Query Credit bureau Score – how it works and how it is calculated

If you deal with loans, you will inevitably be confronted with the topic of Credit bureau at some point. For many, however, it may not be so clear what the Credit bureau Score is all about. But it is an advantage to deal with this matter. We want to answer the most important questions about Credit bureau in this article.

What is the Credit bureau?

What is the Credit bureau?

Credit bureau Holding AG is the largest and most well-known credit reporting agency in Germany. Credit bureau’s task is to provide its contractual partners with information on the creditworthiness of third parties. The contractual partners are, for example, banks that grant loans. With third parties you are meant as a consumer. Credit bureau therefore tells a bank how creditworthy you are. Credit bureau needs and collects the relevant data for this. It also receives this from the contractual partners. In addition to banks, these can also be trading companies or telecommunications providers. For example, if you buy a washing machine in installments or conclude a new cell phone contract, this data will be passed on to Credit bureau and saved together with your contact details.

How is your credit rating measured?

How is your credit rating measured?

First of all: The exact formula for calculating the Credit bureau score is not available to the general public. Credit bureau itself advertises its score procedure as transparent. However, the details are not visible. Only the responsible supervisory authority and the data protection officers of the federal and state governments know the exact formula. This always leads to criticism from consumer protection.

In any case, it depends on the data available. It can even be advantageous for you that data about you have already been deposited with Credit bureau when you apply for a loan. In rare cases, regional or geodata is used if the Credit bureau has no other information about a person. Your credit rating is then determined based on your neighborhood, which can be good or bad. But that is very rarely the case.

Normally, the Credit bureau score is determined based on the business you have already done. Mobile phone contracts, installment payments or loans taken out as well as current accounts are among the things that play a role. Based on this information and how reliably you have met the individual claims, it is calculated how likely it is that you can pay future due dates on time. If you have always paid everything back in a timely manner and the loans you have taken out are proportionate to your income, your Credit bureau score is in a positive range.

How does the Credit bureau score deteriorate?

How does the Credit bureau score deteriorate?

If you do not meet the demands of your business deals, this will have a negative impact on your Credit bureau entry. If, for example, you are in arrears with the installments for a loan, this will be noted in the Credit bureau. But by repaying the liability, the corresponding entry is corrected. However, please note that in such cases only the addition “Completed” is added. The negative note is still visible. A credit despite a negative Credit bureau is possible, but it is offered to you on much worse terms. Generally, individual data in the Credit bureau that are considered to be completed are deleted after three years. Thus, such smaller delays have no long-term impact on your Credit bureau score.

The following factors have a really serious impact on your Credit bureau score:

  • Personal bankruptcy
  • An affidavit
  • Seizure of account or wages
  • A warrant

Such influences are the result of missed payment claims. While some lenders turn a blind eye to the first-mentioned negative entries, for example providers of mini-loans, the latter generally lead to a rejection.

Find out about your Credit bureau score

Once a year you can request information about your Credit bureau entry free of charge. If you are not sure about the status of your Credit bureau, it does no harm to use this service. Sometimes it can happen that a settled obligation does not automatically disappear. In such cases, you can request a correction of the information and have your Credit bureau entry deleted. This can make it much easier to apply for new loans or other businesses that affect Credit bureau in the future.

Your repurchase of mortgage loans and consumption

The repurchase of real estate and consumption loans is an effective solution to find a real purchasing power. It is possible to include your home loan with a purchase of consumer loans. Here’s what you need to know if you want to combine your real estate and home loans!

The repurchase of loans: real estate or consumption?

The repurchase of loans: real estate or consumption?

Each situation corresponds to a type of repurchase or grouping of credits. This financial transaction is potentially aimed at all borrowers. Here are 3 examples of situations and the different buy-back solutions associated with them:

  • Do you want to save on your property loan? To meet this need, we are talking about buying mortgage. It is a question of having your loan redeemed by another bank offering you better borrowing conditions. This operation is particularly interesting if your situation or the rates have changed since the signing of your loan.
  • Free request and without obligation.
  • Do you want to reduce the monthly amount of your consumer credits? You guessed it: this is a buyout of consumer loans. The financial institution that buys back your loans combines them into a single credit. Your monthly payments are reduced up to – 60% and you only make one reimbursement per month.
  • Free request and without obligation.
  • Do you want to reduce the amount of all your monthly loan payments? It is in this situation that the repurchase of mortgage loans AND consumption is the appropriate solution. The operation is the same as buying back consumer loans (described in the previous point) but your mortgage (s) is / are included in the consolidation.
  • Free request and without obligation.

