29/10/2020

Changed loans – The ultimate guide

Bonded loans, with the wind of the crisis not calming down, are a great way to meet a liquidity need quickly. It is a form of financing with bills of exchange or a form of financing honoured by the payment of bills of exchange. It is also granted to protesters and bad payers registered with the Crif (at risk centres). In this guide we will explain how bills of exchange financing works and the requirements and timing for obtaining a loan with bills of exchange.

What is a bill of exchange

Bonded loans for freelancers and self-employed persons

Example of a bill of exchange

A bill of exchange is a debt instrument that contains an order to pay a given amount of money at a due date mentioned in the security.

There are two types of bills of exchange:

  • the bill of exchange deals
  • I’ll pay for it.

In the route, the person who draws the bill of exchange (drawer) gives an order to another person (drawee) to pay a sum to the beneficiary. This may be the drawer or a third party. From a legal point of view, the drawee only becomes obligated to pay a bill of exchange after acceptance.

In the case of a promissory note, the issuer, i.e. the debtor who issues and signs the promissory note, assumes the obligation to pay a certain amount to the beneficiary, also called the taker, by means of a promise of payment.

What are promissory notes loans

Fast online promissory notes

Bills of exchange loans are a form of financing with a repayment plan that provides for the issue of bills of exchange as collateral to reduce the bank’s risk. They form part of loans that are not intended for a particular purpose but are intended to finance any type of expenditure.

This type of loan is also requested online and disbursed in a rather short and fast time. For this reason it is therefore suitable for those who have an urgent need for liquidity and cannot access normal forms of financing.

Usually these are small loans. If the applicant does not pay even a single instalment, the bill of exchange is protested. In this case it becomes an enforceable title by means of which the lending institution can initiate the procedure for the attachment of the debtor’s assets.

This is done without having to go through the ordinary bureaucracy. The bills of exchange must be in order with the stamp duty (12 per thousand of the value of each bill of exchange), the affixing of which makes the title enforceable.

Bills of exchange loans give the applicant the possibility to be financed for amounts that vary between 1700 euros and 52000 euros. In some cases figures of up to EUR 60000 can be obtained.

How bill of exchange financing works

The form of bills of exchange most commonly used in promissory notes is the promissory note, which is the guarantee with which the bank or private individual is protected. The bills of exchange must be completed in full, signed and delivered to the finance company. The latter will return them to the debtor each time the due date is met, until the debt is extinguished.

Very similar to a fiduciary loan, it is a type of personal financing. Sometimes, together with the signing of bills of exchange, the finance company can ask for collateral:

  • the intervention of a guarantor
  • the refinement of a life insurance policy,
  • the possession of a mortgage-free property
  • the TFR etc.

Although promissory note loans can also be granted to protesters and bad payers, the bank carries out very thorough checks before granting the loan. This serves to assess the creditworthiness of the applicant and make sure that there are assets to seize in the event of non-payment of one or more instalments.

If the required conditions are not met, it will not be possible to access this form of financing either. In general, to obtain a promissory note loan, you will need to contact a specialist finance company or private individuals. As this product is requested by financially unreliable individuals, the possibility that banks will offer it is very rare.

Types of loans with bills

There are different types of loans with bills. The most common are:

– Loans exchanged between private individuals

This type of loan is a form of financing that goes beyond relationships with banks. Both parties involved are private citizens. How does it work? the two parties agree that one of the two subjects lends the other a sum of money through the issue of bills;

– Loans changed at home

Loans exchanged at home are a solution that provides for the disbursement of the sum of money directly to the home of those who request it. This is done by check or by crediting the bank account of the person who signs the bills. The installments can be paid at any bank branch;

– Loans changed for self-employed

Loans for freelancers and self-employed guaranteed by bills. They are paid to those who do not have a paycheck but receive a certifiable income through the single model or the tax return. Generally they are conditional on the stipulation of a life insurance policy ;

– Loans changed to bad payers

These are loans that are repaid with bank bills. They can also be granted to those who have suffered a protest or have been reported as a bad payer to Crif. Although it does not require checks in the databases, in order to obtain them it is essential to provide very solid guarantees. A paycheck, the signature of a guarantor or a mortgage on a property may be required .

How to get a loan changed online

To get a loan changed online just fill in the specific application form that the chosen financial company has prepared on its website. Generally, after submitting the form, the institution will contact the potential customer. He will have to collect the information needed to carry out the creditworthiness assessment and propose an adequate amortization plan .

The documents necessary for the request are:

  • the tax code
  • a valid identity document
  • a document certifying the income .

The applicant must necessarily have Italian citizenship and aged between 18 and 70 years. The speed is one of the distinguishing features of loans with online bills required: Once carried out the checks on the applicant’s financial grant the loan within 24-48 hours from acceptance.

The online application can be made in 5 minutes by filling out a quick online questionnaire on the website of the credit brokerage companies.

By entering the few data requested in the online questionnaire, the application will be sent directly to the financial companies. These will contact the applicant within 2 days for the assessment of the financeability.

Main cities

The most important cities where loans are exchanged (in order of requests) are listed below: Milan – Rome – Naples – Turin – Catania – Palermo – Bari – Bologna – Brescia – Cagliari – Caserta – Florence – Genoa – Lecce – Taranto – Cosenza – Frosinone – Latina – Pescara – Verona – Belluno.

