. We compared the APR rates offered by the best organizations in our credit comparator.

Best personal loan $ 10,000 over 48 months Fixed APR rate Monthly fees Total cost of credit
Organization n ° 1 3.30% 222.45 $ 677.60 $
Organization 2 3.80% 224.61 $ 781.28 $
Organization n ° 3 5.70% 232,82 $ 1175.36 $

The best consumer credit is almost two times cheaper than the third, which is one of the best known. In addition to offering a better APR rate, specialists such as Viloan, Bankate and Astro finance also guarantee quick credit, thanks to simplified procedures online. Finally, you do not have to be a customer to obtain credit from a specialist. This is not the case with the majority of banks, which impose the opening of a current account before studying the request.

Our cheap consumer credit form allows you to obtain an immediate opinion from the organizations offering the best APR rate, and a concrete proposal without commitment. Connected to the main specialists, the tool is able to interrogate them without delay.

Which consumer credit project to choose for your project?

Which consumer credit project to choose for your project?

Not all types of projects have the same characteristics. The rates are also different, due to the greater or lesser risk taken by the lender when granting the loan. Supporting documents play an important role in a cheap consumer credit file. Let’s take a look at the different conditions between each type of consumer loan.

Personal loan, a consumer loan without proof

The personal loan is a real credit for any project. It is found under several names, including that of “loan all projects”. Without proof of use of money, personal credit offers total flexibility in carrying out your project. It is a product offered by a multitude of actors (online credit organizations, banks, insurers), and whose rates are very variable from one lender to another.

The best way to find a cheap personal loan is to turn to a comparator. Our experience in the comparison of credits allows us to say that the interests are sometimes three times lower between a cheap consumer credit and another to be avoided.

Auto credit, a cheap loan but with proof

The car loan is a type of credit with proof of purchase. This is the order form, provided by the professional. It is on the basis of this document that the organizations are able to lower the APR rates. It can be seen that the APR of car credit is generally lower than that of a personal loan without proof.

The works loan

The work credit meets the same principles as the car credit. This credit with proof of completion (estimate, invoice) allows lending organizations to lower rates. This appropriation regularly concerns very large amounts, especially when it comes to undertaking large-scale works. Obtaining a work loan at the best rate in certain cases allows you to divide the amount of interest by three.

Revolving credit, easy to access but rather expensive

Revolving credit almost always corresponds to a request for small credit. Its amount rarely exceeds 3000 $. The revolving credit grants a reserve of money, available at any time. The “available” can thus be requested at any time, as if to manage a difficult end of the month.

This reusable character is represented by an adjustable and not fixed APR rate. This clearly indicates that re-use of money by express transfer may be granted at a different rate from that obtained at the opening of the initial contract. This small loan is very practical but generally expensive: the rates for reusing money are around 20%. Like personal loan, it is a consumer credit without proof of use.

A word on the repurchase of credits

The repurchase of credits belongs to the range of consumer credits. Its principle consists in grouping several credits in a single monthly payment. A new APR rate is proposed, as with each opening of consumer credit. Comparing buyout solutions is very important, especially since the amounts involved are generally large.

Cheap consumer credit: what to remember

Cheap consumer credit: what to remember

Here’s what to remember when looking for cheap consumer credit:

1 – Using a credit comparator makes it easy to identify the best APR rate, the benchmark for cheap consumer credit.
2 – It is always interesting to get a first cheap consumer credit contract without commitment online. Specialists generally always offer better offers of cheap consumer credit than those of banks or other players.
3 – Once the offer of cheap consumer credit obtained online and translated by a contract without commitment, it is always possible to play competition with its banker or any other potential lender.

Good to know : whatever the cheap consumer credit obtained, a legal withdrawal period of 14 days always applies (see the law).