In home decoration, it is inevitable that some people will be in a tight situation. In order to cope with this demand, decoration loans have naturally appeared. Now many banks and financial institutions have launched decoration loans. services, so is a decoration loan cost-effective? Generally speaking, the price required for a decoration loan is relatively small, or it is relatively cost-effective. As long as it is approved or the decoration funds are available, let's take a look at the application methods for decoration loans on Alibaba. .

1. Pure credit decoration loans

Pure credit decoration loans require no mortgage or guarantee, and only require proof of identity, proof of income, proof of address and other materials. This type of loan is suitable for Working people with stable income and good credit history. This method has flexible limit options and is convenient and fast, but the interest rate is higher than that of mortgage loans, and it requires higher personal qualifications and the limit is relatively low.

2. House Mortgage Renovation Loan

House Mortgage Renovation Loan requires the applicant to use the renovated house as a mortgage. The user needs to provide ID card, household registration book, real estate certificate and other documents, and By using your house as a mortgage, you can get a renovation loan, up to 70% of the appraised value of the house. This type of renovation loan has a relatively low interest rate. However, some banks do not accept homes that are already under mortgage as collateral to apply for mortgage loans.

3. Decoration loans from financial companies

Renovation loans from financial companies can generally be obtained by consumer finance companies and then provide customers with the loan products they need through commercial banks and credit cards. The procedures are relatively simple. Decoration companies There are more choices, but the cost is relatively high. You need to consider it carefully when handling it and choose the appropriate product.

4. Credit card installment payment

It is a new decoration loan model that has emerged in recent years. Many banks promote related credit card business, and the bank pays the merchant one-time payment for decoration consumption. funds, and then allows users to repay the money in installments to the bank. This type of loan is mainly targeted at people who live in large and medium-sized cities, have just purchased a new house, are short of money for decoration, and have a good credit record. The amount is generally between 100,000 and 200,000. This type of decoration loan has low entry threshold and no mortgage is required; however, the available decoration companies are limited and the loan amount is low.

What are the ways to apply for a renovation loan? Is a renovation loan cost-effective? That’s all. I hope it will be helpful to everyone.