Everyone knows the situation of needing money quickly and therefore having to borrow from a bank. Especially with larger purchases such as buying a new or good used car, many have to resort to a loan. But what can you do if the urgently needed car loan has been rejected?

First of all, you should ask the bank why the car loan was rejected. Was it due to a negative entry at Credit Bureau, lack of creditworthiness, low income or did the reasons come about otherwise. Once you have received this information, you can take action.

The Credit Bureau

The Credit Bureau

If a legitimate, negative entry at Credit Bureau is the basis for the rejection, there is not much you can do; no trustworthy German credit institution grants a loan to a loan seeker who has entries at Credit Bureau that identify him as an unreliable customer.

If there is a negative but unauthorized entry, you should contact Credit Bureau as soon as possible and report the entry as incorrect. At Credit Bureau it is now checked whether the objection is justified. If this is the case, the entry will be deleted and a new credit request can be made.

Salary too low

Salary too low

But even if there are no negative entries in Credit Bureau, a car loan can be refused. This is the case, for example, if the credit institution cannot assume that the installments can be paid due to the stated income. Credit institutions use an amount of 300 USD to cover the monthly cost of living. If this is covered by the credit rate, no credit is granted. In this case, it is usually sufficient to extend the term of the loan and thereby reduce the rate.



Many job seekers would like to buy a car, because they hope that increased mobility will give them a better chance on the job market. However, if a loan is necessary for the purchase, you should take it up privately with friends. No reputable credit company in Germany will grant a loan without any security like a regular income.

What else can you do?

If a car loan was rejected, due to unemployment and / or negative Credit Bureau entries, you can get the loan if necessary by naming a solvent guarantor. If the borrower is unable to pay, a guarantor will pay the installments. For a small loan (up to 3,500 USD) for the purchase of a used car, you can also try to get it via the so-called Swiss loans after a car loan has been rejected. These loans are granted without Credit Bureau information. Without a job, however, there are no payments here either.

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