Take out a student loan now!

You can only take out a loan when you are of legal age. This applies to most students, but a few university students start their studies at the age of seventeen. In this case, borrowing with the consent of your parents and the juvenile court would be conceivable. In practice, the judges hardly ever issue one. As an exception, the co-signature of a parent is sufficient for the Credit Aid application, as this is not considered a classic loan, but rather a partial repayment.

State student loans

State student loans

When asked to what extent students can obtain a loan, it is often overlooked that half of the Credit Aid services are provided as loans. As a student, you will receive this interest-free loan, which will only be repaid after the end of your studies, if your additional income and assets, as well as the income of your parents, do not exceed specified limits.

The evaluation of half of the federal education funding paid out as a loan is inaccurate because the debt burden from Credit Aid payments amounts to a maximum of 10,000 USD at the end of your studies. Further amounts will be waived without application.

You do not have to provide proof of your financial circumstances for the student loan from the state-owned Lite Lender, as this is paid regardless of income and assets. Even a negative Credit bureau information is not an obstacle to credit. From the fifth semester, proof of achievement must be provided, with the Credit Aid office crediting the university semesters and KfW the funded semesters.

With a few exceptions, you are not entitled to Credit Aid for a second degree, but you can in principle apply for a student loan. The maximum funding period is fourteen semesters, whereby only the periods for which you actually received the Lite Lender promotional loan are taken into account. You can receive the Lite Lender student loan for six semesters for postgraduate studies and for a doctorate. This period is irrespective of whether you applied for the development loan during your original studies.

The Lite Lender promotional loan is paid out to your account each month, and you choose an amount of between $ 100 and $ 650. You can change this amount on two dates per year without having to give reasons. You can also apply for an educational loan while preparing for the final exam and during the semester. You are, of course, also entitled to this if you have foregone the student loan and have financed your living through employment.

The bank loan for students

Most banks give you your first student loan by giving you an overdraft facility. As a rule, regular incoming transfers are sufficient. Since the amount of the disposition limit is also determined by the amount of the input amounts, you should ask your parents to transfer the support they have paid to your account and not to hand them over to you in cash.

As a student, you can also easily obtain a credit card, especially since some issuers offer special card variants for students. These are mostly equipped with a credit limit of $ 1000.00, which you can use like a real loan by activating the installment facility. In view of the high debit interest rates, it is advisable, however, if you only use the payment target until the credit card bill is due and if you need a loan over a longer period of time, contact a bank.

In addition to a good Credit bureau, your regular income is the main criterion for lending. For students, this often consists of several components. The most common payments received by students come from the following sources:

  • Professional employment
  • Secondary activity on a freelance basis
  • Credit Aid
  • Student loan from Lite Lender
  • Parental support
  • scholarships

If you want to take out a loan from a bank as a student, it depends on the income components that the financial institution takes into account in its budget calculation. There are clear differences here, especially freelance part-time jobs and the payments of the parents are not always recognized when applying for a loan.

You may be surprised that the Credit Aid payments and student loan are counted as income. In fact, a loan is considered income for further lending, but the procedure is logical. Finally, the corresponding payments for loan repayment are available to you, since neither the Credit Aid office nor Lite Lender require repayments during your studies.

You increase the likelihood of receiving parental support if you provide the bank with confirmation from your parents that they are willing to make payments for the duration of your studies. As a student, when making a loan comparison, make sure that the bank you select as the contract partner evaluates all of the income components as relevant for the household bill.

If you are borrowing as a student, you can ask your parents or another confidant to act as a co-applicant or to provide a loan guarantee. The fact that many banks prefer to apply jointly to the guarantee declaration is due to the usual case law. When accepting private individuals as guarantors, this obliges lenders to check not only the income situation but also the knowledge of the possible consequences of a loan guarantee. In contrast to a surety, there is no risk that a court will declare the corresponding contract to be ineffective when taking out a loan.

If you want to take out a loan as a student, hiring a credit broker can make sense. Thanks to the bundled demand, in many cases the bank approves a student loan, even if it would have rejected it if it had been applied for directly. However, make sure that the credit service provider works without any upfront costs and does not request remuneration until it has actually helped you to obtain the desired loan.

In addition to classic bank loans, individual commercial banks also offer you as a student a student loan on similar terms to Lite Lender. Of course, you do not have to provide proof of income for such a loan, because after your final examination you repay the loan with the income earned. It must be checked in each individual case whether an independent commercial bank or the credit institution for reconstruction pays the cheaper student loan. If you cannot find a job with reasonable remuneration immediately after completing your university degree, Lite Lender usually behaves more flexibly than most traditional financial institutions.

