How credit scoring affects your loan application

To receive an installment loan, it is not enough to meet the budget criteria and conditions of the financial institutions. In the last resort, scoring decides whether your application will be approved or rejected.

Once you’ve submitted your completed request to a bank, it will calculate your available monthly margin and review your scoring value. Based on these results, it will decide whether you will get a loan.

Credit Scoring – What Is It?

Credit Scoring - What Is It?

The financial world understands this term to be the credit rating of companies and private individuals. With its help, the lender determines the likelihood of a default on the part of the borrower and receives information about their payment practices. Since the scoring process is not standardized in Switzerland, each financial institution uses its own valuation models to determine creditworthiness.

Bank companies wishing to save themselves the effort can also obtain the relevant debt enforcement information from the cantonal debt enforcement offices for a fee. Numerous lenders turn to the CRIF credit reporting agency. This company not only registers payment experiences but also has ZEK information such as late payments, promissory notes, and outstanding loans.

What points are taken into account in the scoring?


In addition to your credit history, the following elements should be mentioned:

  • The older the applicant is, the more points he gets.
  • Married people get more scoring points than single people.
  • A higher budget margin results in better credit terms for the customer.
  • Inquiries from ZEK: Of particular interest are the number of loan refusals and current and outstanding payments, which are registered with a code at the central office.
  • Anyone who has been loyal to a company for many years will be rewarded for the score.
  • The longer you are registered at a residential address, the better your result will be.

Does credit scoring decide these contractual terms?

  • Amount of interest you have to pay as a borrower
  • Approve or reject the request, regardless of whether you met the budget criteria or not
  • Limitation of the amount granted, even if the budget is calculated positively

Increasing loan opportunities with the Good Finance

Increasing loan opportunities with the Good Finance

In order for your loan application to be approved by your financial institution, you should inform yourself beforehand about your bank’s scoring procedure.

Thanks to our good relationships, which we maintain with the various financial bodies, we know the scoring criteria of the respective financial institutions very well. As a result, our success rate in the area of ​​loan requests is above average. If you would like to know more about this topic, contact the Good Finance.

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