Why I Don't Get Finanzierung After Receiving My Blaue Karte: Understanding the Rejection
After receiving my Blaue Karte in Germany, I went to POCO furniture and requested them to distribute my payments over six months. However, the bank rejected my financing request for what seemed like a reason I couldn't understand. This article will explore the possible reasons behind this rejection and provide steps to improve your chances of securing financing in the future.
Probable Reasons for Financing Rejection
There can be several reasons why your financing request was rejected after receiving your Blaue Karte. Here are some possible explanations:
Credit History
If you are new to Germany or have not established a credit history in the country, lenders might view you as a higher risk. Creditworthiness is often assessed based on your credit score (Schufa score) and any existing financial obligations. Building a credit history by opening a local bank account or getting a credit card can be beneficial.
Income Verification
The bank may require proof of stable income to ensure that you can make the monthly payments. If your income is not sufficiently documented or if you are on a temporary contract, this could lead to a rejection. Providing comprehensive documentation, including proof of income and employment contracts, can help improve your chances.
Employment Status
Although the Blaue Karte allows you to work in Germany, if you are not yet employed or if your job does not meet certain income thresholds, this could affect your financing options. Stability in your employment and a higher income level can positively influence your application.
Amount Requested
The amount of financing you requested might have been deemed too high relative to your income or financial situation. Banks often have guidelines for the loan-to-income ratio, and violating this could result in a rejection.
Bank Policy
Different banks have varying policies regarding financing, and they may have stricter criteria for non-German citizens or those with limited credit history. Exploring other financing options or finding a lender that specializes in providing financing to newcomers or those with limited credit history can be a solution.
Documentation Issues
If there were any issues with the documentation you provided, such as incorrect or incomplete information, this could lead to a rejection. Ensuring that all provided documents are accurate and complete can eliminate this possibility.
Tips to Improve Your Chances of Securing Financing in the Future
To improve your chances of securing financing in the future, consider the following steps:
Build Your Credit History
Opening a local bank account or getting a credit card can help you start building your credit history in Germany. Consistently using and paying off these accounts responsibly can significantly impact your credit score.
Provide Comprehensive Documentation
Ensure you have all necessary documents such as proof of income, employment contracts, and identification. Providing these documents accurately and completely can strengthen your application and reduce the likelihood of a rejection.
Consider Alternative Lenders
Some lenders specialize in providing financing to newcomers or those with limited credit history. Exploring other options and finding a lender that meets your specific needs can be beneficial. Seeking advice from a financial advisor or a local service that assists expats with financial matters in Germany can also provide valuable guidance.
Understanding the reasons behind your financing rejection and taking proactive steps to address these can increase your chances of securing the financing you need. If you continue to face issues, don't hesitate to seek professional advice to navigate the process more effectively.