One knows that: Unexpectedly high bills, back payments and acquisitions are pending. But own capital and savings leave something to be desired. If there is no money, it will inevitably require a loan without any initial costs. You make a loan application to your house bank and will be rejected. Why? A negative credit bureau entry is the reason. In this case, other providers offer a loan without credit bureau information and credit checks such as the Swiss loan specifically for German borrowers.
But why is this solution a good alternative? For whom is a loan without credit bureau information and credit check most likely? And what advantages does this Swiss loan bring from a credit intermediary, as opposed to loans at the house bank?
A refusal to receive is never very nice. After all, you are currently in an emergency situation, urgently needs a certain loan amount and is rejected due to a negative credit bureau entry from his house bank. Other providers who provide credit without credit bureau information and credit checks are the first and therefore the best choice. An examination of the creditworthiness always takes place, just not about the credit bureau.
What is a loan without credit bureau and credit check?
With a loan without credit bureau information and credit check, the intermediate step of the credit bureau information is omitted. Typically, the bank employee sends a request to the credit bureau at the loan request for a installment loan, where he can gain insight and knowledge of which negative credit bureau entry may be present.
With a loan without credit bureau and missing credit check by the credit bureau, as for example with the Swiss credit, this credit bureau information is not obtained. Proof of income and collateral are sufficient for lending. Foreign banks want to ensure creditworthiness and the credit bureau score is sufficient to provide a loan.
Of course, the amount for the loan must be made available. Since the house bank is not eligible as a lender, these types of loans are created by foreign lenders who do not cooperate with the credit bureau. Switzerland, as a non-EU country, has the option of issuing a Swiss loan, which can be recognized as a real loan, but can not be viewed or recorded by credit bureau.
The credit does not appear accordingly as an entry in the credit bureau information.
This has the undeniable advantage that you get the loan and that leaves no trace in the credit bureau extract.
Credit without credit bureau or credit despite credit bureau?
A negative credit bureau entry is not necessarily a reason to reject the loan. The credit bureau has a kind of classification system with which it evaluates the negative entry. There are three colored icons.
Red stands for not creditworthy, yellow for conditionally and green is therefore completely creditworthy. In the case of the green icon, there is usually no credit bureau entry or an entry intended for deletion. The yellow icon has a conditional credit rating.
In this case, it is definitely possible to get credit for a loan request. Here it depends on the payment behavior of the borrower, how reliable this proves to be in payments and whether the borrower has other proof of payment.
A regular income and other collateral, such as a car or a house in a planned mortgage lending, increase the chances of receiving a loan despite negative credit bureau entry. The objects mentioned serve the bank as additional security. Another borrower also increases the chances of getting a loan. In this respect, consumers should know and trust the second borrower well.
A loan often has a long-term burden and this can shake a relationship in the long run. Therefore, many borrowers also see a guarantor or another borrower on board.
How is a negative credit bureau entry?
Basically, you know what the credit bureau is, to reproduce this definition is in most cases quite difficult.
credit bureau Holding AG, with its registered office in Wiesbaden, is a stock corporation in its legal form. Based on a private-sector institution, credit bureau has credit reporting agencies. Shareholders mainly include credit companies, traders and other service providers.
credit bureau has around 813 million data on the economic conditions of individuals and companies. credit bureau processes around 14 million creditworthiness and credit rating inquiries annually.
Normally, banks and trading partners provide borrower data to credit bureau, but first a client’s consent is required before a loan offer can be made.
About 2 million inquiries are handled annually by the credit bureau, in which individuals and companies desire an insight. From debtor directories at the district court, which may be controversial digitized and published, even if no consent, the credit bureau receives the remaining data.
Many credit seekers wonder what is saved at the credit bureau at all. After agreement, the credit bureau stores the name, the date of birth and the so-called moving behavior. Not only the current address is saved, but also addresses from previous residences.
The data on correct contract processing are stored as a positive feature. Improper contracting that may entail legal consequences, such as: B. Reminder or enforcement order (also called title) are stored as a negative feature.
