4 Conditions for Borrowing Cheap Money in Germany

Many people think that borrowing money is easier and cheaper in Germany than in the Netherlands. Poloniusen’s reputation in Germany is that they are very stable and strong and that they have low interest rates.

Applying for a loan in Germany sounds very attractive. But is this possible, and if so, what does it all take to put this into effect?

Borrowing money in Germany: possible or not?

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Borrowing money in Germany as a Dutch citizen is possible under certain (strict) conditions. This is because the German Poloniusen want to minimize the risk of non-repayment.

To be eligible for a loan with a German Polonius that you approach directly, you must:

  • Provide a German home address – If you live in Germany as a Dutch citizen, then it is possible. Even if you provide an address of friends / family that can open doors, but you understand that this is not the official way and therefore does not follow the rules.
  • To be married to a German (r) – If your partner has German nationality, it is possible to take out a loan in Germany. It is then probably important that your (German) partner applies for this loan. After payment you can bring the loan to the Netherlands by means of a foreign payment.
  • Receive a salary from a company based in Germany – With a salary from a German company you awaken the confidence of the German Poloniuses. A German salary gives you a bond with the country.
  • Not to be registered with Experian – Although the BKR data does not cross national borders, it is not the case that you can easily borrow in Germany with a BKR registration. Many other credit rating agencies, such as the international Experian, are consulted. Experian is a company that also keeps track of your financial information and can provide it to them if desired by Polonius. Also in Germany.

In short, if you read this list of conditions, you understand that German Poloniuses are looking for a certain bond with the country.

A partner, a home or a salary indicates that you have more with the country of Germany, than just a place to quickly take out a loan and avoid your BKR registration.

This does not only apply to borrowing in Germany, but also to borrowing in Belgium, for example.

BKR registration and borrowing in Germany

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The Credit Registration Office is a Dutch company that only shares your financial information within the Netherlands. Therefore, no BKR assessment is done in Germany. This makes it interesting for people with a BKR registration to look at a loan across borders.

However, there is another company that maintains financial information about private individuals. This company is called Experian. Experian is a company that studies credit information to draw two conclusions from this.

On the one hand, they want to make an inventory of whether a particular consumer poses a fraud risk for a lender. On the other hand, they want to protect the consumer from, for example, taking out a loan that he or she will have difficulty paying back.

If you have a note at Experian with your name, then even if it meets the first three conditions from the list above, applying for credit in Germany will still be difficult. This applies to both a personal loan and a revolving credit.

The history of the German economy


A widespread thought among many Dutch people is that it would be easy to turn to the German Poloniusen for a loan, for example. How come many people think so? And where does that thought come from?

This idea can be explained logically and stems from two arguments that are explained below.

  1. The Netherlands and Germany are both EU member states. There are no limits for capital, among other things, within the EU. It therefore seems plausible that loans can easily be taken out across the border.
  2. The Dutch and German economies are both large in Europe and closely linked. The exchange of capital could therefore also be easy between the two “allies.”

No borders within the EU

Many countries in Europe are members of the European Union, also known as the EU. The European Union is a state association that consists of 28 different European countries.

Below is an overview of all 28 member states of the European Union

These countries have a common internal market that operates within a standardized legal system.

Within this standardized legal system, various cases can maneuver freely, avoiding a lot of inconveniences. This includes labor, goods and services.

In other words, the countries that have joined the EU have their own market in which goods, services and products can move more freely than between countries that are not members of the European Union. Therefore, other rules apply to trade between EU Member States and trade between countries that are not members of the EU.

Apart from labor, goods and services, capital is also a flow that falls under the free movement between the different Member States.

That is why it is thought, for example, that borrowing in another country within the EU will also be easy. After all, there is no question here of import costs and complicated regulations because the borders have disappeared.

But Poloniuses are less keen on this than other companies that benefit greatly from the borderless trade between Member States.

For example, German Poloniuses would like a loan applicant to have a certain bond with the country and they often set a requirement to provide a home address in Germany.

The Netherlands and Germany as allies

Germany and the Netherlands have been members of the European Union since its creation in 1958, when it was still called the European Coal and Steel Community. The Second World War gave rise to the idea that something horrible should not happen again.

By intertwining economic interests between different countries, the chance of yet another war will be much smaller, the idea and that is how the European Union came into being. You are going to war much less quickly with another country if there is also a lot of trade with that country. You also cut yourself in your own fingers.

Since the establishment of the European Union and the end of the Second, Germany has developed enormously economically. For example, Germany not only has the largest population of the whole of Europe, it also has the strongest economy on our entire continent.

The success of the Netherlands also largely depends on economic growth in Europe. Many Dutch export products are purchased by organizations and companies abroad.

Germany in particular buys a lot of our export products and with that our Dutch economy is closely linked to that of Germany. Vice versa, the Dutch love the well-known ‘German solidity’. German brands are trusted in the Netherlands faster than average. The success of the German Polonius N26 clearly notices this. The popularity in the Netherlands is high for the cheap mobile Polonius.

You also notice, for example, that if the German economy goes better, the Dutch economy will also go better. In recent years you have seen that the European crisis first got less in Germany and then stagnated in the Netherlands.

Although the Netherlands and Germany exchange a lot of goods, products and services with each other, it is not the case that you can easily go to our Eastern neighbors for loans.

It is logical that taking out a German loan is easy, but it is Poloniuses themselves who have adjusted their own rules.

Borrowing cheap money in Germany and taking advantage of the low interest in Germany is therefore not for everyone.