Take out a loan from a dealer as a student

Take out a loan from a dealer as a student

Many mail order companies and some brick-and-mortar stores offer you a loan while studying by accepting installment payments. In most cases, you do not have to submit proof of earnings with this form of credit financing, and in some cases there is even no demand for your monthly income.

Some retailers even offer installment payments without interest. Nevertheless, a price comparison is indispensable, because sometimes a lower commodity price leads to lower overall costs than interest-free payment in spite of interest for installment payments.

When arranging installment payments, make sure that you can meet all payment obligations from your income as a student. The Credit bureau information provided to a dealer does not contain any data on current obligations, but only information about possible negative entries, so that it does not protect against possible over-indebtedness due to too many loan liabilities.

The benefits for both sides – is the student loan worth it?

For the claiming student, the advantages of the loan are, of course, that they can complete the course or a limited period of it without any financial pressure. The annoying questions about how to secure maintenance and also buy the important textbook are no longer necessary. The entire concentration of the person concerned is on his university education.

The bank in turn benefits from this approach by only starting the repayment phase when the borrower already has a regular income. It therefore only takes a small risk. This can be reduced further by charging a certain interest rate during the payout period. This approach is also customary in the market and will not reduce the beneficiary’s financial livelihood.

Overall, both students and banks should benefit from such a loan. Ideally, a strong partnership is created between the two sides, based on the principle of mutual support. The student receives a monthly income with which he can devote himself entirely to his specialty – and the bank can hope for a repayment if the borrower reaps the financial fruits of his troubles and pursues a career.

All advantages at a glance:

  • Parental support option
  • Particularities regarding the repayment
  • Limiting monthly payments to reduce the risk of debt
  • economic security even in the stressful times of studying

Special features in the repayment phase – how is the repayment structured?

Special features in the repayment phase - how is the repayment structured?

Of course, there will come a time when the amounts once granted have to be paid again. Depending on the bank, the maturity usually begins about one to two years after the last monthly installment of the loan has been transferred to the student. This means that there is scope in terms of time to find regular work and generate savings, but also to compensate for any delays in your studies.

In addition, in case of hardship, a further postponement of the repayment can be requested. This is usually the case if, contrary to expectations, the borrower has not found a job or there have been personal restrictions that temporarily prevent the repayment from starting. Contact with the bank is important here in order to discuss how to proceed between the two sides and to strive for a satisfactory solution.

Nevertheless, it should not go unmentioned that the former student faces a period of 20 to 25 years in paying the first installment in which he has to pay his arrears monthly. The level of the regular payments is the responsibility of both parties. Amounts between 25 and 500 USD are common here.

How the repayment works:

  • The repayment is limited to 20 to 25 years.
  • In addition to the loan amount, a certain interest rate must be paid.
  • The amount of interest varies and should average 6 to 7 percentage points.
  • Before the repayment phase, the modalities between the bank and the borrower are discussed and contractually confirmed.
  • Changes can also be made to this agreement during repayment.

The private loan for students

The private loan for students

It is easier for you as a student to get a loan on an online platform for the organized procurement of private loans than at a traditional bank. The private lenders mainly base their decisions on the purpose for which you want to use the requested loan. If you describe it as precisely as possible and at the same time explain from which sources you want to repay the loan as a student, your request will be drawn up within a short time.

The loan amounts requested by students are mostly so low that one single private lender suffices to subscribe. If you need an above-average student loan, the loan is granted by two or more lenders. The loan amount will be paid to you as soon as it has been fully subscribed.


Advantages and Disadvantages of Loans

Advantages of a loan

Advantages of a loan

A loan makes the borrower liquid in the short term. He can make an investment or fulfill a purchase request. Take the example of buying a car:

The seller would like to have 25,000 USD for the vehicle. However, if the car can be paid for in cash, he gives a discount of ten percent on the sales price. This discount is at least 2,500 USD. If a loan of $ 20,000 is taken out, only the remaining $ 2,500 need to be covered by equity. At an interest rate of five percent, approximately $ 1,500 interest is due if the term of the loan is three years and the monthly installment is set at around $ 600.

This results in the following calculation:
Purchase price: 22,500 USD
Credit: 20,000 USD
Interest rate: 5 percent
Equity: 2,500 USD
Monthly rate: 600 USD
Duration: 36 months
Repayment amount: 21,600 USD
Total amount to be raised: 24,100 USD
Saving: 900 USD

The buyer saves 900 USD compared to the original price if he pays the vehicle in cash. The prerequisite for this calculation example, however, is that the aforementioned $ 2,500 equity is raised and that the borrower’s creditworthiness is good. If the creditworthiness is poor, the credit conditions are usually less favorable, which means that the interest rate increases or a lower loan amount is granted.

