In the search for Credit bureau-neutral loans, offers for so-called Swiss loans quickly appear. Such loans offer you the opportunity to take out a loan without Credit bureau having any influence. For many consumers with slight problems with their Credit bureau, this is a way to get a loan if German banks refuse to accept it. The easiest way to apply for a Swiss loan is through a credit intermediary. The best known include Best bank and Fine Bank.
What is a Swiss loan?
A Swiss loan is basically a normal loan, as you would get from your house bank. But unlike a normal installment loan, the requirements are different.
While credit institutions in Germany are obliged to check their creditworthiness using Credit bureau, Swiss banks are not under this obligation. A Swiss loan does not need a Credit bureau check. An entry in your Credit bureau file is also not made when borrowing.
As the name suggests, such loans are negotiated with banks located in Switzerland. In general, Swiss credit is to be understood as a generic term for loans from abroad or a synonym for loans without Credit bureau per se. For example, they often come from Liechtenstein or Luxembourg. Switzerland is only one of the first countries to grant Credit bureau-free loans to German citizens. The term Swiss credit has thus become common for this type of loan. In the meantime, Swiss banks are not granting credit to Germany due to the high requirements.
Outside of Germany, banks have other methods of assessing your credit rating. Credit bureau as a company only operates in Germany. In other countries, there are either other credit agencies or no such agencies as in Switzerland. The creditworthiness of the borrowers is then determined on the basis of other, sometimes much stricter criteria. That is why Swiss loans usually have higher interest rates than installment loans from German banks.
What are the advantages of a Swiss loan without Credit bureau?
Minor discrepancies in the Credit bureau can lead to you not getting a loan from your house bank. In Germany, the examination of the Credit bureau is the basis for a positive or negative credit decision for many credit institutions. If irregularities can be identified here, this can quickly result in the loan application being rejected. Even though your financial situation would be sufficient to finance the loan.
Therefore, the biggest advantage of Swiss loans is that Credit bureau does not play a role in the credit check. So if you have slight negative characteristics in your Credit bureau, they do not automatically lead to a rejection of the loan application. Especially since such entries often do not have to reflect your current financial situation. However, you must then provide sufficient evidence of this during the further credit check. Even if Credit bureau does not play a role for Swiss loans , you will of course still get certainty about your creditworthiness and possible collateral.
Swiss loans without earmarking
In addition, Swiss loans have no purpose limitation. You can use the requested loan amount for a new car or renovating a property, for example. However, specifying a purpose can help with the loan approval. A loan that is tied to an object such as a car or an expensive electronic item has additional security for the bank.
In addition, a Swiss loan cannot worsen your chance of a later large loan. Because the loan does not appear in the Credit bureau, it cannot have a negative impact on the credit check for other loans. This can be an advantage if, for example, you plan to buy a house but want to take out a smaller loan beforehand.
Where can I get a Swiss loan?
In Germany it is not common to go straight to the Swiss banks. That is why the route usually leads through credit intermediaries. Such providers maintain partnerships with many small and large banks. Most of these are in Germany, but also, for example, in Switzerland. When you make a credit request, the credit intermediary checks which bank has the best deal for your financial situation. Basically, an attempt is initially made to arrange a loan with Credit bureau, since the better conditions can be negotiated here. Only if no suitable loan is found or if the borrower explicitly requests it, does the credit intermediary switch to a Swiss bank. As a result, credit intermediaries also carry out an examination of Credit bureau first.
Two of the largest credit intermediaries in Germany are Best bank and Fine Bank. Since these providers are purely online offers, the loan applications are also made in digital form. This speeds up the processing of your initial application enormously and you can quickly be certain whether the loan is approved or rejected.
- Best bank has been in business for over 40 years and has a long experience in arranging loans without Credit bureau. The provider arranges loan amounts of 1000 to 100,000 USD with terms between 12 and 120 months. Proof of a regular income is required for a loan. However, this does not necessarily have to come from an employment relationship. Loans for self-employed and freelancers can therefore also be realized with Best bank. Retirees also have good chances because there is no age limit when it comes to lending. If the provider is unable to provide a Credit bureau-effective loan, he invokes partner banks abroad.
- Fine Bank provides Swiss loans without Credit bureau under the category “special loans”. For this, the provider has cooperations with banks in Switzerland and Liechtenstein. Credit bureau-free loans are paid up to a maximum of 5000 USD. Otherwise, up to 250,000 USD are possible with Fine Bank. The terms are between 12 and 360 months. In order to make a positive credit decision, you must have an income of at least USD 1130 per month. It is not so important whether this comes from an employment relationship or self-employed work. A Swiss loan for pensioners is not easily possible with Fine Bank, as the age limit for applicants is 60 years. People who are older also need a guarantor.
What are the requirements?
Regardless of which provider you apply for a Swiss loan, the basic requirements are basically the same:
- Minimum age of 18 years
- German citizenship
- Permanent and permanent residence in Germany
- A verifiable monthly income
The first three points are basically self-explanatory. A Swiss loan is not granted to minors, as they are only of limited legal capacity. If you live in Germany, it is also very important that you have valid identification documents. When applying for a Swiss loan on the Internet, you must subsequently prove your identity via Postident. For this, a valid ID card is required to compare your data.
Your monthly income is very important. A credit without Credit bureau has very strict creditworthiness requirements, especially with regard to income. Depending on the provider, not only the regular income itself is decisive, but also the type of employment and the length of employment at the employer. On average, credit intermediaries are expected to earn a minimum of USD 1130 per month. In part, the required income is made dependent on the number of dependent children. That means the more children you have, the higher your monthly income needs to be before you can get a loan approval.
In addition, the public debt register is checked for a Swiss loan without Credit bureau. This includes, for example, affidavits or associated arrest warrants. Such incidents are also noted as hard negative characteristics in the Credit bureau. No matter whether with or without Credit bureau, such entries always lead to the rejection of a loan application.
Who gets a Swiss loan?
Basically, a Swiss loan is available to everyone as long as the above requirements are met. Thus, all working people with a corresponding minimum income are eligible. A Swiss loan can also be realized for apprentices and students with a suitable income. Freelancers and the self-employed also have a good chance of getting such a loan. The hurdles for these professional groups are often not as high with a Swiss loan as with an installment loan from the house bank.
A Swiss loan without income is difficult to achieve. Loans are generally not recommended for the unemployed. In this case, a loan without Credit bureau should already be rejected due to the minimum requirements for monthly income. In exceptional cases, suitable collateral and co-applicants or guarantors can provide a loan, but you should consider carefully whether this is the right way in your situation.
As the example of the credit broker Best bank has shown, a Swiss loan for pensioners is possible. While in many other lenders pensioners are fundamentally out of the box, with some providers of Swiss loans they are not excluded from lending. Otherwise, a co-applicant or guarantor is also helpful for this group of people, who can take over the other installments in the event of death.
What are the conditions for a Swiss loan
That initially depends on the provider. As the two providers Best bank and Fine Bank show, the conditions can be quite different. For Swiss loans, often lower loan amounts of, for example, 3500, 5000 or 10,000 USD are common. Often such amounts are also related to the fact that the provider does not provide higher loans without Credit bureau, as the example of Fine Bank shows. In this case, the banks counter the fundamental risk of a Credit bureau-free loan not only through higher interest rates, but also through a lower loan amount. If you want a higher Swiss loan, you are better off with a provider like Best bank.
No general statement can be made with regard to interest rates. As with normal installment loans, interest rates fluctuate from provider to provider. In general, these are somewhat higher for a Swiss loan. Interest rates of 3 or 4 percent are quite possible with a Swiss loan.