Loans and leases taken are stored under the heading of the relevant business. Here the factors of the type, the contract thing and the conditions of payment play an important role.
- Lease agreements and loans with indication of the sum and the duration
- The opening of checking account or P-account (seizure protection)
- Requested credit cards
- Term contracts such as Internet or mobile phone contract
- Customer information when shopping online.
The deviant payment behavior is also a category that is saved by the credit bureau. If claims are frequently reminded and yet not paid, this is part of the stored data.
The public notices from directories are also saved. These include:
- Declaration of an oath
- Personal bankruptcy process
Requests for a loan are structured by industry and condition and stored accordingly. Information about the income of a person or the sum of the account balance is not saved.
From these factors, either a positive credit bureau entry or a negative comes off. Anyone who regularly and punctually complies with his business relationships and payments without being called upon by a higher institution (court, bailiff, dunning notice, lawyer), has no reason to fear a negative credit bureau entry. But sometimes you get into this situation quite surprisingly.
When is a loan without credit bureau information and credit check useful and when not?
Who does not know that: At a young age, private individuals lived beyond their means, perhaps did not pay their bills immediately and handled their upcoming payments a bit recklessly? If the debt incurred is settled, credit bureau entries are usually deleted after 1 to 10 years (insolvency proceedings).
For smaller claims even special rules apply. Only if these 4 points are met can this scheme be effective:
- The claim was made after 01. July 2012 marked
- The amount is less than 2,000 USD
- The sum was repaid within 6 weeks (passed on to the credit bureau)
- There is no title. (Reminder, enforcement order, judgment)
The lender can provide an uncomplicated instant loan online in this case. Above all, it is important that the applicant has a good credit rating. Above all, this includes a regulated good income or, for lower incomes, a security. In this case it is even possible to obtain a credit bureau-free loan.
With too little income and no collateral and a lack of guarantor, it does not make sense to apply for a loan without credit bureau information and credit check. Even if there is a debt, this process is not advisable for a planned rescheduling. The agreed monthly installment must be paid on time and the loan repaid on a regular basis. Otherwise, the borrower is dragged into a financial hole, from which escape is very difficult.
What are the benefits of having a loan without credit bureau?
The request of a customer for a loan is not noted in a loan without credit bureau. The entry is omitted and can therefore leave no negative impression. The house bank has refused the loan for various reasons. In this case, you have the option to apply for a loan without a credit bureau request.
The credit without credit bureau information and credit check is not noted. This has the advantage that the borrower has no losses in its credit rating and the next credit check is positive. You can apply for a regular loan with a higher sum later.
The secrecy from all sides is given. Sometimes this is even recorded in writing. The lender does not make any requests, so the loan does not appear in any directory.
What disadvantages does a credit bureau free loan have?
As a borrower, you have to be immune from dubious and far-away offers. But not always these are so easy to make out. If there are providers that offer a loan for the unemployed or require no collateral, you should be surprised.
This is definitely a dubious provider. Other features include the commitment of a loan, without any check or an upfront fee, to be paid by the borrower, without that he receives a loan for it.
Another disadvantage is that the interest rates on a debt-free loan are often much higher than on a comparable loan with a previous credit bureau request. The interest rates and above all the annual interest are an essential part of a loan and should always be taken into account.
Loan sharks also lurk as a disadvantage in connection with a credit bureau-free loan. On behalf of credit companies and economic institutions, they turn to creditworthy borrowers and those who have already been rejected.
The consequences are excessive usurious interest, which seems absolutely unrealistic and not proportionate. If an interest threshold is exceeded here, the credit agreement is declared void.
Plan credit without credit bureau exactly
Planning is very important, especially in terms of finances, so you have everything at a glance. It is best to set up a so-called income surplus bill. That sounds complicated at first, but it is not. In this, abbreviated EÜR, all positions on the credit side, ie the receipts that are regularly received, the target page, the issues that are regularly scheduled, compared.
