German banks are required by law to provide a comprehensive overview of the income and debt situation of their clients in a credit decision. This includes up-to-date proof of income components as well as an overview of the credit and payment behavior of your customers.
Introductory overview of what is meant by loan without information.
Private credit, for example, is an information file in Germany. For this purpose, it provides information by collecting all the relevant information relating to loans, mobile phone contracts, credit cards etc. and storing it per customer. The information that can be found here, in combination with the current income situation, are crucial for the assessment of the creditworthiness of a customer.
In addition to the Private credit, however, there are many other information files. There are differences in the collection of data, which may well lead to different ratings of the customers. However, the evaluation scales and analysis methods of these information files are not known by the evaluation and decision algorithm in the public.
Further information about the loan without information
Reasons why consumers are looking for loans without such information, are quite varied. On the one hand, there is the possibility that a client might seek short term and uncomplicated liquidity, because unforeseen expenses have occurred and no further credit entry should be made in the information files, otherwise the scoring decreases and larger upcoming investments could not be financed,
The next, a negative entry can burden the Private credit and make a new borrowing at classic banks impossible. Or you as a consumer are currently in unemployment and try to cover outstanding claims in the short term. The reasons can be just as varied.
What types or possibilities are there of loans without information
In the credit landscape, various ways have opened up in recent years to obtain liquid funds. A negative entry in the information file does not necessarily have to be an obstacle. There are now many alternative ways to obtain a loan without querying the information in the information files.
- Private credit intermediaries
If negative entries burden the Private credit, 99% of the credit applicants can not obtain financing from a traditional bank. An alternative, in order nevertheless to get liquidity represents the possibility of the private credit intermediary as detour to the German private bank. Here an individual examination of the loan application takes place, a negative Private credit is with the lending no KO criterion.
The deciding factor for a loan approval is the currently reliable financial situation of the consumer. However, the applicants must be prepared for mostly higher interest rates and also credit intermediary fees. Caution is advised here before black sheep.
- Swiss loans
Swiss banks have another allocation system. You are not required to use any information about information files as a basis for the credit decision. The decision criterion for the Swiss loan is a regular attachable income on a current account, the existing employment of at least one year and a sufficiently high income and a residence in Germany. Applicants who are seeking work or have a student status, etc., have little chance of getting a loan even if they have a Swiss loan. The Swiss loan has a rather high effective annual interest rate of 13.00% and is therefore extremely expensive compared to the current very low base interest rate.
- Personal loans from private investors
There are now numerous platforms for the mediation of personal loans. Again, the interest rate can be quite high compared to the current interest rate. However, private investors certainly consider other requirements. However, the current financial situation is also crucial here for the credit decision. An information about a directory is not made.
- Personal loan from families and relatives
A very obvious form of personal credit, which can also be done without any information is the use of loans from the family or friendly environment. Repayment terms can be made here on modest terms and under an extensive relationship of trust. Also, usurious interest or fraud are rather rare. Many consumers often forget this alternative out of shame.
Possible problems with loans without information
The information files and the review of the current financial situation of the credit applicants serve the aspect of over-indebtedness of the consumer as well as minimizing the risk of credit losses for the banking industry.
Customers who do not receive positive credit approval should understand this as a warning signal. It is important to be careful when looking for solutions and the use of alternative finance.
It should be paid attention to the following, so as not to experience a rude awakening later:
- Caution should be exercised when collecting up-front fees
Some credit intermediaries charge fees even before a valid loan agreement has been reached. Usual scam here is the sending of possible loan agreements together with the transmission of the hereby incurred fee. The fee is to be paid even before a credit agreement has been made in writing. Whether the credit payment is actually made after this is uncertain and binding. However, regardless of whether the decision is positive or negative, the applicant does not recover the fee paid. Consumers should be aware that serious providers generally require certain collateral. As a result, Hartz IV receivers can not fall into this circle.
- Extra fees for fast processing
Various of these providers, advertise with instant loans for a corresponding fee. The providers often try to use the supposed time pressure in a credit decision for themselves and to collect extra fees. The actual execution of the credit decision even without careful examination of the financial situation of the
Applicant takes place is questionable.
- Beware of vendors offering complementary products, such as insurance
This does not mean credit default insurance, but the attempt to complete life or home insurance. The reason given here is that the loan applicant is thus more attractive to the bank and the favorable decision of the loan application is favored.
What to do if bad Private credit / credit rating?
The ways to obtain a loan, without information from one of the information files, such as the Private credit are manifold. A bad Private credit does not necessarily mean that at least not another alternative loan option is eligible. However, it is urgent to be careful and to take care not to get in the way of dubious mediators. Also, borrowers should protect themselves against personal over-indebtedness and wonder if further borrowing is really advisable.
It is also important to mention from the point of view of alternative credit possibilities that the classical credit institutions use quite different information files and valuation standards in the lending process. Independent online providers like to check several banking institutions for free on request, if there is an option to borrow.
The key advantage here is that these platforms only make a request for terms at Private credit and do not note a request for credit. Because the request for loans leaves the information file Private credit basically negative traces. The file imputes financial problems to that one. As a result, in the ensuing weeks and months, applicants may not receive a positive credit decision.
Current figures and interest rate developments for loans without information
According to the Federal Statistical Office, the debt ratio of the population is generally expected to continue to progress in the coming years. Information files, such as the Private credit drive for years record profits. The market, in particular for alternative financing, is growing in parallel. This makes sense especially for private investors. Because savings are now charged at almost 0.00%. Thus, it is currently not possible to speak of a profitable investment business. Rather, it seems to be more lucrative to spend the available liquid capital as a personal loan to third parties and to take out corresponding interest-bearing credits, which are far above the current savings interest, in order to generate added value for themselves.
|used cars||dentures||debt restructuring|
– Cash purchase of a used vehicle
– Financing not through car dealers
– Remediation, crowns, implants
– Renewals in the mouth without financing directly from the dentist
– combine several older loans and replace them
– Take out a new loan to service previous loans
The expensive financing directly from the dealer can be avoided. In the net there are under Umständne cheaper offers. So you can conduct an independent credit comparison without information and may benefit from better interest rates.
The expensive dentures do not have to be paid with even more expensive financing from the dentist, but can be bought by a fairly reasonable installment credit. An independent credit comparison can bring significant benefits here.
Older loans with high interest rates can be replaced by newer ones with low interest rates. Several loans can also be combined without providing a new one. This is not only clear but also much cheaper if the Konditonen fit.
Loan amount: 13,000 EUR
Effective interest rate: 1.95%
Running time: 72 months
Monthly rate: 191.47 EUR
Total interest: 785.87 EUR
Loan amount: 6,000 EUR
Effective interest rate: 1.95%
Duration: 36 months
Monthly rate: 171,72 EUR
Total interest: 182.08 EUR
Loan amount: 25,000 EUR
Effective interest rate: 1.95%
Running time: 84 months
Monthly rate: 318.63 EUR
Total interest: 1,765.33 EUR