Frequently asked questions & answers

There is no one best bank for a loan per se, as every bank has a different risk policy. The important thing is that the bank in question suits you. It is equally important that you fulfil the requirements for the bank when you apply for a loan: all banks check each customer's creditworthiness individually.

For this reason, it is important to know which requirements you need to fulfil as a borrower in order for your loan application to be approved. Thanks to our many years of experience, we can tell you exactly which bank has a real chance of approving your loan. Please note: A direct application to the wrong bank can lead to a rejection. This rejection can remain registered for at least two years and lead to subsequent rejections.</p

To apply for a personal loan in Switzerland, you must fulfil these criteria when applying for a loan:

• Minimum age 18 years, maximum age 70 years
• Resident in Switzerland, the Principality of Liechtenstein or cross-border commuter
• Swiss citizenship or residence permit C, residence permit B, residence permit G, residence permit L
• Regulated income

A lease is a so-called triangular transaction between the car garage, the lessor (leasing company) and the lessee (vehicle owner). The leasing company buys the car from the garage. It is therefore the owner of the vehicle and stipulates certain restrictions - such as the number of kilometres and fully comprehensive insurance. The lessee uses his leasing instalments to pay for the use of the car over a certain period of time. But they bear all the maintenance costs like someone who owns a car and has paid for it in cash or via credit.

A consumer loan is not earmarked for a specific purpose: If you buy your car with a loan, you own the vehicle from day one and can dispose of it freely. You can also sell it at any time. Calculate consumer credit now.

Another difference between leasing and car loans is the premature cancellation of the contract: Anyone who cancels a leasing contract prematurely must pay additional costs and penalty interest. If you cancel a loan agreement prematurely, you are entitled to an interest waiver. Furthermore, leasing is not tax-deductible. However, a loan is - once as loan interest from income, once as loan debt from assets.</p

Car loan or leasing? You can find out more here.

Replacing an existing loan with a high interest rate with a lower-interest bank is always worthwhile. You can transfer the loan with the higher interest rate to a bank with a lower interest rate at any time using the open daily balance. No penalty interest may be charged.

Once the loan has been transferred to a new, more favourable bank, you repay the loan with a lower interest rate from the new bank.

<p

Find out more about loan cancellation here.

When the bank calculates your credit budget, it pays attention to these points:

• Civil status: For single people, the bank deducts CHF 1,200 from the possible credit budget for basic needs, and CHF 1,700 for married people.
• Current obligations: Ongoing obligations are also important when calculating your credit budget. For example, if you have a current lease or are paying off other loans. Or if you have to pay credit card bills where your credit card limit is over CHF 3000.</li
• Health insurance premiums: The more people living in the same household, the higher the health insurance premiums will be overall. This reduces the possible credit budget.</li
• Taxes: Here the bank calculates the tax burden according to marital status, canton and place of residence.</li
• Rent: Some banks calculate a minimum rent of CHF 1,000, which also comes into play if prospective borrowers are still living with their parents.</li
• Children: If children also live in the same household, banks take this into account when calculating your credit budget. This involves the basic needs of a child.</li
• Way to work allowance: Travelling from home to work and back can be a heavy burden in some circumstances. This is why a commuting allowance is included in the calculation of a possible credit budget.</li
• Alimony: If you have to pay alimony, this will also have an impact on your credit budget.</li

The banks calculate your credit budget so that you can cover your minimum living requirements when taking out a loan and do not get into debt.

Budget calculator for loans: Calculate your credit limit now.

Depending on your marital status, the bank will deduct a basic requirement when calculating your credit budget. The basic requirement covers the costs you need to cover for everyday life.

You can find more information on calculating your credit budget here.

To determine a credit budget that protects you from over-indebtedness, the banks also take your tax burden into account. They calculate the tax based on your place of residence and canton as well as your marital status.

Test our budget calculator for loans and calculate your credit limit.

This calculation is made in accordance with the Consumer Credit Act (KKG). This stipulates that you must be able to repay a loan within three years. However, you can choose any term for your loan. The 36 months is one of the various factors in the calculation of your credit budget.

You can find everything you need to know to calculate your credit budget here.

