A loan in spite of debt is always possible if the customer meets the conditions of the bank that are necessary when granting a loan. If you have a sufficiently high income and an impeccable Credit Bureau, you are predestined to receive a loan. In the past, all other liabilities were paid correctly. so nothing stands in the way of a loan. However, there are still a few things to consider.
Find the right loan
Nowadays, loan seekers find it easy to find the right loan. Banks advertise their loan offers with often excessive advertising promises, which often unsettles the customer. Not so few customers then took out a loan that was far too expensive. Most loan seekers go to the house bank if a loan should be approved despite debt. The bank knows the customer’s finances and can advise him well about the loan in a personal meeting.
However, the customer should not immediately accept the house bank’s loan offer. He only has comparison options if he uses a credit comparison to search for the individual cheap providers. Experience has shown that online banks offer better loans. The customer can also submit his loan application directly via the loan comparison.
It should be noted that, despite the debt, the interest rate is moderate and does not include any processing fees. The interest rate that some providers state is not relevant for all customers. Interest is calculated depending on the creditworthiness, ie if the creditworthiness is good, he will also receive a good interest rate and vice versa. The loan seeker only gets to know his interest rate when he has a personal loan offer.
If the loan is to be rescheduled despite debt, the notice periods of the contracts must be observed. Free special payments or early loan repayments are not always noted in loan contracts. If this happens, the bank can calculate a prepayment penalty. The amount changed in 2010, the bank may only calculate up to 1% of the remaining loan amount. Loan applications before 2010 still have the old provisions.
The compensation was often so high that debt restructuring no longer paid off. Think of a large loan amount with a long term. A cheap loan despite debt not only has to have an acceptable effective interest rate, but also free special repayments.
Anyone looking for a loan despite debt will probably not be able to avoid debt restructuring. The individual loans are combined and combined into one. However, this only pays off if the bottom line is savings. All liabilities should really be counted, including possible installment payments at the mail order company or an overdrafted checking account.
Incidentally, this is often the reason for a loan despite debt, because the overdraft facility can be a debt trap. If it is only ever used and nothing is returned, there is a nice sum of interest that the customer can often no longer look beyond. It is then good to reschedule the overdraft facility into an installment loan or into a loan despite debt, before the bank terminates the overdraft facility, because the finances may have changed negatively.
A possible increase is also often discussed. Only a new loan amount is added to the old one. The loan can then become more expensive and get a longer term. Incidentally, the rates should always be set in terms of income.
After the customer has found a good provider and wants to change his house bank, he should consider that another comprehensive credit check is pending. To do this, he must have a sufficiently high income, which is above the attachment limit and should have an attachable share of at least 100 USD. To do this, the Credit Bureau must be impeccable and contain no negative entries, and a permanent job is also required.
The Credit Bureau is the tip of the scales when lending. It shows the payment behavior of the customer in the past. If there are negative entries in the Credit Bureau, the bank assumes that the customer may not meet his payment obligations. The loan could then be rejected.
The bad Credit Bureau loan
If the customer has a bad Credit Bureau but urgently needs financial means, he can apply for a Credit Bureau-free loan. This can be done with a credit broker. Almost all of these loans process loan brokers that the relevant banks are familiar with. But experience has shown that with Credit Bureau-free credit, it is only a bank and it comes from Liechtenstein.
Litebank has been the monopoly for these loans since 2010. The terms and conditions are the same as the Swiss loan that came primarily from Switzerland. However, these loans are limited in their loan amounts. The Credit Bureau does not matter, the credit is not entered.
To do this, the customer should know for himself that he can use another loan in addition to his loan despite the debt. It is worth paying an additional installment of USD 150.00 for a loan of USD 5,000. Can he do that at all? An income / exception plan should be drawn up here. All liabilities and income should be compared. If at least 300.00 USD remain, the loan of 5,000 USD could be applied for.
Many will ask why 300.00 USD the rate is only 150.00 USD. According to experts, only 1/3 of the remaining amount from the budget should be used for a rate. 300.00 USD are still well calculated, namely 1/2. Experts also advise that the customer should always put something aside. If there is a financial bottleneck, the customer could fall back on it and would not have to take out a new loan, which becomes more and more difficult the more loans are serviced.
Conclusion: In general, a loan is always approved despite debt if the customer’s creditworthiness allows it. Otherwise, debt restructuring would have to be sought in order to reduce the rate to be paid.