Anyone looking for a bank that provides a loan without security has to be patient with the search. Banks that take the risk of granting a loan without security are rare in Germany.
The banks shy away from the risk
In many cases, the security deposit is already guaranteed by monthly income alone. However, if other payment obligations restrict creditworthiness or the monthly income is too low, the bank requires additional security. The same applies to a negative entry in Credit Bureau. Due to unfortunate circumstances, everyone can quickly get a negative entry at Credit Bureau. This means that the chance of a loan is zero.
Inquiries from customers are often simply rejected and kindly pointed out that a guarantor would be necessary. However, there is no offer for a loan without security. The loan seeker is now in a predicament, he still needs a loan, but the banks don’t help.
A loan without security
The loan seekers’ odyssey is now beginning, and many newspapers are promoting the fact that brokering a loan without security is quick and easy. However, before responding to such an advertisement, you should make sure that it is a reputable credit broker. At first glance, it is difficult to distinguish them from the dubious intermediaries for a loan without security. In many cases, the loan seeker only learns that an untrustworthy credit broker has been ripped off when he receives the invoice. Normally, after a call to a credit broker, a questionnaire comes in by post. This only has to be filled in, the required documents attached and with the signature back to the agent. The danger is often lurking in the small print. In a note that costs are already being charged for the attempted placement.
It is expressly pointed out that there is no guarantee of success for the loan without security. Even more daring is the method of demanding the processing fees from the loan seeker in advance. In both cases, the loan seeker should gratefully refrain from mediation. Rather, look for a reputable middleman who can broker a loan without security to a bank. The path usually leads to a loan without security and without Credit Bureau information. The bank trusts repayment without additional collateral. The big question remains, however, how can a reputable credit broker for credit without security be distinguished from a dubious one? The loan seeker should ensure that they receive a free offer. A placement fee is only payable after a successful loan.