Archive 2019

Create Your Own Business Model


Business Model Canvas – behind this bulky term is a method that can be used to clearly present and develop business models.

In this blog post we explain

  • What a Business Model Canvas is
  • what you need them for,
  • what is special about our digital SmartCanvas and
  • how you work with the SmartCanvas.

What is a Business Model Canvas?

What is a Business Model Canvas?

Literally translated, the term means “business model canvas”. It’s a way to turn a business idea into a complete business model. Like on a screen, all the building blocks are put together into a coherent picture.


With a Business Model Canvas, you can develop a business model. It shows all the components at a glance.

Why do you need a Business Model Canvas?


Every successful startup is based on a good idea – but not every good idea automatically leads to a successful startup. The secret lies in developing a business model in which all individual parts are optimally coordinated.

Whether online shop or pizza service, bus company or technology start-up: all companies need answers to the same questions:

  • Which offer do we provide?
  • What is the benefit for our customers?
  • Who are our important partners ?
  • What are our (core) tasks ?
  • Which resources do we have?
  • What do we do for customer loyalty ?
  • How do we organize sales ?
  • What are our target groups and in which market are we moving?
  • What are our costs ?
  • What is our turnover ?

Successful entrepreneurs reflect on each item: how has it been done so far? How do the others do it? And how could I do better?

A well-known example of how to build an innovative company with a well thought-out concept around a traditional product is the tea campaign. Its founder, Günter Faltin, has turned the practice of tea trade on its head by optimizing all elements of the business model, making it the market leader. He started to deliver tea directly from the grower to the buyers without intermediaries. Unlike in the tea trade, the customer does not have a large selection – there is only one type of tea, and only in large packs. For this he gets for relatively little money a first-class product, which was produced under high environmental and social standards.

The example shows how to implement innovation at all levels of a business model, thereby creating a successful business.

This task is easier with a canvas . Its clear shape helps you to look at each element of your future business individually, without losing sight of the big picture . So you quickly recognize the economic context of your founding and can also better communicate to others what you intend to do.

Some experts are so enthusiastic about this instrument that they would most like to replace the classic business plan completely. But that would be wrong. No such successful “canvas” makes a mature, fact-based plan superfluous. But: it facilitates the preparatory work. Especially in the development of complex and innovative business models, their advantages come into play.

Why smart founders work

Why smart founders work

Of course you can work on your business model with sticky notes and colored pencils on a large piece of paper. It’s easier with our digital tool, the SmartCanvas .

The SmartCanvas offers you:

  • Short explanations explain you what it is about and what is important.
  • Real examples show how other founders have solved the tasks;
  • You can share the SmartCanvas with others – perfect for teams that are not always in the same place;
  • The biggest advantage is that we have linked them to our business plan tool!


Both tools, SmartCanvas and Catherine Morland, work with the same terms and outline points. Thus, all keywords from the Canvas can be integrated directly into the respective chapter of your business plan at the touch of a button . There you can formulate it later, add it to it and give it figures so that you have a complete and coherent business plan in front of you.

This combination is unique and distinguishes our SmartCanvas from all other templates that circulate on the Internet and are also usually very complicated and difficult for laymen to use. The following explains how you work with it.

This is how you develop a complete business model 

This is how you develop a complete business model 

First, you create a business plan – even though you may not know exactly what to put in there. Think about a working title and a period of time that you expect to translate (do not worry, these entries are temporary and can be changed again and again).

The empty business plan will now appear in the overview of your plans , along with all the functions available to you.


First you create a business plan, which, however, initially remains empty.

If you now click on the Open Canvas button, you will reach an empty canvas:


Here’s your business model – with plenty of room for notes.

Now it can start! Select any field you want to start with. Most people find it easy to describe their offer in the beginning. In a few words, state what you want to sell and what’s great about it.

Let’s go over a real example: Let’s assume your business idea is a kind of “Airbnb for traders”. You want to create a platform through which traders can rent special rooms, such as kitchens, workshops or studios, for a short time.

In your SmartCanvas first click on the small blue pencil in the field offer . The dialog box Edit Note opens. Here you can enter your keywords (and change or delete them anytime). Limit yourself to the most important questions. When you’re done, your notes will be displayed as follows:


The offer field: What do you offer and what is special about it?

You can add any number of note fields. If you would like to offer several products or services, you will add your own note field. But always remember that this is the core of your foundation .

When describing your offer, you probably already thought about other building blocks of your company. For example, about customer value, your target audience, your resources or about your most important partners. Make your assumptions as brief and concise as possible for each item. Keywords are enough!


