A loan without Credit Bureau cannot be obtained from German financial service providers. Credit Bureau-free loans offer advantages that may not be apparent at first glance. However, consumers who opt for this loan option are well advised to obtain extensive information beforehand. This is the only way to ensure that you have a reputable business partner. In the following, the loan without Credit Bureau is explained in detail and the characteristics are discussed.
What is a loan without Credit Bureau?
A loan without Credit Bureau is basically a classic installment loan. The advertisements that refer to this loan variant are well known from the print media. For “Loans even with poor creditworthiness”, “Loans without Credit Bureau for everyone” and similar texts advertise this loan. However, anyone who has dealt with this financial product a little soon realizes that it is not the three major providers who are promoting a loan without Credit Bureau.
Unfortunately, there are numerous black sheep in this business area, which simply and easily rip off. This starts with fees that are charged at the beginning and ends with the applicants having to buy additional products in order to complete the process. Interest rates are also outside normal.
Swiss financial service providers can offer German citizens a Credit Bureau-free loan. This is made possible by the simple fact that there is no institution in Switzerland that acts similarly to the German Credit Bureau. The providers waive both an inquiry to Credit Bureau and a later entry.
There are two main reasons for taking out a loan without Credit Bureau:
1.) The borrower has no credit rating that would enable him to take out a loan from a German bank or savings bank. In Switzerland it is possible to get a loan despite Credit Bureau.
2.) The borrower is planning a larger financing and may not want to worsen his credit scoring with another smaller installment loan. The applicant’s creditworthiness also plays a role in relation to the amount of the interest rate when it comes to mortgage lending.
A loan without Credit Bureau is usually not earmarked. The only exception is construction finance, which can also be settled to a certain extent via a Credit Bureau-free loan. One of the main reasons for taking out such a loan is surely the balancing of a debit balance in the checking account. This also makes sense, since the processing of a loan without Credit Bureau is completely discreet and the installments can also be paid in cash at the bank counter.
|Net loan amount:||$ 1,000 to $ 100,000||$ 1,000 to $ 100,000||$ 3,000 to $ 250,000||4,000 to 60,000 $|
|Running time:||12-120 months||12-120 months||12-84 months||48-120 months|
|more details||more details||more details||more details|
What is Credit Bureau and what is Credit Bureau information or Credit Bureau query?
Credit Bureau is a private business credit agency. Credit Bureau collects data about consumers and companies in connection with their creditworthiness. All transactions relating to monetary transactions are reported. This includes opening an account and entering into a cell phone contract. The so-called Credit Bureau scoring is created from this and the personal data of the respective person. The Credit Bureau scoring also includes whether a consumer or company has regularly met their payment obligations or whether there were any irregularities. The Credit Bureau scoring has an impact on the credit rating in relation to credit inquiries. Consumers have the opportunity to view their Credit Bureau data once a year free of charge in order to correct them if necessary. The Credit Bureau scoring varies depending on the company querying it, as it checks how the person concerned behaved in relation to the respective industry. Anyone who did not pay their cell phone bill twice has a worse scoring for the cell phone industry than a borrower who proves that the account is properly managed and makes a loan request.
The advantages of a loan without Credit Bureau
As already mentioned, a loan without Credit Bureau offers advantages. Even if an existing loan does not necessarily have to lead to a downgrading of the creditworthiness with further financing, the loan without Credit Bureau offers the certainty that larger financing does not suffer from a small loan. In the case of construction finance, it may well be that a smaller sum is missing in the end for further purchases for the new home. Since the German banks have to act very restrictively as part of the loan expiry, refinancing through a loan without Credit Bureau information is definitely possible. If the applicant’s personal liquidity permits, such a loan creates additional financial leeway despite Credit Bureau. The omission of the Credit Bureau request as well as the loss of a Credit Bureau entry make this loan variant very attractive.
Where can you get credit without Credit Bureau?
The idea that a loan without Credit Bureau is a time-consuming, cross-border issue is wrong. Even the loans despite Credit Bureau entry are confirmed by the lender in the shortest possible time, within a maximum of 24 hours. Of course, we are only talking about reputable brokers who can make a loan request within a few minutes via the Internet.
The intermediaries then use the applicant’s personal information to find a suitable partner from their network. Swiss banks naturally also work according to business principles and make sure that the credit default risk remains low. It cannot hurt if the applicant gives his approval for the mediator to inspect Credit Bureau. This broadens the circle of possible banks that are eligible for a Credit Bureau-free loan. The immediate commitment is based on the information provided by the borrower, who must, however, meet certain criteria.