Why carry out a grouping of real estate and consumer loans?

Why carry out a grouping of real estate and consumer loans?

The repurchase of mortgage loans and consumption allows above all to significantly reduce the weight of your monthly payments. In addition, if you find it difficult to manage your budget, buying real estate and consumer loans will simplify the management of your repayments thanks to the single loan. In addition to these advantages, there are various reasons that may lead you to buy back your credits.

To avoid over-indebtedness

With the lower monthly payments it allows, this financial transaction is effective in preventing or getting out of debt. If your debt ratio is above 33% or is approaching it, it is recommended to study what a loan buyback could bring you.

Calculate your debt ratio

To get your debt ratio, take the total amount you repay each month for your credits and multiply it by 100. Then divide the result by your net income.

Net revenues include:

  • Your net wages
  • Your non-salaried professional income
  • Your support payments and other support payments

What you get is your debt ratio.

To get started in new projects

Buying credits also allows you to finance new projects. With reduced monthly repayments, your purchasing power as well as your repayment capacity are valued. Additional cash can then be granted to you in the form of a consumer loan added to your credit repurchase.

This operation can therefore help you to concretize projects that had been put aside (works, new vehicle, etc.).

How to combine my real estate and consumer credits?

How to combine my real estate and consumer credits?

If you wish to redeem your credits, you can submit your request online. Whether you want a buyout of real estate and consumer loans or a buyout of consumer loans, this request is free and without obligation. The latter allows you to be contacted by experts after an initial analysis of your project.

We do not offer you a real estate and / or consumption loan redemption simulation, but rather a real exchange with our broker advisers. This gives you access to a personalized analysis of your project and to offers that are perfectly suited to your situation. We negotiate for you the proposals which are made to you, you are free to follow them up or not!

The level of decrease of your monthly payments varies according to your profile and the characteristics of your current credits. The reduction in monthly repayments is made possible by the extension of the duration of the loan granted. This operation leads to a possible increase in the total cost of the loan.

Debt rescheduling and restructuring to lessen the burden

The debt rescheduling from the overdraft facility to the installment facility cannot go fast enough. Every day, the overdraft facility delicately “crunches” the disposable income of the account holder.

With our contribution, we invite you to take a closer look at the admittedly somewhat briskly formulated entry sentence. Find out what the ever popular dispo is really for. How the overdraft would be used sensibly and when it is really urgent to reschedule.

In addition, we inform you which credit offers – with regard to personal creditworthiness – are recommended.

Debt rescheduling – draw borders yourself

Debt rescheduling - draw borders yourself

A debt rescheduling from overdraft facility to installment loan is recommended to anyone who has problems keeping their checking account permanently in their credit. Thought and interpreted by the interest rate is the overdraft facility as a means of maintaining liquidity without interruption. In the event of overlaps in payment, the current account ensures that the debit does not go back. In addition, the overdraft facility helps to occasionally be able to afford something that does not actually fit into the current monthly budget.

The overdraft facility prevents the need to apply for an installment loan for every short-term small money requirement. The comprehensive overdraft facility, mostly the bank automatically grants the overdraft facility, ensures personal liquidity. – But any overdraft is only a sensible credit decision if the repayment is easy within a few weeks. If this is not the case, the overdraft facility becomes a permanent condition, the bank is still far from warning. Nevertheless, it is time to take care of a debt rescheduling from overdraft to installment loan, because the overdraft interest is always high.

With normal or even good creditworthiness, finding a loan for overdrafting is particularly easy. A good loan comparison calculator is easy to use and lists all current installment loan offers online. From a loan amount of USD 1,000 with a minimum term of 12 months, regular financial institutions offer the debt rescheduling loan. Officials, as applicants with a particularly good credit rating, should be guided by interest rate offers that depend on the credit rating. Normal citizens with an average good credit rating usually finance more cheaply through interest rate offers that are independent of creditworthiness.

Dispo trap – don’t fight against windmills

Dispo trap - don

With your personal debt restructuring from overdraft facility to installment loan, borrowers unfortunately wait far too long. Some people find it “too much work” to apply for a loan, others want to reduce the overdraft without an installment loan. For those who fear the expense, a modern online credit with online ID check is recommended.

The effort is limited to “5 minutes tap” for the online loan application. A further 5 minutes of “working time” costs the identity checked online via Skype. Nobody has to leave the parlor for the online credit applied for in a timely manner. It is more difficult to convince people to refinance from overdraft facility loans to installment loans to those who defend their overdraft facility by saving.

