Credit rejection is preprogrammed with negative Credit Bureau. Many see the loan with guarantors as the only way out, despite the negative Credit Bureau.
Our credit advisor for credit with negative Credit Bureau would like to show alternatives that do not require a guarantor. We want you to receive your desired loan without jeopardizing your guarantor’s good credit rating.
Loan with guarantor despite negative Credit Bureau – arbitrariness of the bank?
Every credit decision should be handled responsibly. If the bank requests a guarantor, there are valid reasons why the clerk considers the lending to be risky. Bad score and negative Credit Bureau are not biblical plagues that fall from the ground without reason. Some banks make credit decisions easy. Either a loan with a guarantor despite a negative Credit Bureau or refusal of credit.
But it would be dishonest to pass the “buck” on to the bank. A massive misconduct by the borrower can be assumed almost without exception if Credit Bureau prevents self-responsible borrowing. Nevertheless, each loan request must be considered in an individual case. If there is a real risk to repayment, it would be irresponsible to ask a guarantor for credit protection.
Reputable credit providers for risk financing, for ethical reasons alone, do not offer loans with guarantors despite a negative Credit Bureau. Real risk financiers forego the guarantor because the examination of the individual case can prove the sufficient creditworthiness for the lending. Score and Credit Bureau only consider past payment behavior. You are not infallible. Serious financing is possible if the present reveals the score as a wrong forecast.
Credit check for a risk loan – no guarantor has to be liable
Regular credit is ruled out in the event of a negative Credit Bureau, since ordinary credit institutions rely on the score for risk assessment. The score summarizes in a number or number (depending on the provider) how high the credit default risk is. The credit rating is influenced by past payment behavior and by knowledge of comparison groups. The exact weighting is the scoring provider’s trade secret.
Instead of transferring the liability risk to a co-owner in the case of a loan with a guarantor despite a negative Credit Bureau, reputable risk financiers go different ways. The clerks see the score, but they question details. For example, it may be that the negative entry was long ago and has long been paid for. The prospect’s financial situation runs in the normal way.
A current evaluation based on the submitted documents can prove that lending is perfectly acceptable. From an ethical point of view, it is acceptable if the installment payments do not overwhelm the borrower. It is justifiable for the bank’s investors if it could be demonstrated that the loan can be serviced in accordance with the contract. A guarantor is basically superfluous if there is no excessive real credit risk.
Credit with negative Credit Bureau without guarantor – requirements
So that a loan with a guarantor does not become a condition despite a negative Credit Bureau, the bank must offer the individual case examination by hand. Any automated process inevitably leads to refusal of credit or the desire for a co-owner. The applicant must of course be qualified for general lending. This includes income subject to social security contributions above the attachment limit and an unlimited employment relationship outside the trial period.
In addition to these basic requirements, supporting documents must provide evidence that lending is secure. The Credit Bureau excerpt shows a completed entry if a larger loan amount is to be financed. (Exceptions: foreign credit without Credit Bureau and micro-credit with a short term). The bank statements as proof of creditworthiness are particularly informative.
Excerpts from the last three months are usually checked. It becomes apparent to the credit auditor whether there is a garnishment of income or if coercive measures are imminent. An example of impending insolvency would be chargebacks due to insufficient funds. That the finances are not under control show payments to collections, growing red numbers and numerous credit card debits.
The comparison of the account balances at the turn of the month shows that the household bill was not “well calculated”. Savings would be the optimal prerequisites for independent loan liability, instead of a loan with a guarantor despite a negative Credit Bureau. The checking account perfectly supports the granting of loans if a savings rate in the amount of the planned installment payment remains in the checking account every month. A guarantor is dispensable since the money is available for payment in installments.
Do not want to force a loan despite Credit Bureau. Everyone is responsible for loans. Loan denials serve to protect the bank from losses, but also to protect the borrower from excessive demands.
Loan offers despite Credit Bureau bank or private donor?
Financing despite Credit Bureau offer commercial lenders and private lenders alike. Advantages of the bank loan are that a large sum should be rescheduled and repaid over the long term.
However, private lenders tend to forego the loan with guarantors despite a negative Credit Bureau if the credit risk is recognizable. Through Good Finance or Good Lender, the loan application offers access to serious private credit despite Credit Bureau, and choosing one of the market leaders has the advantage of reaching a large number of lenders willing to invest.
We recommend avoiding the loan with guarantors despite a negative Credit Bureau by applying for a loan with Good Finance. The advantage of Good Finance is that in addition to private investors, commercial loan offers are also possible. Because if you want to finance despite Credit Bureau, you shouldn’t forego any potential financing option without a good reason.