About Bonds – Loans Finance and Money

A bond (of Latin obligare: oblige) is a promissory note.

Most often, the term bond is used for one of the more homogeneous debts. Bonds are often negotiable instruments, namely that the borrower has no influence on what the lenders are that bonds can be traded and who are the owner of a bond at any time, have a right to, described in the bond’s circumstances.

The name of a group of bonds with identical terms


It is a condition that conditions can be listed, that they are freely transferable.
In Norway, Norges Bank issues government bonds.

A bond series is usually the name of a group of bonds with identical terms and, if listed, they have a unique code. But with the help of the mortgage banks also known as bond series for a collection of bonds, where some, but not all, conditions are identical, and subdivides a bond series into branches and interest rates, where the series can hold more fund codes.

This term is also sometimes used for bonds

This term is also sometimes used for bonds

Bonds convertible into equities, known as convertible bonds. This term is also sometimes used for bonds, where the problem before ordinary bonds has the opportunity to meet them face to face, but to distinguish between these two forms are many, therefore the latter are convertible bonds.

Bonds are loans characterized by their most important (coupon) rate and repayment profile.

Bonds also divided by the nature of the problem:
Government bonds issued by sovereign states
Mortgage bonds issued by mortgages
Corporate bonds issued by companies and other companies

Bonds are split according to security


In addition, bonds are split according to security:
Bonds, as a priority according to the other unsecured claims, known as subordinate, junior or responsible
Bonds, which are equal in priority to other unsecured claims, called non-subordinated or higher.

Debt forgiveness for socially disadvantaged citizens

It is in the government’s interest to reach an agreement with the principal creditors

The state cannot write off citizens’ debts to creditors (eg banks, tele-operators, utilities, etc.), creditors can do it themselves.

Considering that in the last few years the debt of the citizens towards the mentioned creditors has doubled and came closer to the amount of HRK 30 billion, it is necessary to adopt a legal solution to help the citizens.

What does the agreement bring to creditors?


The biggest problem is the fact that the stated debts of citizens in the financial books of creditors (listed companies and banks) are recorded as their income.

The Government, by virtue of the Income Tax Regulations, makes available to the executors a reduced base for taxation by the amount of debt written off.


In order to qualify for a debt relief as a tax deduction, the bank must prove that it has taken absolutely all legal steps to collect the debt.

By simplifying state tax regulations, banks would reduce legal costs.

In addition to tax breaks, the main incentive for the debtor to meet debtors is the fact that this is a category of socially most vulnerable citizens (eg, they have lost their jobs, have no roof, are ill, etc.), of which the executors will not be able to be paid anyway.

Penalty for bailiffs who oppose the agreement


Finance Minister Boris Lalovac has therefore decided to reward creditors who agree to write off debts to the socially most vulnerable tax deductible expense.

Creditors who do not agree to debt forgiveness have been threatened with a legal moratorium on foreclosure.

For example, during the moratorium no further activities (collection, foreclosure, interest on arrears, sale of real estate, evictions, etc.) could be carried out against these citizens.

Given that the negotiations have been going on for a year now, the question is why did the Government not introduce a legal moratorium on foreclosure until the end of the negotiations? Namely, all year round, citizens are charged default interest, charged court costs, enforced foreclosures, etc.

Skeptical creditors


Putting the social component aside, the key question is how the Government will motivate private companies to forgive millions of kunas. Namely, it is about profiteers, not volunteer companies.

An overview of the share of citizens’ debts to leading creditors in June 2014, when the total debt of citizens amounted to almost HRK 28 billion:

Tele-operators are still considering the Government’s proposal for an agreement. More specifically, the main ambiguity is the limit of the amount of debt forgiveness which amounts to HRK 10,000.00.

Specifically, citizens’ debts of up to HRK 10,000.00 to banks represent smaller debts in their total debt, and mostly include debts on credit cards and current accounts.

On the other hand, the amount of debt up to HRK 10,000.00 in the case of tele-operators covers a large part of the total debt of citizens towards them, namely HRK 141 million and 55,000 citizens.

Do I need a girrant taking a loan in the UK?

Many of us think about taking a loan in the UK. Sometimes these are small amounts for everyday expenses, sometimes much larger. We often think about taking a mortgage. Do we need a giraff when taking a loan in the UK? Or maybe someone asks us to guarantee a loan? mercador24.com has more details

Probably each of us met a situation where we immediately needed some amount of money. We usually borrow small amounts, we use overdraft or credit card. At other times, we are planning a purchase and we do not intend to save a few months or years. It’s hard to put down for example for a new car, because we would have to wait quite a long time for its purchase. If you take a loan, we have the money to buy it right away.