If children live in the same household, they are relevant when calculating your credit budget. The deduction made by the bank should cover the basic needs of a child.

In addition to food, a child's basic needs also include these expenses: Clothes, club or sports costs, subscription costs, etc. As costs vary at different ages, banks assume a flat rate for this according to age in order to determine your credit limit.</p

To ensure a quick process, please contact us by email or credit application.

The process is as follows: First, we obtain a loan offer from the new bank and likewise the approval of the loan redemption. When the contract is activated, the new bank then amortises the outstanding debt with the current bank. The contractual relationship with your old bank ends with the complete transfer of your existing loan debt.</p

Repay your loan early: You can find more information here.

A special payment enables you to save on interest costs. This is because you amortise (= repay) your current loan on a monthly basis. Because the interest costs are calculated per month, a special payment is worthwhile at any time. Especially at the beginning of the term: if you make a special payment towards your loan debt here, this reduces your interest costs.

Would you like to find out more about the effect of a special payment on your existing loan? Then use our amortisation calculator! You'll be amazed at how much you can save on your interest costs.</p

The loan interest rate is the result of a risk assessment by the person applying for a loan. You can see what is included in an interest rate calculation in this list:

• Your age: Very young people or people of retirement age have higher hurdles to getting a loan approved.
• Your income: The higher your income, the higher your creditworthiness.</li
• The length of time you have lived in the same place: The longer you have lived at the same address, the better you score when it comes to a low interest rate.
• Your employment with the same employer: Your length of employment with the same employer also has an influence on the calculation of the loan interest rate.
• Your marital status: Depending on whether you are single, married, divorced or widowed: This can affect the amount of interest on the loan.</li
• Your housing situation: If you own your own home, you will have a different score in credit rating databases than someone who rents.
• Your residence permit: The longer you have lived in Switzerland, the better interest conditions you will get.
• Your experience with previous loans or leases: If you have paid off previous loans or leases satisfactorily, you have nothing to worry about.

In general, it can be said: The more stable your financial situation is, the smaller the risks of a loan default are for a bank. Accordingly, the bank will also grant you lower loan interest rates.</p

In any case, it is worth comparing interest rates. You can find out more here.

No, you can redeem or reschedule your current loan without hesitation. This is also stipulated in the Consumer Credit Act (KKG), as this excerpt shows: The KKG expressly grants early repayment of the loan debt. In this case, consumers are entitled to a waiver of the interest on the loan and an appropriate reduction in other costs for the period not utilised (Art. 17 para. 2 KKG).

If you want to redeem your loan early, read our blog post.

As a rule, the interest rate on a credit card is between 11 % and 15 % - depending on the credit card issuer. If you use the instalment facility, you will pay interest on arrears at this rate. This is much higher than if you pay off your credit card debt with a personal loan.

A repayment of the credit card definitely pays off here, as even the highest possible interest rate for a personal loan is 9.95 % and is therefore more favourable than the interest rate charged by the credit card company. Thanks to our many years of experience in this area, we know exactly how and where it is worth paying off a credit card. Enquire with us without obligation and save yourself excessive interest: +41 44 244 34 00 / info@credxperts.ch.

Do you also have a loan that you would like to repay? You can find out more here.

Unfortunately, almost no mortgage banks can be found for house financing abroad. This is due to the mortgage banks' risk policy: they are reluctant to finance properties abroad. You can avoid this problem by taking out a consumer loan. Here, too, the desired financing amount for your property must match your budget.

Calculate your property loan here.

Yes, at any time! You are not bound by the contractually agreed term. There are various options for early repayment of your personal loan:

• Faster loan repayment by increasing your minimum instalment
• Partial repayment of the loan by transferring a higher amount
• Settlement/repayment of the outstanding loan amount

Important to know: The banks only charge interest for the term utilised and on the effective outstanding balance. This means that if you repay your personal loan early, you will always benefit from an interest waiver.

<p

See how much you could save with our repayment calculator.

