Personal borrowing from guarantee companies means that banks do not lend directly to individuals in order to reduce risks, but require borrowers to have a third party as their credit guarantee, most of which are guarantee companies or individuals with good credit status.
Personal loan process of guarantee company:
1. The lender consults and selects the guarantee company, and then submits the personal consumption loan application, personal identity certificate, work certificate and personal information to the guarantee company, and the guarantee company accepts the project.
2, the guarantee company to conduct a comprehensive and all-round investigation of the applicant, after the investigation for approval.
3. Sign the main contract, guarantee contract, counter-guarantee contract and other legal documents after approval and collect the guarantee fee.
4. The guarantee company will submit the relevant information of the lender to the bank, and the bank will issue the loan after review.
Legal basis:
Article 11 of the Interim Measures for Personal Loans
Personal loan application shall meet the following conditions:
(1) The borrower is a People's Republic of China (PRC) citizen with full capacity for civil conduct or an overseas natural person who meets the relevant provisions of the state;
(2) The purpose of the loan is clear and legal;
(3) The amount, duration and currency of the loan application are reasonable;
(4) The borrower has the willingness and ability to repay;
(5) The borrower's credit status is good and there is no significant bad credit record;
(6) Other conditions required by the lender.
Is it safe to borrow money from a guarantee company?
Whether it is safe or not depends on whether the guarantee company you are looking for is formal or not. Generally speaking, formal guarantee companies are still very safe.
The method of distinguishing formal loan guarantee companies;
1. The legal text is rigorous and the operation is standardized. Old-established guarantee companies often strictly abide by national laws and regulations, and will not operate illegally for short-term interests, nor will they touch the "high-voltage line" of the industry. In operation, any violation or unexpected factors may pose a potential threat to the interests of investors, so it is necessary to formulate a rigorous legal text to clearly stipulate the rights and obligations of investors, borrowers and guarantors in the contract. Only in this way can the interests of all parties be fully guaranteed. This is also an important aspect of judging guarantee companies.
2. Fully understand the assets and social reputation of the guarantee company.
3. We can know from the guarantee company's operating years, the number of customers and the number of days without overdue.
Formal guarantee companies do not pay any fees before lending, nor will they charge any extra fees, such as home visit fees and material fees from customers.
Usually, the guarantee company has advantages: the loan amount is high-according to the regulations of most banks, the maximum amount of mortgage loan is only 70% of the appraised value of the mortgaged house, but if the borrower finds a guarantee company to operate, it is likely to achieve a satisfactory full loan result. For the same reason, some users who applied for mortgage loans even realized their desire to buy a house with zero down payment.
Low application threshold-when the application materials are incomplete and the mortgaged house does not meet the requirements, it is difficult for the borrower to apply for a loan from the bank, and the outcome often ends in failure. However, if there is a guarantee company to guarantee for you, things are expected to turn around. It is not difficult to see that another advantage of the guarantee company is to serve users who cannot obtain loans directly from banks.
The disadvantage is the rising cost of loans-there are advantages and disadvantages in finding a loan from a guarantee company. Compared with direct bank loans, the guarantee company has an extra loan guarantee service fee, which correspondingly increases the borrower's loan cost. However, if the borrower can compare the charging standards of the guarantee company, the loan cost can also be controlled to a certain extent.
Can a personal loan be guaranteed by a guarantee company?
Personal loans cannot be re-guaranteed by guarantee companies.
After the guarantee contract provided by our company is confirmed to be invalid, although our company is exempted from joint liability, it does not mean that our company does not bear any civil liability. Paragraph 2 of Article 388 of China's Civil Code stipulates: "If the debtor, guarantor and creditor are at fault after the suretyship contract is confirmed invalid, they shall bear corresponding civil liabilities.
According to the relevant provisions of the General Principles of the Civil Law, the judicial interpretation stipulates that after the directors and managers violate the provisions of Article 60 of the Company Law and provide guarantees for the shareholders of the company with company property or other personal debts are deemed invalid, the debtor and the guarantor shall be jointly and severally liable to the creditors, except what the creditors know or should know.
1. Personal loan, also known as retail loan business, has become an important loan business after decades of development. Personal loans refer to local currency and loans issued by banks or other financial institutions to natural persons who meet the loan conditions for personal consumption, production and operation. When a lender issues a personal housing loan, the borrower must provide a guarantee. If the borrower fails to repay the principal and interest of the loan at maturity, the lender has the right to dispose of its mortgaged or pledged property according to law, or the guarantor shall be jointly and severally liable for repaying the principal and interest.
2. After World War II, personal loans ("personal loans"), also known as retail loans, appeared in western countries. After decades of development, it has become an important loan business.
The main reasons for the rapid development of western retail loans after the war are: first, the competition among financial institutions is becoming increasingly fierce, and the importance of retail business has been recognized; Third, a large number of different credit reporting agencies have emerged, enabling banks to know the credit status of borrowers conveniently and quickly.
3. China's personal loan is piloted in Shenzhen, hoping that China's financial industry will develop in a multi-channel, multi-directional and diversified way. Non-bank professional financial institutions have also appeared in Beijing. They provide professional personal micro-credit services, which is the first in the industry. Their wealth management products are constantly improving, and the interest rate is similar to that of banks that can provide credit loans.
The background of the emergence and development of personal loans in China: the personal income of residents has increased substantially, and the savings of residents have increased rapidly; Revolutionary changes have taken place in residents' consumption structure and lifestyle; The government has a positive attitude towards personal loans; Personal loans with high risks and high returns are quite attractive to banks.
Can I find a guarantee company if I can't get a mortgage?
1. If the mortgage fails, you can find a guarantee company, which will provide joint liability, so that the bank will think that the risk of bad debts is low and be willing to mortgage. However, looking for a guarantee company needs to pay a certain guarantee fee, which is also a big expense for the lender. Moreover, it is necessary to choose a guarantee company with formal qualifications to confirm whether the guarantee company's ability to undertake the guarantee responsibility is reliable.
2. Generally speaking, as long as the mortgage application conditions are met and there is a certain ability to repay the principal and interest, the mortgage application can basically be approved.