Most people today live with credit as a matter of course. There are many situations in everyday life, many desires and goals that are impossible or very difficult to finance without outside capital. A small loan or consumer credit gets the potential borrower in general only if a corresponding credit check positive. This also includes that there are no negative credit bureau entries.
But not everyone has this requirement.
Millions of Germans have negative credit bureau entries and a high percentage of those affected by no fault of their own or poor payment behavior. Often it is sufficient if temporary unemployment or a not punctually paying employer to financial terminals and arrears in payment obligations.
Even if the triggering causes have long since been eliminated, the negative credit bureau entry persists for a longer time and this makes the search for credit much more difficult. The solution is then a loan without credit bureau, but where and on what terms can you get it and is it useful?
To anticipate – yes, there are loans without credit bureau
There are also cases where this form of credit is advisable and useful. But anyway, any loan seeker with a negative credit bureau entry should thoroughly reconsider his financial position. Will he really be able to handle the new loan, or will the further monthly burdens drive him even more into debt?
- Maybe certain purchases just have to wait.
- Maybe there is the possibility to borrow money privately.
- Maybe the house bank gives a necessary loan increase or loan consolidation even despite negative credit bureau?
If a loan seeker chooses the loan without credit bureau, then he finds today many providers, especially on the Internet.
However, the fingers should leave any credit seeker from the providers who:
A: Do not ask for collateral at all.
B: High processing and agency fees require, even if the credit does not come at the end.
C: Request additional insurance or membership from the borrower.
These are very dubious companies that only profit from the financial emergencies of people.
There are unfortunately many black sheep but quite serious offers.
Most of them are credit intermediaries who provide such loans through foreign banks (often Swiss banks). They are almost always associated with higher interest rates than the normal installment loan with credit bureau because of the higher risk for the lender, but still affordable and sometimes even quite cheap. For German banks, this type of loan is usually not available.
Of course, foreign banks also check their creditworthiness and almost always demand a verifiable fixed income or other collateral, such as a home or motor vehicle, or at least a reasonable repayment plan or guarantor.
The assessment of the creditworthiness is quite different for the individual lenders, so it may be worthwhile even after cancellation, to inquire of others.