Of course, the cost should be added to the price of the loan. If we do it wisely, nothing bad. However, sometimes we face a kind of necessity. If we are tired of renting an apartment and want to settle permanently in the UK, we must buy it. In this case, however, saving is probably not an option. Usually we would have to do it for at least a dozen years or more than twenty. And so few people want to wait. During this time, we still have to pay for rent, because we have to live somewhere. The installment amount is comparable to the rental price, except that we invest in our property. In the case of renting, we lose money irretrievably. Then the solution seems to be to take out a mortgage. However, in each of these cases the question arises. Do I need a giraff when taking a loan in the UK?

A resident increases our creditworthiness

A resident increases our creditworthiness

The answer is not clear. It all depends on the individual case. Several factors affect this. First of all, the amount we want to borrow. The smaller the number of requirements the bank will have. However, the basis is our history and creditworthiness. If we don’t have it, we won’t borrow anything. For smaller amounts, you generally do not need a giraff. The bank will check our creditworthiness and make a decision based on this. However, if it is poor, we will meet with a negative decision. Then we can go to one of the non-bank companies offering loans in the UK. Their characteristic feature is that they give higher interest rates, but they have much lower requirements. Usually, you can borrow smaller amounts, in the order of several hundred to several thousand pounds. And for shorter than longer.

A resident will increase your chances of getting a mortgage

A resident will increase your chances of getting a mortgage

So generally in banks, the answer to the question of whether I need a girrant is simple. No, if you have sufficient creditworthiness. If you are poor, this may unfortunately be necessary. A resident can effectively increase it. There are various reasons why you may not get a mortgage. First of all, the bank may not like that you have spent all your life as much money as you had. This is a very reasonable life strategy, but from the perspective of financial institutions, you are someone unproven.

The bank much more rewards people who have already borrowed and paid their debts on time. Sometimes you don’t have to do much to have a credit history. All you have to do is take a credit card which, if paid off monthly, does not incur any costs. Needless to say, if in the past you had a problem repaying a loan, it may also cross your chances. The reason can also be too short a stay in the UK, too much money you want to borrow, or the wrong type of employment. In this situation, you can either wait some time and work on your credit score, or find the so-called mortgage guarantor. In other words, a giraffe.

Who is the mortgage guarantor?

Who is the mortgage guarantor?

Mortgage Guarantor is a person who must have full confidence in you, because he risks a lot. It usually doesn’t matter what kind of relationship you have with this person. It does not have to be a member of your family, unless the bank reserves otherwise. However, it must meet certain conditions. First, he must have a sufficiently high income. It is obvious. We will not write how big, because it depends on the individual case and the bank’s requirements. Secondly, it must have its own real estate, a car, which is something that the bank could take to repay if you did not. And of course he should also have high creditworthiness and good credit history. If you find such a person, you have a chance to get a loan for an apartment even with no own contribution. Although, of course, on worse conditions. You don’t have to worry about additional costs. Mortgage Guarantor does not increase the loan price.

Guarantor mortgage – think three times

Guarantor mortgage - think three times

However, remember to think about this step well. It is taking a huge responsibility for someone’s life. Mortgage Guarantor risks a lot. If you run into financial trouble, the bank will have no qualms. It may even take his house and your resident will land on the pavement. Things are different with smaller amounts. When buying a flat, however, we are talking about money for which most of us work half a life. It is therefore worth considering whether there really is no other option? Maybe you can borrow from someone for your own contribution? This is a much better option for this person than being a resident. In the worst case, he will lose the deposit amount. If he devours a loan from you, the bank will take him ten times as much. Maybe it is worth stopping with the loan? You can always wait a little bit. After some time your credit standing will increase. Especially if you work on it. There are many ways to improve it. You can always wait for a raise or find a better job.

You better rely on yourself

You better rely on yourself

As you can see, sometimes a resident can improve our situation. Sometimes it is even necessary to take a loan, especially high. However, it is worth considering other options. I guess no one wants to have their conscience taken away from saving their life or even home. Therefore, we do not encourage you to use the trust of your loved ones. Whether friends or family or even further friends. Well, unless the potential resident is a multimillionaire and he will not feel much repayment of our loan in the event of an accident. However, if you need a smaller sum and you have a certain prospect of paying it back, use a loan in the UK. You won’t need any resident.