Loan Consolidation
Loan consolidation under the Swiss Consumer Credit Act (KKG) is a straightforward process that allows borrowers to consolidate existing loans and credits through debt restructuring. This approach can prove extremely beneficial as it often results in lower interest rates, creating financial benefits and minimizing administrative burdens. After the consolidation, the borrower only has to pay one monthly installment. This allows the borrower to save money significantly, with some providers offering savings of up to 40%.
In addition to debt restructuring, this process also provides the borrower with the option of a loan increase, depending on creditworthiness. This means that the existing loan amount can be increased, creating additional financial flexibility.
Loan pooling is thus an extremely attractive option for borrowers to optimize their financial situation. By pooling loans, they can benefit from lower interest rates while simplifying their monthly payments. In addition, the loan compounding option allows flexible adjustment to individual financial needs.