Those who have been reported to the Crif as a bad payer have more chances of having a mortgage than a protestor.
If you have been reported to the Crif for late payments of the repayment installments of a loan, or because they have not been paid at all, it is very difficult to be able to access other types of loans or mortgages . However, there are two different situations: you can be a protestor or a bad payer . In general, we tend to bring the two situations together but, in reality, they are divided by major differences.
To explain it in simple words, a bad payer does not have a completely compromised situation so, in some cases, he can get a mortgage even before being canceled by the Crif. Instead, a protestor is considered to be in a bad situation, at least until he is rehabilitated. The process, however, is more complicated because the list of protesters is also kept in the Chambers of Commerce and often the rehabilitation must be recognized by a court . Let’s see how it would work in case of a mortgage application.
Reported to the Crif: request for a loan by a protestor
Until a few years ago, some credit institutions presented specific mortgage offers for protesters , with peculiar characteristics: rates much higher than the average, request for very solid guarantees and rather high limits, as a maximum of € 50,000 of financing with coverage percentages of the value of the house between 30 and 50%.
Now, however, with the credit crunch that banks and credit institutions have gradually implemented, there are no longer such products . Therefore, it becomes impossible for a protestor to obtain a mortgage to buy a property before the cancellation from the Crif and having obtained the rehabilitation by the court.
How can I see if I am reported to the Crif?
The chances of a bad payer
As we said, if you have been reported to the Crif as a bad payer , you are faced with a less complicated situation. Also because, the status of bad payer can also be acquired for simple late payments , and not only in the event of non-payment of the repayment installments. Consequently, you can be considered as such even if you have already paid off your debt and it is only a matter of time before you are automatically canceled from the Crif lists .
If, on the other hand, you have really failed to pay repayment installments, then you will have to pay what you still owe before you can request cancellation from the list of bad payers. It is obvious that, in both situations, if you manage to obtain cancellation from the Crif or Central Risks before applying for a mortgage to buy a house, your chances of obtaining it go up significantly.
In any case, if you do not have so much time to wait (ranging from 12 to 36 months before being deleted from the Crif lists), there are other ways to go to be able to obtain a mortgage while being reported to the Crif as a bad payer. In fact, some banks and credit institutions have a ” greater tolerance ” towards this type of subjects and still accept a possible request for a loan if there were not too many delays in payments.
This possibility varies from bank to bank, on average up to three monthly payments overdue are tolerated , but some institutions can even accept six installments paid after the deadline . In these cases, therefore, we recommend that you contact the bank directly and see what mortgage it offers for the purchase of your new home. Also because, if you are a bad payer, it is possible that it offers you different conditions: usually they do not provide higher rates than the average, but grant lower coverage percentages (at most 60% of the value of the house). You may also be asked for more solid guarantees than normal.