Step by step the picture of your business model becomes clearer.

Now you work your way from field to field until everything is filled. If you get stuck, you can click on the small question marks behind the terms in the SmartCanvas. It then pops up a brief explanation of what this point is about and what you should pay attention to.

Make sure you have enough time to work on your business model, because it is the basis for your future success! It’s not about having a finished result as soon as possible. You do not build a good business model from one day to the next and not just from your desk. Check your assumptions over and over again, talk to experts about it, and above all, ask your potential customers what they think of your offer, what they could do to improve it, and how much money they would pay. Assess every aspect of your business model from the perspective of your customers – they decide whether your company has a future or not!

Presumably you will always change your entries, add or delete them again. That’s not bad. On the contrary, it shows that you are on the right track.

For example, if you have edited all fields, the final result might look like this:


It’s done: all fields of the SmartCanvas are filled.

By the way, the picture shows one of five real canvas examples available to users of Catherine Morland. It may not be perfect on all counts, but it does show how to do it.

Now it’s up to you to create your own SmartCanvas. Start right now!


The Pension Insurance Number

The pension insurance number

The pension insurance number is used to identify German citizens who are registered in the statutory pension insurance. It is noted, among other things, on the social security card. The number is assigned automatically by the sponsors of the German pension insurance, as soon as such an account is opened. The pension insurance number must not be identical to the health insurance number and the identifier of other companies in order to avoid “the glassy citizen”. Since the coding of the health insurance number since 2005 is based on an encrypted pension insurance number, every German newborn already receives a pension insurance number. However, the social security card will not be issued until the first job has been taken.

Structure of the pension insurance number


The total of 12-digit pension insurance number consists of a fixed number and letter combination. The first two digits indicate the area in which the pension insurer is registered for the first time. The coding does not follow the postal codes. The following two six positions represent the birthday in ddmmyy format. The ninth digit is the initial letter of the surname of the person reported. Umlauts are broken down and foreign language characters are Germanized. This is followed by a gender-specific serial number. 00-49 means male and 50-99 female. The pension insurance number ends with a single-digit check digit.

Change of pension insurance number

Change of pension insurance number

The pension insurance number accompanies a citizen from birth to death. Under certain circumstances, however, a change can be made. If an incorrect date or letter is used in the award, the carrier has the right to make an adjustment. If two persons are accidentally assigned the same number, both identifications become invalid and two new pension insurance numbers are issued. If a person has several insurance numbers, all but one are shut down. Finally, transsexuals have the right to change their civil status number (masculine / feminine).


Find Cheapest Housing Consolidation Loans – Mortgage Rate


Mortgage rate, most young people going out to buy their first home. It also means that they have not had particularly many years in the labor market. This makes it too difficult for many to find a home that is to pay. This is why many people today make a loan to pay for the home.

In fact, most people do not borrow money the first time they buy a home. This type of loan is available in many different forms and forms. It can therefore also be difficult for first-time buyers to figure out what is the best and cheapest solution for them.


And since a home loan is something you have for many years, there can be money to save on knitting it right together. Most are aware that it is important to find a stable and cheap interest rate. This is most often found in a mortgage credit institution . It is also here that the vast majority of people borrow their money for the dream home.
However, it is not possible to lend the entire amount to the home of the mortgage-credit institutes. Here it is only possible to borrow up to 80 percent of the value of the home. This means that you have to be able to finance the last 20 percent yourself, or borrow them from the bank . However, it is rare for the bank to borrow the buyers for the last 20 per cent, as they prefer that the buyers themselves also have some capital.


Overview of Interest Rates and Repayment Methods on your Home Loan 


Table of Contents

  • 1 Get an overview of interest rates and repayment methods on your home loan when you apply for a home loan.
  • 2 The repayment period depends on the type of housing loan that is taken up.
  • 3 How a mortgage loan works in a mortgage institution.
  • 4 Loan Conversion – How To Find The Best And Cheapest Mortgage Interest Rate.

When you have to borrow money for your first home, it is a lot of things to be aware of in order to obtain the cheapest and best mortgage rate . One of the most important things to keep track of is the interest and repayment method on the loan.

You have to find out if you want a fixed or variable interest rate. Here people have different preferences, and there is no real or wrong decision. If you are willing to bet that the interest rate remains low while you have the loan, you must of course choose the variable interest rate.

