Before you apply for a loan it is important that you know you are aware of the threats of the credit registry. We have summarized everything important that you need to know about debtor registers in the country in an article.
Familiarize yourself with the credit register
The credit register is basically a list of all people who are debtors to banks or non-banking companies, ie they have a loan or credit, own credit cards or have the option of overdrafts on their account. In addition, it is a list of clients who are repaying their loan late or have stopped repaying it, have committed any unauthorized overdraft in their account or have exceeded the limit they have not settled.
But let yourself be misled. Having an entry in the credit register immediately does not mean that it must be negative. After all, if you have a record that you have a loan, but you repay it regularly, in the proper amount every month, it is a testament to your good name that you are responsibly fulfilling your financial obligations.
So being in the credit register is not a sin at all and does not automatically mean that you are not fulfilling your obligations or that it would give you a bad name. It is simply an overview of client information so that an institution does not get into a contract with someone who does not comply with it.
Banking and non-banking institutions therefore enter the credit register in order to find out and to the client resp. as much as possible for the future client and the information they find here is often binding when granting a loan. In addition to the loan applicants themselves, there are also co-applicants and guarantors.
The credit register is regularly updated once a month.
What credit registers do we have in the country?
We have several credit registers that keep lists of borrowers:
- A common register of banking institutions, which has up to 19 members.
- A non-banking register of client information, which groups up to 23 members and offers information on legal and natural persons.
- Interest association of legal entities – of which natural persons are members and not banking or non-banking institutions or other legal entities.
- CRIF is a universal credit register in which borrowers from both banking and non-banking institutions are located.
- Finally, the Central Register of Borrowers, which is not only national but also international and provides information on borrowers from banking institutions as well as from non-banknotes.
Is it possible to get rid of the record?
If you got into the registry either by accident or for some other reason and you need a loan, it will be more complicated than with a clean registry.
In addition, your entry in the credit register can be registered for up to 5 years, after repayment of debts and termination of the contractual relationship. Deletion on request is not possible.
One way to persuade an institution to give you a loan is to acquaint it with its financial situation and at the same time justify the misrepresentation that is kept in the credit register.
A more complicated and time-consuming and financially demanding option is to declare personal bankruptcy.
TIP to read: Detailed instructions on how to delete your name from the credit register can be found in this article.
Am I on the credit registry?
The credit register can be compared to an extract from the criminal record, which you can also view. You can apply for its issuance in person or via the Banking Credit Bureau client center, where you can obtain an extract from the bank register, or to the Non-Banking Credit Bureau, where you can obtain a non-banking register.
However, it is not free. The fee for an express statement is 14 dollars. If you do not need the statement immediately, it will cost you only 4 dollars, but you will wait up to 30 days.
Is it possible to bypass the credit register?
If you are looking for a way to avoid looking into the credit register when processing a loan, this is in vain. Really every bank has access to it and you will not be able to verify your liabilities to other banks and non-banknotes.
In addition, access to the register is already a mandatory matter for non-bank loans. While for a bank, a negative entry in the register is usually a stop sign for lending, non-banknotes have slightly less stringent conditions.
It compensates for higher interest rates and lower amounts. So if you really need a loan quickly and quickly, contact a non-banking company that will not refuse you, but at the same time be careful that it is not disadvantageous for you.
You can get a loan of up to $ 6,000 by filling out an online application and it will appear in your account within 24 hours. It is enough to document at least some income (also maternity or pension).