Do you need private credit to finance a project? Would you like to improve your chances of obtaining a loan from a lending institution? That's why you start applying to different credit agencies. At first glance, applying for several loans may seem like a good idea, but in reality, it's not! Applying for credit to several borrowers at the same time from several financial institutions will have consequences, but certainly not the ones you're hoping for.
Your loan application won't go any faster
Many people make the mistake of applying for several loans at the same time, in the hope of obtaining credit quickly. Generally speaking, this can even delay the processing of your application. In fact, before processing a credit application, banks consult a customer database called ZEK. This is an association with which lenders register all facts relating to the loans they process.
The problem with multiple credit applications is that you'll have multiple ZEK registrations. You'll be considered «unstable». This will make it more difficult to obtain your credit. What's more, you could end up with a credit offer that isn't on the best terms. Go to erase bad registrations with ZEK can be very difficult.
You risk successive rejections
If your credit application is rejected by one borrower, this will make it even more difficult to be accepted by the next bank. With several simultaneous credit applications, one refusal after another of course. However, that doesn't mean you won't get credit. In general, refusals are caused by poor creditworthiness, unregistered lawsuits, or a poorly managed application by a lender or intermediary.
If you apply for several loans, your credit score may fall.
When you're looking for a financing solution for your project, you submit a credit application to a lending institution. If your application is rejected, it will be registered with the ZEK. If you apply for several loans at the same time, you run the risk of being refused. successive refusals. The more rejections you receive, the lower your solvency score, and the more difficult it will be for you to take out a loan to finance a project, whether it's a real estate project or a mortgage, personal credit, car loans, consumer credit, etc.
What's the solution to these problems?
Now you know that applying for several loans at the same time is never a good idea. It's better to apply for one loan at a time, whatever your financial situation. Be patient, and avoid making the mistake of applying for several loans at once. To avoid being turned down by a lending institution and find the best offer on the market, You'll need to choose the right credit organization.
At Lica, You'll have the chance to find the best no-obligation offers on the market. Lica is committed to making your dreams come true with the most advantageous credit. At Lica, our aim is to satisfy our customers' needs.
Why apply for credit at Lica?
With over 20 years' experience under its belt, Lica is your ally in obtaining the best credit for your needs. To put it simply, here's what Lica has to offer:
- Loan amount from CHF 3’000.- to CHF 400’000.- depending on your projects
- Switzerland's best acceptance rate
- Response within 24 hours
- The best conditions on the market with low monthly payments
- A apply for credit entirely online in just 2 minutes
- No processing fees for your application
- A personalized approach and pre-analysis of your request
Pre-analysis of your credit application
Taking advantage of Lica's services also means avoiding unnecessary registrations with the ZEK. Our computer system pre-analyzes your financing request before submitting it to our partners. This step offers you personalized advice and optimal preparation of your application before sending it to a bank.
At Lica, we know how to present a file to maximize your chances of obtaining a loan and, above all, to enable you to obtain the best conditions on the market. What's more, if your situation unfortunately doesn't allow you to obtain your credit, we take the time to show you the steps to follow to obtain it as quickly as possible. This way, you can avoid unnecessary registration with ZEK and increase your chances of obtaining a loan.
Our conclusion to help you avoid multiple credit applications
As you can see, applying for more than one loan is a very bad idea!
We advise you to be patient and entrust the financing of your project to a professional intermediary. You'll get the best terms while maintaining a positive credit rating.
You can also ask our specialists for general information about your loan. It's always useful to know the tax, inheritance and financial implications of your loan. The right information will also help you make the right decisions.
Now that you're fully aware of the disadvantages of applying for several loans at the same time, take the time to talk to our specialists. They will guide you through the process in a neutral and confidential manner.