We’ll explain how you can get the financing you are looking for without the need for a third-party endorsement.
An endorsement provides an additional guarantee for the bank that the payments on a loan will be made as stipulated since if the customer does not make the payments the money will be repaid to the financial institution by some other means. However, if you do not know another person who can provide this backing for you, and you do not have a specific asset to use as collateral, for example, a home, how can you access loans with no bank endorsement?
The procedures used by banks tend to involve some terminology not heard in everyday life, and which therefore must be explained in order to prevent misunderstandings. It is important to remember that operations carried out with financial institutions always involve movements of money, which is another reason why all of the terms used must be well understood in order to prevent unpleasant surprises at the end of the month. When applying for a loan there is some essential information you must know: how much money can you ask for, how much interest will you have to pay in exchange for borrowing the money, what commissions or other fees will you have to pay, how much time you will be given to pay back the loan, and the amount of the periodic payments- content url.
Having an endorsement available may help convince the bank to grant you a loan. However, this is not a universal rule and these decisions will depend upon the specific financial institution, the amount of money requested, the financial solvency of the borrower, etc.
When classifying loans there are two main groups that can be considered: mortgage loans and personal loans. Financing in the form of a personal loan tends to be easier to get than a mortgage loan, and the bank usually will not require a specific guarantee (such as the home that serves as collateral in a mortgage). However, borrowers will be obligated to pay back the loan using all of the assets they possess, both present and future.
Financial institutions offer personal loans to their customers to help them cover specific financial needs that may arise at a specific time. The most well-known type are consumer loans, which are dedicated to financing consumer durable goods such as cars, motorcycles, home furnishings, etc. There are also other types of personal loans, for example, those designed to help pay for educational expenses.
A loan simulator lets you calculate the amount of the monthly payments and interest you will have to pay for your loan.
It is important to understand that all of the requirements that must be met before a loan is granted are designed to allow the bank to verify the solvency of the customer and to make sure that the money being loaned will be paid back along with the interest. For this reason, a financial institution will impose the following requirements on a potential borrower, among others:
If any uncertainties arise, we recommend that you should visit the BBVA loans simulator.