The days when traditional banks were the only ones offering credit solutions are long gone. Nowadays, many fintech companies are competing for a slice of the credit market. In France, one company has stood out: Younited Credit. This platform, which offers online credit, has quickly become a major player in the credit sector. But can we really trust it? A review of Younited Credit.
Formerly known as Prêt d’Union, the crowdfunding platform became Younited Credit in 2016, just five years after the company was founded, when it began to expand internationally.
The young French fintech has opened its first foreign office in Italy, in Rome to be precise. Today, more than six years later, the Younited team consists of more than 600 employees in France, Germany, Italy, Spain and Portugal.
Younited Credit is not a subsidiary of any bank, although it has raised funds from a number of investors, including Crédit Mutuel Arkea and Bpifrance, to support its growth and expansion. And although it is authorized by the ACPR (Banque de France), Younited Credit does not follow the classic model of traditional banks or credit organizations.
Its approach is based on an investment fund. In practice, this means raising funds from professional investors such as foundations, corporations, and individuals. These funds are then used to lend to borrowers seeking to make purchases. Personal credits can be offered at some of the most competitive rates on the market using this funding method.
Younited Credit, Younited Pay & Younited Coach
The credit institution has developed three distinct divisions in order to better organize its activities:
- Younited Credit: The start-up offers instant personal credit of up to €50,000, repayable over 84 months.
- Younited Pay: The company offers online or physical purchases with instant credit from 300 to 50,000 euros.
- Younited Credit: It also offers a free budgeting service that can save users hundreds of dollars a month through personalized recommendations.
Available Credit Offers
Younited Credit only offers personal credits with a fixed interest rate, a feature that has several advantages. As soon as the contract is signed, customers are guaranteed to know the exact total amount they need to borrow, making it much easier to budget.
The range of credit products offered by Younited Credit is divided into two distinct categories: personal credit and business credit. Each of these categories addresses specific funding needs.
|Perosonal Credit||Business Credit|
|Car Credit||Cash Credit|
|Travel Credit||Professional Credit|
|Home Renovation Credit|
|Household Appliances and Furniture Credit|
At Younited Credit, personal loan agreements are subject to certain legal limits, as are other forms of personal credit. The maximum repayment period for a personal credit is 7 years, while the maximum amount that can be borrowed is set at 50,000 euros. On the other hand, there is no threshold for a mortgage, although the repayment period is generally limited to 35 years, unless there are specific exceptions.
- Credit: 1,000 to 50,000 euros
- Duration: 6 to 84 months
- Interest Rate: From 0.1%
- Response Time: Immediate
- Credit: Amortizable
- Rate: Fixed
In line with standard lender practice, Younited Credit credit offers are valid for 30 days.
Younited Credit offers a financing solution for the purchase of a new or used car. With this offer, borrowers can benefit from a car loan of up to 50,000 euros, allowing them to effectively finance the purchase of a vehicle of their choice.
The travel loan offered by Younited Credit is a consumer loan designed to finance travel in France or abroad. Since the funds borrowed are not earmarked for specific expenses, this personal credit offers flexibility.
Unlike other types of credit, travel credit does not require a specific justification for how the funds will be used. This freedom allows borrowers to use the funds to cover various travel-related expenses, such as airfare, lodging and tourist activities, without having to provide Younited Credit with specific receipts.
Home Renovation Credit
A home renovation credit is a financing option designed specifically for home renovation and improvement projects. This is a special purpose loan where the funds borrowed are used exclusively for work on a property, whether it’s a primary or secondary residence, or even a rental property.
This financing solution is becoming increasingly popular with households looking to renovate or give their home a new lease on life, as it offers an efficient way to complete home improvement projects while maintaining the integrity of the family budget.
The cost of moving can quickly add up to thousands of dollars. This is especially true when you opt for turnkey packages, where a professional moving company takes care of every step of the process. In our opinion, the moving loan offered by Younited Credit is an interesting option when relocating.
Household Appliances and Furniture Credit
To benefit from a wider choice and better quality products, some people choose to take out a loan to buy furniture or appliances. By spreading the cost over several months or years, they can invest in long-lasting items.
The wedding credit offers future spouses the opportunity to celebrate their union without compromising their overall financial situation. This loan provides the funds needed to spread the total cost of planning a wedding over a period of time.
This type of loan also offers the flexibility to include additional cash if needed, allowing the couple to manage the costs associated with this important event.
The arrival of a baby has a significant impact on the family budget, increasing parents’ annual expenses by about 20%, according to studies conducted by INSEE (Institut National de la Statistique et des Études Économiques). In this context, the estimate amount of a birth loan can be between 500 and 2,000 euros, although this range is indicative.
These days, it’s possible to find laptops and smartphones at very affordable prices, sometimes under 300 euros. Mid-range models typically cost between 400 and 500 euros, while high-performance laptops like the MacBook Pro and smartphones like the iPhone often exceed 1,000 euros.
Real estate credit is often used to purchase primary residences or for rental investments with the goal of renting out one or more properties.
A mortgage differs from a personal loan, which is used to finance everyday consumer items such as a car, construction, furniture or services. Before signing up for a home loan, it’s imperative to take the time to think things through and do a thorough analysis, because signing this type of contract commits the borrower to making repayments until the end of the agreed period.
Credit buyback, also known as credit consolidation, is a financial solution offered by various credit organizations and banks, including Younited Credit. The primary goal of loan buybacks is to reduce monthly payments and make financial management easier and clearer for borrowers. The benefits of this operation are many:
- Lower Interest Rates: Borrowers can benefit from lower interest rates on all their loans, resulting in potential interest savings.
