Loans to Retail Clients - Fundamentals

At the end of this course, you will be familiar with the different types of personal loans, their characteristics and operating principles, as well as the guarantees that may be attached to them. You will also have carried out a number of exercises which will enable you to assess which type of loan is best suited to your client and the conditions (guarantees...) under which you can grant it. To do this, you will have analysed in detail:

The different types of personal loans:

• Consumer credit (lines of credit, cards, advances/overdrafts, cheques), the needs to which they respond and the risks involved
• Consumer credit, its characteristics and uses
• Mortgage loans, their characteristics and criteria for granting
• Special loans (temporary advances, bank guarantees, lombard loans and student loans) and their purpose

The various guarantees that may be required when granting a loan:

• main guarantee (intrinsic value of the applicant, value of the business)
• Additional guarantees:
• Real guarantees (mortgage, pledge), what they consist of, their type, characteristics and conditions of validity
• Personal guarantees (surety), their characteristics, the forms they may take and their validity conditions
• Moral guarantees (undertaking not to transfer or mortgage, mortgage promise, mortgage mandate), what they consist of and the risks involved
• Subsidiary guarantees (salary transfer, domiciliation of income, outstanding balance insurance, transfer of benefit of a life assurance policy, transfer of benefit of a fine insurance policy, CASCO insurance)

• Introduction
• Types of Loans
  • Current account loan
  • Credit line; Cards; Advance/overdraft; Cheques for payment vs. direct loan
  • Consumer loans
  • Property loans
  • Specific loans
    • FTA; BG; Lombard loan/advance on securities; student loans
• TYPES OF GUARANTEES
  • Personal guarantees
  • Real guarantees
    • mortgage; pledge
  • Additional guarantees
    • CPSI; insurance; transfer of salary; domiciliation of income; mortgage mandate
    • Moral guarantees
• PRACTICAL EXAMPLES