When people want to borrow money, they almost always have to borrow BKR . Borrowing without BKR is rather an exception. Yet many people are afraid of it such a form of borrowing. The lender determines whether it is possible to take out a loan. Sometimes it is therefore possible to borrow with negative BKR .
All credits taken out per person are covered by the office in Thiel. The registration takes place from the moment a credit is taken out. Such a loan can be, for example, a credit card, a mobile phone subscription, a limit on your checking account or a car loan. However, this applies to a credit card.
The abbreviation BKR stands for “Bureau Credit Registration”. It is a foundation that provides participants with all information about BKR loans , credits and mobile subscriptions. The participants are therefore obliged to pass on all information regarding the loans taken out to the agency. Thanks to the possibility of inspection, the participants can better estimate the creditworthiness of customers with such a loan. With a negative BKR code , a loan is often only possible on the basis of mortgage security (equity on the owner-occupied home). In this case, borrowing with a negative code is possible.
A mortgage loan is not registered, unless there is a payment arrears of more than 120 days. In this way, the loan capital is not reduced.
There is an obligation to report arrears on the BKR loans. This data is registered and classified, the risk of borrowing BKR for the lenders is calculated. A code is then linked to a person. But you only get such coding if you do not have the obligations with regard to the loan or credit Demorei.
Any payment in arrears is registered and indicated by the code H (Recovery). The H is only mentioned for a revolving loan. If the loan expires after payment of the arrears, it will retain status A. The credit data will then be kept for 5 years.
In addition to Articles of Association A and H, the 'Credit and Registration Office' has 4 other codes that indicate that something is wrong:
-Â Â Â Â Â Â Â Â Â The code I of the BKR borrowing means that a repayment or debt settlement has been made after arrears have arisen.
-Â Â Â Â Â Â Â Â Â Code II means that the (remaining) claim has been made due and payable.
-Â Â Â Â Â Â Â Â Â The code III indicates a write-off of an amount of 250 or more. Only if the debit is due to final discharge, an end date must also be stated together with code III.
-Â Â Â Â Â Â Â Â Â The code IV means that the borrower appears / turned out to be unreachable.