Anyone who can no longer get a loan from a normal German bank due to their poor credit rating, existing loans or a poor credit bureau score will come across a different type of loan offer, especially on the Internet: Swiss credit. This loan offer is a synonym for the well-known loan without credit bureau, and the name Swiss loans is explained by the fact that these loans are usually granted by banks from the Confederation or from Liechtenstein.
File is not requested when the Swiss loan is taken out
As the name Kredit ohne credit bureau suggests, the consumer’s credit bureau file is not requested when applying for a Swiss loan. Bypassing the credit bureaus is, however, only possible for foreign credit institutions – German banks are legally obliged to obtain information on the creditworthiness of the respective consumer in public before issuing the loan.
Since foreign banks receive only minor information about the borrower’s payment behavior due to the omission of the credit bureau query, very high interest rates are usually due on Swiss loans. With the so-called risk premium on the usual loan interest rate, the bank compensates for this ignorance of the customer’s creditworthiness – and the associated higher default risk.
Beware of dubious loan offers on the Internet
Apart from the increased risk of indebtedness due to the expensive lending rates, taking out the Swiss loan harbors a high risk due to numerous, dubious offers. Although there is no rule of thumb that can be used to identify a serious loan offer without a credit bureau query, there are few, clear characteristics of dishonest providers: The demand for a down payment on the requested loan amount or the delivery of the credit documents on delivery are indications of a dubious offer. In addition, honest Swiss banks, for example, do not ask their customers for money to give them advice over the phone or to compare various loan offers.
A serious Swiss loan offer can be a financing option in an emergency – however, due to the high costs and numerous, shady providers, it should always be considered as the last solution.