Revenues are for example:
- social benefits
- Income from rentals / leases.
These are compared to the issues:
- Rent plus utilities
- Fixed costs energy supply (electricity, gas, water)
- Contributions for memberships (gym, clubs, VHS)
- Purchasing and lifestyle
- Car (if available)
- Leisure and activities.
One should be able to determine the loan exactly and not too little or oversized to take up too much. The monthly installments should be well calculated so that it is possible to get along well with the remaining balance.
A loan should be a supportive, financial service rather than financial ruin. The financial scope should be generous enough to pay the monthly loan installments.
Listing the collateral is another advantage in the course of planning the loan without credit bureau exactly. Collateral is generally considered to be objects that serve as a state of affairs. This includes a car (or cars), a home, capital (if any), savings, and rental properties for which rental income is received. A guarantor can provide further security, but is rejected by many borrowers because it carries numerous risks.
A loan that has been over-priced may result in the remainder being simply spent without it being earmarked for a specific purpose. Also on the possibility of a residual debt insurance should think.
Although this amount must also be repaid, this insurance protects against sudden inability to work, loss of employment and death. In this case, the borrower would suspend the loan for a period of time.
At best, the documents should be kept in an extra folder for planning the loan without credit bureau. This includes proof of income, security documents, personal documents such as identity cards and any documents that benefit the creditworthiness.
When these things are done, the question of urgency remains. Is the loan required immediately? Does the loan have some time to pay? Is there a long processing time? Many lenders offer a lightning transfer. In many cases, the amount is within 24 to 48 hours on the specified account.
But care: If an advance fee is required here before, it can be a dubious provider. Any processing fee for flash transfer is not uncommon and may be incurred. This must be taken into account in the loan request.
Who qualifies as a borrower?
In principle, every natural person as a borrower is eligible for a loan without credit bureau information, which has reached a minimum age of 18 years. However, there are different groups of people for whom other requirements apply or who are fully excluded as borrowers.
Employees with a regulated income are welcome as borrowers. You have the necessary credit due to your regular income. As a rule, a rule of thumb applies here, which states that a worker’s gross income can be granted as a loan in the year. This is an economically attractive sum, especially with regard to the home loan. Here, the borrower has to bring about 20% equity.
Credit for self-employed
For the professional group of self-employed, lending is slightly different. Again, it depends on the income, which can specify the self-employed. Other factors include the duration of self-employment and the regularity of revenue. It can be self-employed that additional security is required. Furthermore, the income should match the desired amount of the loan.
credit bureau free loan for pensioners
For many banks, the age limit for lending is set at a maximum age of 65 years. Why is that? These are statistical probabilities of how the loan can be repaid before death. Furthermore, the income of a pensioner, the pension, is in most cases not very high. The bank may need additional collateral for this group of people. This can be savings, a mortgage or a vehicle.
Credit without credit bureau for civil servants
Civil servants, probationary officials and civil servants are welcome borrowers. Why it is like that? You have a public and almost non-terminable employment. A premature job loss is therefore very unlikely. In addition, officials often have above-average pay, which makes this group of people a valued borrower.
Credit for apprentices
As a trainee, it is generally difficult to obtain a higher credit. A rule states that the loan granted can be granted a sum of 3 months’ salary. Now the educational salary is not high and trainees are seen as unsafe borrowers by banks.
The long-term employment is uncertain, the training contract can be terminated and the job loss comes with an increased probability therefore. Apprentices have the opportunity to apply for Bafög or to obtain a loan from Intrasavings bank. These are special contact points for people in training.
Requirements for a loan without credit bureau information
The conditions for a loan despite negative credit bureau are similar to those of a normal loan. In both cases, the borrower must be at least 18 years old and reside in Germany.
Even if the loan is provided without credit bureau, this does not mean that the lender does not need proof that it can be repaid. The creditworthiness must be given. With a provable income of 1300 USD you can apply for a loan without credit bureau information.
