Flexicredit

Are you planning to invest in the development of your business? Or maybe you intend to buy a building or new equipment? We want to help you bring those plans to a successful conclusion.

What is a Flexicredit?

Flexicredit is a special form of investment credit that enables you to finance medium to long-term investments at short-term interest rates. You borrow for a fixed term and repay the loan according to a predetermined schedule.

Avantages

  • Flexibility:
    • You decide yourself the term, the amount and the frequency of your interest and principal repayments.
    • You can change the type of short-term interest rate twice during the repayment period or convert your Flexicredit to a different investment credit formula (e.g. fixed interest rate).
  • Keen rates: Take advantage of short-term rates of up to 1 year based on the Euribor.
 

Get full details

It's not easy to grow without additional investment. Whether you're buying a building, taking over a business or purchasing equipment, you need the right funding. With Flexicredit, we can support you financially and with personalised advice. The interest you pay is based on short-term interest rates and your preferred repayment frequency and can vary according to the drawdown or repayment period.

The term of the loan varies according to the economic life of the investment from a minimum of one year to a maximum of 20, including the drawdown period. You draw down the funding as your project progresses.

  • You can change the predetermined type of short-term interest rate (e.g. one-month Euribor) once or even twice during the repayment term of your loan. The frequency of your principal repayments is adjusted accordingly.
  • You also have the one-off option of changing your Flexicredit to a different type of investment credit (e.g. fixed interest rate) during the repayment term.
  • These changes are subject to processing fees.

Say you take out a Flexicredit for EUR 250,000 for a term of ten years with six-monthly interest and principal repayments. And say that the interest rate, based on six-month Euribor plus a margin, is 3.75% for the first period.


Barring any change, the interest rate for the subsequent periods will each be determined on the basis of the six-month Euribor rate.

 

On the first repayment date (after six months), you pay:

  • Principal: EUR 12,500
  • Interest: EUR 4,739.58

 

However, after one year you decide to take advantage of interest rates based on three-month Euribor.

In that case, you will repay EUR 6,250 in principal and EUR 1,869.29 in interest (based on an interest rate of, say, 3.48%).

Barring any change, the interest rate for the subsequent periods will be determined in each case on the basis of the three-month Euribor rate.

 

You decide you'd like greater certainty regarding your repayments, so after four years you opt to convert the Flexicredit into an investment loan with a fixed interest rate of 5%. Apart from the type of interest rate, you have to retain the features of your original Flexicredit (e.g. remaining term, outstanding principal, fixed principal repayment).

On the first repayment date for the new investment loan, you repay EUR 6,250 in principal and EUR 1,791.95 in interest.

 

This example, together with the indicated interestrate, is intended purely as an illustration and is not binding on the bank.

To shield your family from the financial consequences of your premature death during the term of a Flexicredit, you can take out loan protection insurance. Your loved ones will not then have to continue servicing the loan.

Whether you are looking for a business loan or a personal loan, BNP Paribas Fortis is by your side. As a responsible lender. Indeed, a loan must help you to move forward in life, not lead you into financial difficulties. Our financing products are intended to help you turn healthy, feasible projects into reality, in a spirit of shared responsibility between yourself and the bank.

 

This principle of responsible lending can be easily illustrated through our promises.

 

  • Firstly, we take the time to listen carefully to you in order to offer you a solution which is adapted to your project and your needs.
  • Next, we give you a clear overview of our products and advise you in a clear, transparent manner.
  • To protect you as much as possible from any risk of indebtedness, your project is examined in detail so as to determine your solvency and the most appropriate monthly repayment.
  • Finally, we strive to be ever-more accessible, via the various communication channels we offer.

 

Our support procedure is thus in place for the duration of each of your loans.

 

Leaflet (pdf, FR)

Lender: BNP Paribas Fortis SA/NV, Montagne du Parc 3, B-1000 Brussels – RPM/RPR Brussels – VAT BE0403.199.702. Subject to approval of your application.


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