You may feel that borrowing money with a negative BKR registration is impossible. That feeling is understandable, but we are going to show you that there is absolutely no need to despair.
In fact, there are ways to still be able to borrow money with a negative BKR. Read on and find out what your options are!
A negative BKR registration indicates a record of a debt or late payment that you have or have had with the BKR.
The BKR - Bureau Krediet Registratie - keeps a record of loans or credits a person has taken out for every Dutch citizen. This overview is transparent to lenders of loans, mortgages and other credits. They use the data to assess whether it is responsible to provide someone with a (new) credit.
As long as you always pay the repayments on that loan on time, there is not much to worry about. In fact, there is then a positive BKR registration. It is no reason for future lenders to see a loan to you as a risk.
However, are you in arrears with payments? Then the corresponding registration is converted into a negative BKR registration. You can recognize this in your BKR overview by an A code (arrears notification) behind the credit registration. You will also see a number. This is called a particularity code, which provides information about the nature of the payment arrears.
You can read more about the different types of BKR codes here.
At Dynamite Netherlands we often see the question whether it is possible to borrow money without BKR registration. Here we can be brief: a legitimate lender in the Netherlands is required to register a loan granted to you.
It is not possible to borrow without BKR registration. The only exceptions to this are:
However, all other loans and credits are registered. This involves more loans than many people realize. For example, even a mobile subscription with free phone worth €250 or more results in registration.
Be careful: beware of providers of mini loans. Providers of this type of credit charge usurious interest rates. Such parties operate from abroad and do not have a banking license. The AFM warns about this.
Want to know more about the conditions for taking out a loan this way? Then read more about borrowing money without BKR.
When you want to borrow money - for example, for a mortgage or business loan - the institution you apply to will always perform a BKR check.
Such a review involves the lender requesting your BKR summary.
What many people do not know is that such a negative BKR code remains for five years, even after you have paid back the arrears - or even the entire loan. There is then an "H," or Recovery Code, in the summary. The original particularity coding also remains visible.
This means that lenders will see this when performing the BKR test mentioned above. Thus, they will get to see that you have experienced late payments in the past. As a result, you are more likely to be labeled as a risk to the lender you applied to.
You will understand that this is exactly the reason why borrowing money with negative BKR registration is often impossible. Depending on the severity of your registration, you will be able to borrow significantly less, or not qualify for a (business) loan or mortgage at all.
A mortgage with positive BKR registration is usually not a big problem. When the registration is still active - in other words, you have not yet repaid the entire loan - it will only affect the amount of mortgage you can get.
After all, because you owe a monthly repayment, you have less spending space to repay the mortgage.
A mortgage with BKR registration becomes more complicated when it is a negative code. As we have seen, such a negative BKR registration remains visible for five years after the loan has been repaid. This means that mortgage lenders can still see five years after the fact that you have had payment problems. They will therefore be reluctant to grant you a mortgage. Very annoying of course, especially when you are now completely financially healthy and eager to get on with your life.
Below, you can read more about what your options are in such a situation.
For business credit with negative BKR registration, basically the same applies as for mortgages. A lender will be reluctant to provide you with new credit if it appears that you have previously had payment problems.
This also means that borrowing money for business purposes with a negative BKR registration is often not possible. It is important to get rid of the registration first. Dynamite Netherlands can help you with that.
Further on you will read how we can help you get rid of a (negative) BKR registration so you can borrow money again (for business). First, we will look at how you can determine whether or not you have such a registration.
So when you go to borrow money or apply for a mortgage, the lender will check your BKR status. A mortgage broker will therefore usually ask you if you are BKR registered, as this is an important part of the advice.
But how do you know for sure whether or not you have a BKR registration? In fact, many people run into such a registration without knowing it. For example, did you know that even a phone subscription with a free phone causes BKR registration?
To avoid surprises, it is nice to know for sure if you are BKR registered. And if so, in what way. Fortunately, you can easily check this yourself by performing a BKR check.
Did you find out from the check that you have a BKR registration on your name? Do you now think you will have to wait years for the negative BKR registration to expire before you can borrow money again?
Don't despair. In many cases it is quite possible to get your registration removed sooner.
To do this, you submit a request to the agency that registered your loan or credit. In it, you argue why the registration should be removed and, where possible, show how the registration disproportionately interferes with your life.
A good example is that negative BKR registration prevents you from borrowing money for a mortgage, even though you are now financially healthy again and the payment problems are completely a thing of the past.
Watch the explainer video with Mr. Frank Visser about Dynamite Netherlands and the removal of BKR registrations.
The lawyers at Dynamite Netherlands send many such requests every week, from people in situations similar to yours. So do you want to increase your chances of success? Then take advantage of our years of experience and high success rate.
Find out what Dynamite Netherlands can do for you, so that you too can borrow money again despite your negative BKR registration. Schedule your free, no-obligation consultation with one of our specialists today.
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