However, loans can also be advantageous if they are intended to replace existing loans. If these were taken up at times of high interest rates, rescheduling may result in savings of several thousand USD – depending on the amount of the loan and the term as well as the interest rate.

A loan can also be taken out if this money can be declared as equity.

A loan can also be taken out if this money can be declared as equity.

There are certain promotional loans from KfW that can be used as equity when disbursed. This improves the creditworthiness of the borrower, who in turn can score with another bank with high collateral.
Here is an overview of the advantages of a loan:

  • immediate financing of a purchase or investment request
  • Use of discounts and discounts possible
  • Improvement in equity
  • Debt restructuring possible
  • Larger purchase projects can be financed
  • Temporary financing possible with a low monthly charge

Follow-up financing without Credit Bureau

Not everything in life always goes according to plan – also in financial terms. So it can happen that due payments are forgotten or serious financial bottlenecks occur. In both cases, negative entries in the Credit Bureau directory can very quickly occur these days. It is a credit agency that stores both positive and negative credit rating characteristics about borrowers. If consumers want to take out a new or additional loan, any negative entries in practice can become a real problem.

Difficulties with bad Credit Bureau possible

Borrowers in real estate financing can also face serious difficulties due to negative entries in the Credit Bureau directory. This is the case when the so-called fixed interest period expires. As a rule, a remaining loan amount is open at this time, which must be financed further. To this end, a new loan agreement is being concluded at appropriately adjusted interest rates. Banks and savings banks issue a corresponding prolongation offer up to three months before the interest rate lock expires.

However, if the borrower’s creditworthiness deteriorates, credit institutions are not obliged to roll over. In this case, no further funding is possible. Depending on how serious negative Credit Bureau entries are, they may be sufficient to refuse further funding.

Follow-up financing despite a negative Credit Bureau

Follow-up financing despite a negative Credit Bureau

If borrowers in real estate financing have negative Credit Bureau entries, early action before the interest rate expires is recommended. This leaves enough time to clarify any discrepancies and to check entries.

The latter – that is, checking for negative entries – borrowers should do in the first step. Every citizen has the right to inform himself about entries concerning him free of charge once a year. A corresponding request for information will be sent by post on request and, as mentioned, is free of charge. The personal information also shows all possible negative features that can lead to difficulties in connection with the intended follow-up financing. All entries should be checked. Some of the supposedly outstanding claims may have already been paid. Others may not be authorized. If there is still enough time until the fixed interest rate expires, these can still be eliminated by then.

If negative entries cannot be (fully) clarified, this does not necessarily have to be the KO for follow-up financing. Because for most banks, Credit Bureau is just one of many credit ratings – albeit an important one. Therefore, it may be helpful to improve other credit rating features in return for the bad Credit Bureau. For example, borrowers may have other sources of income (such as a part-time job) that the lender has never heard of. Or the level of household income has increased significantly. The improvement of such evaluation criteria can lead to the loan being granted despite a negative Credit Bureau.

The subject of collateral is also sometimes a decisive factor for lenders. Therefore, the correct or best possible valuation of the financed property in the case of negative Credit Bureau entries is all the more important. The property value may have increased due to price changes since the initial borrowing. Perhaps there have been modernization measures in the meantime that have a positive impact on property value. The lender should also know these in order to realistically evaluate the property as well as possible.

Apply for your follow-up financing without Credit Bureau now!

Never neglect provider comparison

Never neglect provider comparison

Obtaining follow-up financing is of course a top priority for borrowers with a negative Credit Bureau. In most cases, an impending sale of the property can only be avoided. Nevertheless, it is important to complete the follow-up financing “not at any price”. Because this will generally be significantly more cost-intensive than it would be if the borrower had a good credit rating due to the negative characteristics.

Therefore, an extensive comparison of providers is extremely important, especially in the case of a negative Credit Bureau. The more providers are requested, the higher the chance of coming across a lender with acceptable interest rates – despite the corresponding framework. And especially when it comes to real estate financing, even small interest rate differentials can have a major financial impact. A so-called debt rescheduling to another lender can easily mean several thousand USD in cost savings. The following calculation example should illustrate the potential savings:

Assumption: A borrower with poor Credit Bureau would like to prolong his real estate financing with a remaining debt of 150,000 USD (monthly rate 800 USD). The interest rate on financing was previously 2.39 percent annually – with a fixed interest rate of 10 years. The house bank refuses to roll over due to poor creditworthiness. There is no time to clarify the entries in the Credit Bureau. Therefore, the person concerned contacts another bank that enables further financing. However, the interest rate for a fixed interest rate of another 10 years should be 4.49 percent due to risk premiums – despite continued favorable interest conditions. After a thorough comparison of conditions, another credit institution comes into question. Its conditions are 3.99 percent per year. The reduction in the rate fixation to 5 years leads to an additional 0.6 percent lower interest costs, i.e. a rate of 3.39 percent annually.

