Difference between a simulator and a credit prequalifier

When you have the opportunity to buy a home and you find yourself evaluating your mortgage credit options, the best thing you can do is use the digital tools that financial institutions put at your fingertips.

We refer to simulators and prequalifiers, instruments that allow you to know an approximate amount of financing that you can obtain with its different characteristics.

However, there are some differences between the simulator and a mortgage prequalifier.

Below we tell you what the differences are between each of these digital tools so that you can take advantage of them and apply for your mortgage loan.

Differences

Many financial institutions have mortgage simulators and prequalifiers. However, there are substantial differences between each.

Let’s start by defining how they work:

Mortgage Credit Prequalifier: this is an instrument that helps you determine a very approximate scenario of what your line of credit will be, the term in which you will have to pay, the monthly payments, interest and other characteristics of a mortgage loan.

Another characteristic is that it also gives you your status in the Credit Bureau, which in the case of applying for a mortgage loan with ION Financiera you must have a minimum score of 500 points.

To do this, you need to enter personal information such as your name, marital status, etc. With these data, the financier can get to know you a little better.

It is also essential that you provide other information such as your job, income, and permission to review your history in the credit bureau, the reason? … the prequalifier in addition to helping you estimate your credit, also pre-authorizes it and for them, it is necessary that your data is correct.

Otherwise, the result will never come close to what you hope to obtain from the financing of the entity in which you are prequalifying yourself.

People are often not honest when entering their information and the result can vary too much at the time of credit approval.

The financial institution must make an evaluation of your profile as a contractor of a loan and make sure that you are a person with the stability and solvency to face a mortgage loan.

It is important that you take into account that to have access to a mortgage loan you must be financially stable, as well as have savings to cover initial expenses such as notarial, evaluation and down payment.

Mortgage Credit Simulator: this digital tool, as its name implies, simulates a mortgage loan. You must enter your personal and work data.

Based on this information, the mortgage credit simulator will give you a financing figure that is supposed to be what the financial institution could grant you.

The difference is that this instrument does not prequalify you and only gives you an initial vision of how your mortgage credit could perform.

In this sense, with the simulator, you get a first overview of the mortgage credit, while with the prequalifier you get a very approximate financing scenario, as well as a breakdown of the behavior of the credit.

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How does a prequalifier help you get a mortgage loan?

As we have mentioned, a mortgage credit prequalifier, in addition to helping you know a very approximate estimate of what financing could be, also makes you prequalified.

One of the advantages of using a mortgage credit prequalifier like the one from ION Financiera is that all your data is protected, in addition, once you are prequalified your credit is preauthorized.

These types of tools implement a customer service approach, so your results reach the commercial advisers, who contact you to advise you on the financing plan.

Another advantage is that it allows you to know your ability to pay and prevents you from acquiring a debt that you cannot solve.

With the mortgage credit prequalifier you can know the responsibilities that you acquire when you contract a mortgage loan.

How to use a mortgage credit prequalifier?

The first thing you have to know is that for the result of the prequalifier to be effective, you must be honest with the data you enter, in this way the analysis of the tool will allow you to know if you can obtain a mortgage loan and under what conditions.

Do not be afraid of registration, entities such as ION Financiera are regulated by institutions such as the National Banking and Securities Commission (CNBV) and the Condusef.

To start using the ION Financiera prequalifier, you need to have on hand:

  • Personal information
  • Work and income
  • Credit information

Live the experience of buying a house starting by pre-qualifying yourself to see if you have the profile to have access to financing.

Use the ION Financiera prequalifier and discover how much financing you can get and live the experience of buying your home.