Cash against home pledge, take cash against home pledge without guarantors
Offers of financial aid can be seen anywhere: on the walls of houses, on public transport, on the internet, etc. These services seem to have simply filled the information space.
But why is every ad just a phone number and no information about the terms and conditions of the borrower? It is understandable that a prestige and rating bank will not stick to such fences. It is clear, therefore, that the services offered come from less lawful institutions or organizations with a dirty reputation.
All these tempting offers are almost never profitable. Often, their purpose is to give money against a mortgage to later dispose of the mortgage. How and why this happens:
- These ads are targeted mainly at the socially disadvantaged (the poor, drug addicts and alcoholics). Of course, these client “audiences” will never give up money, even against a mortgage. In addition, money will be received quickly and without the painstaking process of collecting documents.
- Such a category of borrowers who borrow money against mortgages almost always do not perceive the world realistically and cannot assess the situation, the real risks.
- Pawnshops, private investors and other individuals set themselves the task of taking away real estate right from the start, so credit conditions are rarely enforceable.
- The interest rate on money against a mortgage is usually not a year, but a month, so people get confused and think if they only have to pay 5% a year, but actually 60% and even more.
- High rates further increase the various fines. And the borrower has no choice but to sell the apartment and thus cancel the debt.
- Issuing money against an apartment pledge is usually done in a hurry, so documents are hardly read and signed “dull.”
- The creditors offer the borrower money against the mortgage of the apartment at an amount not less than half the market value of the apartment. This allows them to expose their client faster: payments and fines to the borrower will certainly seem unrealistic.
Real Estate Loss Options
Option 1: The borrower is unable to cover the excessive payments. When the money received on the mortgage is exhausted, there is a “repayment” moment, but the borrower does not have that amount available on the due date. The creditor begins to add fines to the general debt for late repayment, resulting in a geometric progression of the debt. Later, the creditor and the borrower meet to discuss a situation where the former offers to “pay off the debt by selling the apartment”.
The borrower believes in the good intentions of the investor and even entrusts him with the sales process itself . And right now, the creditor is reaping the rewards of selling the apartment relatively quickly for free. From this sum he takes money to cover the debt, but returns the rest (the tiny sum remaining) to the borrower. Option 2: The creditor is deliberately unwilling to accept mortgage and interest payments.
For many, this situation seems absurd, but such situations are not really rare. In order to prevent the borrower from returning the money, relatively cunning scenarios can be used, whereby the investor goes to court seeking to sell the mortgaged apartment to make up for the loss. At a time when the creditor is hiding from the borrower to prevent him from fulfilling his obligations, the mortgage debt begins to be subject to fines. Literally, within a few months the amount of debt becomes grand. It is at this appropriate moment that the creditor goes to court with all the documents proving the amount of the debt.
How to fulfill your credit obligations
This event is not complicated or time consuming. The borrower has to come to a notary with a passport and a credit agreement to write an application for accepting money due to his inability to find his creditor. The notary accepts the money and issues a receipt to the borrower.
Of course, you will have to pay a small commission and technical work, but this step will probably protect you from more global problems. The obligations will be deemed to be discharged from the time when the money is accepted into the notary’s deposit account.