Offer 1
(10 years ZB)
Offer 2
(5 years ZB)
Interest rate pa 4.49 percent a year 3.39 percent a year
Interest costs in 5 years 31,973.07 USD 23,436.63 USD
interest rate advantage 10,238.37 USD
minus additional costs 9,738.37 USD

The incidental costs incurred for such a debt rescheduling for the notary and land registry are just under 500 USD. Nevertheless, the total savings when using offer 2 is just under 10,000 USD. Borrowers should therefore not only see the expiry of the fixed interest rate and the associated opportunity for debt restructuring as a burden, but also as an “opportunity”.

Avoid long fixed interest rates

Should borrowers achieve follow-up financing despite a negative Credit Bureau, this should have the shortest possible rate fixation period. Firstly, because their interest rate is normally lower than in the case of a longer fixed-interest period. Given the already higher interest rate on financing for borrowers with good credit ratings, this creates a certain financial relief.

In addition, the follow-on financing gives affected borrowers time to take care of the open entries in Credit Bureau. In the best case, these can be eliminated by the end of the (shorter) fixed interest period. If so, further financing would then be possible at conventional, more attractive interest rates.

The forward loan as a solution?

The forward loan as a solution?

In connection with a so-called forward loan, borrowers can secure the interest conditions for subsequent follow-up financing at an early stage. That creates certainty. However, banks charge certain interest premiums for this. In addition, in the case of negative Credit Bureau entries, risk premiums are added, which negate the cost advantage of the forward loan, which is not always present anyway. In practice, the conclusion of a forward loan therefore makes little sense, especially from the point of view of the borrower with a poor Credit Bureau.


Loan for self-employed

Reliable documents for the credit check

In contrast to employees, who only have to submit copies of their salary slips and a list of all liabilities for the credit check, the self-employed have to provide significantly more extensive documents. You must be able to clearly demonstrate how the business figures have turned out in recent years, which development you forecast for the future and what the loan amount requested is needed for.

As a rule, these documents are created with the tax advisor to clarify the sustainability. If you can use business evaluations for the past period, you should prepare the forecasts in detail: The better the bank employee can understand your plans, your chances of success and the planned profits, the greater your chance of a loan.

Business idea and earnings forecast

Business idea and earnings forecast

So describe your business idea in detail, describe the potential for an order and best prove this with preliminary contracts or declarations of intent. Based on your calculation and the planned sales volume, you can draw up a professional profit and loss account for the next three years, from which the bank can see the possibility of repaying the credit installments.

Even if they are only theoretical calculations, you should meticulously approach the creation of a business plan with all components. The associated liquidity and investment planning show that you have dealt intensively with all cost items.

Use of credit – check funding

Use of credit - check funding

Depending on the use of the loan amount, various grants can be considered for your financing project. If you are planning to invest in fixed assets, for example, there are cheap credit lines from KfW Bank to choose from, and lost grants can also be used. Intensive research in advance can give you information.

However, the KfW credit lines are not yet a guarantee that you, as a self-employed person, will actually get the loan, on the contrary. Very few house banks are interested in applying for and transferring these funds, as practice has repeatedly shown. On the other hand, you can apply for the funding directly, and your house bank will also be at your side – after all, this effectively reduces the financing risk.

Which documents should be compiled for the loan application?

Which documents should be compiled for the loan application?

  • Business plan with all components
  • Description of the intended use
  • Financial and investment planning
  • business evaluations of the past three years
  • Consent to the Credit Bureau query
  • curriculum vitae
  • self-Assessment
  • Foundation or company documents

Investments in real assets – collateral

Investments in real assets - collateral

In principle, you can assume that loans for investments are approved more easily than if you want to compensate for liquidity shortages – unless you can deposit a binding order as security. It is therefore always a question of usable collateral if the bank is to grant a loan to a self-employed person.

For this purpose, the bank works with the retention of title, a transfer by way of security or the assignment of claims, which enable the outstanding loan amount to be repaid in the event of a loan default. The situation is more difficult if the amount spent cannot be secured by the material value to be financed.

Liquidity and additional collateral

Liquidity and additional collateral

In these cases, the bank primarily checks the available liquidity, which must result in a reliable repayment of the financing. If there is already a long-term business relationship with your house bank, you can hope for significantly more understanding of difficult situations, since the development of your business can be viewed over a longer period of time.

If the potential of your company is not sufficient from the bank’s perspective, you can possibly make a positive decision with additional collateral. For example, a mortgage on a property, the transfer of real assets or an additional guarantee allows funding to be granted if the other framework is correct. However, you should not ignore the risks of recovery.