The income should clearly exceed the seizure limit. This is the most important requirement for a loan without credit bureau information. The amount of an attachable income depends on the number of dependent persons. These can be the biological children, spouses without income or separated spouses.
For a debtor with attachment exemption limit, the amount is $ 1,569.99. If the borrower has another debtor (debtor), the limit is $ 1,799.99. For borrowers who do not have to comply with maintenance obligations, the basic allowance is $ 1,133.80. This amount is not attachable.
The employment contract should have been an indefinite term for six months already. Meanwhile, workers on a fixed-term contract have little chance of getting credit without credit bureau.
Alternatively, only the option of a second borrower would be considered here. This must have the required minimum income of 850 USD net, have a permanent employment contract and thus act as a guarantor.
Which documents are needed?
First of all, the income proofs are needed. The income must be above the attachment exemption limit. For non-dependent persons are the 1,133.80 USD. This income must necessarily be provable.
It is best to write down the comparison of income and expenditure. This can be in the form of a common household book or categorically arranged as a loose leaf collection. The lender “checks” so to speak the creditworthiness. It must be ensured that the loan taken can also be repaid.
Additional collateral is supportive. As collateral mostly capital insurance, mortgages, antiques, a car and a guarantee are accepted. The fair value of the collateral must be estimated. Many lenders like to see guarantors or insurance companies as collateral. Here, the assessment of the value is faster possible, as in circumstances.
What is there for collateral to get the loan without credit bureau?
There are roughly two types of collateral. On the one hand, there are the weak points :
- Antiques and esteemed objects
- Certificates and securities
- Insurance (capital, life, construction insurance)
- Mortgages, Retention of title.
- The other category is personal security:
- Letter of comfort.
Reputable non-credit bureau credit providers require at least a guarantee of credit before you lend money. Here depends on the estimated time value of the thing or personal safety.
Imbalances are often difficult to estimate. This process can take some time. The estimate for personal securities is much faster.
The terms personal security are briefly explained below:
Credit with guarantee
Someone vouches for another person. This simply means that a guarantor can testify that – in this case, the borrower – is doing everything he can to pay back the loan. Everyone knows that life is often unpredictable.
So situations occur that are subject to force majeure and make the repayment of the loan more difficult. The guarantor jumps in this case. This has no advantages as a second borrower. However, the disadvantages can be considerable in the worst case. Therefore, the borrower should look to see if and, if so, whom he chooses as guarantor.
Credit with guarantee
The guarantee is similar to the guarantee. For lenders, the guarantee is a rather old construct. The guarantor promises to settle the claim (or part) if the borrower is unable to do so. With the guarantee, the good name of a borrower is sold for commission / interest. This generates the loan.
The guarantor is a third person who has no possibility of averting the claim. Only the claim as null and void remains to him as the only help. In the judiciary, the term guarantor is often equated with that of the guarantor.
Loan with letter of comfort
In the letter of comfort a so-called patron is determined. This may be a local authority or local authority (urban districts, counties, the federal government). The patron ensures that the borrower meets his obligations.
Credit without credit bureau information – conditions and interest
The credit check serves the creditworthiness of the borrower. The documents – proof of income and the employment contract – are submitted. From this the costs for conditions, the term and the pending interest payments are calculated.
For many providers, the request to a credit company is not binding and free of charge. Only when the documents have been audited and the actual payment is made are fees charged by some lenders.
This agency fee averages 3% of the loan amount. In the first incidental rate, this fee is usually included. The fees may be a monthly payment or a one-time payment. It is worth reading the loan agreement before signing.
The cost of a loan without credit bureau are usually much higher than a loan with credit bureau. This additional processing costs are therefore often reflected in horrendous interest payments. Depending on the provider, these range from 0.69% up to 12%. Often, an alternative interest rate, calculated for the individual borrower, is calculated from the individual, submitted documents.
The term for a loan without credit bureau information and credit check is a maximum of 84 months. During this period, the full loan plus interest must be repaid. Many lenders offer alternative payouts. In most cases, this is a maximum loan of 7,500 USD, which can be allowed without credit bureau information.
