Reputable provider for Credit bureau-free loans.On December 22, 2019 by Cameron Floyd
Offers for Credit bureau-free loans are aimed at people who have forfeited at least one negative entry in the German credit protection system. Depending on the severity of the entry and the lending guidelines of the financial institutions, you will only receive a loan under difficult conditions or not at all. When promoting Credit bureau-free loans, care must be taken to ensure that the providers are reliable.
Important features for reputable providers
Since reputable providers of Credit bureau-free loans comply with the legal provisions, they do not charge any upfront costs or other fees that are independent of the actual loan payment. The processing of a submitted loan application is associated with costs, which, if rejected, are part of the normal business risk of the credit intermediary or the bank.
The calculation of loan fees in the case of granting a loan is permitted; these are usually deducted directly from the amount paid out. As soon as payments are made even if the requested loan is not granted, a loan offer is to be regarded as dubious. In this case, there is a risk that the provider will only want to calculate the commission for unsuccessful loan brokerage.
This does not exclude that in some cases a loan with preliminary costs is actually successfully brokered. A reputable provider of Credit bureau-free loans cannot be spoken for, simply because of the violation of the preliminary cost requirement. The appropriate interest rate is an additional sign of the credibility of the lender.
Given the increased risk, it is understandable that this is above the average borrowing rate for a serious Credit bureau-free loan. However, doubts about reputable interest rates are appropriate for a Credit bureau-free loan if the interest rate is higher than the average interest rate for overdraft facilities.
Who grants Credit bureau-free loans?
In Germany, only pawnbrokers can be considered as reputable providers of Credit bureau-free loans with cash disbursements, since these receive their security from the deposit to be deposited. In addition, installment payments agreed directly with a retailer are often not reported to Credit bureau; in the opinion of most mail order retailers, an inquiry is unnecessary for repeated orders from their existing customers.
If consumers need cash, they can find reputable providers of Credit bureau-free loans in Switzerland or Lidemer. Since the banks located there are not Credit bureau members, they do not receive any credit information from them. To avoid payment defaults, Best bank require a higher working income than German financial institutions for the loan payment and at the same time limit the loan amount to mostly 3500 USD.
Strictly speaking, the Credit bureau-free Lite lender loan cannot be called a loan without a credit report because the bank inquires about entries made by the Federal USD, to which it reports the borrowing. In response to their request, the bank almost always receives the information that the customer has so far been unknown to USD, since most applicants for a Credit bureau-free loan take out a loan in Switzerland for the first time.