Credit terms for negatives should know

If you are here, it is because you want to better understand how negative credit works and what its terms mean, isn’t it? Undoubtedly, a well-informed person is not in trouble and makes better decisions. So there’s nothing like absorbing knowledge about something important and doing your best.

Many banks fail to offer credit to people with the dirty name for fear of not getting the loan back, which is not the case with partners. We believe everyone deserves a second chance, so we select the best loans for you even if you are negative.

If you need and are interested in making such a loan, we will clarify your main doubts regarding the terms used when talking about loan for negative. Stay on top of everything and enjoy the content.

What do credit-related terms mean to negative?

What do credit-related terms mean to negative?

There are many related terms, some are very complex and difficult, but today we will treat only the main ones so as not to confuse your head. Come on:

a) Annuity

This one is easy and you might even know it. The annuity is a fee that you pay annually to the bank, according to the contracted service. It may be the fare of a checking account, loan or credit card, for example. The value varies from bank to bank.

b) Guarantee

This is the bank’s final hammer on your request. It is a kind of permission, which releases a loan or financing that you may have requested. It is only given when you meet all the requirements and requirements of the financial institution.

c) Register of Bottomless Check Issuers (CCF)

This place records your entire financial history, from your earnings and debt entry. This body is a kind of database that stores every step you take when it comes to money.

d) CET (Total Effective Cost)

Roughly speaking, the CET is the total amount of your request, either for financing or loan. This contains all the details and amounts charged to you, such as charges, interest, taxes and fees.

e) Default interest

If you owe and pay late, you surely already know what the default interest is. If you make a loan, for example, and have a fixed date to repay the installments but do not honor the agreed amount, the default interest is charged. It is a way that the bank has to be compensated for its delay.

f) Lender

Lender can be considered the person or bank that has granted you some amount in the form of loan, finance or credit. The lender is responsible for providing you with money and it is for him that you repay the borrowed money.

g) Default

You default when you act in a disorganized manner, delaying payments and generating debt. A delinquent person is one who does not pay his or her bills on the due date and keeps the late interest rolling.

h) Compound Interest

h) Compound Interest

This is how interest on a debt, financing, credit or investment is calculated. The amount of interest for a period is accumulated on a certain date, and then the interest for the next period is calculated. It is a more organized way of dealing with interest.



Now you know almost everything about negative credit and you can be more aware when applying for a loan, staying on the terms and meanings and taking better advantage of opportunities.

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