Every borrowing is a loan against interest. Banks and savings banks grant loans to private individuals, companies, traders, the self-employed or freelancers. If the credit institution is a business partner of the private credit agency Credit Bureau, the approved credit is entered into the Credit Bureau database for information. cpscaribnet.com for clarification
This is the loan with Credit Bureau, and vice versa, it is a loan without Credit Bureau if the loan is not, as they say, entered in Credit Bureau. In this case, the Credit Bureau score is not used for the credit rating. The loan seeker does not have to sign the so-called Credit Bureau clause. From this he recognizes whether it is a loan without or a loan with Credit Bureau. The Credit Bureau may only be inspected on the occasion with the express consent of the person concerned.
For the loan seeker, it is worth comparing the different loan offers from several different perspectives. Such a comparison reports to loans with and without Credit Bureau, but also to various loans without Credit Bureau, which are offered by some German and foreign online banks. A comparison shows that the loan without Credit Bureau is limited to a medium to high four-digit euro amount.
It is extremely difficult to get a loan without Credit Bureau approved in the five-digit euro range. A closer comparison also shows that the loan without Credit Bureau is almost exclusively dependent on creditworthiness. The creditworthiness is assessed on the basis of a detailed self-assessment of the applicant’s income / expenditure situation. The effective interest rate for the online loan is based on the credit rating, which is decided on the basis of the bank’s internal lending guidelines.
If a loan without Credit Bureau is applied for because the Credit Bureau loan was rejected because of a poor Credit Bureau score, then a significantly higher effective interest rate must be expected. The lender has the associated higher credit default risk due to the poor credit rating paid or offset by higher interest rates.
Loan without Credit Bureau as an online loan is always paid out and repaid
This also applies to loans from foreign online banks. They process their loan without Credit Bureau via a bank account in Germany, so that the borrower does not incur any costs or additional effort in monthly installments. In comparison to the German ones, the loan offers of foreign online banks are quite cheap. However, a “real” comparison is only or only possible if it is a credit-independent loan without Credit Bureau; in other words, a loan offer with one from the start and for every fixed interest rate.
Loan without Credit Bureau is almost the only option for confidential and discreet borrowing; regardless of how good or less the borrower’s credit rating is. Nobody learns about this borrowing except the two contracting parties, lender and borrower.