Many people wonder if, while they are paying their mortgage, they can ask for a personal loan. Conversely, there are those who are still paying off one of these credits and need a large injection of liquidity. For example, to take advantage of a real estate opportunity.
How mortgages and personal loans work
The legal system says nothing about the existence of a credit accumulation limit. This means that it is perfectly legal to mortgage while a personal credit is being amortized or to do it in reverse. This situation is reasonable and even normal. Otherwise, who requests a mortgage loan would be excluded from the credit circuit for twenty or thirty years (at best).
Outside the legal aspect is the economic issue. Each has its own indebtedness capacity, which depends on different factors such as: levels of income and expenses or the guarantees it can provide. Thus, mortgages tend to be cheaper than personal loans; but this is due to the type of guarantee that they entail. Of course, it will be easier to pay two mortgages than two personal loans, due to their price.
However, what will not be so easy is to ask for two mortgages. This will require at least two properties on which to establish the guarantee. Therefore, not everyone has such a real estate park at their disposal. It should also be remembered that in case the borrower is not able to repay all his credits; Mortgages and personal loans will have a different claim regime.
While the personal loan must be claimed within 5 years, assets of the debtor can be seized for payment. (Whenever there is one), the mortgage can be claimed up to 20 years, and foreclosure can be promoted.
Yes you can apply for a mortgage at the same time as a personal loan
In short, the differences between the mortgage and personal loans vary in terms of execution, price and ease of grant. Out of these elements, it matters little that two or more credits concur.
So everyone can combine different types of credit products. Provided that the person takes into account the extent to which he can borrow and what will be the price to stop paying the agreed fees. On the other hand, these are not the only financial products that can be contracted simultaneously. Nothing prevents, while these are being amortized, resort to other credit systems such as:
– Credit cards or revolving.
– Deferred purchases.
– Credit lines.
The only difficulty the borrower might find is that the lender does not want to grant the loan. In these situations you only have to consult with other operators the conditions of a mortgage or personal loan. In addition, these are usually complementary sources of financing. The simplest option is to consult comparators such as Ideal Loans and choose the one that best suits you.