Created in 1981, the French company Carrefour Banque is a company of the Carrefour Group, a French group in the mass distribution sector (6th internationally in terms of turnover in 2016). This company offers consumers various means of payment, as well as consumer loans, savings products and insurance (automobile / home / supplementary health and provident insurance).
Carrefour Banque first made a name for itself thanks to the implementation of its means of payment in the stores of the Carrefour banner. In 1981, she therefore launched the PASS Card, a MasterCard linked to a revolving credit (sum of money made available to a borrower, usable as and when his needs and reimbursement). The PASS card allows its owner to withdraw money, make cash payments or use the reserve of money offered to him with revolving credit. In this case, two possibilities will be offered to the consumer. In the event that the sum of the credit is equal to or less than 3000 US dollars, the debt repayment will be made over 3 years, beyond the repayment period is revised to 5 years. The PASS Card also offers its holder payment for his purchases in 3 installments free of charge or to defer payment for 3 months in Carrefour stores. This card is offered in its standard version at 14 US dollars per year, and 55 US dollars for the MasterCard Gold version (attractive price on the market).
Since then, Carrefour Banque has grown and expanded its actions. Currently, the establishment offers its customers consumer loans such as personal loans or revolving credits as well as recently, the repurchase of credit. This establishment also allows its customers to save. Thus the potential future customer has the choice between different savings formulas. He can save by opening a Carrefour Banque savings account with a rate set at 1% upon subscription. It should be noted that the rate at the time of subscription is subject to variation (the consumer must be attentive to the indications during the subscription). Other savings solutions are offered by Carrefour Banque. The consumer can indeed open a term account (a remunerated deposit account). Unlike the savings book, the rate of remuneration is fixed throughout the duration of the contract. Finally, the consumer is also offered to take out life insurance.
Finally, Carrefour Banque offers consumers insurance solutions in partnership with CARMA, the Insurance subsidiary of the Carrefour Group. To build customer loyalty, the Bank therefore offers Auto / Home / Family insurance as well as Complementary Health insurance.
Credit with Carrefour Banque
When consumers visit the Carrefour Banque website (www.carrefour-banque.fr/), a consumer credit simulator is offered directly to them on the home page. This simulator allows him on the one hand to select the project then to choose the amount, the monthly payment and finally the repayment period of the loan.
The consumer will therefore be able to choose whether he wishes to finance the purchase of a new or used vehicle, the carrying out of work or decoration or if he needs cash for other projects. He can then choose the sum between 3,000 US dollars and 38,000 US dollars (or even 50,000 US dollars for the purchase of a car or the realization of works). For amounts of less than 3000 US dollars, Carrefour Banque offers to finance the project with the revolving credit linked to the PASS card. The duration and the monthly payment of the loan are interdependent. The duration is between 12 and 84 months.
The client therefore requests a simulation on the search engine. This will then display the result. On the new page, a summary of all the necessary information is found. The page therefore includes the name of the loan requested as well as the amount desired by the borrower. Then follows the monthly payment, the duration of the loan, the fixed APR (including credit and ancillary costs) but also the debtor APR (rate linked only to credit). The fixed APR allows the consumer to be able to compare his credit on the market and to know the real costs of the latter. The total amount of the credit is also indicated below, as well as the total cost of it and the monthly cost of the insurance (which remains optional). Consumers must be aware that the longer the term of the credit, the higher the cost of their credit. Indeed, the lender takes a greater risk to lend a sum of money over the long term. To mitigate this risk, it therefore increases the rate of the loan and therefore the costs. The consumer would therefore have to borrow over a shorter period to obtain a more attractive offer. So if the credit is 5,000 US dollars over a 24-month period, the monthly payment will be 229.5 US dollars, while for the same amount of money over a 48-month period, it will be 125.54 US dollars. . The only difference will therefore be the cost of credit. Over 24 months, it will be 508 US dollars, while over 48 months, it will be 1025.92 US dollars.
It is important to note that from the result of the simulation, Carrefour Banque informs the consumer by a message at the top of each page on the risk of taking out a loan. The consumer can therefore read "A credit commits you and must be repaid." Check your repayment capacity before you commit ".
Informed consumers therefore have the choice of continuing their credit application or of stopping it at this stage. If the customer accepts this offer, he therefore continues with the credit request procedure. He will then have to provide a certain amount of information on his identity, his situation, his income, his monthly charges etc. Then, the consumer will have the possibility of subscribing to the insurance that Carrefour Banque offers him. The borrower will have the choice between two formulas but also the choice not to take insurance with his credit. In this case, the consumer will be informed by the appearance of a new message of the risks he incurs such as for example the fact that if he does not repay his debts, these will be transmitted to his beneficiaries.
Carrefour Banque's response
The customer receives a response at the end of his request. When the answer is negative, Carrefour Banque suggests that consumers contact them to understand and find a solution adapted to the request. If the answer is a pre-acceptance, a credit summary is offered to the borrower. This includes all the terms of the contract. The borrower is then offered to print his contract (28 pages). He will receive it later by post. After having read the latter, completed the parts to be informed, the borrower is asked to return the contract to Carrefour Banque to obtain the loan. This contract must be completed by an identity document, the last two payslips (as well as those of the spouse if the borrower has declared to be in a couple), the tax notice, a statement bank identity, proof of address dating less than 3 months and finally, if applicable (in the case of an affiliated loan) the invoice for the goods to be paid). The borrower can then follow the evolution of his request on the internet. The offer will be studied by Carrefour Banque, which will validate or not the consumer's request (and verify that the file is complete and that no documents are missing). Carrefour Banque will inform the borrower by email or text message of the progress of his file.
Acceptance of the offer
When the offer is accepted, Carrefour Banque sends an offer to the consumer which is valid for 15 days. It is important to note that as long as the consumer has not signed a credit agreement, he is not committed to Carrefour Banque. This offer therefore runs for 15 days, after this period it is no longer valid. In the event that the consumer has accepted the offer, although he is engaged, the law protects him and leaves him 14 days to withdraw without cause or expense. In the event that the borrower agrees and wishes to make this credit, he also has the option of having this withdrawal period lifted, to accelerate the fundraising. In all cases, the duration for the funds to be available is 48 hours. At this stage, the consumer is then committed to Carrefour Banque for the period determined by the credit contract that he has signed. He is therefore obliged to pay off his debt according to the repayment terms set.
Carrefour Banque is best known for its PASS Card, which is used by more than 2.4 million customers. This company has put forward means to retain its customers. Carrefour Banque is thus represented in more than 219 points of sale of the Carrefour group, in order to be as close as possible to its consumers, thus making it possible to meet their expectations quickly. It is also important to note that Carrefour Banque is committed and is very attentive to the subject of the over-indebtedness of its borrowers.