Credit Bureau – tip the scales

Credit Bureau - tip the scales

However, if there are already negative entries in Credit Bureau or a similar credit agency, no German bank will be able to grant a loan to a self-employed person. Then there are existential questions: Are you even able to sustainably put your business back on the road to success?

Of course, Credit Bureau entries can be made without the direct fault of a self-employed person. The payment defaults for orders that have already been completed usually trigger a fatal chain reaction that often ends with small companies. It is then important to carefully consider whether taking on new debt is the viable solution.

Claims management and contact with creditors

Claims management and contact with creditors

For the self-employed, a struggle for their own economic existence begins here. Only strict receivables management and a constructive dialogue with creditors can help out of such a situation. Approach the payee and describe the situation. Agree on installment payments or a deferral of payments to avoid further inconvenience.

On the other hand, you make payment agreements that offer you the greatest possible security. There are a number of ways to obtain credit information on the clients yourself in order to limit problems from the outset. In addition, an at least temporary optimization of the cost side is a tried and tested means of defusing crisis situations.

Factoring and other options

The factoring of invoices has proven its worth, especially in the trades, even if it reduces your bottom line: You sell the justified invoice and receive the money in return. However, you should be careful with these instruments, since of course there is also an external signal effect. But you have the opportunity to free yourself from a crisis situation on your own.

Alternatively, there are of course ways to get loans without Credit Bureau queries. On the one hand, there are platforms in Germany on which private financing can be obtained. On the other hand, there are always offers from abroad, since the query at a credit agency is not intended in most countries.

Honest risk analysis as a basis for decision-making

Apart from the fact that such financing must be critically examined, an honest analysis of your own situation should precede a decision:

  • Are you able to take a decisive turn in business development with the money raised?

If the loan is only to be taken out to service other liabilities, you are already in a dramatic spiral of debt: the costs of servicing current liabilities will continue to increase. An honest and painful cut is advisable at this point.

Get professional advice

Get professional advice

An open discussion with the tax advisor or a professional debt counseling service will help you to answer important questions yourself:

  • Is there a realistic chance of mastering the present crisis?
  • Can a solution be reached with bridging finance or is the current situation only mitigated?

If there is an opportunity to find viable ways with creditors to deal with a temporary crisis when the order book is stable, then do it. Then an alternative loan without Credit Bureau information can be a way to support you in this way.

Build effectively in good times

Build effectively in good times

In principle, the self-employed should seek dialogue with their bank in economically successful times:

  • Expand your current account.
  • Discuss your business development in detail.
  • Get credit cards.

Even if you do not need these options at all, you can always face difficult phases. However, the more impressive you have already presented yourself to your bank, the more generously it will deal with you in the event of problems.

If you then fight your way out of a crisis, also discuss any progress with your bank employee. The latter will appreciate the dialogue, as he sees his decision confirmed. The self-employed have to work significantly more with their bank in order to have a reliable partner even in times of crisis.


Advantages of a credit account

Who is a credit account suitable for?

Who is a credit account suitable for?

A credit account is primarily intended for customers who banks refuse to open a normal account. The reason for this is in most cases a negative Credit Bureau information. The accounts of underage customers are mostly kept as credit accounts, because any outstanding debts could hardly be collected for legal reasons.

What are the advantages of a credit account?

A credit account offers no advantages over a normal current account. With the exception of a very special case, in which theoretically, you can “seize into the overdraft facility”. However, this does not matter for typical private customers. However, if you cannot open a current account, you benefit greatly from a credit account. Without an account, it is often not possible to conclude a contract of employment or a lease. The credit account therefore prevents a fatal downward spiral from starting with the loss of the account.

Is there a right to a credit account?

A legal obligation to open a credit account exists only in some federal states for the savings banks. The banks in Germany have signed a voluntary declaration to enable everyone to open a credit account, but in practice not all banks adhere to it. In theory, you can insist on opening a credit account at any bank of your choice. In practice, you will surely make your life easier if you choose one of the banks that offer this procedure on its own.

Note: The European Parliament passed a general legal claim to a credit account in 2014. Germany and the other member countries have two years to implement this decision in national laws. Soon there will also be a formal legal claim.

Can the bank cancel a credit account?

Can the <a href=bank cancel a credit account?” />

Despite the voluntary commitment, termination is possible if the behavior of the customer justifies it. This is the case, for example, if the account no longer fulfills its purpose because it has not been used for a long period of time or the account is permanently blocked by a garnishment, or if the account is used for illegal business. Aggressive or inappropriate behavior towards employees or other customers of the bank can also lead to termination.

