Calculate creditworthiness Switzerland - Cost of living, marital status and KKG calculation

Anyone applying for a loan in Switzerland is automatically granted a loan in accordance with the rules of the Consumer Credit Act (KKG) tested. One of the most important components of this test are the so-called Cost of living.

Many borrowers underestimate the extent to which these costs affect their borrowing capacity. Banks analyse very precisely how much money is actually left over after deducting all monthly expenses.

You can also find a detailed explanation of the legal basis on our Main page on the topic of consumer credit law

This page explains the legal rules of lending in detail and forms the basis for every credit check.

---

What are living expenses in a credit check?

Living expenses are all current expenses that are required for daily living expenses. These include in particular

• Food
• Clothing
• Hygiene articles
• Electricity and energy
• Insurances
• Health insurance
• Household costs
• Transport costs
• Leisure costs

Banks must take these expenses into account as they are part of the so-called budget calculation. The aim of this calculation is to ensure that borrowers still have sufficient financial leeway for a loan instalment after deducting all costs.

You can find out more about the legal basis for this audit on our main page on the Consumer Credit Act

---

Typical cost of living in Switzerland

The cost of living in Switzerland is comparatively high and depends heavily on the place of residence, lifestyle and household structure. Factors such as health insurance premiums, housing costs and personal consumption expenditure can have a major impact on monthly costs.

Many banks therefore work with standardised reference values for the so-called basic requirements.

Example of cost of living per household

Household type	Monthly cost of living
Individual	approx. 1'200 CHF
Single parent	approx. 1'350 CHF
Married couple	approx. 1'700 CHF
Child (up to 10 years)	approx. 400 CHF
Child (over 10 years)	approx. 600 CHF

These reference values are often used as a basis for credit calculations.

---

Difference in the cost of living depending on marital status

A particularly important factor in the credit check is the Marital status.

Depending on whether a person:

• single
• Married
• Divorced
• in a partnership
• with children

the monthly cost of living changes significantly.

Banks take these differences very carefully into account.

---

Example: Creditworthiness of a single person (single)

A borrower earns:

Net income: 5'500 CHF

Budget account

Position	Amount
Rent	1'600 CHF
Cost of living	1'200 CHF
Health insurance	450 CHF
Taxes	700 CHF
Insurances	200 CHF
Disposable income	1'350 CHF

This disposable income determines how high a loan can be.

A detailed explanation of the legal calculation can be found here.

---

---

Example: Creditworthiness of a married couple

Other guide values are used for a pair.

Budget calculation example

Position	Amount
Net household income	8'500 CHF
Rent	2'100 CHF
Cost of living couple	1'700 CHF
Health insurance	800 CHF
Taxes	1'200 CHF
Disposable income	2'700 CHF

Due to the higher income, a higher loan amount can often be approved. However, health insurance and rent expenses are added together and cannot be divided up.

---

Example: Family with children

Children significantly increase the cost of living.

Family budget

Position	Amount
Net household income	9'000 CHF
Rent	2'300 CHF
Family living costs	2'200 CHF
Health insurance	1,000 CHF
Taxes	1'300 CHF
Disposable income	2'200 CHF

All these values are taken into account in a credit check.

You can find more details on the legal regulations on our Main page on the Consumer Credit Act.

---

The 36-month rule of the Consumer Credit Act

One of the most important provisions of Swiss credit law is the so-called 36-month rule.

This states that a borrower must theoretically be able to repay the loan within 36 months to repayeven if the actual running time is longer.

This rule is a central component of the Consumer Credit Act and is applied by all banks.

You can find a detailed explanation of this rule here.

---

Example loan calculation according to KKG

A customer applies for a loan via:

50,000 CHF

KKG calculation:

50’000 / 36

= 1'389 CHF

If, according to the budget calculation, only 1'200 CHF freely available the loan may not be approved. In this case, the bank will not reject the loan application but will prepare an offer that corresponds to the allowance. The allowance is calculated x 36. This then results in the maximum amount. If you want to calculate how much credit you can afford. Please use our Budget calculator. This serves only as an example and is not a binding offer either for credXperts or for a credit bank.

---

Why credxperts.ch often achieves better results in credit calculations

Many banks work with very standardised calculations.

With credxperts.ch we go one step further.

Our credit experts analyse each request individually and take into account various factors that are often not optimally assessed in an automatic bank check.

These include, for example:

• Realistic budget calculations
• Correct assessment of the cost of living
• Optimisation of existing obligations
• Selection of suitable banks

As we do not use credit calculations according to the are specialised in consumer credit lawWe can often find solutions that would not be possible with a single bank.