Who the loans are addressed to

The loan applicant for promissory notes must necessarily be an adult. Furthermore, he must have Italian citizenship and an age between 18 and 70 years. In some special cases, requests from people aged 80 or over are also considered.

The cambializzati loans are aimed at anyone who needs money. However, being guaranteed by bills of exchange, they are considered an excellent solution for those categories of people who are generally distrusted by banks, such as:

  • protested
  • reported to Crif
  • bad payers
  • subjects without paychecks
  • unemployed
  • housewives
  • self-employed, VAT numbers, freelancers

If the deadlines are not honored, in fact, the creditor can obtain a more rapid satisfaction of his claims compared to other credit lines. Self-employed workers and freelancers often use it, and credit institutions ask to take out a life insurance contract. Another type of person interested in this solution is someone who does not have guarantees of continuous income and cannot present a guarantor. Loans exchanged can also be requested by:

  • employees, both public and private, who must show the employee severance indemnity as collateral
  • new notes, signed by the guarantor
  • pensioners, upon presentation of a certificate from the relevant INPS or pension institution

Loans with bills are also used in loans between private individuals, a form of access to credit without bank intermediation, particularly suitable for those who have had problems with the banking system.

What is cai

Cai is the acronym for the Interbank Alarm Center, i.e. the archive managed by the Bank of Italy in which the data concerning irregular checks and credit (or debit) cards are collected. The archive keeps track of the subjects who issued checks without funding and / or without authorization. When the non-payment of a check drawn without funding occurs, the person who issued the check has 60 days to pay and avoid enrolling in the CAI.

After this term without proof of late payment has been given to the creditor, the bank or the financial company sends the report to the CAI. The CAI archive is consulted by the lenders to assess whether the person who applied for a loan had problems with previous payments.

What is crif

The Crif (Central Financial Intermediation Risk Center) is a credit information system (SIC), managed by a private company. Collects data provided by participating banks and financial companies on the financial history of the parties concerned.

The Crif contains both positive (regular payments) and negative information (delay in paying one or more installments, protests, etc.). In this way, the consultation of the database by financial institutions makes it possible to evaluate whether or not a borrower or a bank account has been opened and is a good payer.

Advantages ↑

The main advantage of the loans changed is that they are also granted in the event of reports to the Crif and in the presence of other ongoing loans. Using the bills of exchange as collateral, the lenders are in fact willing to provide the loan also to bad payers. In some cases this form of financing is also open to those who do not have a paycheck.

It therefore also allows those who are on the edge of the credit market, such as the unemployed, self-employed or temporary workers, to access credit. On the positive side, there is also greater flexibility in the repayment plan. This is guaranteed by the partial or total renewal of the bill due on payment of interest calculated on the time of extension. A further advantage of the loan with bills is the speed of disbursement : 24 hours for acceptance and 48 hours for crediting the sums requested.

Disadvantages ↓

It should be remembered that loans that provide for the issue of bills of exchange are characterized by high interest rates motivated by the high risk of default. Furthermore, since the bills of exchange are enforceable securities, if they are not paid on time, there is a risk of immediately going against the protest.

The expropriation of the movable and immovable property held by the debtor follows through a faster procedure than the ordinary one. We must move with extreme caution in the world of promised loans because the risk of losing our property for not having honored a single payment is very high.

Interest rates

The loans with promissory notes are loans to fixed rate that can have a maximum of 120 months. The rate is dictated by the tables updated quarterly by the Bank of Italy .

The installments of the debt, that is, the bills of exchange, include the portion of the reimbursement, interest and stamp duty. The installment is calculated in the estimate phase. More precisely, it is the sum of a capital quota, an interest quota and a small insurance quota to cover life and employment risks.

The actual cost of the loan is represented by the APR (annual percentage rate of charge), which in addition to the interest due on the loan (TAN), includes preliminary and administrative expenses. The TAN and the APR vary according to the guarantees offered by the individual applicant, i.e. the percentage of risk to which the creditor is exposed. This explains why the interest rate is higher than normal in loans with exchanges.

Useful tips

It is highly recommended that anyone approaching the world of changed loans not to accept any loan only because it is in a situation of extreme need. It is essential to make sure that the financial institution you are contacting is reliable and does not take advantage of the economic urgency of the applicant, by applying usury rates .

Another tip is to carefully evaluate different alternatives, comparing them to understand which one is the most convenient. For example, it is possible to use a search engine dedicated to loans (you can also find the forms on this page).

It is absolutely necessary to be wary of those who condition the granting of the loan to the payment of an advance on commissions or consultancy: these expenses will be retained during disbursement.

Furthermore, one must be very cautious about loans changed online, which in some cases can prove to be real scams. The loans with promissory notes are not very common and it is not easy to find the financial companies that grant them. However, even if a lending institution does not have them among its “ready” financing products, it should not be taken for granted that it will not grant them. It is better to inquire directly by asking the branch staff.

To conclude

In summary, the promised loans are the ideal solution for those who have been reported as bad payers and do not have access to normal credit circuits as they are registered with the Crif. However, whoever lends money, be it a bank or a private individual, wants the guarantee that he will be able to recover it. Therefore it is unlikely that he will give a loan with bills of exchange to those who have no demonstrable recurring income or income, unless a guarantor intervenes. In addition, the executive title of the promissory note gives the creditor the right to quickly execute the debtor’s assets if the debtor does not pay on time. So it’s a tool to be used with caution.

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