In this way, one can get the cheapest mortgage rate over a long period of time, thereby getting rid of less money in interest. If, on the other hand, you are not so risk-taking, you must choose a loan with a fixed interest rate. Here you will typically find that the interest rate is a bit higher. On the other hand, it is locked. That is to say, one should not be nervous that interest rates suddenly rise sharply. Here you can just sit back and think about having a cheap interest rate.

  • What is Serial Loan
  • What does Provenu mean?
  • How to get home security
  • Loan for house
  • Loan for cottage


The Installment Period Depends on the Type of Housing Loan that is Taken Up.


The Installment Period Depends on the Type of Housing Loan that is Taken Up.



The next thing to decide is how long a period you will pay off. The installment period depends on the type of loan that is taken up. The most common types of loans are bullet loans and serial loans. In a bullet loan, you pay the interest during the repayment period, and in the last period you pay off the remainder of the loan.

Here, the service will thus be low for the vast majority of the loan period, where you finally pay the entire amount that you have a loan. This type of loan is not used particularly when borrowing for cooperative housing .

Here, it is more common to record a serial loan. Here you pay a fixed benefit each month throughout the loan period. The loan will therefore be more expensive to pay off in the beginning, while the benefit will be less and less as you get paid off the interest on the loan.

If you do not know what suits your finances best and how long it will be beneficial to pay off the loan, it may be a good idea to talk to your personal banker or bank lady. They will be able to advise you to make the best possible decision. There is a difference in how much you can borrow if you are looking for a home loan or a home loan.


How To Make A Mortgage In A Mortgage Institution.


How To Make A Mortgage In A Mortgage Institution.


Because there are so many people who borrow money for their accommodation, a smart system has been set up, which means that there is always money to borrow. The money that becomes a loan is a kind of bond that others can buy. This means that there are a lot of people who have financed their loan in the hope of getting some extra money in the form of interest and so on.

This is a system that was close to breaking down during the financial crisis in 2008, when people could not pay off their debts.


Always check your mortgage rate!

This meant that all these bonds were not worth anything. If people couldn’t get the money they needed. The state therefore had to assure people that they were willing to cover the ‘deficit. If this should become necessary. This gave people a little bit of confidence in the bonds again, which resulted in you being able to continue to borrow money from the mortgage banks, and you could still buy the bonds.


Loan Rescheduling – How to Find the Best and Cheapest Mortgage Rate.


When it comes to finding the cheapest mortgage rate, it is in many people’s interests to end up being the cheapest. Here is the most important thing to find a cheap interest rate. The interest rate can in many ways be regarded as the price of the home loan. In a series loan, for example, you will pay faster than with a lower loan if you have a good and cheap interest rate.

You have to deal with yourself here. Whether you want to invest in a low interest rate in the long term, and therefore choose a variable interest rate.

There is no doubt this way you can get the lowest interest rate. However, it is at the same time this method one can risk the highest interest rate. If one chooses a fixed interest rate, as mentioned, one pays a bit more in interest than when the interest rate is low, but on the other hand pays a little less than when the interest rate is high.

One way to find a cheap interest rate is through various comparison pages on the Internet. Here one can compare the interest rates from the mortgage banks.

Choose the Right Business Account: Traditional Banks vs. Digital Banks


Self-employed people have many responsibilities. One of them is the bookkeeping. Only a few companies can afford a commercial management that deals exclusively with this topic. If ever, a half-time worker is entrusted with preparing the documents for the tax consultancy office. There, in turn, the main focus is on preparing and recording the vouchers as required. There is not much time left for the consultation. And that’s the first mistake: not taking the time to do one of the most important tasks in a company.

Granted, just as a freshman you are busy enough. With the acquisition , the daily business – and in the evenings and on weekends, the billing is done. For an appointment with the bank, even for a call then the time is missing. Only when the suffering is too great, you take this.

And once you’ve finally made it to a bank appointment, it has to be painstakingly prepared and bureaucracy becomes a stressor. So you drag yourself with a folder full of files and paper to his bank.

To be honest, is that still up-to-date today? Many start-ups and the self-employed see a good alternative in digital banks. There they can easily scan and upload the documents and clarify their concerns – at any time of the day, from anywhere. Good reasons to take a closer look at this possibility before you commit yourself to a bank.

Which business account is right for me?

Which business account is right for me?

Many founders open their business account directly in the next branch of their own house bank. Not infrequently, this is the bank where they had their first passbook as a child – it is familiar, the use routine. Which terms and features are offered is secondary.

At first glance, many banks actually offer business accounts that do not differ in their basic functions: you can receive and send money. The differences only become apparent on closer inspection.