It is extremely doubtful whether the savings efforts will pay off in the end. Nevertheless, the majority of account holders in the red are trying to write black numbers again through “hard saving”. The only problem is that the high overdraft interest rates, in the case of deep red numbers, prevent repayment in due time. The setback is literally preprogrammed with every interest statement.

Our advice: do not fight against windmills. Apply for an installment loan to overdraft facility and save yourself the overdraft interest trap.

The bank warns of overdraft facility compensation – why is it in a hurry?

The bank warns of overdraft facility compensation - why is it in a hurry?

The house bank earns a lot of money from a high overdraft. One call is sufficient for most account holders and the overdraft facility is expanded several times. If the entered credit line is still not sufficient, the bank will allow an “approved excess” of the overdraft facility. The interest on this additional overdraft is even more profitable for the house bank. If the bank urges the overdraft facility, it is not a trivial matter to ignore.

The reason for the warning is that the personal credit line for short-term loans has been fully exhausted. Account holders who do not act promptly will find it difficult to deal with the consequences later. There is a quick need for action, as not only does the overdraft facility eat up your income, but at least temporary insolvency threatens. Before the house bank does not redeem debits due to insufficient funds, rescheduling from overdrafts to installment loans is still possible via regular loans.

Interesting in this situation are the somewhat higher-priced loan offers from the loan comparison. However, if you wait until the first debits decline, this still comparatively low-interest path for the loan to overdraft facility is closed. Regular credit institutions that are willing to take risks often check the bank statements of the last three months to make a credit decision. Reversals mean proof of actual insolvency. The only thing that remains open is the attempt to credit through special providers.

Risk credit for overdraft facility compensation – as soon as possible from the overdraft facility

Risk credit for overdraft facility compensation - as soon as possible from the overdraft facility

The risk credit for overdraft facility is no longer about saving interest, with the aim of keeping more money for consumption. It is literally about financial survival. Customers who do not respond to the emphatic request for the return of discounts unexpectedly hit the flexibility of the discounts with all their might. The clearing frame can be reduced just as easily as it had to be expanded previously.

Nobody can save against an effective interest rate of 17.5 percent (savings bank), or even more at other banks. If regular loan offers are no longer eligible for debt restructuring from overdraft facility loans to portable installment loans, the path leads to risk loans. A debt rescheduling, for example via that of Lite Lender, or a loan from private to private could be interesting.

For the debt rescheduling from overdraft facility to private installment loan, it is advisable to address one of the two leading portals. Overdrafting on Cream bank or Agree Bank is still conceivable even if banks no longer take the loan risk.


How to apply instant loan with quick payout

Anyone who needs a large amount of money at short notice usually thinks directly of the overdraft facility. Without bureaucracy and without having to fill out forms, the customer can easily open their account and thus bridge financial bottlenecks. This service is practical, but also very expensive: On average, Agree bank charge 11 percent interest. There is a good, inexpensive and just as quick alternative: the instant loan with fast payment.

How to apply for the instant loan

How to apply for the instant loan

There are a few steps to take when applying for an instant loan. First, the customer should compare different offers to ensure that the cheapest loan is applied for in each case. The bottom line is that you can save money. A loan comparison using a loan calculator on the Internet is simple and time-saving. This clearly lists the best offers and the lowest interest rates. Once the right loan has been found, it can be applied for directly online in just a few moments.

This is not only convenient, but also has a decisive cost advantage: Since direct banks save the expensive maintenance of branches, their offers are generally cheaper than those of conventional branch banks or the house bank. But that’s not the only plus point, because direct banks can also save time. As a rule, they have established a standardized checking procedure, which guarantees a particularly quick check of the loan application and thus enables rapid payment. In the case of branch banks, however, the check alone can take up to two weeks.

You will receive your money as quickly as possible

You will receive your money as quickly as possible

An immediate loan is paid out within two to three working days after approval by the bank. The urgently needed money is available to customers within a very short time. But sometimes it has to be faster. There is also a solution for this: Some direct banks also offer a so-called flash transfer. This flash transfer enables the money to be received in the customer account as a rule on the following working day. For this particularly quick payment of the instant loan, however, an additional fee is payable, which is usually around 15 to 20 USD.

Even if one takes these costs into account, the instant loan is still an inexpensive alternative to overdrawing the account. However, consumers should note one thing: In order to ensure that the loan application is processed efficiently, customers should have all important documents at hand when making the application, such as account statements or proof of salary from the past few months. This enables you to check all information promptly and thus approve and pay out the loan amount as quickly as possible.