No one should take out a loan just like that between door and corner. It is sensible and important to plan the loan carefully and to choose a trustworthy financing partner.
It is irrelevant whether the money is for the new car, the vacation trip, the new furniture or whether it is a large property financing. In addition to the classic option of inquiring at the house bank, there are now many other options that arise through the Internet.
Basically – never take on too much debt
If you want to finance something with a loan, you should assess your financing project realistically and really take into account all the costs involved. The loan amount should cover these costs and should not be too high. This is because a higher loan amount entails higher interest payments, extends the term of the loan and may even increase the monthly installments. In the end, the installment amount is higher than what the budget allows for. In the case of home financing, it can make sense to calculate more tightly and to increase the loan amount with follow-up financing if it is clear how high the additional requirement is.
In any case, it is important to find out about the current interest rates on the money market, especially for loans. Today, this can often be done with a short online search. To find a favorable offer, a loan comparison plays a role.
Assess your own creditworthiness correctly
Today, creditworthiness is very important in a loan agreement. Almost all providers link the interest rate to the creditworthiness of the borrower. Those who have a particularly good credit rating are rewarded by the banks with especially favorable interest rates. For this purpose, the banks obtain a credit report from a credit agency such as Schufa. The credit agencies collect data on the creditworthiness and willingness to pay of private customers and companies. For example, information on the number of current accounts opened is stored there, as well as data on existing credit agreements or leases. Also open claims, used cell phone contracts and also dunning notices or an insolvency can find the lenders there to each individual applicant.
Who wants to know how his Schufa score looks, can request a free self-disclosure once a year. Schufa is legally obliged to do this. Sometimes it is worthwhile to look there then more closely. The records are not always completely up to date and incorrect information can also be found there. If there is an error, it is important to do something about it directly and file a written complaint with Schufa. If the relevant payment receipts are available, it helps to attach a copy of them. Schufa then checks the relevant entries and deletes them if the complaint was justified.
Carefulness and accuracy in the information
In order for the bank to get an accurate and serious picture of the applicant's financial situation, it is important to take your time and carefully and conscientiously compile the necessary information. This applies to all information, including your own credit rating. If the bank has an exact picture, this also has a positive effect on the chances of a loan approval in the end.
Reliability is important to the bank
Customers want a reliable bank as a partner. In the same way, banks want reliable customers. Applicants who have repeatedly demonstrated their reliability in the past are ideal contractual partners for the banks. The bank can recognize this, for example, from long-standing and problem-free business relationships with electricity or water companies. Those who always meet their payment obligations can also collect plus points here. This reliability strengthens the relationship of trust, and the customer can thus improve his or her own creditworthiness.
Keeping an eye on your finances
When applying for a loan, it is not only important how much money the applicant needs to fulfill his or her wish or to make the necessary payments, for example for vehicle repairs. A realistic assessment of one's own financial situation is also part of the process. Income and expenses should always be kept firmly in sight. This can be easily achieved with a detailed list of weekly expenses or how much money is spent on a daily basis. A good tool here is a budget book. With a calculator for the freely disposable income, the loan amount can then be easily calculated.
With a household book also the small cost points do not go down, as for example the daily Cappuccino on the way to the work. In addition, a budget book gives a good overview of where all the money is going. Savings potentials can arise here.
Indicate existing credit
Those who already have a loan are often afraid to declare it to the bank. The already existing credit, so many think, endangers the approval of a further credit. However, with many banks the opposite happens. The indication promotes the credit approval. The customer shows with it that he makes all data correctly. Who does not indicate the credit, risks that the bank learns for example by the Schufa information of the other credit and then due to incorrect data the entire request is rejected, because the confidence relationship is disturbed.
Optimize the chances of obtaining a loan
With larger amounts or with already existing credits it can sometimes become narrow with the credit permission, because the monthly income is not sufficient, in order to bring up the necessary rates. In this case, the bank needs additional collateral. The bank can use this in an emergency if the borrower no longer meets his payment obligation.
Tangible assets, such as a car or real estate, are welcome by the banks. Another option is a guarantor who, in case of doubt, stands in for the borrower and pays the installments. The guarantor must therefore also be creditworthy and have an appropriate income.