Senior Credit – Financial Independence in Old Age
Senior loans or loans for retirees are loans that are specifically designed for borrowers in advanced age. It used to be hard for older credit seekers to get credit. Many banks avoided the increased default risk of borrowers. Today, however, banks have also identified seniors as a target group because they have a secure income due to their pension and often have additional collateral. Senior loans have some peculiarities that differentiate them from standard installment loans.
Information about senior credit
- Installment loan for seniors with limited loan amount
- Banks attach more importance to collateral (real estate, life insurance, property)
- Often a conclusion of a loan loss insurance is necessary
- Age limit usually 70 years
- Great differences between providers, independent credit comparison makes sense
In principle, collateral for a senior loan is very important to banks. These can include real estate, life insurance or guarantees. Securities and other assets such as a car are also welcome collateral. Some banks also require the conclusion of a residual protection insurance, which intervenes in the event of default of the borrower. However, this is always advisable, because in the event of death, the outstanding rates would otherwise pass to the heirs. Often there is an age limit for borrowers, which is usually 70 years. In addition, most providers no longer lend. In addition, senior loans are limited in their financial framework. Loans in the five-digit range usually pose no problem as long as the repayment is secured by regular income.
Often a senior loan is less profitable than other installment loans. There are, however, large swings from one bank to another and thus a great savings potential for borrowers. Therefore, it is important to compare well. A comparison between different financial institutions often saves several hundred euros. To keep track of all the contract terms, good advice is essential. The credit experts of financial experts are happy to advise you on senior loans and other credit options for retirees. We have years of experience and compare independently for you the offers at all possible partner banks in order to find the individually suitable and cheapest offer for you. Of course, the advice and the loan application are free for you. With financial experts you take no risk!
Arrange now your personal appointment via our contact form! We are there for you on the phone or in person and will advise you individually on your personal senior credit.