If consumers get an entry in the Credit Bureau due to their payment behavior, this affects their creditworthiness for a long time. Many banks generally reject requests from customers with negative Credit Bureau without any ifs and buts. That is why it is anything but easy to get a loan despite the Credit Bureau entry being completed. But it is not excluded either, because not every negative entry is equally negative.
A distinction is made here between hard negative features and soft negative features. Even entries that have already been completed and have a corresponding note are rated as negative as it is not possible to get a loan despite the Credit Bureau entry being paid for. Whether it is possible is a question of overall creditworthiness and a question that the bank’s clerk decides.
How to get a loan despite a paid Credit Bureau entry
Anyone who has a Credit Bureau entry because a loan has been canceled or bills to the electricity supplier and telephone provider have not been paid should first settle the justified claims and ask the company to report this to Credit Bureau. If the negative entry is noted as done, it becomes a paid Credit Bureau entry that is not that serious. There are still a number of banks that do not grant credit when the Credit Bureau entry is paid, but it is worth trying to ask several providers to be successful in the end and get credit despite the Credit Bureau entry being paid for.
It often happens to consumers that they do not pay cell phone bills because they think they are too high and sometimes unjustified. As soon as providers see no money despite warnings, they report this to Credit Bureau, which ultimately results in a negative entry. If at the end of the day it is paid, a new message is sent to the Credit Bureau, which then results in a paid Credit Bureau entry.
On the part of the banks, such entries tend to be viewed positively, especially if they are processed relatively quickly after the entry. It looks different when a loan has been canceled. Even with completed loan cancellations, subsequent banks are rather skeptical if they grant a loan, even though the Credit Bureau entry is paid. As a rule, you additionally secure this with a guarantee. It takes three long years for a negative entry to completely disappear from the Credit Bureau. Consumers should always take this into account in advance if they fail to meet payment obligations. Negative entries damage consumers’ creditworthiness for a long time.
If loans are rejected due to the negative Credit Bureau
Consumers who have already tried two or three banks to get a loan but have always been unsuccessful have to assume that there will be no loan from German banks despite the Credit Bureau entry being paid for. If you still urgently need a loan, you can then submit a loan request to a credit broker.
Credit intermediaries have contacts with foreign banks and may be able to arrange a loan without Credit Bureau. There is then a chance to get the loan despite Credit Bureau entry, regardless of whether it has been settled or not because Credit Bureau is not relevant. However, this only works if loan seekers are in permanent employment and have a regular attachable income.