No loans for pensioners? This is how it works!

Credit pensioner

Marketing experts predict that the 60+ generation has extreme purchasing power, but this prediction does not necessarily affect banking business. The so-called silver agers are not very popular with financial companies, especially when it comes to loans.

The risk of death is too high, is the argument of most banks when refusing a loan for pensioners. However, this attitude does not prevail in all institutions. Some credit institutions now even specialize in lending to seniors and offer tailored pensioner loans. There is a financial reason for this, because senior citizens on average not only have a lot of money, but also usually meet their payment obligations conscientiously.

The risk assessment decides

If a bank offers loans for pensioners, this is in no way to be equated with a loan that, for example, a young family gets. Real estate financing, for example, is almost out of the question, as it usually runs over a longer period of time. Terms of up to 30 months and small sums, on the other hand, are no problem. Unfortunately, there are no clear guidelines for the borrower to follow. For some banks, the borrower must not be older than 70 years of age.

Other credit institutions already stop at 60 or 65 years of age. Basically, it is conducive if you can show excellent financial circumstances, so that the repayment of the debt is guaranteed. In some cases, however, you can get a loan despite low income – it depends in each case on the bank.

Tips on credit for pensioners

In addition to income, other financial factors are decisive. Thus, proof of real estate ownership or regular rental income is helpful. This also applies to a SCHUFA file free of entries – otherwise the creditworthiness of the customer is classified so poorly that the interest rates are extremely high.

Who meets the requirements, should obtain several non-binding offers and compare them very carefully – the interest rates can vary greatly for a loan for pensioners. To do this, it's worth taking a look at the internet, because there you can find a wide variety of offers from different banks with just a few clicks.

Advantages of the internet

While some retirees may be uneasy about doing business online, it can still be worth it. Loan agreements concluded online are usually 0.5 to 1.5 percentage points cheaper than loans from the house bank, so most online loans are usually available for under 6 percent.

Furthermore, the internet offers a clear and complete comparison of the given options, so you do not have to run from one bank to another. The best way to research a loan is to consult a professional advisor, who can answer any questions you may have about the loan.

In order to obtain a loan at the best possible conditions as a pensioner, you could consider taking out the loan in pairs.