The loan

Are you looking for a loan with a Schufa entry? A loan with a Schufa entry refers to a regular installment loan that is recorded in the borrower's Schufa. A loan with a Schufa entry is the common type of loan with monthly installments in the private financial sector.

However, "loan with Schufa entry" can also be understood to mean that you want a loan despite having a "negative" Schufa entry. Whatever loans are meant: MAXDA, as a loan broker, is the specialist for online loans and will help you in any case!

Did your car suddenly break down or has your washing machine stopped working? Do you lack the money to cope with these difficulties? A loan is supposed to help exactly in these moments, but because of weak finances or low income you might be looking for a loan without a Schufa entry? MAXDA will gladly inform you about all possibilities when it comes to loans with a Schufa entry.

Before taking out a loan, you should always compare the different providers carefully regarding their various conditions. For example, conditions such as the annual percentage rate, the term and the monthly installments are important. When it comes to the annual percentage rate, note that it includes all costs compared to the nominal interest rate. These costs also include fees such as processing fees. The monthly installments consist of the sum you can pay monthly plus the interest added.

Loan with Schufa entry: The difficulties

The abbreviation Schufa stands for Schutzgemeinschaft für allgemeine Kreditsicherung. It is a data collection agency in the form of a joint-stock company (AG). It collects the economic information about people that is provided to it by affiliated companies in order to gain an overview of those persons' creditworthiness.

Schufa "knows" insurance contracts, mobile phone contracts, ongoing loans with Schufa entries and repayment problems. From this data it creates a risk assessment: the Schufa entry, also called the Schufa score. When a lender such as a bank receives a loan application, it requests a risk assessment from Schufa and thus receives information about the consumer's creditworthiness. This indicates whether a borrower will be able to repay the loan or whether there is a high risk that repayment will fail. Banks thus gain a certain level of security about whether the borrower will be able to successfully repay the loan.

The risk that repayment problems will occur is reflected in the Schufa score. Based on this, the bank can decide for or against the disbursement of a loan. The information about the inquiry as well as the disbursement of the loan is passed on by the bank to Schufa. The disbursement of the loan amount is always the net loan amount. The net loan amount is the actual sum that the borrower receives after a successful loan application. The amount therefore does not include fees. For an instant loan the required amount is disbursed within a few days.

A loan with an entry at Schufa is not a bad thing, but rather the norm in Germany. Schufa is thus a credit reporting agency for a consumer's creditworthiness.

Loan with Schufa entry as an alternative?

There are several options to obtain a loan even if your own Schufa entry seemingly speaks against it. The simplest variant: your salary is so high that the old debts that led to the Schufa entry will soon be paid off, and the bank is therefore willing to overlook the Schufa in this case.

A German financial institution is prepared to take similar action when there is a guarantor. Guarantors stand in to repay the loan in an emergency. If their Schufa entry is positive, there is usually little standing in the way of the loan being granted.

For those for whom these two classic routes are not an option, one can turn to a private individual. Such a person is only bound by their own rules for granting a loan. It is therefore up to you whether you grant a loan with a Schufa entry or not.

Nevertheless, a written loan agreement should be concluded between private individuals – even between relatives! – in which all details such as the loan amount and the term are recorded.

Loan without Schufa entry from abroad

As a last resort, lenders such as foreign banks could serve, which very often grant loans with a Schufa entry. Many of these banks, however, have a reputation for not being particularly reputable.

In fact, there are only very few bad apples, but you should still compare offers and look for reviews about the bank whose offer interests you in order to make sure you do not end up with the wrong offer.

Choosing MAXDA as your loan partner

MAXDA also offers this form of loan. We are in contact with foreign banks and handle the brokerage.

With MAXDA you can be sure of receiving a reputable loan with a Schufa entry, just as you would a reputable loan without Schufa. The regular installment loan with a Schufa entry, which is chosen thousands of times every day, is indeed recorded in Schufa's data – however, larger loan amounts are also possible. The term is adjusted according to your financial situation and so are the monthly installments. The term can be a few months or even several years. The less you can repay monthly, the longer the term of your loan will be and it can quickly extend to several years.

• A loan without a Schufa entry at MAXDA has a minimum amount of €3,000.