The connection with the garnishment protection account

The connection with the garnishment protection account

In theory, garnishment protection and credit accounts are two completely different account types that have nothing to do with each other. In practice, however, banks usually convert current accounts into credit accounts when the customer requests the conversion to a garnishment protection account. When you should do that is another matter! At this point, only this note is important: the conversion does not take place automatically, so the bank must terminate an existing overdraft facility by observing the relevant period.

Myths and half-truths

There is some misinformation circulating about credit accounts that persists on the Internet. The first thing that is wrong is that a credit account is recognizable as such to outsiders. Nor is it generally free of charge. The contrary rumor that credit accounts are particularly expensive is also not correct. Another myth is that no EC cards are issued for credit accounts. There are also a few individual cases in which banks have decided to do so for special reasons. And the information that the holders of credit accounts must be reported by the banks to a place where they are recorded centrally is also incorrect. The latter only applies to garnishment protection accounts in order to prevent someone from opening several of these accounts and thus using the garnishment allowance multiple times.


Is it possible they steal my credits?

For those who are an avid program participant, finding that there is no balance available in the Cansal Invoice (NFP) is really scary. The first thing that pops into your head is that someone may have stolen your credits, but this is a hypothesis virtually ruled out by the program’s security systems.

Not sure where the balance that was there went? Check below to see if anyone can steal your NFP credits.

The first thing you should know about the program is that there are several factors that compromise the accounting of the Cansal Invoice balance, such as: invoice for payment of services, credits that have not yet been calculated, among others. This is why it is important to check all of these options before thinking that someone has stolen your program balance.

Zero balance

Zero balance

If there is no balance available for you to withdraw from the program platform, you should first check to see if there is any credit with the definition of “calculating”. If so, this means that credit will soon be available to you. Now, if you don’t find any credit being processed, it simply means that there is no credit counted for you.

As stated earlier, some invoices do not generate any credit for the program. If the invoice you request is for payment of a service, there will be no credit to your account, as the modality is not included in the program rules. There are some cases of product purchases that also do not generate credit, but in this case, it is advisable that you always ask for the invoice, so that you can compete for the draw.

It is also important to remember that it takes a minimum of $ 25 to perform the transfer. Values ​​lower than this are retained on the program platform until the user gets enough credits to perform the withdrawal.

Safe and reliable system

Safe and reliable system

The hypothesis of theft is unusual because the site has a very secure system, where only the user has the information necessary to access available credits. That is, no one can simply log in and transfer your credit. The only exception is if you pass your login information to someone else, in which case the platform becomes vulnerable.

It is important to remember that there is another very interesting detail about the transfers made by the Nota Fiscal Cansal program. The registered bank account, whether checking or savings, is in your name. Thus, if someone were to steal your credits on the platform they would be transferred directly to your registered account, or to the rebate of the IPVA account, if it is registered.

But if you still believe someone may have stolen your Cansal Invoice balance, you can still go to the “Consult” tab in the menu and click “Transfers.” In this section you can see all your movements with dates and times of all records. Additionally, you can still view the amount transferred and the account used for the transfer.


Debt restructuring for students

The rescheduling of a student loan can be necessary if there are difficulties with repayment. Interest savings are rarely associated with this, because student loans that supplement or even replace the Credit Aid are granted on fairly favorable terms. In most cases, debt rescheduling of a student loan can hardly be made much more cheaply. Banks grant student loans, and KfW also offers a particularly favorable offer here. Many students would not be able to complete their studies without this additional financial injection. Most banks (but not always) pay out in monthly installments, and repayment can often start a few months after graduation. However, there is no significant waiting period such as the Credit Aid or the KfW student loan for half a year or even two years, most banks require repayment approximately three months after the payment. This means that anyone who has not yet found a job could run into financial difficulties. In contrast, rescheduling a student loan can help.

The debt trap study time

The debt trap study time

The most common cause of student debt restructuring is overdrawing your own account. In addition to the general cost of living, students must also pay fees and the cost of training materials with their own funds.

Although it is possible to apply for an interest-free loan through the Credit Aid office, the amount of this loan is limited and often not sufficient if the trainee also has to pay rent for his own living space. There is no time for secondary employment, especially in the main study, because the university events demand all capacities from the participants. It is also important to achieve a degree that is as positive as possible in order to maximize individual career opportunities. Therefore, many students overdraw their accounts to finance personally necessary costs.

At first glance, a credit facility may be tempting, since the contract or the general terms and conditions usually stipulate that comparatively long repayment phases apply. However, the overdraft facility often leads to an economic spiral building up because it is associated with high interest charges, which must also be repaid when repaying. The account holder has to calculate with higher and higher costs the longer the overdraft facility is used.

As a result, the economic situation is rapidly deteriorating and the students concerned are often at risk of falling into debt. Debt restructuring is common here
a sensible solution to meet the creditors’ liabilities.

