The topic great lender Score is not without reason frequently the subject of discussions
The topic great lender Score is not without reason frequently the subject of discussions. Finally, the protection association for general credit protection (great lender) uses this value to assess the creditworthiness of around 66 million Germans – in 2012 alone great lender had stored more than 665 million information on around 66 million people in Germany and since 1927 the great lender has successfully collected and delivered data on the creditworthiness of consumers and businesses.
Most information comes directly from trading companies or banks. On the one hand, lending contractors are to be protected against loan defaults and on the other hand consumers are to be protected against imminent over-indebtedness. For this reason, great lender plays a decisive role when applying for a credit card. This is done on the one hand for the benefit of consumers to protect them from over-indebtedness, on the other hand, of course, for the safety of the lenders, who can see as it is about the creditworthiness of the individual consumer. Currently, around 8,000 companies use the information provided by great lender.
What is the influence of a credit card on the great lender?
If a customer applies for a credit card, the bank will ask the great lender about the potential card customer. To this end, he signs the so-called great lender clause. As a rule, the customer then requests further documents such as account statements or pay slips. Based on this data, the bank calculates an internal score that expresses the likelihood that the consumer will be able to repay the credit card frame granted. This internal score should not be confused with the great lender Score.
After a positive decision of the bank, the customer receives the requested credit card and the great lender receives the message that he now has a credit card. He receives the note “CC”. Whether, how often and for what the consumer ultimately uses the credit card, the great lender is not known, because this stores neither usage data of credit cards, nor data on the buying behavior of the customer.
However, the note “CC” is retained as long as the credit card contract is in effect and has a very positive effect on the great lender score, as it is a separate credit agreement. With several credit cards also several notes are stored.
What is the effect of multiple credit cards on the great lender?
On the basis of these statements, it becomes clear that the possession of several credit cards is also stored at the great lender. However, the extent to which their ownership, which is based on the loan commitments of account-managing banks and their risk assessment, has a negative impact can not be clearly answered. However, it is clear that non-contractual handling of credit cards will result in a negative entry in the great lender and will inevitably lead to a devaluation in the great lender Score.
Not according to the contract means that the customer does not pay his credit card bills repeatedly or not in time and thus comes into default of payment. A negative entry in the great lender file must be expected if a claim has been reminded twice and is undisputed. However, as long as all liabilities from the credit card agreement are settled according to the contract on the due date, negative consequences are unlikely to occur even when holding several credit cards.
Several credit cards and the great lender score
The great lender (protection association for general credit protection) is known to be one of the most zealous data collectors among the credit bureaus. Hardly a factor that is not ignored – at least that’s what it looks like. Because how exactly the famous great lender score is calculated, you keep that to yourself. Nevertheless, many of the factors are known and the credit card is one of them. A single credit card is unlikely to attract attention, but those who use several of these plastic cards can risk a negative rating!
What exactly does great lender pay attention to with regard to credit cards?
How is it that holding multiple credit cards negatively affects the great lender score? Multiple credit cards mean multiple credit card accounts – and thus more options for overdraft. However, where, how often and for what exactly the card is actually used, the great lender does not save. For them, only the number of cards is relevant and possibly the irregularities such as an overdraft, which can be associated with the respective card. If, however, you only use one card over the years and do not permanently overdraw your account, the credit agency assumes a certain reliability and continuity.