A credit check registration can be an obstacle to borrowing money. However, this is not always the case. What is possible if you want to borrow money with credit check? More than you think!
Borrow money? Is a lender paying attention to this?
Borrowing money starts with a test of your ‘creditworthiness’. The lender uses this to estimate whether you are able to repay the loan. The test consists of two parts:
Fixed and permanent income
First, your income must be ‘fixed and stable’. However, this does not mean that only salaried people can get a loan. You can also borrow money with a permanent benefit, such as a disability benefit. The borrowing opportunities for self-employed entrepreneurs have expanded in recent years.
The amount of your income ultimately determines how much you can borrow.
credit check assessment
In addition, lenders check whether you have other loans. They do this at the Credit Registration Office. All loans concluded in the Netherlands are registered with the credit check foundation. For a long time, viewing your file at credit check was limited. In the meantime, no more costs may be requested for this.
Loan no problem with credit check registration
There is a good chance that you are registered with credit check. In addition to consumer loans, mortgages, a red card, credit card and some telephone subscriptions have also been designated as loans.
For clarity’s sake, a credit check registration does NOT mean that you cannot take out a loan . However, lenders do check whether it is justified to take out a new loan in addition to your current loan (s) and how high this may be.
In fact, a credit check registration can even work to your advantage. If you have always kept to the payment obligation, this is positive for your risk profile. Companies are then more willing to provide the loan.
Borrowing money with a credit check code is difficult
Borrowing money becomes more difficult if you have a credit check code. This means that there is, or has been, a payment arrears. There are various credit check listings:
- A H listing , or ‘recovery’, means that you no longer have payment arrears. The code H remains for 5 years after you have fully repaid the loan, regardless of when the arrears have been paid.
- Code A1 to A4 means that the payment arrears have not yet been made up. The gravity of the credit check coding ranges from a payment arrangement made up to and including borrower unreachable.
With a (negative) credit check coding it is possible to take out a loan with code H. Your payment arrears must therefore be redeemed. The gravity of the coding (A1 to A4) from the past determines whether you can borrow money in the end. Lenders deal with this differently, so it pays to compare loans.