You can find out more about the legal basis here:

---

Why loan brokers often have higher approval rates

A credit broker works with several banks at the same time.

This means:

A loan application can be checked in parallel with various banks.

As each bank uses different risk models, an enquiry may be rejected at one bank and approved at another.

This is precisely one of the great advantages of credxperts.ch.

We specialise in credit calculations according to the Consumer Credit Act Switzerland and know exactly which banks are best suited for which situations.

Further information on the legal basis can be found here.

Creditworthiness in Switzerland is heavily dependent on the Cost of living and marital status influenced. Factors such as household type, rental costs, health insurance premiums and existing obligations play a central role in every credit check.

Those who follow the rules of the Consumer Credit Act can significantly improve their chances of being approved for a loan.

Since credxperts.ch specialises in credit calculations in accordance with the Consumer Credit Actwe can often achieve better offers and higher approval rates.

FAQ on credit eligibility in Switzerland

How high do banks set the cost of living in a credit check?

Banks use so-called guideline values for living costs when assessing loans. These values are based on statistical average costs and serve to ensure that borrowers retain sufficient financial leeway for everyday life.

For a single person, around CHF 1,200 per month is applied. For a married couple, the values are usually between 1,600 CHF and 1,800 CHF. Additional amounts are added for children depending on their age.

These flat-rate values are part of the budget calculation and are taken into account in every credit check. They are based on the Requirements of the Consumer Credit Act.

---

Why does the cost of living have such a strong influence on creditworthiness?

The cost of living determines how much money a borrower has left over after all monthly expenses. Banks must ensure that borrowers still have enough money available for everyday living despite the loan instalment.

If the cost of living is high - for example due to high rental costs, children or insurance premiums - the amount available for a loan instalment is reduced.

As banks are legally obliged to avoid over-indebtedness, a loan can be reduced or even refused in such cases.

---

What role does marital status play in the credit check?

Marital status has a significant impact on household bills. Banks distinguish, for example, between

• Individuals
• Married couples
• Single parents
• Families with children

For married couples, the joint household income is often taken into account. At the same time, however, the cost of living also increases.

Additional costs are recognised for families with children, as children increase the basic monthly requirement.

These factors have a direct impact on creditworthiness.

---

Are health insurance premiums taken into account in the credit check?

Yes, health insurance premiums are one of the most important fixed monthly costs and are taken into account in every credit check.

As health insurance costs are relatively high in Switzerland, they can have a significant impact on creditworthiness. For families or older borrowers in particular, these costs can make up a large proportion of the household bill.

This is why banks scrutinise these costs very closely.

---

How do leasing agreements affect creditworthiness?

Leasing contracts are fully recognised by banks as a monthly obligation. A leasing instalment therefore directly reduces the amount available for a possible loan instalment.

Many loan applications are rejected because a car lease already exists.

In such cases, rescheduling or cancelling the leasing contract can significantly improve creditworthiness.

---

Why do credit brokers often achieve higher approval rates than individual banks?

Credit brokers work with several banks at the same time. This means that loan applications can be checked in parallel with different banks.

As each bank uses its own risk models, an application may be rejected at one bank and approved at another.

With credxperts.ch we specialise in credit calculations in accordance with the Consumer Credit Act and know exactly which banks are best suited for which situations.

---

Can self-employed persons also obtain a loan under KKG?

Yes, self-employed people can also obtain a consumer loan. However, banks often require additional proof of income.

Typically, self-employed persons must submit the following documents:

• Tax returns
• Business transactions
• Bank statements

As the income of self-employed people can fluctuate more, banks scrutinise these applications particularly carefully.

---

How long does a credit check take in Switzerland?

With online loan applications, an initial credit check is often carried out within a few minutes. The final credit decision can take between a few hours and two days, depending on the bank.

Once the loan agreement has been signed, payment is usually made within 14 days of the agreement date.

---

How can you improve your creditworthiness?

There are several ways to improve your creditworthiness.

These include, among others:

• Reduce existing loans
• Replace leasing contracts
• Prove stable income situation
• Optimise household costs

A loan comparison can also help you find better offers.

---

Why is it worth comparing loans via credxperts.ch?

A loan comparison makes it possible to check several banks at the same time. This increases the chances of obtaining a suitable loan offer.

With credxperts.ch we analyse each credit application individually and take into account the legal calculation methods of the Consumer Credit Act.

As we specialise in these calculations, we can often find solutions that would not be possible with a single bank.

---