The first step on the way to the right business account is the choice of the right bank. This point is often neglected. Before you decide on a bank, you should ask yourself these questions:

  • Do I value on-site service?
  • Do I value a fast service?
  • Do I value clear online banking?
  • Do I value useful additional functions and the integrations of third-party services?

What are the differences between traditional banks and digital banks?

What are the differences between traditional banks and digital banks?

The main differences are the presence or absence of out-of-home stores and the focus of digital banks on online banking, features and integrations of third party services.

If you want to be personally advised on site, the choice is easy, as only traditional banks operate branches. If you have answered the first question with “No”, the selection will be a bit more difficult.

Traditional bank or online bank – what suits me better?

Traditional bank or online bank - what suits me better?

Traditional banks are available on site with their professionals. They usually look back on a long history and convey stability and security. However, they tend to be a bit cumbersome: who wants to open an account with them, must bring time. And although online banking is now offered by every bank, it is often limited to the basic functions.

A counterbalance to this are purely digital banks that completely do without a branch network such as Fidor and Penta. Here the online banking, functionality and integrations are in the foreground. If you need a direct connection of the bank account to a balance sheet software or manage several users, you will often find a suitable solution here.

As a rule, direct account banks open their account promptly and without an appointment. A real plus, because hardly anything annoying more than long waiting times, especially if you want to start with the business. Without a business account, however, things often do not progress.

In addition, some banks do not even offer companies in formation the opportunity to open a business account. First, the company must be officially founded. Annoying, especially if it is the wish bank.

Not all forms of business can open a business account at any bank. Legal entities, ie corporations, are hampered by some traditional banks.


Outside hui, inside often too lazy to keep up with the technical innovations: traditional commercial bank.

For these problems, the online and direct banks apply. Registration and activation of the account without appointment and within a few days is not uncommon. If you are interested in Twitter transfers, social trading or trading in virtual currencies, you will not find yourself shaking our heads, but rather using user-friendly digital solutions.

In addition, many digital banks have recently started to specialize in special target groups. For example, there are banks that offer freelance self-employment conditions that they can not find in any traditional bank: a business account, for example, which automatically calculates taxes and social security contributions or creates tax reserves.

Other digital banks offer targeted solutions for start-ups and are set up for all legal forms, from the UG to the KG.

Digital banks are thus characterized by flexible and individual offers. Rather than relying on “one size fits all”, they offer customized packages for every need. They attach importance to meet the different needs by constantly new developments, and purposefully use the feedback of their customers.

In addition to fast account opening and low fees, a major benefit of many digital banks is that they provide their customers with a variety of digital tools beyond just online banking. For example, it is possible for Penta to link their own business account via API interfaces directly with an accounting software.

Open API interfaces make it possible for account owners to try out and change new FinTech solutions for companies in the market (eg Lexoffice, Currency Cloud, etc.)

What options are available for freelancers?

What options are available for freelancers?

Many banks do not offer freelancers the opportunity to open business accounts. Therefore, the choice for this professional group is also quite sparse. Currently, for example, Hufsy, Kontist and Holvi currently offer accounts for freelancers. Especially Kontist has a strong feature with the automatic calculation of taxes and social security contributions.



As soon as you say goodbye to the idea that a bank must have a local branch, a whole new world opens up for you. Functionality, speed and cost savings are the trump cards of many digital banks. No queues, no appointment, but new useful features that make business life easier.

Even though the bank around the corner nowadays offers you online services, these often have the goal of arranging an appointment at the store instead of requesting the documents with an upload field.

In terms of price, digital offers with many included services, such as a credit card, team banking or a fixed number of bookings, are often cheaper than traditional banks. A price comparison, preferably at quarterly level, is worthwhile in any case. Of course there are (still) areas where digital offerings reach their limits, but the industry is developing rapidly.

Any company, large or small, should not rely on the “one” bank, but choose the right mix of different concepts: For day-to-day business, an online bank may be ideal for making daily transfers easy with your smartphone to do. On the other hand, it may make sense to choose a traditional bank for the long-term financing of your company.


How to check a payday loan company?

Jak sprawdzić firmę pożyczkową?

In recent years, many payday loan companies have been created in Poland that offer quick payday payday loans and installment payday loans. Now we can also take them completely online, but we also find their offices operating stationary. However, before we choose such an offer for ourselves, let’s remember to check the payday loan company well. What should raise our special concerns?

