A credit score can be negative

The Schufa Score - Does it worsen with every loan request?

There are things about which people are divided. This can be about cars, food or movies. But there are also things in which many are subject to a so-called mistaken belief, which can arise either from insufficient or incorrect information.

This is particularly clear with loans, because, strangely enough, there is a widespread opinion that every loan request and therefore also rejection is entered in the Schufa and the score worsens as a result. Is that so? Can it really be that the chances of getting a loan decrease with every request? We light up the darkness.

The Schufa Score and its task

The Schufa Score was created to give banks, insurance companies and service providers an opportunity to get an idea of ​​the financial situation of an applicant or contractual partner. Since the exact figures are subject to data protection, the score was developed as it represents a neutral indicator for a customer's creditworthiness.

If you now want to apply for a loan from a bank, the clerk calls up the Schufa score and compares it with the bank's specifications. If it turns out worse than desired, the loan will be denied.

How is the Schufa Score calculated?

In principle, the point is to put the total income in relation to the liabilities. This creates a clear picture of the budget that is available to the future borrower on a monthly basis. But that's not all. If a loan, a cell phone rate, the monthly telephone charge or a car loan can no longer be serviced, this behavior has a negative effect on the Schufa score. The probability that this default will also occur on a new loan is very high.

Furthermore, private bankruptcies, but also repaid loans are deposited in the Schufa.

Will it stay with the Schufa?

No. Most banks use other credit agencies such as Creditreform, Deltavista and Arvato to complete the customer's picture. One agency may have information that was not included in the scoring for another. With the data from the other credit agencies, clerks at the bank can better evaluate a decision.

The misconception - Schufa Score request for every loan?

The pure credit request is always Schufa neutral. Unfortunately, many consumers do not know that the request to a bank has no effect on the Schufa score. The borrower can ask as many inquiries as he likes. The chances are not getting any worse. It is also part of data protection that a bank cannot see which bank a credit request was made the day before. This would also lead to competitive advantages.

Quietly get several offers

So if you need a loan, you should definitely get several offers. Further information is available at smava.de. Here, customers have the opportunity to submit a loan request within a few minutes that has no effect on the Schufa score.

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