To put it very clearly: Serious loans without Credit Bureau are not readily granted, the applicant must provide proper self-disclosure and demonstrate that he can pay the monthly installments. If these requirements are met, there is nothing standing in the way of a loan despite Credit Bureau.
Whether it is a rush credit without Credit Bureau or a classic installment loan, it is ultimately up to the borrower how quickly he can access the money. The immediate approval does not mean that the money is paid out immediately, but that the loan approval is given. The necessary documents, salary certificates, etc. must be available at the bank so that payment can be made. Here it is in the interest of the borrower to post these documents promptly after the immediate approval.
Serious credit without Credit Bureau – what to look out for
The brokerage for a loan without Credit Bureau requires that the broker has the relevant experience and an extensive network of partner institutions. Newspaper advertisements with the title “Sofort Cashgeld – also despite Credit Bureau entry” often have anything but a serious background.
The safest way to get a serious loan despite Credit Bureau is through a corresponding provider comparison on the Internet. Over the years, three major intermediaries (Bon-Kredit, Creditolo and Maxda) have emerged in Germany, which consumers can trust without reservation when arranging a Credit Bureaufree loan.
After entering the personal data in the mask, the agent looks for a suitable partner. Once this has been found, the interested party receives an offer that shows the conditions and lists which documents are required.
If the interested party accepts the loan without a Credit Bureau offer, they send back the completed and signed loan agreement with the required papers. The loan is paid out either by transfer to the account or by postman in cash. The return can be made by direct debit, but also discretely by cash payment at a bank.
Important: When selecting the intermediary, the reputable providers are characterized by the fact that the borrower is not charged any additional costs. As with a classic installment loan, the agent is paid exclusively by the bank. Stay away from intermediaries who charge separate costs.
Of course, the idea may be obvious to contact a Swiss bank directly. In Switzerland, however, there are the same differences in terms of interest rates as in Germany. A broker knows the market and saves the borrower from having to do intensive research to find the cheapest offer. In addition, it is not uncommon for brokers to buy large contingents and thus achieve a further discount in interest for their customers.
Credit without Credit Bureau experience – how to find a reputable provider
Serious providers of loans without Credit Bureau can hardly be found in the daily newspapers and also not in the mailbox via leaflets. Reputable providers can be found on this portal, for example, because the providers presented here impress with decades of expertise and ensure the cheapest offers for their customers at no additional cost – even in difficult cases when it comes to getting a loan despite Credit Bureau. The customer voices prove that the transaction is smooth and absolutely fair, there are no hidden costs, and there are no additional claims for obscure fees. It goes without saying that the tie-in deals of dubious intermediaries mentioned above have no business here.
Applying for a loan without Credit Bureau – what should you watch out for?
As already described, it also applies to loans without Credit Bureau that certain requirements must be met. It is not a question of blank loans that are floating in the legal space, but of classic loans and instant loans, whose borrowers are also subject to requirements abroad.
What are the requirements?
- The applicant must be of legal age and resident in the Federal Republic.
- Regular income is another requirement.
- Employees must have an employment contract without termination without a trial period.
- If a salary assignment (self-employed) is not possible, other collateral must be provided, for example the assignment of a life insurance policy or entry of a land charge.
Credit without Credit Bureau comparison – which conditions are to be compared
The conditions for a loan without Credit Bureau, analogous to a loan with Credit Bureau information, vary within a range that depends on the economic situation of the applicant. Anyone who agrees to a Credit Bureau query will definitely secure more favorable conditions. It also applies to foreign banks that the price, in this case the interest rate, includes the credit default risk. According to the loan without Credit Bureau test reports, the interest rates are slightly higher than those called in Germany.
A credit without Credit Bureau is not possible without proof of income. However, it does not matter whether it is income from employment, rental income or investment income. The borrowers are not charged any separate fees for the loan, neither by the bank nor by the intermediaries. The most frequently asked loan amounts show that many consumers use a loan without Credit Bureau as a loan “on the side”. The greatest need for Credit Bureau-free liquidity is for loans with a volume of 3500 USD, 5000 USD and 10000 USD.
Which documents have to be submitted?
The documents to be submitted for a loan despite Credit Bureau do not differ from the documents that are also required for a classic installment loan with a bank of the Sparkasse. These include:
- Proof of salary or pension notification
- Copy of identity card or passport with confirmation of residence
- List of personal financial circumstances, if not already done online
- Account statements for the past few months, depending on the institute
- Possible declaration of assignment for the salary or other security to be provided
The identity check itself is carried out as part of the Postident procedure. A valid identity card or passport with confirmation of residence is required. A driver’s license is not sufficient because it does not provide information about your current place of residence.
