In contrast to employees in the employment relationship, self-employed people have a monthly fluctuating income. This fact has a disadvantageous effect on credit institutions, in particular when it comes to requesting a loan, so that the loan is usually not approved without sufficient collateral. Loans for self-employed persons without a credit check can be an alternative. With this form of lending, however, some points need to be considered.
Prospects of success at German banks
Without regular or consistently high incomes, German banks are very skeptical about financing. The chances of success are therefore rather bad. In the meantime, there are some banks that refrain from a credit check and at the same time cover the increased risk of default due to extremely high interest rates and / or processing fees. Anyone wishing to keep the above-mentioned costs low for a loan for self-employed persons without a credit check should therefore be able to provide collateral, such as life insurance or real estate. Alternatively, a guarantor – the so-called “second borrower” – could have a positive effect on the lending business with regard to the lending.
Alternative “Swiss loan”
In Switzerland, different rules apply to taking out a loan. The term “Swiss credit” describes a loan that is limited to $ 3,500 and only requires the presentation of proof of income. By default, the granting of such a loan is handled by credit intermediaries. With this financing model, the respective loan conditions differ from each other, which is why it is worthwhile to obtain several offers from the credit institutions located there. Whether and what amount the loan is approved does not depend on the Credit Bureau information. This file is only valid in Germany.
Compare agents and offers
In the case of a loan for self-employed persons without a credit check, interested parties should make sure that in the case of a Swiss loan, the brokerage is handled by a reputable broker. Dubious brokers usually only offer the offers with the highest commissions. Both the processing fees and the interest are unusually high with this financing. A comparison of the different offers and the loan conditions is always a good idea.