Debt restructuring options for university students

Debt restructuring options for university students

If the student is interested in rescheduling in order to replace the legacy issues with a new loan, the search for a lender often turns out to be difficult. The problem is that credit institutions only want to provide collateral to minimize their own financial risks. However, the student usually only has minor sources of income that do not have a convincing effect on the lender.

However, there are some lenders that offer college students the opportunity to reschedule. This makes sense, because otherwise the student can get into economic distress due to the overdraft costs caused by the overdraft facility.

It is advisable to talk to the house bank where the current account has been opened. The bank will also examine the new loan application for its own interests. If the mountain of debt has already grown so high that there will be existential hardship in the future and the student will become insolvent, the bank may have to forego its claims.

To prevent this economic loss, they approve a new loan agreement that is intended to provide financial relief to the students. The possibility of refinancing enables the university student to pay off his personal debts in agreed installments. This not only relieves him financially, but also keeps his head clear for upcoming exams.

Debt restructuring of a student loan: how to do it!

Debt restructuring of a student loan: how to do it!

When rescheduling a student loan, a cost reduction is explicitly not to be expected. The old loan has to be repaid, a new one with a longer term and if possible not too high interest rates. What are the advantages of rescheduling a student loan?

  • lower monthly rate
  • Relief from reminders from the previous creditor bank
  • Avoiding a negative Credit Bureau entry
  • new creditworthiness, important for investments (e.g. in a doctor’s own practice)

There are a few prerequisites for this. Interested parties should pay attention to the following:

  • Interest on the new loan must be as low as possible, otherwise rescheduling a student loan can be very expensive!
  • The old loan must be redeemable without prepayment penalty.
  • When determining the future term, proceed with a sense of proportion. Nobody should pay off for too long, even if a lower monthly rate beckons. Otherwise the costs escalate.

It should also be noted that the lender generally charges additional fees when entering into such a contract. These should also be taken into account when deciding.

It is always advisable to compare different offers with one another, since the loan offers sometimes differ considerably. Due to the generally insufficient creditworthiness, the market for university students is naturally limited. There are only a few credit institutions that offer such a possibility at all.

Nevertheless, the few donors should also be compared in terms of their conditions in order to avoid any disadvantages from the outset. In addition to the house bank, students can also find providers on internet credit portals who may agree to rescheduling.

It may happen that the lenders ask for a guarantor for security reasons. If the student is able to name a guarantor, the bank generally has no problems in issuing a new loan. The chances are all the better if the guarantor has to offer collateral, for example a good monthly income or valuable objects.

Finally, the higher education institution should make sure that the contract agrees realistic repayment rates that they can actually service.


5 tips for a quick loan approval

Personal contact – quick advice without delay

The first tip may sound relatively superficial, but it can result in a quick loan approval. The applicant should ensure personal contact with the credit institution at all stages of the advice. This can be done, for example, by phone or through the on-site appointments – some banks also allow home visits. This ensures that the usual delivery times for information brochures or documents are avoided.

In general, it is advisable to discuss any concerns regarding the loan with the responsible bank employee. In many cases, the interested party is referred to different places or familiarized with the company’s online pages. Certainly everything worth knowing can be found here. Nevertheless, as many steps as possible should be carried out from a single source, from obtaining information to signing applications and documents.

The time advantage over correspondence by post is at least two to three days for every request. It may take several weeks for the entire consultation to be completed and each document to be filled out. Valuable time that passes through unused waiting – and yet could be used better.

Questions about credit

Incidentally, many questions about credit can now also be answered online: Almost all banks, savings banks and other credit institutions have summarized everything relevant for this on the corresponding websites and made it available to the citizens concerned. Here it is possible to answer the first – mostly general – questions and thus to ensure a quick start in lending. Personal contact with the consultant would then only be necessary for specific matters. Significant time savings are also waiting here.

The contact points at the bank:

  • Personal contact on site: It is particularly important when individual credit information that differs from the general questions is desired.
  • Contact by phone: This form of contact is always useful if questions or problems need to be discussed quickly and without delay.
  • Contact via the online form: This is helpful for general concerns, but for other cases the form is usually not detailed enough.

Is it safe to buy online by credit card?

E-commerce offers consumers the convenience of shopping around the clock, the ability to compare prices and the ability to get more discounts. However, be careful not to fall into blows! Check out some tips for making a secure online credit card purchase.

How to know if the site is safe?

How to know if the site is safe?

Is the brand known? Do you have friends who have already bought products from her, even in physical stores? Large brands already established in the market are very safe. However, a common scam is for a site to impersonate a well-known brand, adopting a similar name and logo , to inspire confidence in the buyer.