- Consolidation of Monthly Payments: Instead of juggling several monthly payments, a loan buyback allows you to consolidate them into a single monthly payment, making it easier to manage your finances.
- Debt Prevention: This process can help avoid excessive debt or over-indebtedness by reorganizing loans in a more manageable way.
- Simplified Procedures: With a loan buyback, borrowers have only one financial contact, which simplifies administrative procedures.
Business credit is specifically designed to meet the financial needs of businesses and professionals. It is particularly relevant for entrepreneurs seeking start-up capital, companies looking to expand their operations, or business buyers.
The funds obtained from the bank can be used for a variety of purposes, including the acquisition of tangible assets such as vehicles or machinery, the financing of intangible items such as capital increases or the acquisition of shares, or real estate investments.
The term of the business loan can vary from 2 to 15 years, i.e. from 24 to 180 months, and it can be either fixed or variable/revocable, offering flexibility tailored to the needs of each company.
Request and Simulation
Getting a credit from Younited Credit is easy:
- Credit Simulation: It all starts with a credit simulation. This crucial step allows you to quickly calculate the amount of credit you need and the corresponding monthly payments. This simulation is conducted through a secure online form where you provide your financial constraints, monthly salary, and contact information.
- Immediate Response: Once you submit your request, you should receive an immediate response. This means you’ll know immediately if your application is likely to be accepted, giving you instant clarity on your funding project.
- Submitting Supporting Documents: Once you have received a positive response, the second step is to submit the necessary supporting documents. The three main documents required are:
- Valid ID: This can be your National Identity Card (CNI) or your passport.
- Relevé d’Identité Bancaire (RIB): This is your bank account number.
- Current Proof of Address: You’ll need to provide a utility or phone bill less than 3 months old that shows your current address.
- Definitive Answer : Once Younited Credit has received and verified your documents, the digital platform team will give you a definitive answer within 24 working hours. This response can even be instantaneous if you choose the bank connection. This step ensures optimal efficiency in processing your request.
- Funds Release: Upon expiration of the statutory withdrawal period, the funds will be promptly transferred to your bank account.
Once your credit application has been definitively approved, Younited Credit undertakes to transfer the funds to your bank account from the eighth full working day following the signature of the credit agreement.
As a concrete example, if your application is approved on June 12, the funds will be transferred on June 20, provided that this is a business day.
It is important to note that weekends and holidays are not included in this calculation, so the delivery time may vary depending on the calendar.
Younited Credit’s commitment to offering some of the most competitive interest rates on the market definitely stands out. Borrowing rates are fixed and vary from 0.10% to 21.61% depending on various factors.
The borrowing rate is calculated on an annual basis depending on the loan term, the type of loan, the purchase being financed (primary home, secondary home, furniture, services, etc.), the region of residence, and much more.
Acceptance Rate vs. Refusal Rate
Denial of a credit application is common, with one out of every two applications being rejected. It’s important to understand that credit is not an absolute right, and financial institutions are not required to provide any justification for their refusal, regardless of the reason for the request.
The main reasons for rejection given by lenders may include:
- The applicant has already signed too many loan contracts in the course of repayment.
- The applicant has a history of late payments or overindebtedness.
- The applicant’s profile is deemed risky by the lender, or the applicant does not meet all the required conditions.
- The applicant appears in a bad payer file.
- The applicant’s budget is deemed insufficient for the amount requested.
In some cases, the applicant’s budget may not be considered strong enough for the amount requested.
Younited Credit Review
We believe that Younited Credit has several strong points worth mentioning. First and foremost, the online application process is fast and easy. The startup’s competitive interest rates are also a draw, as is the transparency of associated fees.
The flexibility of the repayment terms, with the possibility of early repayment, is also praised, as is the speed with which applications are processed and funds made available.
These features make Younited Credit an undeniable attraction, especially for those looking for financing solutions.
Younited Credit gets praised for many things, but also gets criticized for some. Some borrowers have expressed concern about the time it takes to process their applications, which can sometimes take longer than expected.
In addition, some Younited Credit users shared an unfavorable review, citing a less-than-satisfactory customer experience, particularly in terms of communication and customer service responsiveness. Frustration was also expressed by some, who pointed to problems with the follow-up of files.
Despite these negative points, Younited Credit remains an attractive financing option for many borrowers.
Frequently Asked Questions about Younited Credit
Is Younited Credit reliable?
Yes, Younited Credit is reliable. Founded in 2011, the financial institution is approved by the ACPR (Banque de France).
Why is Younited Credit Not Working?
Getting turned down for a loan is common. In fact, one out of every two applications can be denied, and financial institutions are not required to provide any justification for their denials.
Which Bank is Behind Younited Credit?
Younited Crédit is not a subsidiary of any bank, although it has raised funds from a number of investors, including Crédit Mutuel Arkea and Bpifrance.
Why Does Younited Credit Ast For Monthly Payments?
To ease the burden on borrowers, the first monthly payment is made on the 4th of the second month following the availability of funds, after a period of 30 to 60 days from the availability of funds. For example, if your funds are deposited on February 1, your first monthly payment will not be withdrawn until March 4.
This flexibility in the first installment can be invaluable when planning your finances, giving you some leeway to adjust to your new financial commitment.
How Can I Contact Younited Credit by Phone?
For all inquiries, please call Younited Credit at +33 1 78 42 53 00.