Loans for pensioners

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  • BenutzernameMoneyland User Questions
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  • Registriert seit1/27/17
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I am a pensioner and have been turned down for a bank. Is there any way I can get a loan in Switzerland on a social security pension?

 
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  • BenutzernameMoneyguru von moneyland.ch
  • OrtSchweiz
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  • Registriert seit8/4/15
  • Beiträge4016

Good day,

Swiss consumer credit laws do not forbid lenders from providing loans to pensioners or people above a certain age. However, they do prohibit lenders from lending a person more money than that person could theoretically repay within 3 years with their current income.

In practice, many Swiss lenders do not provide loans to pensioners living on a social security pension. Even pensioners which also receive a pension from an occupational or private pension fund are not normally considered eligible for loans by most lenders after they reach a certain age.

Age limits for loans can vary between banks. Lenders generally believe that loan applicants above a certain age pose to high a risk of default (the risk of death is higher, for example).

As a pensioner, you have these alternatives:

1. Contact senior support association Pro Senectute. They may be able to provide you with advice and in some cases they may even be able to help work out a solution.

2. Visit a professional debt counselor (like www.schulden.ch).

3. You may be able to get moratorium on money which you already owe. Getting a tax moratorium at your tax office is a particularly attractive option because the penalty rates for delayed tax payment are lower than the interest rates you pay for a personal loan.

4. Do you have any friends or acquaintances which might give you a private loan? Find out more about private loans here.

You can find out whether or not you are eligible for a personal loan from a bank by using the unbiased loan comparison tool on moneyland.ch.

Best regards from Moneyguru

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