You have a negative entry in the Credit Bureau faster than you’d like, but getting it away is unfortunately not that easy. So what to do if you want to take out a small loan for the children’s Christmas presents, but have this negative entry in the Credit Bureau – do you no longer get any loan, no matter how much you earn? -Of course not.
Fortunately, there is the credit without credit check, which is now being offered by more and more credit institutions.
Where can you find these offers?
Loans without credit checks are offered both on the Internet and in daily newspapers, and in the meantime even in flyers.
How does it work with the loan without a credit check?
To get an offer for a loan without a credit check, either contact the provider by telephone or use a special contact form on the Internet, or send an email to the provider. You will then be sent a loan application to suit your request, which must be signed and returned to the provider with the appropriate attachments. The credit institution then examines the application and either approves or rejects it.
What is in the application form for a loan without a credit check? What needs to be entered?
The general personal data such as name, address and date of birth must first be entered in the registration form. In addition, there is information about the employer and earnings as well as the living situation (rent, property) and the amount of the requested loan amount.
Based on this information, the credit institution calculates the probability that the loan will be repaid by the borrower and uses this calculation to decide whether to reject or approve the loan application.
Why is an application rejected?
The bank rejects an application due to the lack of collateral. For example, this may be due to the fact that the applicant earns too little, has too high expenses or debts, or is in a temporary job. In principle, every credit institution is free to grant loans, the providers work according to their internal guidelines.
Is a credit without a credit check more expensive than a credit with a credit check?
A credit without a credit check is more expensive than a credit without a credit check because the risk is higher for the credit institution that the loan will not be repaid than in the case of a loan with a credit check. This usually has an impact on a significantly higher processing fee and / or higher interest than with a credit check.
Are there only reputable providers on the market?
In the area of lending without a credit check, there are unfortunately more black sheep on the market, so it is essential to check the provider before concluding a loan contract. Particular attention should be paid to the costs associated with the conclusion of the loan agreement.