Revolving credit is a small loan that is easy to obtain, without proof of use and providing a reserve of money that can be reused at any time. The only drawback of this type of consumer credit is its APR rate. Revolving credit is more expensive on average than all other loans. Going in search of the best revolving credit is all the more important. We will see in this article how to find the most interesting revolving credit, at the best rate and really accepted.
What exactly is revolving credit?
It is important to understand what a revolving credit is before you start looking for the best credit.
- Amount: rarely more than 4000 USD
- Duration: 36 months maximum up to 3000 USD, 60 months beyond
- Revisable APR rate
- Loan providing a reserve of money which can be drawn at any time
- Sometimes associated with a credit card
Revolving credit is the easiest consumer credit to obtain, the one requiring the least supporting documents. Rarely higher than 4000 USD, it especially has the advantage of leaving a reserve of money available.
A little more consistent with each reimbursement, the reserve allows you to obtain financing in 48 hours without conditions or supporting documents. This credit could have all the advantages, but its APR rate is generally high. However, there are significant disparities between the different credit organizations, hence the importance of carrying out a revolving credit simulation.
It is possible to carry out a revolving credit simulation from our credit comparator, provided you select an amount less than or equal to 4000 USD. Beyond this amount, we advise rather to turn to a personal loan simulation.
Understanding the adjustable APR rate
Revolving credit is the only consumer loan for which the APR rate (annual effective annual rate) is revisable and not fixed. This slight difference makes it possible to warn the consumer of a possibility of rate change during the contract.
The rate obtained during the loan request or the purchase on credit can indeed be different with each new request, but also change during repayment. No worries, however: the organization always warns the consumer. However, this rate can never exceed the usury threshold set by the Banque de France.
Best revolving credit: small monthly payment or lowest rate?
There are several players capable of offering revolving credit:
- Online credit organizations
- The banks
- Certain stores when financing a specific purchase with credit
Criteria for evaluating the best revolving credit
The best revolving credit is evaluated according to several criteria:
- The revisable APR rate
- The repayment speed (or duration of the loan)
- Chances of receiving a positive opinion
The best credit rate is not necessarily the best loan for your situation. The main thing is not to find the best rate at any cost but to get an immediate favorable opinion, and easily repayable monthly payments. Difficult to find a loan adapted to his situation, luckily luck.
Not only do all organizations have their own acceptance criteria, but most importantly, they have different repayment terms. Invoc offers, for example, an Access credit in three “slow, fast, express” speeds, the fastest of which is based on 16 monthly payments, while Sofinance allows reimbursement from 10 months.
Illustration with this comparison made in 2019. In this example, we simulated a small credit 1000 USD with the largest organizations, approaching each time as close as possible to a repayment period of one year.
Credit will necessarily cost more if it is repaid over longer terms, since interest is calculated on an annual basis, but the lower monthly payments could make it easier to repay. The simplest and most effective way to find a small loan of money adapted to your profile is to carry out a credit simulation online.
Revolving credit comparator: why is it essential?
Using a comparator is essential to hope to obtain the best revolving credit. Our tool makes it possible to sort it out so as to only offer specialists capable of accepting the request under the best conditions.
How to use our comparator?
Any request of 4000 USD or less made with our comparator displays only the revolving credit offers. Here’s how to do it, step by step:
- Enter an amount less than or equal to 4000 USD and “need money” on our comparator
- Complete the credit questionnaire in four simple steps
- Connected to large credit organizations, our tool immediately questions all specialists
- The organization offering the best rate capable of accepting the request without problem is represented by an acceptability rate> 50%
- Sending an email within 24 hours confirms the first immediate notice without obligation received on our comparison engine
Once the credit has been pre-accepted, all that remains is to wait for the credit contract and collect the supporting documents before returning the duly completed contract.
In the event of a negative opinion, lowering the amount of the request may be a solution. We especially advise to check the reasons for a refused credit.
A word on revolving store credit
Store credit corresponds to revolving credit. It is indeed possible to pay on credit in several installments – with or without interest – in an astronomical quantity of large French brands. The stores in this case all have a partnership with a credit organization. They even sometimes associate their credit and loyalty cards with the contract. Small credit therefore depends on the partner organization. The Finan revolving credit, for example, is a Sofinco revolving credit.
Please note, store credit does not allow you to directly obtain a sum of money. It is essential to apply for revolving credit online or at your bank to unlock funds.
Reminder: all consumer credit grants a withdrawal period of 14 days, in accordance with the law. The small credit also makes it possible to repay in advance without penalty.