How to get the loan without credit bureau?
The receipt of a loan without credit bureau has been made easy for many borrowers. Especially on the Internet, there are numerous providers who offer a simple process and a quick solution. In many cases you get the desired loan with immediate payment despite negative credit bureau.
How exactly does the process for uncomplicated borrowing work?
- After you have chosen the right provider you can fill out the required application. In addition to the desired amount, you can also select the duration (max. 84 months). The personal information, such as name, date of birth, place of residence are required fields and must be entered.
- Many providers offer an additional icon on which you can now upload the evidence. These include the indefinite employment contract, proof of income and documents on any collateral.
- In the next step, the application can be printed out, read through and – if everything is right – signed.
- Many credit providers have the option of uploading the documents via the computer. So also the credit agreement. An alternative possibility would be the sending by email or post. Above all the electronic ways require a scanner with which the documents can be digitized.
- The identity of a borrower must be proven beyond doubt. Here you have the opportunity to prove this via the so-called post-identification procedure. This process can be carried out at the post office, the postman or, more recently: electronic identity cards. The signed signature clearly identifies the identity of a person in this legitimization test.
- A modern possibility is the legitimacy by video chat which expires by phone. An employee of the credit provider sits at one end of the camera, the borrower on the other. The portrait of the borrower and his identity card must be clearly visible in the camera. Further information is available on request directly from the chat partner.
In general, it can be said that the electronic identification procedure saves a great deal of bureaucracy.
- After examining the documents, the borrower receives a commitment. Depending on the effort, this can take a different amount of time. There are providers who offer an instant confirmation, some offer feedback within 24 hours and others wait 3 to 4 days on average.
The payment of the amount may be accompanied by an agency fee, which is charged once or monthly. Therefore, you should read the contract carefully.
Beware of loan sharks – this is how you recognize dubious providers
A credit provider that has been on the market for decades is not automatically reputable. But how do you differentiate reputable providers of so-called loan sharks? Especially if you receive offers for a Swiss credit without a credit check. Focus reports in this article.
Here are some clues to be on the safe side:
For reputable providers, communication is always serious. In the case of dubious loan sharks, the contact is usually obscured and information is enclosed in the fine print. Often the dispatch of the required documents is only possible against payment of a fee.
In general, a serious intermediary waives fees. The financing is provided exclusively by commissions from the lenders. A dubious provider requires an upfront fee. In the worst case, it does not pay out and the borrower stays at unnecessary expense.
The costs, fees, interest and conditions can be recognized immediately and at a glance by a reputable provider. In general, the collective agreement is transparent and comprehensible. Dubious providers charge fees, lump sums and excessive interest. Often, essential information is mentioned peripherally.
The reputable provider calculates the exact interest rate for the entire repayment period according to the price levy ordinance. This also includes the two-thirds interest that the majority of borrowers must pay. In the case of a dubious provider, this information is completely omitted. The interest seems utopian and out of thin air.
Dubious credit providers offer with the approved credit additional insurance that is not needed. Again, the information is usually in small print. Often, the desired loan is also linked to such insurance and is listed as a condition. As a result, the borrowed loan is more expensive and refinances.
Conclusion on the loan without credit bureau and credit check
The non-credit bureau credit check is aimed at all workers who urgently need a certain amount to pay for pending bills and who are afraid of a bankruptcy due to their credit bureau entry and for whom a comparison on the internet does not offer an option due to a negative credit bureau entry,
This loan is a great way to make something possible as a borrower with a lower income and to fulfill a loan request. Above all, if unexpectedly high back payments or purchases are pending, the loan without credit bureau and credit check continues to help. The loan does not appear in the credit bureau and leaves no trace. That clears the way for regular and higher loans like a car loan.
There must be sufficient income for the repayment. The term is also up to 84 months. This is an upscale time frame and the financing is accordingly pleasant. The rates are adjusted in this regard and the borrower can calculate enough with his budget.