Financing is always as cheap as the amount of loan interest and ancillary loan costs compared to other offers – actually a very simple thing, there would not be the problem that the financing interest rate is always made dependent on the creditworthiness, i.e. how solvent the customer is , Nor should one assume that financing with 0% interest is inevitably low – the effective interest rate is always relevant, which must include all ancillary loan costs.
Apply for different types of loan
The poorer the customer’s creditworthiness, the higher the interest that the borrower has to pay to the savings bank or bank. This applies to almost all types of credit, for example, for personal loans or normal installment loans, car loans, real estate loans or entrepreneur loans.
The bank is fundamentally obliged to examine the customer’s financial strength in order to limit the risk of not getting the borrowed money, or only getting part of it back. Hence the higher interest rates with poor creditworthiness: the potential loss is further limited with each month.
Those who are interested in loans without Credit Bureau therefore generally have to accept higher interest rates in comparison. The Credit Bureau-free loans are not granted by German banks, but by banks from abroad, especially from Switzerland, and have been specifically added to the portfolio of Swiss banks for the German market.
Loans without Credit Bureau
For loans without Credit Bureau, the bank requires that the borrower is in a permanent employment relationship, i.e. is neither an entrepreneur, nor a pensioner, nor an apprentice or student. And here, too, a household calculation is carried out to determine whether the borrower can afford the desired funding at all, because bank statements and pay slips must be presented, as for a loan with Credit Bureau.
In general terms, one could say that with long terms, interest rates also decrease, but overall the additional borrowing costs increase due to the additional months or years that the borrower has to repay the loan.
In principle, you can of course influence the amount of the credit rate in a credit conversation – what is important is what you can afford each month. If you choose a lower credit rate, the term of the financing will of course be extended accordingly.