Finding a good payday loan can be like looking for a needle in a haystack. It is worth knowing what to look at besides the costs. When we manage to find an attractive payday loan , but we do not check the lender itself, we can get into trouble. It is worth knowing what to look at so as not to put yourself in danger – additional costs, entering debtors’ databases, unjust debt collection and other unpleasant consequences.

Most people who want to opt for quick payday loans choose popular companies that advertise on television or on the internet. Indeed, then the risk is smaller, but we should not give up the screening of the payday loan company anyway. Then we will be able to find out what we will not learn from the advertisement.

We screen the payday loan company

If we want the company from which we borrow money to be a trustworthy partner, first of all, let’s check it out. It is worth taking a look at the website, and more precisely on the list of public warnings, which publishes information about companies that raise objections according to the PFSA. It is also worth checking information on the website of the payday loan Companies Association – good lending companies belong to this relationship.

Let’s pay attention to the website of the payday loan company itself. Does it contain contact details? Is her address located in Poland? Does the company run a hotline for its clients? Many payday loan companies also publish regulations and payday loan agreement templates, so we can also get acquainted with them more closely to check if there are any disadvantages for us.

The opinions posted on numerous online portals and forums are also an invaluable help. We find them very easily, but let us remember that it happens that the published opinions are not written by real clients of a given payday loan company. Many of them use PR agency services that prepare positive feedback for their clients and negative for their competitors. Therefore, let us approach them with reserve. However, when we do not find any information about a company, or are enigmatic or negative, let us give up its services.

Choose a secure payday loan in Bank!

If you are looking for a payday loan without risk, we invite you to take advantage of our offer at Bank. Our installment payday loan is available on transparent and convenient terms – without security and without guarantors. You can read the detailed information about it on our website now. If you have additional questions, our employees are always available. Welcome!

Payday Loans- Secure Yourself with Payroll Insurance


Wage Protection is it For You?


For most people, everyday life runs relatively smoothly and routinely. There are seldom the big things that break the fixed rhythm in a negative way, but it is nevertheless a good idea to be prepared in case the accident should be out.

Many Danes insure themselves in different areas, and if you are not already insured, it is advisable that you should at least consider whether to stay there. One of the key areas you can and may also assure yourself is when it comes to your job and your monthly income. This is quite central to the life work. We are thinking of wage insurance here.


Secure Yourself with Payroll Insurance


Secure Yourself with Payroll Insurance


In Denmark, we have a welfare state, which means that most of those who form part of the Danish labor market are entitled to receive cash benefits in case they should lose their jobs. The cash assistance rate is, however, relatively low, and the amount paid is often only large enough to pay exactly for the most basic expenses. By enrolling in an unemployment insurance fund and receiving wage insurance, however, you can make sure that life does not have to be completely acidic and cumbersome in case you lose your job.


What is Payroll Insurance?


Table of Contents

  • 1 What is payroll insurance?
  • 2 How much does wage insurance consist of?
  • 3 Are you not a member of an A-box?
  • 4 A-box and payroll insurance is for everyone
  • 5 Find the best payroll insurance price

Wage insurance is an additional insurance for the insurance already included in being a member of an unemployment insurance fund. When you are a member of an unemployment fund, you are insured against a fixed monthly subscription, so you are eligible to receive a larger monthly amount in the unfortunate event that you should lose your job by one or the other other reason.

When wage insurance is a supplementary insurance for the general insurance that you receive as a member of an unemployment insurance fund, this means that the wage insurance is an extra amount per person. month, which is paid out with your unemployment benefits if you were to become unemployed. It is also possible with wage insurance for illness.


Be Assured by Incapacity for Work


Be Assured by Incapacity for Work


The insurance also covers incapacity for work – that is, cases where you are unable to work due to illness or the like. However, you cannot get the benefit of your paycheck paid if you cancel yourself if you are not available for the labor market or if you knew that you would be unemployed at the time when you made your paycheck.

Wage insurance is thus an obvious opportunity to safeguard yourself further and ensure that your financial room for maneuver is increased if you at some point have to stand without a job. Payroll insurance is just like the general insurance that takes place through the subscription you pay to your unemployment insurance fund by paying a monthly amount, the size of which depends on how much you want to insure yourself.


How Much Does Wage Insurance Consist of?


How Much Does Wage Insurance Consist of?


It may vary from year to year what the maximum benefit rate for unemployment insurance fund members is, but there is always a maximum amount set by the state, which amount you can receive as a per diem recipient per month. Should you lose your job, your unemployment fund will calculate the amount of unemployment benefit you are entitled to receive.

