Covid credit repurchase

COVID-19 credit repurchase in Switzerland: An overview

The COVID-19 credit repurchase in Switzerland is a financial operation that enables you to consolidate several loans taken out during the pandemic into a single loan. This solution can be particularly interesting for people who want to lighten their monthly budget, simplify debt management or benefit from better repayment terms.

Why consider a COVID-19 credit repurchase?

Lower monthly payments: By consolidating your loans, you can obtain a single monthly payment that is often lower than the sum of your previous monthly payments.
Extending the repayment period: This option can reduce your monthly payments, but it's important to bear in mind that it will result in a higher total cost of credit over the long term.
Simplify debt management: With just one loan to manage, you'll have less paperwork and fewer risks of forgetting.
Improving your debt ratio: Depending on your financial situation, a credit repurchase can help you improve your debt ratio, enabling you to access other credit if necessary.

How does a COVID-19 credit repurchase work?

Take stock of your situation: Before you take the plunge, it's essential to take precise stock of your current credit: amounts owed, interest rates, repayments, etc.
Simulate a credit repurchase: Many banks and financial institutions offer online simulators that allow you to estimate the monthly payments and total cost of a possible repurchase.
Compare offers: Take the time to compare offers from several institutions to find the most advantageous terms.
Apply for a credit repurchase: Once you've made your choice, you'll need to fill in an application form, which will be examined by the lending institution.
Signing the contract: If your application is accepted, you'll need to sign a new loan contract to replace your old loans.

Points to consider before taking the plunge

Application fees: Don't forget to take into account any application fees that may be charged by the lending institution.
Early repayment penalties: If you wish to repay your old loans early, you may have to pay penalties.
Your repayment capacity: Make sure you'll be able to meet the new monthly payments over the long term.