The ZEK is the Central Office for Credit Information. This is the Swiss records centre for creditworthiness information from the credit transactions of natural persons and legal entities. It registers positive and negative reports on prospective credit, leasing and credit card customers. But also about the obligations and creditworthiness of borrowers, lessees and cardholders. The banks communicate with each other anonymously using codes in order to exchange information about payment behaviour. Below you can see the most common codes:

• ZEK code 01: Open credit application
• ZEK code 02: Regular instalment
• ZEK Code 03: Delayed payment with reminders, retention period 3 years, negative entry
• ZEK Code 04: Collection measures/enforcement, retention period 5 years, negative entry
• ZEK code 05: Partial or total loss, retention period 5 years, credit no longer possible
• ZEK code 21: Blocked credit card, retention period 5 years, negative entry
• ZEK code 22: Ongoing debt collection measures, retention period 5 years, negative entry
• ZEK code 23: Partial or total loss, retention period 5 years, credit no longer possible

Only authorised members and third-party companies commissioned by them and authorised by the ZEK have access to the database. A reason for the enquiry must be given for each query. However, no special proof of interest is required. The database query is made in response to a specific enquiry. Or, if essential assessment criteria for registered persons change, automatically to the members concerned. Database queries are subject to a fee.</p

Members are obliged to submit a query before credit applications are checked. Otherwise, the enquiry is voluntary. The purpose of a typical voluntary enquiry is to check any contract offers, your own current contracts or the company owner of a legal entity.

<p

Further information on the ZEK can be found here.

Before granting a loan, the bank calculates with generous lump sums to compensate for any higher expenses during the term of the contract. There are banks that allow budget optimisation - for example for health insurance premiums or commuting allowances.

You can find more information on calculating your credit budget here.

Certain banks require a minimum rent of CHF 1000 when considering a loan application. This is done for security reasons in case a person applying for a loan should move during the term of the loan. In this case, a rental deposit loan may also become relevant.

If someone is still living with their parents when they apply for a loan, the banks will assume a minimum rent or reference rent. Here, the choice of bank can be decisive for successful lending.</p

With our credit advice, you increase your chances of a loan approval. Start your loan application now or contact us directly: +41 44 244 34 00 / info@credxperts.ch.

When you apply for a loan in Switzerland, the banks will check your credit limit and creditworthiness. The banks are deliberately more cautious in their calculations so that you do not over-indebt yourself by taking out a loan. Of course, they are also acting in their own interests: By calculating the credit budget cautiously, banks reduce losses due to loan defaults.

Find out more in our budget calculator for loans.

Yes, you can repay a current loan at any time. Either from your own funds by paying off your loan early. Or by refinancing through another bank, which replaces your loan with your existing bank.

In order for you to successfully repay a loan, your credit budget must be in line with the Consumer Credit Act (KKG), i.e. you must be creditworthy and creditworthy. The loan is repaid directly by the new bank or by transferring the outstanding loan debt.</p

Find out more about loan cancellation here.

A loan cancellation - also known as loan rescheduling - can be worthwhile at any time. Ask the credXperts credit advisors about the current interest conditions: +41 44 244 34 00. Or you can also use our interest rate comparison to apply for a suitable loan.

Currently, the interest rate spread at traditional credit banks is between 4.4 % and 9.95 %. Crowd platforms offer interest rates from as little as 3.5 % for loan applications. However, they also charge an annual service fee, which you should bear in mind when taking out a loan. In addition, not all crowd platforms take into account the interest waiver in the event of early repayment of your loan. You should therefore exercise extreme caution here.

If you have any questions about this, our credit advisors will be happy to help you. Give us a call or write to us: +41 44 244 34 00 / info@credxperts.ch.

You can only save on interest costs if you adjust your contract or make a special payment. This can be done with the same bank or by changing banks if your current bank does not offer lower interest rates.

Would you like more information about your savings potential? Take a look at our page on comparing interest rates. Or simply contact us: +41 44 244 34 00 / info@credxperts.ch.

Generally speaking, there is no such thing as "the best loan". Depending on the customer profile, credit requirements and creditworthiness, there is a suitable bank. When reviewing a loan application, we look at which criteria the bank in question fulfils. In doing so, we naturally aim for the lowest possible interest rate. This depends on your creditworthiness and the desired loan amount.