What does it mean? How does it work?
Why should you be interested in fixed advances?
You may need short-term credit if you need to finance a project quickly. A fixed advance is a financing option that gives you a set amount of money over a set period at a set rate from the outset. This can help you plan your payments and manage your budget.
What is a fixed advance?
A fixed-term advance is a short-term loan that gives you a fixed sum at a pre-agreed fixed interest rate for a set period. This form of financing is often used to meet short-term cash requirements, for example, to finance the purchase of a capital asset, cover the costs of a specific project or unforeseen expenses.
How does the fixed advance work?
The application process for a fixed-term advance is generally quick and straightforward.
You present your need for finance, for example, for an investment or to have a cash reserve, to a financial institution such as a bank, providing them with documentation on your circumstances, as well as the amount you wish to borrow, the term of the loan and the intended use of the funds. Once your application has been approved, you will receive the amount requested in a single payment.
The interest rate for the fixed-term advance is determined individually according to your situation and the guarantees provided. The interest rate is agreed in advance, giving you stability throughout the loan term.
Repayment will be made in a single instalment at maturity, with the option of renewing the contract.