The most requested loans without Credit Bureau in the test
In most cases, a loan without Credit Bureau, apart from mortgage lending, is a classic installment loan, just that the lender does not ask for Credit Bureau. In addition, there is no entry of the loan for this loan. The loan without Credit Bureau test shows that these loans can be used universally.
Instant credit without Credit Bureau
As already stated, the instant loan without Credit Bureau is a loan in which the loan request is processed immediately, in the same way as a quick loan, lightning credit or express credit without Credit Bureau. However, it is up to the borrower how quickly he then sends the required documents back to the bank for the final processing of the instant loan. If these are complete, the instant loan without Credit Bureau is usually paid out within three days.
Car loan without Credit Bureau
The car loan without Credit Bureau serves as an installment loan to finance a vehicle. The advantage, as with all other Credit Bureau-free loans, is that even car owners with poor creditworthiness or despite a Credit Bureau entry can afford a new car without having to forego a certain luxury.
Small loan without Credit Bureau
It doesn’t always have to be a five-digit amount that is needed. On the other hand, financing a new laptop doesn’t necessarily have to have an impact on larger financing. A small loan without Credit Bureau, by the way the most used type of loan, is possible from as little as $ 1,000 without the creditworthiness suffering.
Quick credit, lightning credit and express credit without Credit Bureau
Different providers use different terms for a quick loan without Credit Bureau.Background with this loan variant is the fact that the application is checked immediately and the loan is paid out in the shortest possible time after receipt of the necessary documents at the bank.
Cash credit without Credit Bureau
The cash loan without Credit Bureau payment can be made in two ways. Either a transfer to the borrower’s account takes place or the loan without Credit Bureau is paid out by post in cash. The cash credit ensures that your own bank is treated with absolute discretion and that the transaction is completely unrecognized.
Installment loan without Credit Bureau
An installment loan is generally a loan that has an interest rate that is fixed over the term. The installments remain constant over the term and consist of the repayment on the one hand and the interest on the other. As the term increases, the repayment portion increases.
Installment loans are issued with terms between 12 and 120 months, depending on the provider, the loan amount is between 1,000 and 150,000 USD. With an installment loan without Credit Bureau, the loan amount is limited to 100,000 USD. While with a normal loan, the Credit Bureau scoring is included in the credit check, it has no effect with one without Credit Bureau. The applicant’s creditworthiness is defined solely by the current financial situation.
Is the loan without Credit Bureau really available to everyone?
This question is perfectly justified, since it cannot be answered with a simple “yes”. Banks that lend without Credit Bureau will not do so if the borrower’s liquidity is insufficient to pay the monthly installment. Sufficient means that there must be an attachable income component, even if sufficient other collateral can be provided.
Loan without Credit Bureau for self-employed and freelancers
This group of people can apply for a loan without Credit Bureau, but may have to provide separate collateral, as there is no salary assignment. It has to be said very clearly that the self-employed run the risk of getting a negative Credit Bureau. Getting financing afterwards, for example because you need a new car as a sales representative, turns out to be a thing of the impossibility. An instant loan despite Credit Bureau offers the ideal solution.
Loans without Credit Bureau for unemployed and low earners up to Hartz IV recipients
The restrictions resulting from the acceptance guidelines of the intermediaries presented above mean that low-income earners and the unemployed have no way of obtaining a loan without a Credit Bureau from a reputable intermediary. The freely disposable and garnishable income is too low for low earners, unemployment benefits are not attachable. In this case, a loan request would only be conceivable if above-average protection of the loan was possible.
The following scenario would be fatal: An unemployed person owns property that is used and that is debt-free. He transfers this property to the financial service provider, the loan without Credit Bureau is secured. However, the monthly income is not sufficient to repay the loan. After half a year, the house goes to a forced auction, the borrower has literally lost everything. In certain situations, consumers should simply refrain from entering into debt. For the group of Hartz IV recipients, no loans without Credit Bureau are available from a reputable provider. The reasons apply analogously to the unemployed and low earners.
Loan without Credit Bureau for pensioners
There is an option for pensioners to take out a bad credit. The pension statement fulfills the same task as the income statement for employees, but offers another advantage: If you are a pensioner, you can no longer become unemployed, a credit default risk that does not apply and which may have a positive impact on the interest rate.