This calculation will partly depend on it from the maximum amount of unemployment benefit set by the state and partly by your salary level in the last 24 months – ie. the last two years before you lost your job.

You can choose how high the benefit from your wage insurance can be. However, the wage insurance, together with the unemployment benefits you receive, may not exceed 80% of your salary.

It is therefore not possible to secure yourself to such an extent that you can get the same monthly earnings when you are out of jobs that you would get if you were in work. You can pay a maximum of 6 to 6 months per salary. unemployment period and a maximum of 24 months in total spread over periods of unemployment. If you have any doubts about the detailed rules and rates regarding wage insurance, you can contact your unemployment insurance fund, which can guide you.


Not a Member of an A-box?


Not a Member of an A-box?


Since your wage insurance takes place through your unemployment insurance fund, you can of course not get wage insurance if you are not a member of such a. If you are part of the labor market, it is in all cases advisable to enroll in an unemployment insurance fund – even if you are currently in a situation where you feel confident not losing your job. If the accident is out, there is quite a big difference between what amount you can receive if you have been a member of an unemployment insurance fund before you lost your job in relation to if you have not been a member of an unemployment fund .

The difference is more precisely that you, as a member of an unemployment insurance fund, will be entitled to receive unemployment benefits when you are out of work, while those who are not members of an unemployment insurance fund only have the right to receive cash benefits . The cash benefit consists of a relatively low amount, which for most people will just be enough to pay the most basic expenses, while the unemployment benefit can allow more financial room for maneuver. In this way, life does not have to be acidic and cumbersome just because, for some time, you have to end up standing without a job.


A-Box and Payroll Insurance is for Everyone


A-Box and Payroll Insurance is for Everyone


If you find yourself in a job situation where you feel very safe and secure, this does not mean that it is not a very good idea to join an unemployment insurance fund and also consider wage insurance. Factors that you do not necessarily have, such as illness or different social structures, can cause your job situation to change suddenly and without notice. This applies both to you who are in a highly paid job and to you who receive a monthly salary at the lower end of the scale.


Find the Best Payroll Insurance Price


Are you not yet a member of an A-box, but do you want to feel safe in case you for one reason or another have to lose your job?

If this is the case, you must first enroll in an unemployment insurance fund. In Denmark there are a number of different A-boxes, each of which can offer their members different things at different prices. Some unemployment insurance funds are associated with a union. If you are a member of a trade union , it may therefore be worthwhile to examine first whether you can become a member of an unemployment insurance fund through your union.

It can be quite difficult to find the head and tail in both, which a-box is the right one to choose for you and your situation, and which place will be responsible for your wage insurance. Fortunately, however, help is available. Around the web you can find really good guides, which can help you well on the way, partly to get an overview of what various a-boxes and wage insurance options are and where you find the best price.


Be Sure to Find the One that Matches your Needs


When choosing which box you want to use and where you want to pay, it is a good idea to remember that the lowest price is not necessarily the best for you. The different A-boxes can offer their members different things, and it will therefore also depend on your specific needs, which choice is right for you.ash credit


Receive Loan: Important Tips & Top Conditions

Important when taking up credit

  • Choose the right loan
    If you want to take out a loan, you should first determine which type of loan is right for you. For example, you can take out a installment loan or finance purchases using your credit line.
  • Observe the requirements
    As a rule, all banks are subject to certain conditions for granting credit, such as their age of majority, their place of residence in Germany, a permanent employment relationship and a good credit rating. Check in good time whether you fulfill these requirements.
  • Select bank type
    You can apply for loans from a branch bank or an online bank. Weigh out which type is better for you.
  • Compare conditions
    With a loan calculator, you can find the best loan offer based on your needs. It always pays to compare.

Whether you want to fulfill a long-cherished wish or have to bridge a financial bottleneck: In some life situations, the best solution is to take out a loan. We explain what you need to consider when borrowing. In any case, a first credit comparison is recommended to get an overview.

Take the appropriate loan

Take the appropriate loan

Taking a loan is no shame and usually does not lead to a debt trap. Nevertheless, you should be well informed in advance, so you decide on a loan that is really suitable for you.

