The difference between credit loan and mortgage loan
① loan amount
The amount of credit loan is determined by the lending institution according to the borrower's repayment ability, credit status and other factors, which is generally more than ten times the personal monthly income. Mortgage loan is secured by the borrower's collateral, which greatly reduces the lending risk of the lending platform, and is generally higher than the credit loan amount, which can effectively solve the borrower's large capital demand.
② Loan interest rate
When issuing credit loans, the lending platform needs to bear higher risks, so the loan interest rate is also higher. A mortgage loan is secured by collateral. If the borrower fails to repay the loan in full and on time, the lending institution has the right to dispose of the collateral according to law. So you can give a lower loan interest rate.
③ Lending speed
Handling credit loans does not require procedures such as evaluation and mortgage registration. As long as the borrower meets the loan conditions, he can get the loan quickly. Mortgage loan procedures are complicated, and there are many materials to be provided and procedures to be handled.
④ repayment period
The repayment period of credit loans is generally around 1~24 months, which is common in personal consumption loans. The amount obtained through mortgage loans is generally high, and in order to reduce the repayment pressure of borrowers, the cycle will be extended.
⑤ Strict degree of examination and approval
Credit loans are mainly evaluated according to personal reputation and economic ability, and collateral is not needed as a guarantee. Therefore, in order to control credit risk, lending institutions will be stricter than mortgage loans in the audit.
Credit loan and mortgage loan have their own advantages. Please choose the loan method that suits you according to your own situation.