To avoid this type of fraud, make sure there is a closed lock icon next to the URL in the browser, as in the image below.

How to enter credit card details correctly?

How to enter credit card details correctly?

The required data are: your name (as written on the card), credit card number, security code (those three digits on the back) and expiration date.

Never pass personal contact credit card details to third parties via chat. Only fill in when there are dedicated boxes on the site itself. Warning: No website will ask you for passwords to make a purchase!

If someone has my data, can they shop on the internet?

If someone has my data, can they shop on the internet?

Yes. If your card is lost or stolen, or even if you give it to someone else, they can impersonate you and make purchases over the Internet, as the password is not required. In such cases, cancel your card immediately.

When a transaction is suspicious (a very high value, different from what you usually do), the bank blocks it and / or notifies the holder. But it’s worth checking if your bank has any other security options for credit card transactions. Some notify via mobile when a purchase is made, use a token or even make a virtual card available.

Some websites use these systems to protect your bank details, which is beneficial for both the buyer and the store.

Tips for buying over the internet

Tips for buying over the internet

  • Trusted sites have a clear presentation and set out (even in small print) the terms and conditions of payment.
  • Promotions do exist and should be taken advantage of, but be wary of ads that promise what they can’t deliver, such as miracle weight loss products and offers that seem too good to be true.
  • Read the payment terms. Even trusted sites charge fees that are not explicit. Stores may include a convenience fee or charge shipping, and airline ticket sales websites may hide in small print the total ticket price plus taxes and fees. Following the same logic, when making an online hotel reservation, read the conditions to know if you will be charged in advance, if there is a cancellation fee, among others.
  • Document everything: Every serious site will issue a voucher, purchase protocol, or even email confirming the transaction. Keep them as a guarantee in case something goes wrong.

And you, have you ever gotten caught in some credit card shopping online? Tell us and see more tips on the blog!


What is Payroll Credit Card?

Similar to the conventional credit card, payroll-deductible credit card avoids debt and has much lower interest rates. Similar to payroll loans, this new means of credit is possible with a business-bank partnership. As with the loan, the payroll-deductible credit card yields lower interest rates and generates less debt because of the payment guarantee.

Who Can Make a Payroll Credit Card?

Who Can Make a Payroll Credit Card?

In order to acquire the payroll credit card you must first have an agreement between the company you work for, or the entity that pays your benefit, and the bank you receive the payment from.

If this agreement already exists, simply request the card from your bank, it is through this agreement that the bank will have the security that the payment of the invoice will be deducted from your payroll.

Therefore, to apply for the payroll deductible credit card, you have to fall into one of the following categories:

  • work with signed portfolio;
  • be retired or pensioner of the INSS;
  • be a municipal, state or federal civil servant;
  • be military of the armed forces.

What are the differences between Conventional Credit Card and Payroll Credit Card?

What are the differences between Conventional Credit Card and Payroll Credit Card?

Among the main differences, in payroll loans there is no annual fee, which can be exorbitant in some conventional credit cards.

The payroll credit limit is also much higher than that of the conventional card, since by law it is possible to commit up to 35% of salary with payroll, unlike conventional cards that usually have limits bordering on maximum 20% of income. Another positive point is that the customer is not required to be an account holder of the bank where he asked for credit, and may still be negatively named, because to make the payroll credit card you do not need to perform credit analysis.

But the main difference between payroll-deductible credit card and conventional credit card is in the interest rate and the payment term. The payroll card has a much lower cost for the bank’s guarantee of payment of the invoice, as the money deducts directly from the customer’s salary.

Payroll Credit Card Advantages

Payroll Credit Card Advantages

The main advantage is that the payroll card does not allow debt, one of the biggest problems caused by conventional cards. Invoice amount is discounted on a given date. It is also impossible to pay the minimum amount of the bill, as happens with conventional cards, which only generates higher interest.

No Annuity Charge and you can cash out up to 90% of your credit limit. To make the card is also not necessary to consult the SPC or SERASA.

The payroll card bill is the same as the conventional one, with a description of all purchases, with values, locations, dates, etc. And just like conventional cards, some payroll card banners also have point programs.

The payroll-deductible credit card has average interest of only 3% per month, usually the rate is not only lower than that of a payroll-deductible loan, but there are already some financial companies that work with interest rates below the loan.

Disadvantages of Payroll Credit Cards

Disadvantages of Payroll Credit Cards

It has higher interest rates than a payroll loan, so if you need cash on hand quickly, it is better to opt for the loan.

The invoice payment is automatically deducted from your account and you do not have the option to cancel the debit payment.

Some carriers charge card issuance fees to cardholders and potential dependents.

This type of credit is a good option. It is good for controlling monthly spending and suitable for those who are tired of the absurd charges of conventional credit cards.