These aspects are particularly important:

  1. Use the term of the loan wisely
    The repayment term determines the period over which you repay the loan. It should not be too long or too short. Because with very long maturities, a higher interest rate is often incurred because the risk for the bank increases, that you as a borrower through unemployment, illness or other reasons, the rates can no longer pay.
    In addition, the overall cost of the loan is higher because interest rates are incurred over a longer period of time. But you should also avoid running too short because the monthly burden of the installments may be too high.
  2. Compare interest rates
    The amount of the loan interest significantly determines the total cost of the loan. Therefore, you should always carefully compare the interest rates of different providers. The interest rate is usually expressed as a percentage pa (Latin for “per annum”: per year).
    The debit interest is the interest that is calculated by the bank but does not yet include all costs. These are included in the effective interest rate, which is why banks are also obliged to publish the effective interest rate in their terms. As a result, the different offers are comparable for you as a borrower.
    For the amount of interest, the repayment term is crucial, and often also the collateral and your credit rating play a role. If you have collateral and good credit, you can benefit from lower interest rates. In the case of long-term loans such as mortgage lending, you should also pay attention to the duration of the interest rate commitment. In installment loans, on the other hand, the interest rate remains the same for the entire term.
  3. Processing fees are inadmissible
    In the meantime, processing fees for loans are inadmissible according to a judgment of the Federal Court of Justice. Corresponding clauses are therefore ineffective. You can also reclaim the fees, which are usually calculated as a percentage of the loan amount, for loans that are already in progress.

Dispo or installment loan: Which loan fits my project?

If you need money and want to take out a loan, you should first determine what type of loan is right for you.

If you are not planning a mortgage or have any other very high financing requirements, usually the decision is between a credit line and an installment loan.

line of credit

You can use the disposition credit (in short: credit line or disposition ) to cover your checking account. The amount that is granted to you depends on your regular cash receipts and your credit rating. A formal loan application is not necessary. The interest rates are higher on the credit line than on the installment loan, so you should only use it to cover a short-term cash requirement.

But he is well suited because he is immediately available and can be compensated again at any time, so has no fixed term.

If you overdraw your account beyond the dispolimit, overdraft rates that are even higher than the disbursement interest will be incurred. Therefore, the credit line is not suitable to make larger purchases, because you have to accept a higher interest burden and also in case of further financial constraints can no longer use the credit line.

installment loan

A installment loan, on the other hand, offers cheaper interest rates and is therefore more suitable if you want to finance an acquisition with it. It has a fixed term between 12 and 120 months and a fixed interest rate, so you can plan the repayment well.

If you suddenly have more money during the term, you can replace the loan immediately. In that case, a prepayment penalty often accrues, but this is less than the interest cost of the remaining installments.

What requirements do I have to fulfill for accepting a loan?

What requirements do I have to fulfill for accepting a loan?

  • Age: In order to take out a loan, you must be of legal age, ie have completed at least the age of 18 and thus be fully capable of acting. For seniors, it is often more difficult to obtain a loan because banks and savings banks assume a higher risk of death here. With low loan amounts, a loan for retirees but still be possible.
  • Residence: A condition for granting the loan is a permanent residence in Germany.
  • Probationary period: You must already have completed the probationary period in your employment relationship. Otherwise, the risk for the bank is too high that you lose your job and therefore default in payment.
  • Permanent employment: A permanent position is often a prerequisite for lending. In the case of a fixed-term contract, however, a loan is often possible if the duration does not exceed the duration of the employment contract. For the self-employed, borrowing is usually more difficult because their income is less predictable than that of employees.
  • Proof of income: As a rule, you must provide proof of income so that the bank can check whether your income is sufficient for the timely repayment of the loan. In the case of employees, the last two or three pay slips are sufficient, but for the self-employed the situation is more difficult: they have to prove the income of the past two or three years, for example via a business evaluation (BWA), income tax assessment or profit and loss statements (P & L),
  • Private credit entries: Banks obtain a credit report from a credit agency, such as the Private credit, before granting the loan. This gives you an overview of your debt level and your payment behavior in the past. Your credit rating is expressed with the Private credit score. A sufficient credit rating without negative Private credit entries is a prerequisite for the approval of most loans. But there is also the possibility of taking out a loan without Private credit, which, however, involves higher interest rates.
  • Collateral: Banks often require collateral in the form of property, a life insurance or the conclusion of a residual debt insurance, especially for loans with long terms and a high volume of credit. With a mortgage lending the real estate represents a security, with a car loan frequently the acquired vehicle. A guarantee can also serve as collateral. However, a borrower does not generally have to provide collateral for each loan in order to receive a grant.

Criterion not met? Chances fall!

If one or more of these criteria are not met, the chances of granting the loan decrease. Nevertheless, in many cases, there are other options, such as the credit without credit check.

Where to take credit: branch or online bank?

Where to take credit: branch or online bank?

