You have probably already come across the term Credit Checker. The credit reporting agency in Germany is a permanent fixture on all questions relating to a loan. Nevertheless, many errors circulate about the work of the Credit Checker.
Find out in this article about the five biggest mistakes that many consumers consider to be factual.
The Credit Checker is an authority
Many Germans consider Credit Checker to be a kind of authority. But that is a mistake. It is a normal, private company that is managed in the form of a public limited company. In addition to Credit Checker, other credit agencies such as B. info score Consumer Data are available, which are only less well known in the population.
Credit Checker rejects Good Finance
Credit Checker has no direct influence on the approval of your loan. The credit agency only supports the banks in making an assessment of the reliability and creditworthiness of an applicant. For example, data on a loan that is repaid regularly counts as a positive feature.
Unused Good Finance or a consumer bankruptcy procedure are examples of negative features. The bank alone decides whether in what amount and on what terms your loan will be approved. Credit Checker information is only part of the decision-making process.
An inquiry with Credit Checker worsens the score
In fact, a few years ago, Credit Checker credit information requested by the bank worsened a consumer’s scoring value. Today, a condition query by the bank no longer has any influence on the score. If necessary, you can, therefore, compare the offers of different providers without hesitation.
No credit without Credit Checker
Credit Checker does not ask for every loan. Many furniture and mail order companies work with another credit agency. Therefore, they do not request any data from Credit Checker and do not report payment in installments to this credit agency.
However, you should be careful with consumer Good Finance who is actively promoted as “Credit Checkerfree”. The majority of these offers are not serious and the other providers generally charge significantly higher interest rates than usual in this market. Because without Credit Checker information, there is no assessment of the reliability of the potential borrower.
Credit Checker is only advantageous for banks
Credit Checker’s services not only provide security for banks. Choosing potential customers based on their business behavior significantly reduces the risk of default at Good Finance. Defaults cause costs that are passed on to all borrowers. Therefore, Credit Checker also contributes to low-interest rates for you as a borrower. If financing is rejected due to poor creditworthiness, this can also protect you against over-indebtedness.
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