Why use a credit counsellor?
What is the role of the credit counsellor?
A credit counsellor is a person who provides advisory services for the credit products of various banking and non-banking institutions. It is an information service aimed at finding the optimal credit product according to the individual criteria of a credit applicant. A credit counsellor does not act as a lender or notary, but links a credit applicant directly or indirectly with a lender. Credit counselling services are gaining in popularity and are increasingly in demand. The impartial advice of professionals is highly valued, providing the best offer for the client and helping him to make the best financial decision on the choice of credit product, given the large number of banks and other financial institutions offering a variety of products with different financial conditions and their frequent change over time. The credit counsellor assists the client throughout the credit process - from the choice of the offer, through the application, to the loan drawdown.
What is the consultation process?
Once identified, the credit counsellor must take your consent to provide personal data to collect offers for the desired credit product from various banking and non-banking institutions. In order to provide you with information on the main features of the loans and additional services offered, compared and explained in relation to your individual needs and financial situation, you must first inform him in detail about your financial situation as a credit applicant. In addition to comparing the offers, it is the credit counsellor who must make you aware of the specific consequences for you in the event of late payments or the termination of additional services to a credit agreement, which bank officials often spare themselves and leave as your responsibility to read the small print in the conditions you sign.
The counselor also assists loan applicants by providing assistance in collecting and completing loan-related paperwork and assisting with your referral and servicing by contacting banks. This also includes assisting in the selection of an appraiser and notary. A loan consultant can save you many trips to the branches of individual banks to "sniff out" offers or sign applications. As a licensed intermediary, he is your representative to the respective banks, and you also benefit from his already established network of contacts in the companies themselves and the clear competitiveness that his function gives for the most preferential offer to your profile.
What data does the credit counsellor need?
In order to prepare a creditworthiness assessment, the respective lenders need basic information including customer profile data such as employer UIC, net income of the borrowers, marital status and current indebtedness as well as data on the specific need for the credit product such as amount of financing, currency and loan term.
What are the benefits of using a credit counsellor for you?
Some of the many advantages guaranteed by the service are:
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negotiating discounts and preferences
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selection of the most advantageous offers
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transparent and impartial comparison of all loan costs (which banks do not always provide in detail)
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individual approach and guidance from the selection of an offer, through the application, to its absorption
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saving time and money
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completely free service at a time and place convenient for the customer
Why is the service free? Where is the catch?
The payment to the credit counselor itself is % of the loan drawn and is paid by the bank chosen by the client upon drawdown by the loan applicant. The commission is not paid by the customer but by the financial institution (bank), however this commission is not calculated to the total cost of the loan. This is because the professional intermediary is largely doing part of the bank's work-from advising to structuring the transaction and completing the paperwork.
At Luxury Investment, we pride ourselves on the integrity, honesty, transparency and professionalism of our loan consultants and remind you. It is these qualities that are proven by our simultaneous representation of the two largest credit intermediaries in Bulgaria- "Credit Center" and "Credit Land", registered with BNB and compliant with the FCNIP. Another proof of complete impartiality, free choice and ambition for the greatest competitiveness.
