The Credit bureau entry is negative. Because of unemployment, the only income you receive is the monthly Best Bank money. Then an accident happens: the car goes on strike or the washing machine refuses to work. Those affected try to save themselves through a loan and thus fall into a group that is simply called bank credit in very difficult cases. Your prospects for a loan are grim, but not entirely hopeless.
Credit in very difficult cases: collateral and persuasiveness decide
What actually makes a loan application part of the group from a loan in very difficult cases is the lack of collateral. For the bank, lending is a business: it lends money and gets it back at a profit. The financial institution needs collateral to be sure that it will actually get the money back. Popular are the Credit bureau entry, which gives insight into the economic situation of an applicant, or the salary or a property (or car or household appliance).
A loan is a very difficult case if there is no collateral at all. If you have enough persuasion, you can try to persuade an acquaintance with enough money to guarantee the loan in very difficult cases. If the person does this, his economic opportunities serve as security. The bank will therefore most likely approve the loan.
Credit in very difficult cases: other options
Those who are rejected by German banks usually have two more options to get a loan. Either he turns to a private individual and tries to convince them of a loan or he searches the internet for a lender who promises to give money even in very difficult cases. However, the research will be somewhat disillusioning, because many of the supposed offers turn out to be dubious.
That is why it is important to do your research properly. We are looking for comparison portals that provide information on the details of the offers at a glance, as well as testimonials on the offers, which should be differentiated. If there are no reports or they sound too one-sided, you should refrain from the associated offer.