Credit Rejected? ▷ These 5 Providers Help Immediately.On March 9, 2019 by Delores Espinal
p> In 2017, over eight million installment loan agreements were concluded in Germany. Unfortunately, the number of loan applications actually submitted is unknown. Of course, with these volumes, it can not be ruled out that one or the other rejection of an inquiry can occur.
When lending, banks generally assume that the loan will be in default (ie that its repayment is more than 90 days behind). Only when it comes to the question of probability do they set different standards, depending on the borrower.
What can be the reasons and what can an applicant do in this case?
Credit despite negative Schufa score
These providers in this table awarded loans despite negative Schufa entries, bad credit and other issues of the applicant.
- The loan request is not binding and free .
- It may be useful to make free inquiries at several providers at the same time.
|providers||interest||running time||loan amount||information||apply for|
|from 4.9%||12 – 120 months||Up to € 100,000||Schufafreie loans up to € 100,000.
Successful credit intermediary for over 40 years. Instant loans without Schufa.
The money comes neutral by mail.
Very confidential and discreet: The house bank and the employer learn nothing.
|from 3.99%||individually||Up to 5,000 €||Loans without Schufa to 5.000 €.
Many years of experience in the market.
Toll-free special repayments.
Rate breaks possible.
Even with residual debt exemption credit possible.
Immediate confirmation after a very short examination.
Income of € 1,130 is necessary.
|from 1.93%||12 – 144 months||Up to 120,000 €||Schufaneutral comparison of personal loans and banks.
Guaranteed: The credit comparison has no Schufa effect.
Many German banks are in demand, so that there are always opportunities for a loan from another bank.
|from 4.9%||12 – 120 months||Up to 50,000 €||Schufa-free loans with immediate acceptance without advance costs
Inquiry and processing are guaranteed for free.
Flexible repayment with special repayments.
After receipt of the money is within 24 hours in the account.
Transparent and serious process.
|individually||12 – 60 months||Up to 25,000 €||Loans from private individuals to private persons
The Schufa entries are checked, the credit can also be awarded despite negative entries or low Schufa score.
Also suitable for the self-employed and freelancers.
|12%||40 months||3,500 € or 5,000 €||Always 40 months maturity, 12% effective interest and only two loan amounts to choose from for all borrowers.||>> Next|
Credit rejected – what now?
- Before submitting an application in the context of the Schufa self- assessment, check whether any obsolete entries reduce the credit rating.
- If the financial ceiling is thin, check which expenses can be canceled in the short term.
- A second borrower increases the probability of assumption.
- The loan without Schufa offers an alternative (see table above)
Credit rejected: Schufa score and other reasons
Of course, the first reason that most consumers think about in connection with a credit rejection is a lack of creditworthiness . This can result from hard Schufa criteria , from expired direct debits in the past or from an unreliable account management.
Hard Schufa criteria are pending insolvency or a pending arrest warrant .
Too many direct debits, which were only subsequently paid after being requested , also have a negative impact on the scoring. The same applies if an account holder leads his current account mainly very clearly in the minus.
Another reason for the rejection may be a too thin financial ceiling in terms of rate . Does the revenue and expenditure account just so, or would lead to the rate that spending at the end of the month outweigh the revenue, the bank is forced to deny the request.
Work and job
Further reasons can be found in the applicant’s professional situation. If he is still in the probationary period , lending is also not possible because the bank can not guarantee that the employment relationship will result in unlimited employment.
This brings the issue of fixed-term employment into play. In such a case, the term of the loan may not in principle exceed the duration of the employment relationship. Background is the position of the collateral. In the case of an installment loan, the loan is deducted from the salary assignment . If there is no salary, the bank can no longer rely on the salary assignment if the borrower no longer meets his installment payments.
The circumstance “temporary employment relationship” also applies if a trainee wants to take out a loan, for example for the first car or the first home furnishings. Apprenticeships are also limited and will officially end on the date of the oral exam. Only the assumption with the regular indefinite employment contract allows the loan.
In the case of unemployment, there is basically no possibility of borrowing , as public funds, ALG I and ALG II, are subject to seizure protection. Borrowing from self-employment is still not possible at all banks in Germany.
Other aspects that suggest a certain degree of unreliability of the applicant are multiple current accounts (if there is no self-employment with a business account ), a whole package of credit cards or frequent relocations. The first two facts suggest at Schufa at first glance an unstable financial economy. Frequent moves could make it difficult for the creditor to find the debtor in the event of a default.
Avoid credit rejection in advance
Fortunately, there are also solutions to many problems . So it is with a possible weak credit rating.
If you want to be sure that the likelihood of the loan commitment is increasing before making the loan request, you should clarify some things in advance.
- Every consumer has the right to obtain a self-assessment from Schufa once a year. On the basis of his information, the potential applicant can check whether any entries that have long been overhauled have not yet been deleted. According to us, the Schufa has a reputation that it does not necessarily keep its data collection up to date. If there are any obsolete negative entries, the applicant must insist prior to borrowing that they be deleted. Only then does a loan application make sense.
- Even if it’s difficult, he should first balance his current account, if it is in the minus . Possible options are a relative loan, an employer loan or a short-term loan without Schufa.
- If the monthly installment for the loan restricts the financial scope too much, a cash fall helps. Which expenses can be avoided? Does the subscription to a magazine have to be real, how many times a month does a visit actually take place in the gym or can the contract be terminated? What about the mobile phone contract – are there cheaper solutions? Does a change of liability insurance or car insurance offer savings? Banks rate it quite positively if an applicant prepares in advance what savings potential exists and attaches this “savings plan” to the loan documents.
- It gets a little harder in terms of career reasons for a loan rejection . A fixed-term employment contract is limited, the end of the training is in sight, but the takeover guarantee is still pending. In this case, it helps to get a second borrower, who meets the bank’s requirements, on board. In general, many banks grant a cheaper interest rate if they are two borrowers, as they can fall back on two people in case of late payment.
- For self-employed people , a credit comparison shows in advance which institutions they are welcome to. This significantly shortens the application process.
- If an applicant owns many credit cards or multiple accounts , the question of overdrafts or repayment of credit card balances is in installments in the room. If only one account is definitely needed, the client should close all others. If only one credit card is necessary, he should return the others. Of course, the reverse is true that with an absolutely orderly account management and credit card use this has positive influence on the Schufa.
The loan without Schufa – an alternative?
Does not help everything, whether it is because the Schufa entries are actually up to date, either because there are no funds available to balance the current account, the loan without Schufa offers as a solution . Most of these loans come from abroad, preferably from Liechtenstein.
Now it is not the case that foreign banks distribute credits uncontrollably according to the watering-can principle. Just because there is no institution abroad like the Schufa does not mean that the applicant does not have to meet certain requirements. These include
- A resident of Germany
- A checking account at a bank based in Germany
- Employee or self-employed
- Provision of collateral
In contrast to the industrialized credit processes for installment loans in Germany, institutions abroad also accept collateral that is not necessarily based on a salary assignment. It is much easier for lenders to resort to the cession of life insurance, car letters or the registration of a mortgage . The self-employed, who are rejected in Germany due to the lack of salary, have significantly better chances of a loan without Schufa.