There are many myths surrounding Credit Bureau-free foreign loans. Facts are often only given in fragments and lead to misunderstandings.
We want you to get the funding you want. Our credit advisor on Credit Bureau-free bank credit provides you with all the facts. Find out what is important – from the first application process to the question of how to top up a Credit Bureau-free loan.
All the data mentioned come directly from the Lite Bank in Liechtenstein and not from the incomplete information provided by the intermediary industry.
Who has a chance to top up their Credit Bureau-free loan?
In principle, Lite Bank customers are allowed to increase their credit if the customer relationship runs smoothly. The credit increase is a sign of trust. Customers who have earned this trust simultaneously move up to the internal status of “top old customer”. Earning trust is easy.
Borrowers who have been in compliance with the contract until the minimum repayment is reached are trusted. The bank trusts people who always pay their installments on time, no matter what the Credit Bureau or the score claim.
Increase Credit Bureau-free credit – parallels to the first application
Borrowers who want to top up their Credit Bureau-free loan mostly only remember the initial application procedure in broad outline. Interested parties for whom a credit broker has accompanied the first credit process often lack the basic knowledge of the admission requirements. They got credit and were happy, now they are wondering if and how to increase.
The requirements for increasing the loan without Credit Bureau correspond almost exactly to the requirements that were necessary for the initial approval. The increase is only permitted up to the maximum loan amount of USD 3,500 or USD 5,000. In the future there will be a loan option with a 7,500 USD loan without Credit Bureau. The last word about it has not yet been said. (As of May 2016).
What are the requirements?
Top up Credit Bureau-free credit and new applications are only possible for applicants who are at least 18 years old but not yet 60 years old. The key date is the 60th birthday as the contract date. Only employee loans can be applied for; all other types of income than income subject to social security cannot qualify for lending.
The amount of the monthly net income must be based on the dependents. The income requirement for topping up or applying for a new loan of USD 3,500 is:
– 0 dependent persons – net income of at least 1,130 USD
– 1 dependent person – net income of at least 1,560 USD
– 2 dependents – net income of at least 1,830 USD
– 3 dependents – net income of at least 2,130 USD
– 4 dependents – net income of at least 2,500 USD
– 5 dependents – individual test
Increase 5,000 USD of Credit Bureau-free credit:
– 0 dependents – net income of at least 1,600 USD
– 1 dependent person – net income of at least 1,900 USD
– 2 dependents – net income of at least 2,250 USD
– 3 dependents – net income of at least 2,550 USD
– 4 dependents – net income of at least 3,200 USD
– 5 dependents – not provided
An unconditional, permanent employment relationship must be proven for the increase and the new application. The worker must also be healthy and fully capable of working. There must be no other assignment of wages than that to Lite Bank from the old loan. The same applies to a possible garnishment of wages. There is no bankruptcy proceedings and there is no entry in the debtor register of the local court.
Preliminary debts are fundamentally permitted, both for increasing the loan and for new applications. However, they must be balanced in relation to income.
Credit Bureau-free credit increase and new application – differences and procedure
The differences between a new application and a credit increase are in the details. When applying for a new loan of 3,500 USD, the employment relationship must exist for at least 12 months. A four-year tenure is sufficient for the credit increase. Only the trial period must of course be over. With a loan of 5,000 USD, the minimum length of service is reduced from three years to seven months.
Required documents for the loan increase:
– Double-sided copy of the valid ID card
– The original two current pay slips
– Matching the original bank statements to prove receipt of money
– Copy of December wages, income tax or social security certificate
The bank will answer by email whether it is possible to top up Credit Bureau-free credit in individual cases. It is important: name, first name and date of birth in the request.
A loan can be topped up if the original loan amount of $ 3,500 up to a remaining balance of $ 1,500 has been paid off. If the loan was originally 5,000 USD, the remaining balance may not exceed 2,000 USD. The loan is increased again to the original loan amount. In principle, however, a new loan is applied for.
The old loan is replaced with part of the money, so parallel loans cannot occur. The rest of the loan is transferred to the borrower’s checking account. Payment is made exclusively to the borrower’s account. An exception is possible if the spouse is the account holder and there is a power of attorney. (Proof of copy of the power of attorney or the bank card).
The old interest conditions no longer apply to the new loan without Credit Bureau. Topping up Credit Bureau-free credit automatically leads to the currently valid conditions.