A loan calculator gives you the ability to compare different offers and choose the one that best suits your needs. The loan comparison provides you with offers from online banks as well as branch banks. You should weigh which variant you prefer.

Properties of the online bank

Online banks often offer cheaper rates because these institutions have lower running costs and can offer better terms. You can make the loan application quickly and easily from home.

Often the payout is faster. On the other hand, you will not get any personal advice from an online bank, at most online or telephone support, which may be less responsive to your needs than an on-site consultant. Online you also have less scope for negotiation: In a personal conversation, you may be able to achieve better terms or convince in the case of an imminent rejection of your application by arguments. This is not possible on the internet.

Properties of the branch bank

This results in the advantages of a loan, which is applied for in a branch: The personal advice, the available scope for negotiation and the greater flexibility in the conditions for a borrowing at a branch bank. It may also be more responsive to problems there, and you can, for example, suspend at a rate.

On the other hand, the advice can also be flawed and there are fewer opportunities for comparison with a single bank. Frequently, the interest rates are noticeably higher than with an online bank.

Compare branch banks online

At some branch banks, you can also find and apply for cheap credit offers on their website. Thereby you combine a favorable interest rate with the possibility of a local contact person.

Take out credit: The process step by step

Take out credit: The process step by step

  1. Determine credit requirements
    First, you need to identify your funding needs to estimate what the exempted loan should be. You also need this size when comparing loans. Financing or borrowing requirements are based on total costs and their existing capital. So, if you plan to buy 10,000 euros and save 5,000 euros, you still have to borrow 5,000 euros.
  2. revenue and expenditure account
    The household bill is an important part of borrowing. This will tell you how much money you can spend each month to pay the installments. To do this, you must realistically assess your income and expenses and calculate the difference. This results in the amount that is available to you every month for repayment. The bank also carries out a household bill on your loan application, but it may be useful to check in advance whether the desired loan amount and the installment amount are realistic.
  3. loan comparison
    A comparison of different providers is always worthwhile if you want to find the best conditions. In a loan calculator, you can enter your data and compare the best offers quickly and clearly. As a rule, you specify at least the loan amount and the desired term.
  4. file application
    Once you have decided on an offer, make a loan application. This application contains all the relevant data about you and the terms of the desired loan, ie the total, the interest rate, the term and the purpose. In addition, you submit important documents such as your salary statements with the loan application so that the bank can verify the accuracy of your information.
  5. Application check, legitimation via PostIdent, Private credit query
    If you have submitted the application, it will be reviewed by the bank. This includes a Private credit query that determines your credit rating. If you have applied for the loan from an online bank, it is also necessary to have your identity authenticated through the PostIdent process.
  6. paying out
    When the loan is approved, you can expect to receive the loan amount in your account within a few days.

questions and answers

questions and answers

Are processing fees charged when borrowing?

No, the Federal Court ruled in 2014 that loan processing fees for personal loans are inadmissible. Already paid fees can reclaim you.

What are the requirements for taking out a loan?

Important prerequisites for borrowing are the age of majority and a place of residence in Germany. An open-ended employment relationship with a sufficient income is usually required. In addition, in most cases a positive Private credit information is needed. Only in the case of a loan without Private credit does this verification no longer apply. However, you usually have to prove your credit rating otherwise.

Can I take a loan as a student?

For students, the special student loan, which was designed specifically to finance a study. It is not paid in one amount, but students receive a fixed monthly allowance to earn a living.

At the latest with completion of the study the disbursement ends. It usually follows a rest period of up to two years, in which graduates can concentrate on starting a career. Thereafter, the repayment of the loan begins. Alternatively to a student loan, students may also take out a loan with a guarantor.

Can I take out a loan as an apprentice?

Borrowing as a trainee is not always easy, because the income is low and the perspective after training proves to be unclear. Banks usually expect at least the probationary period to end. If the repayment term does not exceed the duration of the training, chances are better.

Alternatively, a written commitment to take over by the training company may provide for the granting of a longer repayment term.

What type of loans are there?

Many different types of loans can be determined. For example, the purpose of use may serve as a distinguishing criterion. Here are, for example, the real estate loan or the car loan to call, both of which may be used only for the specified purpose.

But also the conditions are very different: The classic installment credit and the credit rating differ, for example, differently in the amount of interest and the modalities of repayment. Mortgage lending often involves the so-called annuity loan, in which the monthly installments remain the same and the proportion of repayments and interest rates shifts. By contrast, the term loan is only due at the end of its term and in full.