Today, more and more people are registered in the Personal Credit Repayment Incident File or the FICP, which is nothing other than a file which lists people in debt and who have not been able to settle their credit.
Which profiles are registered with the FICP?
The FICP is a file managed by the Cream Bank, which lists the names of all French people who have taken out a loan in the past and who have been unable to honor the repayment of their loan. Indeed, even if the banks ask for more and more guarantees to insure the loans subscribed, it sometimes happens that the borrowers are unable to repay the loan they have taken, whether it is mortgage or consumer credit.
What are the registration procedures?
There are several cases that may involve your FICP filing. For example, this happens when you do not assume two successive monthly payments. The banks are also entitled to notify the Cream Bank if you miss a monthly payment. You are also on file with the FICP when you do not pay a due date for 60 days. But you can also be eligible for filing if you have an overdraft of 500 USD or more, and you do not regularize the situation within 60 days of notification from your creditor.
The consequences of registering in the Incident File for the reimbursement of Credits to Individuals
When you are registered with the FICP, no more banks will accept to grant you credit of any kind. In fact, the purpose of registering in the Incident of reimbursement of Credits to Individuals is precisely to prevent individuals from abusing banking products such as credits, and find themselves in a situation where they could no longer assume the repayment of these credits.
How to avoid filing?
To avoid appearing in the Personal Credit Repayment Incident File, you will have to be careful with the credits you take out. Taking too many credits exposes you to the risk of non-payment, and therefore the registration of your name at the FICP. Moreover, the banks currently apply a principle according to which a borrower should not be in debt with more than 33% of its incomes, because it is the reasonable threshold to be able to honor the repayment of the debts while leading a decent life.
Before taking out additional credit, it is therefore advisable to calculate one third of your income, and to subtract from this amount the monthly payments that you must already pay to repay your other loans. The remaining amount will therefore be your repayment capacity, because beyond that, you take risks. Do not forget to include your various charges.