Many people wonder whether a loan is possible despite a minus on the account. When answering this question, different fractions must be taken into account so that no clear answer can be given.

Credit conditions

Credit conditions

A loan from a German bank or savings bank can only be granted if there is a regular income and if the private credit checker information does not show any negative entries. If these conditions are met, a loan should be possible in principle despite a minus on the account. The chances are particularly good if all or part of the loan is to be used to make up for the minus in the account.

If the income is high enough, the customer can contact his house bank and ask there to set up a new or extend an existing overdraft facility. If you do not want this and prefer an installment loan instead, you should inquire about the maximum loan amount and what the interest and monthly loan installments are. The term of the loan also plays an important role.

Application, approval and repayment

Application, approval and repayment

The application process for a loan despite minus on the account does not differ significantly from the application process, which is also common for another bank loan. If the bank has a branch, the loan application can be submitted personally. Otherwise, the application via the Internet would be the appropriate way. The creditworthiness is checked on the basis of various documents. Whether the minus on the account plays a decisive role depends on what the other credit requirements are.

A secure income, a permanent employment contract and a positive private credit checker information should be given in any case. A specialty is the installment loan, which is to be used to compensate for the negative balance in the account. As a rule, it has the consequence that an overdraft facility – if it exists – is canceled and that the account may not be overdrawn until the loan has been repaid in full despite minus on the account.