Owner of a property, you want to improve the comfort of your accommodation? Depending on the scope of your project, it may be necessary to have a long-term work loan from the bank.
To finance works at a lower cost, you can combine your works credit with state aid and play on the insurance delegation!
Special file on your rights as a borrower with Good Credit, a specialist in online personal loans between individuals.
What government aid can be combined with a 20-year work loan?
Work loan over 20 years, 15 years or even 10 years… whatever the repayment period was chosen for his work credit, the borrower can claim State aid. Among them :
- The tax credit for the energy transition: its rate is 15, 30 or 50% depending on the work undertaken within the property. The total amount of the expenses giving entitlement to this aid is 8,000 or 16,000 $ depending on whether the applicant is alone or in a couple.
- Eco-PTZ, or zero-rate eco-loan: this zero-rate work loan with fixed monthly payments is dedicated to improving the energy performance of housing. The total amount of eco-PTZ is between 7,000 and 30,000 $ depending on the number and nature of the work planned in the accommodation. The maximum repayment period is set at 15 years (180 monthly payments). It is therefore not necessarily a long-term work loan. It all depends on the monthly payments that the borrower is able to repay. Only a bank has signed an agreement with the State that can distribute this form of works credit.
Good to know: eco-PTZ can be combined with certain aids
For the same energy performance work on the housing, the borrower can simultaneously benefit from the eco-PTZ and the tax credit. The eco-PTZ can also be combined with aid from Anah, energy suppliers, and local authorities.
The eco-PTZ and the tax credit for the energy transition are not subject to a means test. Via these aids, the borrower is therefore sure that he can finance part of his real estate project. They can also allow the borrower to support his work credit file with the bank.
Works credit: how to save on insurance?
For the loan of a 20-year work as for a PTZ, the borrower has no obligation to accept the bank’s insurance offer. He can indeed choose other insurance by contacting an insurance company, for example. This is called the delegation of insurance. For the borrower, a delegation of insurance is a great way to reduce the APR (overall effective annual rate) of a long-term work loan, and therefore its total amount.
As a reminder, the APR integrates all the costs relating to the loan of the work, such as insurance, therefore, but also the nominal rate or even the administrative costs. For the borrower, the APR is a fundamental fact: it allows him to have a precise idea of the total amount of the work credit. The bank has an obligation to include it on its offer.
For your work credit over 20 years, choose a fixed APR and constant monthly payments with Good Credit! With us, the prepayment is also free, whatever the amount borrowed, enough to start the energy renovation of your home without worry. Use our free, no-obligation simulator to find out the total amount of your personal loan instantly!
Work loan over 20 years: what to remember
- The APR is a benchmark: it includes all the costs of a work loan (nominal rate, insurance, etc.).
- The tax credit and the eco-PTZ (reimbursement over a maximum of 15 years, or 180 monthly payments) help finance the improvement of the energy performance of housing.
- The delegation of insurance is a good way to reduce the total amount of a work loan.